Increased globalization and the emergence of technological advancements have altered public perception with respect to the nature of the work environment. The ability of an organization to function effectively in the current world is depended on diverse factors that share intricate relations. Essentially, these factors are influenced by external as well as internal forces that characterize the environment within which the organization is located. A clear understanding of the inherent dynamics is imperative in ensuring that the functioning of the organization is cushioned against negative external forces. Employee motivation has been cited as one of the critical factors that promote the functioning of the organization. This paper reviews how the internal organizational structure and legal forms of organizing businesses influence employee motivation.Employees are an important asset that an organization can have. Regardless of its size and ownership, any organization should seek to retain the employees in order to secure its productivity, creativity and overall competitiveness in the dynamic environment. In his review, Bruce (2002) indicates that the susceptibility to liability in a sole proprietorship business can undermine employee motivation. However, the easy control enhances communication and collaboration between employees. Although the susceptibility of the business to liabilities is reduced in partnerships, Bruce and Pepitone (1998) note that this form of business is liable to internal and personal conflicts. As such, it can be dissolved at any given time and therefore the job security of the employee is at stake here. An organization or corporation has various advantages that boost employee motivation. To begin with, its complexity allows the employees to specialize in fields that they can maximize their output. This enhances productivity and the relative rewards that motivate them. Further, the financial security enhances job security of the employees and hence they do not have to worry about the possibility of losing their jobs. However, the main disadvantage of a corporation stems from the fact that the stakeholders pay multiple taxes. Despite the complexity and form of business, studies assert that the management needs to mainstream the employees in their organization by informing them about their history (Bruce, 2002). This is an important form of motivation that enhances productivity.
Also, the internal structure of an organization influences employee motivation in different ways. Essentially, types of organizational structure include line, committee, matrix and line-and-staff. In this regard, Weightman (2008) indicates that the line organization is ideal for small organization as opposed to complex ones. Motivation in such an organization is given a secondary preference because of the quantity and complexity of work that both managers and employees have. It leaves little room for specialization and in some instances; employees get confused about their work as they are expected to perform numerous tasks. With regard to the line and staff organization, it is indicated that the intrinsic communication and free flow of information is a motivating factor.
This gives the employees a chance to exercise their specialized skills in different departments. Because of the fact that the employees are given a chance to concentrate on tasks that they understand best, it is more likely for them to succeed in these. Success in this case boosts the confidence of the employees who may decide to take up other relative tasks to experiment on their skills. According to Bruce (2002), this experience promotes excitement and rejuvenates the employees.With respect to a committee organization, Weightman (2008) cites that this is slow in decision making because of the intrinsic consultation between different persons. In addition, the diversified interests that need to be addressed during this process make it difficult for the committee to arrive at decisions promptly. Notably, this can have adverse effects on the committees especially in instances that require conflict resolution. Nevertheless, this form of organization has been accredited for taking the needs and concerns of the employees seriously. This motivates the employees because they feel cared for and appreciated by the organization. Furthermore, the fact that the committee plans for the business boosts employee morale as their tasks are clearly defined.Finally, the matrix organization provides the most motivating environment and boosts creativity as well as initiative. Employees have a chance to learn diverse skills from others as well as concentrate on particular problems. The inherent initiative exposes the employees to leadership positions and hence they have a chance to grow and develop. Of great importance is the fact that it enhances their critical ability and at the same time makes them feel important (Bruce & Pepitone, 1998).The implications of globalization have introduced different changes in the work environment. Unlike in the past where organizations used to emphasize on enhancing productivity, current organizations are compelled to put in to consideration intrinsic factors like employee motivation too. As it has come out from the study, this is the center stage of organizational productivity and regardless of the form of organization; it needs to be given utmost attention. Employee motivation can also be enhanced through modification of the internal organization structure of the respective entity.