Very few career IDF personnel succeed in as self-employed businesspeople, says consultancy firm YS Projects. The firm presented its findings at a conference on discharged servicemen and women organized by accountancy firm Shiff-Hazenfratz & Co.
YS Projects notes the many differences between the IDF and the civilian market, which make it difficult for discharged career soldiers to successfully adapt to life outside the military. The more noteworthy differences are as follows:
- The pace of technological development in the IDF is slower than in civilian high-tech industries.
- There is little competition in the IDF, and what there is is on the personal level, whereas the civilian market is based on broad business competition.
- In the IDF, focus is placed on the product, in other words on combat systems and their use, whereas the focus in the civilian market is on the customer.
- A military career is safe, whereas civilian careers lack security, and are liable to end suddenly.
- Salary gaps between IDF ranks are fairly narrow, compared with the gaps in the civilian market.
- Compensation in the IDF is equal for all who at the same rank, whereas compensation in the civilian market varies according to skills and performance.
- Military society exhibits solidarity, whereas civilian society is characterized by conflict and fragmentation.
- Soldiers are conditioned to accepting a rigid hierarchy and authority, from which civilians are likely to recoil.
Despite the fact that the press and media have give extensive coverage to the IDF in recent years, the army still receives less media exposure than civilian bodies, particularly businesses.
Consequently, YS Projects says discharged career servicemen and women who do succeed in the private sector are usually those who quickly climb to the top of the pyramid. It cites as examples Makhteshim-Agan (MA) Industries CEO Shlomo Yanai and former Bezeq general manager Ilan Biran.
Most retired career IDF servicemen and women turn to the public sector or government companies, or to administrative positions in private companies, which are naturally smaller and less exposed. Most retirees switch jobs two or three times until settling down.
YS Projects emphasizes that there is a large group of retired career IDF servicemen and women that are unable to find work, and struggle to earn a living. If they do not retire from the IDF, their army service becomes inefficient and of low quality, because they become burned out.
YS Projects found that only a very small minority of retired career IDF servicemen and women have the necessary initiative to set up their own businesses. Most lack the courage to cope with complex challenges, or lack suitable education in management.
YS Projects mainly blames the government, which does not use multi-year plans or budgeting in general and for IDF retirements in particular. Many laws are not enforced, making it difficult for those who want to act fairly. Some jobs are blocked to former IDF servicemen and women, and given instead to political cronies.
Published by Globes [online], Israel business news - www.globes.co.il - on May 1, 2005