Risk Avoidance

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Saia Freight can avoid potential future cash flow problems by implementing industry best practices, along with Six Sigma and business analytics. If Saia can stop the cash flow instability and maintain a healthy solvency then expansion and greater market share possible. 

 Looking at the hypothetical decision tree below, should Saia continue to run the risk of not concerning themselves with the company cash flow they will continue to loose an estimated $3 million. However, if Saia chooses to stabilize cash flow, whether the company expands or not, the expected monetary value is $4 million. 



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