____ is a means by which an organization can transfer the risk to a third party who can demonstrate a higher capability at managing or reducing risks.
A) Insourcing
B) Outsourcing
C) Outcasting
D) Inhousing

Question

Quizplus · Accepted Answer

Outsourcing is the process of transferring the risk to a third-party who is better equipped to manage and reduce risks. The third-party could take various forms such as insurance companies, consultants, or contractors who have specialized expertise in managing specific types of risks. By outsourcing risk management, organizations can focus on their core activities while the third-party manages and reduces risks.

____ Is a Means by Which an Organization Can Transfer