Hi,
I would like to create a composite/overall measure based on some individual proxies (eg. A, B, C, D, E). Besides ranking these individual variables before adding them together, can I also try to standardize these variables by calculating the z score since they are different scales? If yes, how can I (potentially use SmartPLS) create a formative latent variable using the Z scores of these individual measures to create an overall measure? (Lohmoller, J.B. 1989. Latent variable path modeling with partial least squares. Heidelberg, Germany: Physcia-Verlag). Thanks!
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