A structural approach to assessing postponement strategies: construct development and validation

This paper endeavours to introduce and validate constructs and measured variables for postponement strategies. Although empirical researchers have examined postponement, a consistent set of valid, reliable factors has not been developed and used. The lack of valid construct is a barrier to hypothesis testing and meta-analysis on postponement. Using confirmatory factor analysis (CFA), the validity and reliability of the proposed postponement constructs are examined. This is performed through a pilot study and a large scale survey on a sample of 219 manufacturing firms which represent a wide range of manufacturing operations. The outcomes of this paper establish a set of variables which can measure shipment, manufacturing, purchasing and design postponements.