Monday, November 26, 2007

Supply Chain Management of gameStop

GameStop is the world's largest video game retailer. With over 4,400 stores located throughout the United States and 15 countries, they are the retail destination for gamers around the world. GameStop, EB Games and Electronics Boutique retail locations set them apart in the industry. Everything that they offer the customers—from an expansive selection of new products, to thier knowledgeable associates and a value-added pre-owned product—is geared to deliver customer satisfaction.

Its inventories include new games, used games, new game accessories, old game accessories, and game magazines. Those inventories are divided into 3 ranks. Rank A includes the New games, Rank B includes the accessories and game magazines, and Rank C includes the used games and accessories. All those inventories come from different supply chain. The A ranked and B ranked inventory come directly from the game factories or the manufacturing companies which constantly supply and corporate with GameStop. The A ranked inventory is very limited. Each time GameStop only orders a very small amount of rank A inventory until they need more, then they have to predict how many more they need so they can order a certain number of that particular thing. Rank C inventories come from either customers or other game retail companies. Mostly GameStop would buy used games from customers who try to sell the games back to the store. Then the store will sell the games to other customers.

Monday, November 5, 2007

QUALITY CONTOL AND IMPROVEMENT

Gamestop has always used a form of quality management called process quality control. It utilizes inspection (or testing) of the product being produced while it is still in the process of production. Every so often a sample of the product that are being produced are taken out and examined and put through certain tests. For Gamestop, the games that are produced are randomly selected and tested to see if there are any flaws with the game and if it runs properly before they distribute the game.

Gamestop is on a daily basis trying to continuously improve upon both its products and reduction of the variability of its products that is being supplied to its consumers. In order for them to do this , they use a form of continuous improvement called a cause-and-effect diagram. Which shows the potential causes of the defective products. Basically what it does is identifies one major problem and breaks it down into more detailed problems, therefore easier to solve.

Other ways that Gamestop can decrease its defects and improve upon its quality of products is by gathering more customers responses and comments on its products. From that they will know what needs attention and what doesn't.