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 SRMR – Lower value

 SRMR should be less than 0.80, but model fit is not totally relevant to a format model.
 Joseph hair and Christian Ringle would probable say model fit is not the aim of PLS.
 Hair et al. (2017) – A premier on partial least square structural equation modeling. It say that the
SRMR should not be used for PLS-SEM and also does not mention the NFI (P.193)

Outer Model

 Evaluation of Reflective measurement models. Assessing PLS-SEM Results


 Evaluation of Formative measurement models.
 Evaluation of the structural model.

Reflective Measurement Models by including-

- Indicator Reliability (Standardized indicator Leading 0.70)


- Internal consistency reliability (Cronbach’s Alpha > 0.70)
- Composite reliability (CR ≥0.70)
- Convergent validity (Average variance Extracted ≥0.50)
- Discriminant validity (for Nell- larcker criterion result or cross loadings)

Formative measurement model by including-

- Indicator’s relative contribution to the construct (i.e. the indicator weight)


- Significance of weight (report t- values, p- values or standard errors)
- Multi- collinearity assessment [Variance Inflation Value (VIF) <5 ; tolerance >0.20]

Structural model by including-

- R (0.75, 0.50 or o.25).


- Effect size 𝑓2 (0.02,0.15,0.35 for weak, moderate, strong effect)
- Predictive relevance Q2 and q2 (Q2>0; q2:0.02, 0.15, 0.35)
- Q2 effect size.

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