I am constructing the whistleblower policy Disclosure Index for the top 100 listed companies in India. I have taken 31 attributes/questions/parameters under four major categories i.e. Board Effectiveness, Audit Integrity, WB Reporting System and WB Protection. What is the appropriate method for the construction of the index? PCA and Cronbach alfa are the right technique for the validity of the index construction?
I would also like to know what is the best method to check out of four major determinants i.e. Board Effectiveness, Audit Integrity, WB Reporting System and WB Protection, which is contributing more towards effective whistleblower policy Disclosure.
Thanks and Regards
Dr Shweta Mehrotra
It is part of the exploratory factorial analysis mentioned, it is also recommended to perform the confirmatory factorial analysis that can group the theoretical factors proposed to evaluate the multidimensional construct according to the SEM adjustment indexes.
See the link: https://www.bing.com/search?FORM=U528DF&PC=U528&q=index+construction
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