Expected Time for Attainment Threshold Level A Shock Model Approach

Frequent wastage or exit of personnel are common in many administrative and production oriented organizations. Once the accumulated number of exits from the organization reaches a certain threshold level, it could be viewed as a “breakdown point”. The time to attain breakdown point is an important characteristic for the management of the organization. In this paper, a shock model approach is proposed to obtain the expectation and variance of the time to attain the threshold level. Numerical and graphical illustrations are provided to illustrate the practical use of the model.