TRANSATLANTIC TRANSFORMATIONS: CENTER FOR TRANSATLANTIC RELATIONS T EQUIPPING NATO for the 21 Equipping NATO ransatlantic Transformations: FOR THE 21ST CENTURY Transatlantic Transformations: Daniel S. Hamilton, Editor EQUIPPING NATO The United States is engaged in progress made by the Alliance from FOR THE 21ST CENTURY an ambitious agenda of defense trans- Kosovo to Kabul — and shows how formation that is revolutionizing the far it still has to go. way the U.S. military organizes, trains, The authors in this volume fights and even thinks about conflict. approach the issue of NATO transfor- What impact will this have on Ameri- mation from different perspectives. ca's European allies? How can NATO They offer different — and sometimes transform itself for the 21st century? conflicting — prescriptions. As a This volume examines the implica- whole, however, their argument is tions of U.S. defense transformation straightforward. If Alliance transforma- for NATO, particularly how America tion is to be successful it must include and its allies can close the "transat- but also go beyond the purely military lantic transformation gap" — a loom- dimension. NATO must transform its ing breach in strategic orientation, scope and strategic rationale, its capa- spending priorities, conceptual and bilities, its partnerships, its very ways operational planning and training. It of doing business. They offer a range examines European approaches to of policy prescriptions for the NATO defense transformation. It profiles the Summit in Istanbul and beyond. The Center for Transatlantic Relations has led an international study group to address these issues. The resulting book examines the prospects for NATO's transfor- mation in chapters by: st Daniel S. Hamilton George Robertson Hans Binnendijk Century Richard L. Kugler Yves Boyer Manfred Engelhardt Rob de Wijk Jeffrey P. Bialos Stuart L. Koehl Andrew James Center for Transatlantic Relations EU Center Washington, D.C. The Paul H. Nitze School of Advanced International Studies C The Johns Hopkins University 1717 Massachusetts Avenue, N.W., Suite 525 T Washington, D.C. 20036 R Tel: (202) 663-5880 Fax: (202) 663-5879 Email: [email protected] Website http://transatlantic.sais-jhu.edu DANIEL S. HAMILTON, EDITOR Transatlantic Transformations: Equipping NATO for the 21st Century Daniel S. Hamilton, Editor ii Transatlantic Transformations Hamilton, Daniel S., ed. Transatlantic Transformations: Equipping NATO for the 21st Century. Washington, D.C.: Center for Transatlantic Relations, 2004 © Center for Transatlantic Relations, Johns Hopkins University 2004 Center for Transatlantic Relations The Paul H. Nitze School of Advaned International Studies The Johns Hopkins University 1717 Massachusetts Avenue, N.W. Suite 525 Washington, D.C. 20036 Tel. (202) 663-5880 Fax (202) 663-5879 Email: [email protected] http://transatlantic.sais-jhu.edu Cover photos courtesy of NATO; German Ministry of Defense. Table of Contents Chapter 1 What is Transformation and What Does it Mean for NATO? . 3 Daniel S. Hamilton Chapter 2 Transforming NATO to Meet the Challenges of the 21st Century . 25 George Robertson Chapter 3 The Next Phase of Transformation: A New Dual-Track Strategy for NATO . 37 Hans Binnendijk and Richard L. Kugler Chapter 4 The Consequences of U.S. and NATO Transformation for the European Union: A European View . 75 Yves Boyer Chapter 5 Transforming the German Bundeswehr: The Way Ahead . 91 Manfred Engelhardt Chapter 6 The Implications for Force Transformation: The Small Country Perspective . .115 Rob de Wijk Chapter 7 Transatlantic Industrial Cooperation as a Tool for Transformation: A Case of Compelling Logic, But Limited Short-Term Prospects . .147 Jeffrey P. Bialos and Stuart L. Koehl iv Transatlantic Transformations Chapter 8 The Defense Industry and Transformation: A European Perspective . .163 Andrew James Acronyms . .191 About the Authors . .195 Acknowledgements On behalf of the Center for Transatlantic Relations at the Paul H. Nitze School of Advanced International Studies I would like to thank the Bundeswehr Center for Analyses and Studies, and the POBB Program of the Ministry of Foreign Affairs of the Government of the Netherlands, for their encouragement and support of this project. The Center for Transatlantic Relations sponsored study group ses- sions of the authors and other experts in Washington and in Europe, and we are grateful to our partners and our hosts for those occasions. Particular thanks go to Chantal de Jonge Oudraat, Esther Brimmer, Katrien Maes, Jeanette Murphy, Ralph Thiele and Tjarck Roessler for their help throughout the project. Each author writes in his personal capacity, the views expressed are those of the authors and not their institutions. Daniel S. Hamilton vi