Key Words

Arbeitgeber Bundeswehr, Employers state, employers, employer-employee interaction, attractiveness as an employer, Employer image, employer self-image, employer perception, employees, employee self-image, job selection, attractiveness of the Bundeswehr as an employer, attractiveness perception of employers, popularity and attractiveness of an employer, professional army, occupation phases, Lifer (BS), applicants, assessment and orientation patterns of individuals over the Bundeswehr as an employer, Branding , Bundeswehr (BW), Bundeswehr and the public good "security", Bundeswehrverband (German Reservist Association, Corporate Attractiveness, DBwV, demographics, demographic change, demographics, demographic change, demographic strength, German Armed Forces German Armed Forces Association, Germany, own study, the onset of change in the labor market, Employee, Employer Attractiveness, Employer Branding, Employer, employment history, acquiring powers, acquiring human resources, labor force, shortage of skilled labor, volunteer army, salary, salary structure, Generation X, Generation Y, Generation Peak Point, global public good (GPG), global (public) goods , a global public good, global security, Green Paper, military service, recommendations Bundeswehr, Hessentagsarena study, Human Resource (HR) Human Resource Management (HRM), human resource, Image, Know Your Customer Principle (KYC) Know Your Employee principle (KYE) national defense, life cycle model, life cycle, market failures, military, employees, employee recruitment, template, sustainability, post-military era, NATO, public good issue, public goods and resources, public institutions, public good, personnel requirements, personnel requirements coverage, recruitment, recruiting, HR marketing, personnel marketing measures, staff recruitment, practical implications Bundeswehr, Public Service Motivation (PSM), recruiting, recruiting Relevance, reservists association, resources, self-image, security, soldier, government, armed forces, stress factors, study, talent management, total model of employer-employee interaction, Total Model, transformation, corporate attractiveness, imperfect markets, Association of reservists of the German Bundeswehr (VdRBw), comparative study, military service, military service, military service suspension, White Paper, Work-Life Balance (WLB), regular soldier, 2013, 2014, 2015, 2016

Impressum

Copyright: © 2016 Markus Müller

Publisher: epubli GmbH, Berlin, www.epubli.de

Contact: EmployerBrandingStudie@outlook.de

ISBN 978-3-7375-7933-9

First US-English Edition: MAY 2016

ISBN 978-3-7375-7933-9

(e)ISBN 978-3-7375-7934-6

Table of content

Key Words

Impressum

List of abbreviations

List of tables and figures

Foreword

Acknowledgement

1. Introduction

2. The public good problem

2.1 The Bundeswehr and the public good "security"

2.2 Definition and problem of public goods and resources

2.2.1 Definition

2.2.2. Problem

2.3 The provision of „security “

2.3.1 The term „security “

2.3.2 An imperfect market - (no) place for an army

2.3.3 Demographics strength, sustainability and recruitment requirements of German Armed Forces in the medium and long-term point of view

3. Personnel recruiting and employer attractiveness

3.1 The onset of change in the labor market

3.2 Conceptual framework approach to employers’ perception

3.2.1 Vocational phases of individuals

3.2.2 Employer branding & model framework of attractiveness perception by employers

3.2.3 Corporate Attractiveness as the attractiveness of the company

3.2.4 Employer Attractiveness as recruiting relevant aspect of corporate attractiveness

3.3 More detailed aspects in the context of popularity and attractiveness of an employer

3.3.1 Public Service Motivation (PSM)

3.3.2 Work-Life-Balance

3.3.3 Salary

3.4 Classification of the attractiveness of "Employer Bundeswehr"

3.5 Appropriate personnel marketing measures approach

4. Own study: A comparative study on evaluation and orientation patterns of individuals towards the Bundeswehr as an employer

