This is a Growlanser flowchart taken from the following website:
I basically just followed the authors format and elaborated upon the individual steps. As such, I didn't want to submit it as a FAQ, but I still think this is good information to have since there have been absolutely no complete English walkthroughs for this game. I also added information on how to get all the optional characters (Jurian, Elliotte, Karen and Xenos) as well as character creation information. If this is inappropriate please feel free to delete this. I just wanted to offer a guide for the people who might want to check out the original game after playing through Growlanser Generations. This was originally posted on the Growlanser messageboard at GameFAQs, and some of this info comes from borgor, another person who regularly posts there.
HOW TO RECRUIT THE OPTIONAL CHARACTERS
The Hero (Player), Ruise, Wallace, Ariost, and Misha join your group automatically so there is no need to worry about them. That just leaves Eliotte, Karen, Xenos, and Jurian.
Eliotte: Just respond favorably to his questions and take part in a couple vacation events with him. You can recruit him at the Castle in Burnstein.
Karen, Xenos: This one is kind of tricky. The events you need to trigger to get Karen and Xenos take place on Disc 2, and must be done before the Event battle with Ernest Lyell at the camp where Jurian and her troops are located (northeast of Clain Village). A good time to do this is right after beating the monster Trainer in the waterfall. First, go to Comsprings. You will witness a Masked Knight heading towards the east side of town. Follow him. When you walk near the house at the far east, a man will come out but will quickly run back inside and lock the door if he see's your group. When he comes out, immediately run down the stairs. He won't see you and will continue to head west. Enter the house (and witness a funny scene with Misha and Tipi). Now you need to get into the basement. Activate the four crystals in this order: Top Right, Lower Right, Top Left, Lower Left. A door will appear in the room to the north, between the two bookcases. Go down and you will see Karen locked up in a cell, but she has been cursed by Gamran. Go to the Magic Academy and speak with Bradley. He can make an antidote for her curse but needs the following two items: A lock of Karen's Hair and Holy Soil. To get the lock of hair, go to Karen's home in Granshill and examine the dresser in her room. You will pull some hair from her hairbrush. To get the soil, just teleport to Lake Olivier and examine the lake shore. Return to Bradley and hand the two items over to him and he will tell you that he needs one day to finish, so continue with the main story. After the events at Jurian's Camp have been completed, return to the Magic Academy and speak to Bradley. The antidote is finished! Return to the house in Comsprings. When you enter you will have an event battle in the basement against Gamran. After you win, you will save Karen and Karen and Xenos will be available for recruitment at any time. Karen is in the Health Resort in Rachel and Xenos is in his home in Granshill.
Jurian (This information comes from borgor (from the GameFAQs Growlanser board)):
Vacation 3 (Comsprings): Speak to Jurian next to the Inn. Follow Jurian after the conversation ends and she'll collapse. When you take her to the doctor, he'll refer to her as a female. Tipi will ask if you should tell everyone. Choose the first option, which is to keep quiet and not tell anyone.
Vacation 4 (Comsprings): Speak with Jurian (she's in the same spot as before). Just don't get her too mad and you'll be fine. If you were successful, she'll tell you her real name.
When you visit Douglas in Schutzberg later on, he will ask you to deliver a letter addressed to Jurian. If you have met all the requirements thus far, he will call the Hero aside and give him a letter addressed to Juria as well. Deliver them both to her when you encounter her in the cavern immediately south of Galaschirz. In order to trigger the next event, you need to have entered the Colisseum Battles in Granshill and made it to Master Class AA Rank or higher.
Choose to go to the celebration in Burnstein (I believe it's the first choice). Speak to Juria, and then follow her and you will be in the Granshill Arena. When she challenges you to a fight, choose to do so. You have to win the fight, of course. Afterwards you can recruit her into your party by speaking to her in the throne room of Burnstein Castle.