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The most common solution to supply chain uncertainties is to build inventories or safety stock as insurance, but that can cause the bullwhip effect in the supply chain.
Savings Plan
A program that encourages regular saving by setting aside a certain amount of income for future use, often with tax advantages or interest accrual.
Actuarially Determined
Calculated based on actuarial methods and assumptions, often referring to pension plan contributions or insurance risk assessments.
Pension Funds
Investment pools that collect and invest contributions from workers and employers to provide retirement benefits to the workers.
Banks
Financial institutions licensed to receive deposits and make loans. They also offer various other financial services such as wealth management, currency exchange, and safe deposit boxes.
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