Explain the concept of self-insurance. Why is all self-insurance assumption, but not all assumption self-insurance?
What will be an ideal response?
Self-insurance is where an organization meets all of the requirements of insurance, but retains the loss itself. This means that there is a conscious effort to pool and predict losses where funds exist in advance of the loss event. All self-insurance is retention because the entity retains the risk. However, not all retention is self-insurance because the arrangement may not meet the overall requirements of pooling, predictability, and funding.
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The aim of the entire value delivery network is to serve target customers and create strong relationships with them
Indicate whether the statement is true or false
In a network diagram, nodes can represent:
a. Locations. b. Cities. c. Warehouses. d. Machines. e. Any of the above.