Employees are a very important
resource in any organization. ‘This can be attributed to the way their
performance is appraised, recognized and relevant motivation put in place
(Nurse, 2005).

according to previous researchers
they have stated that there is a link between performance appraisal and employee
motivation. they stated that evaluating employee performance by considering
performance appraisal, can be a reason for some employees’ motivation to work
effectively in a workplace.

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Due to lack of evaluating
performance by performance appraisal there was a huge decrease in employee
motivation, and that caused to decrease in employee performance for past six
months in company. Performance appraisal is a major element in employee performance.
(Punch, 2003). Because of that we can come
in to a conclusion that PA and motivation has a major impact on employee
performance.

Some problems
occurred because of the lack of motivation in the organizations which means the
employees are not happy with the management and their employee motivation
practices.

In the book of human resource
management by john jackson and robert
L mathls said that, “Motivation is an important factor
that help an employee to do their work well. Many organizations have their own
system to identify the employee motivation level and the need of the motivation
for them.” But when it comes to the performance appraisal, managers use it as
just a paper of evaluating someone’s performance. The problem is, that the
management should link the performance appraisal with the motivation. And it
will help to decide effective motivation program to employees.

There is evidence that PA positively
and significantly influence performance (Boyne, 2003) however, linking
motivation with performance appraisal has a major impact on employee
efficiency. There was no any practice of linking those two factors and deciding
ways of motivation in organizations.

Therefor the
purpose of the study is to determine the Influence of performance appraisal and
motivation on employee performance.