Measures and their reliability and validity
| Construct | Items | Std. weight | α | CR | AVE | |
|---|---|---|---|---|---|---|
| Supply-side governance (adapted from Wagner et al., 2011; Wang et al., 2011; Swift et al., 2019) | SSG1 | Rarity of material deficiencies | 0.60 | 0.744 | 0.862 | 0.676 |
| SSG2 | Credence/confidence in suppliers | 0.76 | ||||
| SSG3 | Identifiability of materials | 0.80 | ||||
| Demand-side governance (adapted from Blome et al., 2014; Petersen and Brockhaus, 2017; Silva et al., 2019) | DSG1 | Set targets to meet stakeholder expectations | 0.86 | 0.916 | 0.945 | 0.856 |
| DSG2 | Defined action plans to meet stakeholder expectations | 0.93 | ||||
| DSG3 | Monitoring the fulfillment of stakeholder expectations | 0.86 | ||||
| PMM (adapted from Magretta and Stone, 2002; Garengo et al., 2005; Franco-Santos et al., 2007; Kaplan and Norton, 2008; Bititci et al., 2012; Bourne et al., 2013; Koufteros et al., 2014; Melnyk et al., 2014) | PMM1 | Notification of the organization’s goals | 0.74 | 0.797 | 0.872 | 0.631 |
| PMM2 | Measurement of the implementation of the goals | 0.75 | ||||
| PMM3 | Notification of the measures used for tracking goals | 0.74 | ||||
| PMM4 | Communication of the importance of following the agreed procedures | 0.59 | ||||
| Business performance (adapted from Choi and Ng, 2011; Boons and Lüdeke-Freund, 2013) | BUS1 | Productivity | 0.79 | 0.923 | 0.858 | |
| BUS2 | Profitability | 0.90 | ||||
| Sustainability performance (adapted from Choi and Ng, 2011; Boons and Lüdeke-Freund, 2013) | SUS1 | Social sustainability of operations (e.g. equality, non-discrimination, and compliance with labor laws) | 0.59 | 0.837 | 0.719 | |
| SUS2 | Environmental sustainability of operations (e.g. decreasing emissions, complying with environmental legislation, and minimizing waste) | 0.75 |
| Construct | Items | Std. weight | α | CR | AVE | |
|---|---|---|---|---|---|---|
| Supply-side governance (adapted from | SSG1 | Rarity of material deficiencies | 0.60 | 0.744 | 0.862 | 0.676 |
| SSG2 | Credence/confidence in suppliers | 0.76 | ||||
| SSG3 | Identifiability of materials | 0.80 | ||||
| Demand-side governance (adapted from | DSG1 | Set targets to meet stakeholder expectations | 0.86 | 0.916 | 0.945 | 0.856 |
| DSG2 | Defined action plans to meet stakeholder expectations | 0.93 | ||||
| DSG3 | Monitoring the fulfillment of stakeholder expectations | 0.86 | ||||
| PMM (adapted from | PMM1 | Notification of the organization’s goals | 0.74 | 0.797 | 0.872 | 0.631 |
| PMM2 | Measurement of the implementation of the goals | 0.75 | ||||
| PMM3 | Notification of the measures used for tracking goals | 0.74 | ||||
| PMM4 | Communication of the importance of following the agreed procedures | 0.59 | ||||
| Business performance (adapted from | BUS1 | Productivity | 0.79 | 0.923 | 0.858 | |
| BUS2 | Profitability | 0.90 | ||||
| Sustainability performance (adapted from | SUS1 | Social sustainability of operations (e.g. equality, non-discrimination, and compliance with labor laws) | 0.59 | 0.837 | 0.719 | |
| SUS2 | Environmental sustainability of operations (e.g. decreasing emissions, complying with environmental legislation, and minimizing waste) | 0.75 |
Source(s): Authors’ own creation
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