Transatlantic Transformations About the Center for Transatlantic Relations The Center for Transatlantic Relations, located at the Paul H. Nitze School of Advanced International Studies, near Dupont Circle in Washington, DC, engages international scholars and students directly with government officials, journalists, business executives, and other opinion leaders from both sides of the Atlantic on issues facing Europe and North America. Center activities include research proj- ects and policy study groups; media programs and web-based activi- ties; seminars and lectures. The Center also coordinates the activities of the EU Center Washing- ton DC—the American Consortium on EU Studies (ACES)—which has been recognized by the European Commission as one of a select number of Centers for European Union Studies in the United States. The EU Center is a partnership among five national capital area universities—American University, George Mason University, George Washington University, Georgetown University, and The Johns Hopkins University—established to improve understanding of the EU and U.S.-EU relations. Transatlantic Transformations: Equipping NATO for the 21st Century Chapter 1 What is Transformation and What Does It Mean for NATO? Daniel S. Hamilton This volume examines the implications of U.S. defense transforma- tion for the NATO Alliance, particularly how and whether America’s allies and partners can or should close a looming “transformation gap” with the United States. While there has been no effort to force consensus among the authors in this volume, a basic theme does connect the various contributions: if Alliance transformation is to be successful, it must include but also go beyond the purely military dimension. NATO must transform its scope and strategic rationale, its capabilities, its partnerships, its very ways of doing business. What is “Transformation?” “Transformation” is a term favored by the Bush Administration to describe a wholesale reorganization of U.S. defense policy and priori- ties in response to what the Administration perceives to be the threats of the 21st century. George W. Bush first used the term transforma- tion in a 1999 speech at the Citadel in South Carolina to describe how he would change the U.S. military if he were elected president.1 Since that time, the term has been woven into most Presidential speeches on national security issues, and has been a key driver of U.S. defense poli- cies and budgetary priorities. Over the past few years, however, the term has lost much of its original focus. Officials and pundits have been using the word “transformation” to describe everything from reorganization of the federal government to reorientation of foreign policy priorities. Commentators often equate “transformation” simply with “change.” The result has been confusion about the exact nature of the Bush 1 “A Period of Consequences,” Speech delivered by George W. Bush at The Citadel, September 23, 1999, http://citadel.edu/pao/addresses/pres_bush.html. 4 Transatlantic Transformations Administration’s transformation agenda, and what it may mean for America’s allies.2 In the United States, the most specific use of the term “transforma- tion” has been in relation to military forces. In its simplest interpreta- tion, transformation is understood as the application of information technologies to the conduct of warfare. But it also means a good deal more. One of our authors, Hans Binnendijk, describes transformation as the process of creating and harnessing a revolution in military affairs.3 It includes new capabilities harnessed to new doctrine and new approaches to organization, training, business practice and even culture. Understood in this way, U.S. military transformation did not begin with the Bush Administration. The current revolution in military affairs may in fact be traced to ongoing changes in technology, in operational utilization of that technology, in associated organizational changes, and in broad new approaches to conflict based on the chang- ing strategic environment accompanying the end of the Cold War.4 This ongoing revolution in military affairs is “transforming” the entire way the U.S. military organizes and trains for warfare, even how it thinks about it. U.S. military services are making dramatic strides in changing the way they fight. They are shifting from force- oriented to capability-oriented approaches to military planning; from attrition-based force on force warfare to effects-based operations; from terrain-based to time-based capabilities; and from segmented land, sea and air services to shared awareness and coordination across 2 The Administration’s National Security Strategy, for example, uses the term transforma- tion interchangeably to describe federal government