Proceedings of the 2nd International Symposium on Partial Least Squares Path Modeling: The Conference for PLS Users 2015
DOI: 10.3990/2.350
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The role of strategic and value chain flexibility in achieving sustainability performance: an empirical analysis using conventional and consistent PLS

Abstract: We contribute to the clarification of the link between dynamic and operational capabilities by examining how strategic flexibility and value chain flexibility translate into superior sustainability performance. Using survey data of chemical firms in Germany, our structural equation model shows that value chain flexibility fully mediates the relationship between strategic flexibility and sustainability performance. Further, we contribute to the ongoing research on the partial least squares (PLS) approach to str… Show more

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Cited by 8 publications
(6 citation statements)
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“…The Fornell-Larcker criterion for discriminant validity postulates that a latent construct's average variance with its indicators should be more when compared to other latent constructs in the structural equation model [110]. In other words, a model is discriminant valid if the square root of AVE for a construct is greater than the correlation coefficient with other latent constructs [106,111]. The current study fulfills this criterion of discriminant validity as Table 5 shows that all the values in the diagonal of the table (in bold) is greater than any other value in the row or column position with reference to any other construct.…”
Section: Model Assessmentmentioning
confidence: 99%
“…The Fornell-Larcker criterion for discriminant validity postulates that a latent construct's average variance with its indicators should be more when compared to other latent constructs in the structural equation model [110]. In other words, a model is discriminant valid if the square root of AVE for a construct is greater than the correlation coefficient with other latent constructs [106,111]. The current study fulfills this criterion of discriminant validity as Table 5 shows that all the values in the diagonal of the table (in bold) is greater than any other value in the row or column position with reference to any other construct.…”
Section: Model Assessmentmentioning
confidence: 99%
“…Today, it is becoming more sustainable to create flexibility in exploiting and controlling resources in the choice of alternative strategic actions [74]. Obtaining flexibility on various sides needs to be present in product development, manufacturing, and supply chain activities to increase responsiveness for sustainability performance [77]. Thereby, it is so important to obtain supply chain flexibility and agility in order to achieve sustainability performance.…”
Section: Discussionmentioning
confidence: 99%
“…Nidumolu et al [75] suggest that operational innovations are important for creating a sustainable value. Obtaining flexibility in various sides needs to be present in product development, manufacturing, and supply chain activities to increase responsiveness for sustainability performance [77]. Additionally, agility needs to be coupled with sustainability.…”
Section: Supply Chain Flexibility and Agility As A Dynamic Capabilitymentioning
confidence: 99%
“…Gelhard and Delft's research [61] describes the concept of the value chain model and its effect on sustainable financial performance. The value chain enables companies to deliver sustainable products and services in a timely manner, address changing customer needs, shorten lead times, and reduce inventory costs.…”
Section: Value Chain Relationship With Sustainable Lendingmentioning
confidence: 99%