ARM”s main human resource management strategy is directed towards global learning and development, talent management, and the provision of proper reward systems in order to enhance employee motivation and increase productivity. In order to do this, the company uses several intrinsic motivational tools, such as providing employees with proper training, opportunities to choose and manage their own challenges and assignments, rewarding them with shares and bonuses, and giving them the discretion to act as owners of the company and make informed decisions on the company’s behalf.Thus, ARM”S main strategy is focused towards providing the upper levels of needs on Maslow’s hierarchy of needs and increasing “motivation factors” in the job as described in Hertberg’s two factor theory. While all of these strategies have proven to be highly effective in motivating the employees of ARM, there exist some other ways that employee motivation can be enhanced and employee productivity can be increased.One of the important aspects influencing employee performance and motivation is organizational structure. While the case study on ARM does not mention the company’s policy on organizational structure when aiming to influence employees positively, this strategy can be adopted by firms aiming to improve communication processes, cut red tape in decision-making, and empower employees to make their own decisions.There are various types of organizational structures, yet there are mainly two forms in which an organization can design its structure. The first organizational structure style is a hierarchical structure. This structure has several levels of authority with the top management at the top of the structure, middle management in the middle, and the employees of the company at the bottom of the structure. The number of levels included in the structure can be unlimited and may vary from company to company. Some companies have many levels of authority in their organization system, while some companies have fewer (Zheng et al, 2010).Adopting a hierarchical organizational style usually shows an autocratic leadership style in which commands are usually given from the top of the hierarchy and then they are followed by lower levels of management. In this manner, it takes a longer time to make decisions, as there are several levels of authority to go through before a decision can be made in the organization and change
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