4.1 Introduction to the method

4.2 Methodological part of the study

4.2.1 Participants and method

4.2.2 Measures

4.3 Results of the study

4.3.1 Descriptive analysis

4.3.2 Multivariate Analysis

5. Summary and conclusions

5.1 Results of the study and conclusion

5.2 Practical implications and recommendations for action

5.3 Limitations and further research horizon

List of references

List of other sources

List of legal sources

List of abbreviations

List of tables and figures

Figure 1: Pure and impure public goods

Figure 2: Public goods in conflict with private goods, externalities and global public goods

Figure 3: Prisoner's dilemma

Figure 4: Procedural representation of a State conflict prevention strategy

Figure 5: Table for generations’ age groups

Figure 6: Scenarios for the development in the labor force by 2050; Fuchs et al. (2011)

Figure 7: Age structure of the labor force potential by 2050; Fuchs et al. (2011)

Figure 8: Timeline of-career extended by the military recruitment component

Figure 9: Employer Branding as Trinitas

Figure 10: Advanced Phase model in behavioral theoretical framework⁴² (self-created)

Figure 11: Model⁴⁷ of employer attractiveness as part of the corporate attractiveness

Figure 12: Components of the work-life balance (Stock-Homburg, 2008) and detail of the questions of work-life balance monitor for early detection of stressors

Figure 13: Typology of managers in dealing with their work-life balance (Stock-Homburg, 2011)

Figure 14: Base salary of soldiers and officials in Grade A

Figure 15: Gross monthly salary (excluding bonuses) according to university degree

Figure 16: Attractiveness of selected employers by gender

Figure 17: Integrated Model of job choice (Malmendier, 2006)

Figure 18: Overview of the armed services of the armed forces

Figure 19: German soldiers differentiated according to the status of their service

Figure 20: Gender-specific proportion of subjects

Figure 21: Distribution by gender-adjusted subjects ages

Figure 22: Educational level within the group of subjects

Figure 23: Primary age-cluster of the participant scope

Figure 24: Overview of the analyzed variables

Figure 25: Perception of employer Bundeswehr (three single occurrences)

Figure 26: Assessment of the Bundeswehr (general)

Figure 27: Correlations of instrumental variables (analysis stage 1)

Figure 28: Correlations of all variables (analysis stage 2)

Figure 29: Summarized linear regression model analysis on stage 1, 2 and 3

Foreword

The study on "Military Recruiting" explores the complexities of military recruitment and presents them in a global economic science context. It is not only a primary scientific study on employer attractiveness of state institutions on the example of the German Federal Armed Forces, offering a comparison with other European armies and the US military, but covers the theme of employer branding from work-life balance to global economic aspects. For the implementation of the results the two levels of internal and external influencing factors that affect the choice of the employer were determined: "instrumental dimension (objective (pre-) knowledge)" and "symbolic dimension (subjective emotions)".

The original German-language publication "Bundeswehr as an employer" (see Müller, 2014 and Drevs, Müller, 2015) expanded [ISBN 978-3-8442-9474-3 / (e) ISBN 978-3-8442-9723-2] adds to the recent research on employer attractiveness of state institutions and describes for the first time conclusions of the transformation from a conscript army to a professional army based on primary data. With universal applicability the extended "phase model of employer-employee interaction in a behavioral theoretical framework (Process of perception of a company as to employer and the steps of Interaction)" describes these contexts broader than the existing models could have been done before and discusses approaches accessing both opposite strands of development and parallel structures. The original German work can already be found in various scientific libraries, military archives and European research institutions.

A particular intention of this work is to show how scientific research in civil-military context and civilian use may not only complement each other but also constitute an interdependent benefit extension. The core study covers not only "The attractiveness of the Bundeswehr as an employer in the light of the public good problem" and the recruitment in the military context, but also recruiting in general. Under this approach the Bundeswehr is exemplified as a state institution in the research focus of the recruitment of public employers. The analytic approach, the found correlations and implications may serve as a basis for public employers and government as well as for private companies. For this purpose, individual topics were embedded as self-contained subject areas (see Table of Contents and List of Figures) in the overall context. Beyond that, general government and policy-making aspects such as the provision of public goods problem and geopolitical issues like the establishment of global public goods have been addressed with the understanding of the attached security concerns to sufficient degree.

