The operations function encompasses all the activities necessary to produce the goods orservices of the business. These can include such activities as the following:Capacity This includes determining how much of a product or service is able to be producedwith the available materials, labor, and equipment (known as inputs) as well as whatchanges in inputs are required by fluctuating customer demands.Production Layout This is the way in which the goods or service will be produced: forexample, the design of an assembly line or, in the case of a service, the process to be used inproviding it, such as a model plan or protocol for a financial audit.Scheduling Scheduling activities make sure the products or services are available at timesof peak customer demand.Quality Management Quality assurance (QA) ensures that the product or service meetsacceptable standards.