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Structure of the Sourcing Department

GameStop is a wireless services retailer that sources for its supplies through different methods such as competitive bidding and directs sourcing from the suppliers within local and global scopes. They choose suppliers through performance evaluation and price quotation. To achieve suitable sourcing cost, the company negotiates for its Micromania products through an established negotiation team mandated for conducting market surveys. Besides, the director of the department negotiates with company’s suppliers to make arrangements on delivery time, quality, and replenishment.

According to a report published by GameStop on Reports Second Quarter Fiscal (2018), the success of GameStop relies on the structured, centralized purchasing as the sourcing function. However, suppliers working with the company pose a positive contribution of ensuring continuity of deliver at a competitive price. However, the negative side emanating from the suppliers is delayed delivers leading to high lead times. Being...