4.3 Article

Toward equation structural modeling: an integration of interpretive structural modeling and structural equation modeling

Journal

JOURNAL OF MANAGEMENT ANALYTICS
Volume 8, Issue 4, Pages 693-714

Publisher

ROUTLEDGE JOURNALS, TAYLOR & FRANCIS LTD
DOI: 10.1080/23270012.2021.1881927

Keywords

decision analysis; interpretive structural modeling; structural equation modeling; combined model

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ISM is an interactive process that may suffer from reliance on intuition and judgment. To enhance this method, ESM is proposed, offering a statistically verifiable framework and a graphical, hierarchical, and intuitive model.
Interpretive structural modeling (ISM) is an interactive process in which a malformed (bad structured) problem is structured into a comprehensive systematic model. Yet, despite many advantages that ISM provides, this method has some shortcomings, the most important one of which is its reliance on participants' intuition and judgment. This problem undermines the validity of ISM. To solve this problem and further enhance the ISM method, the present study proposes a method called equation structural modeling (ESM), which draws on the capacities of structural equation modeling (SEM). As such, ESM provides a statistically verifiable framework and provides a graphical, hierarchical and intuitive model.

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