BUS 370 Exam 1 NCSU Question and
answers verified to pass 2025/2026
CHAP 1: Introduction to Operations and SCM - correct answer ✔
Operations management - correct answer ✔the planning, scheduling, and control of the activities that
transform inputs into finished goods and services
2 types- manufacturing operations and service operations
Operations functions - correct answer ✔(aka operations) The collection of people, technology, and
systems within an organization that has primary responsibility for providing the organization's products
or services
Supply chain - correct answer ✔a network of manufacturers and service providers that work together
to create products or services needed by end users.
These manufacturers and service providers are linked together through physical flows, information flows
and monetary flows
Supply Chain Management (SCM) - correct answer ✔active management of supply chain activities and
relationships in order to maximize customer value and achieve sustainable competitive advantage
Supply Chain diagram - upstream and downstream - correct answer ✔chap 1 ppt, slide 9
Trends in operations and SCM - correct answer ✔1. agility: the ability to recalculate plans and deliver
the same service
,2. information technology:
eCommerce
3. people: shortage of skilled knowledge workers
3 reasons to study SCM - correct answer ✔1. pervasiveness:
every org. must make a product or service that someone values
2. Interdependence:
most orgs function as part of a larger supply chain, ex: product, ship, port, boat travel, truck, store
3. profitability and survival:
org's must carefully manage their operations and supply chains in order to prosper, and indeed, survive
Operations and SCM activities - correct answer ✔1. process selection, design, and improvement: how
are we going to set up a restaurant?
2. forecasting demand and supply:
when are ppl coming, time/season?
3. capacity planning for capital investment and resource levels:
4. inventory management: how to manage inventory, enough cups? right amt of ingredients? getting
hard to find ingredient like fish?
5. planning and control for work scheduling and producing enough goods or services to meet demand:
, need more ppl during busy times
6. purchasing, managing, supplier relationships:
where to buy food from? specialty items?
7. logistics, distribution of goods:
how many times are items delivered? what time of day?
diff btw manufacturing and services (both have supply chains) - correct answer ✔Manufacturing:
-tangible product (ex: auto, TV, computer)
-Key decisions driven by physical characteristics of the product:
How is the product made?
How do we store it?
How do we move it?
Services:
-intangible "product" or service (ex: banking, consulting, legal, medical, fast food)
-Key decisions driven by how we service the customer:
How do we interact with the customer?
What processes do we use?
How much technology do we incorporate?
cross-functional linkages - correct answer ✔manufacturers and service providers are linked together
through physical, information, and monetary flows
answers verified to pass 2025/2026
CHAP 1: Introduction to Operations and SCM - correct answer ✔
Operations management - correct answer ✔the planning, scheduling, and control of the activities that
transform inputs into finished goods and services
2 types- manufacturing operations and service operations
Operations functions - correct answer ✔(aka operations) The collection of people, technology, and
systems within an organization that has primary responsibility for providing the organization's products
or services
Supply chain - correct answer ✔a network of manufacturers and service providers that work together
to create products or services needed by end users.
These manufacturers and service providers are linked together through physical flows, information flows
and monetary flows
Supply Chain Management (SCM) - correct answer ✔active management of supply chain activities and
relationships in order to maximize customer value and achieve sustainable competitive advantage
Supply Chain diagram - upstream and downstream - correct answer ✔chap 1 ppt, slide 9
Trends in operations and SCM - correct answer ✔1. agility: the ability to recalculate plans and deliver
the same service
,2. information technology:
eCommerce
3. people: shortage of skilled knowledge workers
3 reasons to study SCM - correct answer ✔1. pervasiveness:
every org. must make a product or service that someone values
2. Interdependence:
most orgs function as part of a larger supply chain, ex: product, ship, port, boat travel, truck, store
3. profitability and survival:
org's must carefully manage their operations and supply chains in order to prosper, and indeed, survive
Operations and SCM activities - correct answer ✔1. process selection, design, and improvement: how
are we going to set up a restaurant?
2. forecasting demand and supply:
when are ppl coming, time/season?
3. capacity planning for capital investment and resource levels:
4. inventory management: how to manage inventory, enough cups? right amt of ingredients? getting
hard to find ingredient like fish?
5. planning and control for work scheduling and producing enough goods or services to meet demand:
, need more ppl during busy times
6. purchasing, managing, supplier relationships:
where to buy food from? specialty items?
7. logistics, distribution of goods:
how many times are items delivered? what time of day?
diff btw manufacturing and services (both have supply chains) - correct answer ✔Manufacturing:
-tangible product (ex: auto, TV, computer)
-Key decisions driven by physical characteristics of the product:
How is the product made?
How do we store it?
How do we move it?
Services:
-intangible "product" or service (ex: banking, consulting, legal, medical, fast food)
-Key decisions driven by how we service the customer:
How do we interact with the customer?
What processes do we use?
How much technology do we incorporate?
cross-functional linkages - correct answer ✔manufacturers and service providers are linked together
through physical, information, and monetary flows
