Reverse supply chains of non-profit organizations for textile reuse

Abstract

Purpose Non-profit organizations (NPOs) are exposed to a highly competitive environment in which they are forced to grow their commercial activity to acquire additional financial resources. This study aims to create an understanding of how NPOs involved in textile reuse as a revenue-generating programme manage their reverse supply chains (RSC). Design/methodology/approach The research involves an embedded single-case study of NPOs in Finland involved in post-use textile collection. The main data sources are semi-structured interviews and participant observations. Findings This study is inspired by the microfoundations movement and identifies the underlying microfoundations of the NPOs’ capabilities for managing RSC for textile reuse. The study contributes to the literature by demonstrating NPOs’ lower-level, granular practices and their adaptations for achieving quality outcomes in textile reuse. Research limitations/implications The findings have context sensitivity and apply to the NPOs which operate in a context similar to Finland, such as in other Nordic countries. Practical implications This study continues the discussion on the adoption of “business-like” practices in the NPOs’ pursuit of additional revenue streams to finance humanitarian work. The findings of this study can also be transferred to the growing area of domestic textile circularity. Social implications Using the case of NPOs in textile reuse, the study illustrates how RSC management can serve a social, non-profit cause and transform unwanted textile products into a source of fundraising for humanitarian work. Originality/value This enriches the understanding of NPOs’ practices within the scope of revenue-generating programmes by examining one of them – textile reuse through charity shops from an RSC perspective.