3ds Max uses a system called a pipeline to manage the transformation of scene objects by processing objects called modifiers. Each INode in a scene graph has its own pipeline. The input of a pipeline is called the base object (an object that inherits from Object) and the output is called the derived object. If there are modifiers in the pipeline the output object will inherit from DerivedObject otherwise it will be the same object as was input into the pipeline.
A modifier transforms an object or mesh, by applying a transform on a representation of an object's state. In the 3ds Max user interface the pipeline is graphically represented by a modifier stack. The pipeline takes an initial object or mesh (called the base object) and applies each modifier in the stack in order from the bottom of the modifier stack to the top. The output of the pipeline is a representation of the object in world space which is rendered in the 3D viewports.