Authors:
Etienne Vincent
1
;
Stephen Okazawa
2
and
Dragos Calitoiu
1
Affiliations:
1
Director General Military Personnel Research and Analysis, Department of National Defence, 101 Colonel By Drive, Ottawa, Canada
;
2
Centre for Operational Research and Analysis, Department of National Defence, 101 Colonel By Drive, Ottawa, Canada
Keyword(s):
Personnel Operations Research, Attrition Rate, Promotion Rate, Investment Performance Measurement.
Abstract:
Rates of personnel flow, such as attrition, promotion and transfer, are widely reported, compared and modelled in Personnel Operations Research (OR). However, different analysts commonly employ different formulas to define these rates. This paper solidifies the foundation of Personnel OR by presenting a theoretically sound formula for personnel flow rates that we will refer to as the general formula. The proposed formula is justified by its properties, but also by analogy with the field of Investment Performance Reporting, where it is known as the Time Weighted Rate of Return. The paper also derives approximation formulas for the rates of personnel flow, and empirically compares them.