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Integrating monetary and non-monetary reenlistment incentives utilizing the Combinatorial Retention Auction Mechanism (CRAM)

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Author
Zimmerman, Brooke Maura
Date
2008-12
Advisor
Gates, William R.
Coughlan, Peter J.
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Abstract
This research addressed the potential retention and cost impacts of providing an optimal individualized portfolio of non-monetary and monetary incentives to influence reenlistment and retention behavior in enlisted Sailors by exploring three mechanisms for administrating enlisted retention: a purely monetary auction, a Universal Incentive Package (UIP) auction, and the Combinatorial Retention Auction Mechanism (CRAM). The mechanisms were simulated, their outcomes compared and their respective strengths and weaknesses were explored. CRAM clearly outperformed the monetary and UIP auctions. Cost savings to the Navy ranged from 25 to 80% over monetary incentives alone. Additionally, this research addressed the force-diversifying potential of CRAM. It was shown, for the sample used, that offering certain non-monetary incentives changed the demographic mix of Sailors retained. By allowing Sailors to choose only those benefits, which suit them, the Navy can eliminate the waste associated with unwanted benefits while at the same time empowering its members.
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http://hdl.handle.net/10945/3728
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  • 1. Thesis and Dissertation Collection, all items

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    The combinatorial retention auction mechanism (CRAM): integrating monetary and non-monetary reenlistment incentives 

    Coughlan, Peter J.; Gates, William R.; Zimmerman, Brooke M. (Monterey, California. Naval Postgraduate School, 2011-11); NPS-GSBPP-11-013
    This research addresses the potential retention and cost impacts of providing an optimal individualized portfolio of non-monetary and monetary incentives to influence reenlistment and retention behavioral in enlisted ...
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    Variability of valuation of non-monetary incentives motivating and implementing the Combinatorial Retention Auction Mechanism 

    Ellis, Jason Blake (Monterey, California: Naval Postgraduate School, 2009-03);
    This thesis explores the concept of preference variability relative to non-monetary and monetary incentives in the Combinatorial Retention Auction Mechanism (CRAM). CRAM offers a mix of monetary and non-monetary incentives ...
  • Thumbnail

    Applying the combinatorial retention auction mechanism (CRAM) to a cost-benefit analysis of the post 9/11 era GI Bill transferability benefit 

    Lay, Richard H. (Monterey, California: Naval Postgraduate School, 2009-06);
    This research determined the costs, benefits and efficiency of the Post 9/11 Era GI Bill Transferability benefit by simulating four different retention mechanisms and comparing the cost of each to provide desired retention ...
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