The focus of this work is, however, clearly on the employer attractiveness of an institution or a company and the company’s benefit resulting from a conceptually well-defined employer branding. The Employer brand is based on an employer-employee interaction and a targeted market expansion in terms of "human resources" and it is able to generate a sustainable competitiveness and performance for the employer.

Thus the whole work conducted is intended to help both "civilian employers" as interdependent basic research, in particular governmental and semi-governmental institutions in the field of scientific research on the "public employer State” with analytical approach and notably develops courses of action for the topic "MILITARY RECRUITING".

Acknowledgement

At this point I would like to thank especially CPT Justin Schortmann (266th Financial management Support Center Kaiserslautern, Germany), LTC Cody L. Zilhaver (US Army Central Command) and Klaudia Kobelrausch that with their contribution and ongoing support the publication of English-language version of the study became possible.

For taking care of the work, I thank my Professor PD Dr. Dieter K. Tscheulin ((Department of Marketing and Health Management, Business Management Seminar II of the University of Freiburg) and my supervisor PD Dr. Florian Drevs, who could inspire the emergence of the study by their commitment, and willingness to discuss and their ongoing and constructive criticism. I would also like to thank the Land Command Hessen (Bundeswehr), and his manager Mr. Brigadier General Eckart Klink, for active support by the field work at Hessentag. Likewise, my thanks go to the reservists’ association Kreisgruppe Kurhessen und Landesgruppe Hessen for the provision of the infrastructure.

Without volunteers, supporters and interview partners no survey can be carried out, thus I would like to say big thank you to everyone involved in the study.

As always, in the "hot final phase" proofreaders are a highly appreciated help. In this present case my associates have not only read, but also made constructive and critical questions, contributing to a further increase in quality of the work. I thank Dr. Michael-A. Leuthner, CPA, CIA, Lieutenant Colonel d.R., Mrs. Ann-Katrin Brede, Mrs. Lydia Olbrich and Mr. Felix Moritz for their assistance.

Additionally, my special thanks go to my employer, especially my group leader Mr. Jörg Dünte and my department head Mr. Wolf-Dieter Tesch, who made - in addition to their permanent support - the occupational constitution of the study possible during time as a working student for Helaba.

Finally, my special thanks go to Markus Thomalla (Master of Business Administration, Recruiter, Hauptmann d.R), Catherine Haverkamp (Diploma in Business Law, athena advice OHG), Jörg Haverkamp, Jörg Zähringer (Office Head of member of German Bundestag Peter Weiß) and all those who were involved, making a publication from the original work. In particular, I thank Attorney Michael Leckebusch, lawyer and lieutenant of the reserve, for his final "legal view" over the complete work.

Markus Müller, 1LT (reserve officer), graduate economist and banker

1. Introduction

"Our security is not just protected at in Germany, but also defended in the Hindu Kush [when there are threats to our country like an internationally organized terrorist formation]¹! This sentence from incumbent Federal Minister of Defense Dr. Struck (2004) in its commonly used form "Germany is defended at the Hindu Kush“² shaped the image of the Bundeswehr like no other phrase in the past decade. From the time of the „cold war“³ until about 1989/90, the role of the German Armed Forces was quite clearly defined. The defense of Germany was the explicit mission of the Bundeswehr and thus, in the NATO alliance, troops were first stationed at the Inner-German border that divided Europe between East and West and marked the sectors of influence of the two world powers, USA and USSR, for decades within Europe. However, with the removal of the threat of war between the East and the West, not only the geographical map of Germany and other European countries changed, but also the role and therefore the raison d'être of the Bundeswehr. As Volker Ruhe in the context of the eastward expansion of NATO so well stated, Germany was „surrounded by friends“⁴ with the completed enlargement of the EU on 1 May 2004.

