How Performance-Based Incentives Changed Mindsets and Improved Supply Chain Resilience in a Honduran Textile Manufacturer

This case study documents how a gender-focused performance-based incentive (PBI) and advisory service embedded in a corporate loan catalyzed organizational change and strengthened supply chain resilience at Grupo Elcatex, a leading textile manufacturer in Honduras.

In 2019, IDB Invest structured a $64 million loan that included an annual $30,000 bonus financed by We-Fi. The bonus was contingent on Elcatex meeting progressively ambitious targets for integrating women-owned small and medium enterprises (WSMEs) into its supply chain both by count and by purchase volume. Supported by advisory partners Fundes and WeConnect International, Elcatex established a rigorous baseline, revised procurement policies, trained buyers, and introduced buyer-level KPIs and rewards.