I recently installed the latest version to test out archers and knights. I found that archers do not respond to enemies when attack or move flags have been used. All units respond to a defense flag, however, and all units attack enemies accordingly when enemies come near a defense flag they are stationed at.
Example - Move and Attack flags
A giant zombie spawned, so I gathered my attack group consisting of 1 knight, 2 archers, 2 footmen, and 1 cleric and set an attack flag on the zombie. All units went to attack the zombie except for the two archers, they stood in one spot and every now and then would turn to face a different direction, almost as if they were trying to move, but couldn’t. I then tried to set a move flag to get them to go to the area of the zombie, but again they stood in one spot and turned different directions.
In another fight, I used only attack flags on the ground and the hearthlings ran around attacking enemy buildings while completely ignoring the enemies attacking them. It was not until I set attack flags on specific targets that they began attacking the enemies.
Example - Defense flag
An enemy wolf camp spawned and I set a defense flag near the wolf camp and all 6 units went there and began defending the position near the flag. I attempted to set an attack flag, and the archers left. I reset the defense flag and they returned and began fighting again. My hearthlings ignored the buildings and objects until all enemies were dead. Both archers fought through the entire fight.