Methods and Theory for Using Parcels in SEM (Williams et al. 2025) | JoM FT50

Welcome to Revise and Resubmit, the podcast where we break down cutting-edge research from the world’s top academic journals.

If you’ve ever worked with survey data in management research, you’ve probably faced the same dilemma: Do I analyze each item separately, or do I group them into parcels? Parceling—combining multiple survey items into composite indicators—sounds simple, but when done wrong, it can distort results and mislead conclusions.

Today, we’re diving into a Journal of Management article—an FT50 journal—written by Larry J. Williams, Andrew A. Hanna, and Troy A. Smith. Published by SAGE Publications, this paper unpacks the complexities of parceling in structural equation modeling (SEM). The authors trace its evolution, highlight inconsistencies in its application, and provide a much-needed roadmap for best practices. Through theoretical insights and simulations, they reveal when and how to parcel correctly—so researchers can avoid methodological pitfalls and produce more reliable results.

But here’s the real question: When does simplifying your data actually complicate your findings?

Stick around as we break it all down. And a big thank you to the authors and SAGE Publications for this essential contribution to management research.

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Reference

Williams, L. J., Hanna, A. A., & Smith, T. A. (2025). Methods and Theory for Using Parcels in Management Research: An Overview and Guide for Improved Analysis. Journal of Management, ahead-of-print. https://doi.org/10.1177/01492063251316479

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