The total concept of lean production is to enhance the business environment by optimizing processes and eliminating waste. This can help cut costs while still delivering high-quality products customers want. Lean production affects inventory levels in companies by reducing lead times and operating costs to meet demand. Design for manufacture copes with international demands in the supply chain by using air freight, locating activities close together, and facilitating transactions. Lean production cannot boost productivity in the Philippines due to a lack of high technology, poor infrastructure, and the need for technology to meet lean production requirements. Lean production requires close relationships with suppliers and customers to prepare for inevitable challenges through communication and information sharing.

1. 1. What is the total concept of lean production?
The total concept of lean production is to enhance the environment of every business. It is
also to optimizing processes and eliminating waste. These seemingly simple efforts can
greatly help with cutting costs while still delivering high-quality product customers want
and are willing to pay for. Simplify and organize your work environment to reduce
waste and keep your people, equipment and workspace responsive to what’s needed right
now. Eliminate functional barriers and identify ways to improve lead time to ensure the
processes are smooth from the time an order is received through to delivery. Include
reduced lead times, reduced operating costs and improved product quality, to name just a
few.
2. How does the lean production affects the level of inventory in the operation of the
company?
It’s affect when the supplies were coming domestically. And when the producer’s
tendency is to keep the volume of inventories higher to cover unexpected demand.
Besides that it is also affects when a low level of inventory results in loss of potential
sales whereas a high level meets the current demand but at the expense of a higher
maintenance cost.

2. 3. How does the design for manufacture cope up with the international demands in the
supply chain?
They cope up by using air rather than sea freight to expedite deliveries and face- to – face
communication. And locating value chain activities close to each other. By using this
activities it is easy to the supplier and to the customer to transact their business or the
technologies. Ultimately consists of those decisions that influence the investment patterns
made by the firm across its various supply chains.
4. Discuss why lean production cannot boost the productivity of industry in the Philippines.
Lean production cannot boost the productivity of industry in the Philippines because of
having a not enough high technology product of its own. Besides that it is largely
inapplicable where poor and unreliable infrastructure, transportation and communication
facilities exist. Because of having a lack of this activities the Philippines the country may
not process of lean production. It is true that the country is rich in the pool of manpower
services but it still lack the technology necessary to meet the requirements of lean
production.
5. Lean Production requires "Case relationship with supplier and the customer".
Lean production requires it because in today’s business environment, where every firm
has to focus intensely on the ways in which they can achieve a cost structure that is
acceptable to their own customers, tremendous strains can emerge between suppliers and

3. customers, even ones that have had a long history of shared successes. New people,
profitability problems placing pressures on key executives, a deliberate change in
strategy, an acquisition, among many examples. It’s not enough to do “good works” and
to deliver value. You must anticipate the inevitable storms that will someday appear, and
prepare for them with frequent discussions, information exchanges, scenario plans, and,
occasionally, tough messages.