MGSC 346 Production and
Operations Management Midterm 1
Study Guide | Chapman Practice
Questions & Exam Prep
2026/2027
, operations The part of a business organization that is responsible for producing goods or
services
Operations Management management of systems of processes that create goods and/or provide services
Goods physical items that include raw materials, parts, subassemblies, and final products
(cars, computers, ovens, shampoo)
Services activities that provide some combination of time, location, form or psychological
value (air travel, education, haircuts, legal counsel)
Supply Chain sequence of activities and organizations involved in producing and delivering a
good or service (suppliers suppliers - direct suppliers - producer - distributor - final
customers)
The transformation process inputs -> transformation -> outputs -> measurements and feedback ->control
feedback measurements taken at various points in the transformation process
control the comparison of feedback against previously established standards to determine if
corrective action is needed.
Products are typically neither purely service or purely
goods based (steelmaking - retail - restaurant meal -
songwriting - teaching)
• Every aspect of business affects or is affected by
operations
• Many service jobs are closely related to operations
(financial, marketing, accounting, and information services)
• Through learning about operations and supply chains you
have a better understanding of world, global dependencies
of companies and nations, reasons companies succeed or
fail, and importance of working with others
Basic Functions of the Business Organization o Marketing
o Operations
o Finance
Finance and Operations Overlap budgeting, economic analysis of investment proposals, and provisions of funds
Marketing and Operations Overlap: demand data, product and service design, competitor analysis, lead time data
Process: one or more actions that transforms inputs into outputs
Operations Management Midterm 1
Study Guide | Chapman Practice
Questions & Exam Prep
2026/2027
, operations The part of a business organization that is responsible for producing goods or
services
Operations Management management of systems of processes that create goods and/or provide services
Goods physical items that include raw materials, parts, subassemblies, and final products
(cars, computers, ovens, shampoo)
Services activities that provide some combination of time, location, form or psychological
value (air travel, education, haircuts, legal counsel)
Supply Chain sequence of activities and organizations involved in producing and delivering a
good or service (suppliers suppliers - direct suppliers - producer - distributor - final
customers)
The transformation process inputs -> transformation -> outputs -> measurements and feedback ->control
feedback measurements taken at various points in the transformation process
control the comparison of feedback against previously established standards to determine if
corrective action is needed.
Products are typically neither purely service or purely
goods based (steelmaking - retail - restaurant meal -
songwriting - teaching)
• Every aspect of business affects or is affected by
operations
• Many service jobs are closely related to operations
(financial, marketing, accounting, and information services)
• Through learning about operations and supply chains you
have a better understanding of world, global dependencies
of companies and nations, reasons companies succeed or
fail, and importance of working with others
Basic Functions of the Business Organization o Marketing
o Operations
o Finance
Finance and Operations Overlap budgeting, economic analysis of investment proposals, and provisions of funds
Marketing and Operations Overlap: demand data, product and service design, competitor analysis, lead time data
Process: one or more actions that transforms inputs into outputs
