Examines some of today’s major military manpower issues and some possible changes in management and employment practices. Since termination of the draft, the military must not only compete in the civilian marketplace for qualified personnel; it must also develop policies taking into account opportunities available in the civilian economy. Given reduced defense budgets and increased cost of military personnel, alternatives for more efficient use of manpower must be developed. Among those explored are: substitution of equipment for labor, and use of equipment with replaceable rather than repairable parts; automation of supply lines; substitution of one type of labor resource for another in both old and new systems; incentives for increasing reserve enlistments; substitution of civilians for military personnel; and revision of the compensation system, particularly incentive pay and vesting of pension rights. The need for immediate action is clear; policies adopted now will affect the military manpower systems for some time to come.