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Optimal Wage Rates and Force Composition in Military Manpower Planning

Author

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  • D. L. Jaquette

    (The RAND Corp., Santa Monica)

  • G. R. Nelson

    (The RAND Corp., Santa Monica)

Abstract

A mathematical model of a military manpower system is presented which seeks to determine the optimal steady state wage rate and force distribution by length of service. Accessions and retention are the transition parameters of a steady state manpower model and these are assumed to be a function of wages. A productivity function is introduced to measure effectiveness of each force structure. Gradient search is used to find the compensation plan that will produce a long-run force with maximum effectiveness within a given limited annual budget.

Suggested Citation

  • D. L. Jaquette & G. R. Nelson, 1976. "Optimal Wage Rates and Force Composition in Military Manpower Planning," Management Science, INFORMS, vol. 23(3), pages 257-266, November.
  • Handle: RePEc:inm:ormnsc:v:23:y:1976:i:3:p:257-266
    DOI: 10.1287/mnsc.23.3.257
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