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Testing and Controlling for Common Method Variance: A Review of Available Methods

Shehnaz Tehseen, T. Ramayah, Sulaiman Sajilan ()
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Shehnaz Tehseen, T. Ramayah, Sulaiman Sajilan: Universiti Kuala Lumpur Business School, 50300, Malaysia

Journal of Management Sciences, 2017, vol. 4, issue 2, 146-175

Abstract: Several studies have debated over the prevalence of Common Method Variance (CMV) in organizational research. This paper highlights various procedural and statistical remedies to assess and control common method variance in any organizational study. It has been recognized that Common Method Variance (CMV) may significantly influence the research findings if it is not controlled properly through procedural and statistical remedies. However, researchers usually do not use all procedural remedies to remove potential impacts of CMV. Therefore, statistical remedies are strongly suggested to control and remove effects of CMV from data analysis. We have mentioned some common and effective statistical remedies from existing literature that have been widely used and recommended to control the effects of CMV. Moreover, we also discuss the challenge of CMV in relation to entrepreneurship studies and illustrate the problem utilizing an analysis of entrepreneurial competencies and business growth. In addition, we describe the possible solutions for minimizing the impact of common method bias by using the combination of several methods. This study strongly recommends using both procedural and statistical remedies to test and control the impacts of CMV from the research study.

Keywords: Common method variance; procedural remedies; statistical remedies; Harman's single-factor test; partial correlation procedures; correlation matrix procedure; MLMV approach. (search for similar items in EconPapers)
Date: 2017
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