By now, even the original role of pure defense for the German Armed Forces was outdated and the new role of the German Armed Forces placed more emphasis on military participation in the NATO alliance and contributing to the alliance’s international conflict management abilities as Dr. Struck (2004) pointed out in reference to the Afghanistan deployment of the Bundeswehr.

Nevertheless, it is clear that a country has usually both national and supranational interests. For Germany, these are perhaps not as clearly defined, discussed and pronounced as in other countries, but they are existent. Weißbuch 2006⁵ in his paper on German Security Policy and the situation of the Bundeswehr (Merkel and Jung, 2006) reaches back to his last publication in 1994 and discusses the major changes in the international environment of Germany and its implications for German forces. The debate on security, foreign and defense policy needs a clear analysis: what German interests are to be protected and to be promoted, what kind of challenges and threats are facing Germany, what resources can be counted on, how should Germany proceed and what is the role of the Bundeswehr in this process? This permanent change in external security conditions and corresponding implications to the role of the German Armed Forces, led to a serious transformation processes within the German Armed Forces over the last one and a half decades.

In addition to this loss of sociopolitical significance of the Bundeswehr, another profound change for the German Armed Forces took place through the suspension of compulsory military service on 1 July 2011.

So now the Bundeswehr faces the difficulties of many other professional armies in attracting and recruiting the required number of new service members. Now that the Bundeswehr is no longer tied to the society by compulsory military service, it has to work out other ways of establishing a connection with the populace.

"The Bundeswehr must be an attractive employer and its perception must undergo a transformation process in the labor market from merely a security force to a "special employer".

Based on this approach, this paper studies the attractiveness of the Bundeswehr as an employer in the light of the public good problem and the personal recruitment in the military context in conjunction with a proprietary quantitative primary data study. It concentrates on the onset of demographic change⁶, the successive retirement high birth rate and vocational entry low birth rates age groups. It will be supplemented by the new challenges of the German armed forces. By eliminating general conscription, the Bundeswehr is now fully competing with civilian companies for the best minds and the right employees. This problem represents an important dilemma with long lasting effects. In addition, the Bundeswehr offers in its post- conscription era, a special research opportunity in the field of recruitment. Up until now, there are very few scientific researches to be found in the area of recruiting for armed forces and even fewer policy recommendations that have been developed which the BW as an employer in Germany could use.

At this point, in addition to an application of existing research approaches, the following study intends to establish a basic scientific methodology for recruitment of German forces, as there are already many other armies, which had to deal with this topic more intensively for a long time.

2. The public good problem

2.1 The Bundeswehr and the public good "security"

Under Art. 87a of the Basic Law "Installation and deployment of the armed forces" of the Federal Republic of Germany shall be regulated. The task of the BW is the protection of the state and thus the "external security" of the German territory. In direct terms stated in Article 87a of the Basic Law:

(1) The Federation shall establish Armed Forces for purposes of defense. Their numerical strength and general organizational structure must be shown in the government budget.

(2) Apart from defense, the Armed Forces may be employed only if it is expressly permitted by this Basic Law.

(3) The armed forces have the permission to protect civilian property and to perform tasks of traffic control to the extent necessary in order to accomplish their defense mission in the case of a voltage or external danger. In addition, the armed forces may also be used to support police activities in the case of a voltage or external danger to protect civilian property; the Armed Forces shall then cooperate with the competent authorities.

(4) To avert an imminent danger to the existence or to the free democratic basic order of the Federation or the Land, the Federal Government may, if the conditions of Article 91 para. 2 are existent and the Police and Federal Border Police forces are not sufficient, employ the armed forces to support these authorities for the protection of civilian property and in combating organized armed insurgents. The use of force shall be discontinued if the Bundestag or the Bundesrat so demands.