Lean manufacturers mitigate the mismatches between supply and demand by smoothing production and stabilizing demand. To stabilize demand, they follow an aggressive-selling strategy such that salespeople work relentlessly to keep sales at target levels. To smooth production, they cut all types of waste (i.e., in the form of redundancy, idleness, and rework) and move products according to a pull production model. This chapter delves into design and implementation characteristics of lean manufacturing and links them to the fundamental operational trade-offs. It also discusses challenges of lean manufacturing to highlight potential limitations of lean systems.