MGSC 499 Applied Projects in Management
Science final exam study guide solution Athabasca
University
, MGSC 499 Applied Projects in Management Science final exam study guide solution Athabasca University
Chapter 1 Introduction
-OPERATIONS AND SUPPLY CHAIN MANAGEMENT: design, operation, and improvement
of the systems that create and deliver the firm’s products and services.
-A good way to understand the supply chain is to sketch out the network from start to finish.
-Many different companies exist within a supply chain network because it can take supplies from
different companies coming together to create the overall product.
-All of the steps in the supply chain need to be coordinated and operated to keep costs low and
minimize waste. OSCM manages these processes.
-OPERATIONS: manufacturing and service processes used to transform inputs into outputs.
• Manufacturing process produces a physical product.
• Service process produces an intangible product (a call center providing information).
-SUPPLY CHAIN: the processes that move information and material to and from the
manufacturing and service process of the firm.
• This includes logistics processes, warehousing, and storage processes.
-The field of OSCM is changing due to globalization and technological change.
-PROCESS: one of more activities that transform inputs into outputs.
-Processes can be categorized:
• Planning: the processes needed to operate an existing supply chain. The firm must
monitor the supply chain, so it is efficient and delivers quality and value to customers.
The firm must determine how anticipated demand will be met with available resources.
• Sourcing: selection of suppliers that will deliver goods and services needed to create
the firm’s products. Sourcing processes include receiving shipment, transferring to
manufacturing facilities, and authorizing supplier payments.
• Making: processes where the product is produced, or service is provided. These
processes are monitored to measure speed, quality, and worker productivity.
• Delivering: carriers are chosen to move products to warehouses and customers. The
processes include the logistic processes as well as processes that manage receiving orders
from customers and the invoicing system that collects payments.
• Returning: involves processes for receiving work out, defective, and excess products
back from the customers and support for the customers.
Services vs. Goods
-There are 5 differences between services and goods.
• Service is an intangible process with no weight or measure, whereas a good is a
tangible output of a process and has physical dimensions.
o Service innovation cannot be patented. Company with new concepts must
expand rapidly before competitions copy the procedures.
o Service intangibility is a problem for customers because they cannot test out a
service before buying.
• Service requires some degree of interaction with customers. Goods are produced in a
facility separate from customers.
• Services are heterogenous because they vary from day to day and depend on the attitudes
of the customers and servers. The exception is hard technologies such as ATMs and
Science final exam study guide solution Athabasca
University
, MGSC 499 Applied Projects in Management Science final exam study guide solution Athabasca University
Chapter 1 Introduction
-OPERATIONS AND SUPPLY CHAIN MANAGEMENT: design, operation, and improvement
of the systems that create and deliver the firm’s products and services.
-A good way to understand the supply chain is to sketch out the network from start to finish.
-Many different companies exist within a supply chain network because it can take supplies from
different companies coming together to create the overall product.
-All of the steps in the supply chain need to be coordinated and operated to keep costs low and
minimize waste. OSCM manages these processes.
-OPERATIONS: manufacturing and service processes used to transform inputs into outputs.
• Manufacturing process produces a physical product.
• Service process produces an intangible product (a call center providing information).
-SUPPLY CHAIN: the processes that move information and material to and from the
manufacturing and service process of the firm.
• This includes logistics processes, warehousing, and storage processes.
-The field of OSCM is changing due to globalization and technological change.
-PROCESS: one of more activities that transform inputs into outputs.
-Processes can be categorized:
• Planning: the processes needed to operate an existing supply chain. The firm must
monitor the supply chain, so it is efficient and delivers quality and value to customers.
The firm must determine how anticipated demand will be met with available resources.
• Sourcing: selection of suppliers that will deliver goods and services needed to create
the firm’s products. Sourcing processes include receiving shipment, transferring to
manufacturing facilities, and authorizing supplier payments.
• Making: processes where the product is produced, or service is provided. These
processes are monitored to measure speed, quality, and worker productivity.
• Delivering: carriers are chosen to move products to warehouses and customers. The
processes include the logistic processes as well as processes that manage receiving orders
from customers and the invoicing system that collects payments.
• Returning: involves processes for receiving work out, defective, and excess products
back from the customers and support for the customers.
Services vs. Goods
-There are 5 differences between services and goods.
• Service is an intangible process with no weight or measure, whereas a good is a
tangible output of a process and has physical dimensions.
o Service innovation cannot be patented. Company with new concepts must
expand rapidly before competitions copy the procedures.
o Service intangibility is a problem for customers because they cannot test out a
service before buying.
• Service requires some degree of interaction with customers. Goods are produced in a
facility separate from customers.
• Services are heterogenous because they vary from day to day and depend on the attitudes
of the customers and servers. The exception is hard technologies such as ATMs and
