Performance Appraisal – A Source of Employee’s Motivation: A Case Study of Educational Institute of Karachi

The organizational success is largely depending on its employees; they are considered as vital assets for any organization. Therefore, the management should know how to appraise them so that they can get the desired results. The current study aims to investigate the impact of performance appraisal on employee’s motivation in an educational institute of Karachi. The population of interest was permanent faculty, visiting faculty and non-teaching staff of the ABC institute which was selected through convenience sampling technique. A survey of 56 employees was conducted with the help of a questionnaire based on close ended items on a 5-point Likert scale ranging from strongly agrees to strongly disagree. For data analysis, SPSS was used to check the reliability test, descriptive statistics and regression analysis. The research findings provided the insights regarding the impact of performance appraisal on employees’ motivation and showed a positive significant impact. The more satisfied employees are by their appraisals, the more motivated and committed they would be. Moreover, the study also shed light for future direction by keeping in view the respondents concern regarding biasness free rating, feedback and appeal process. The educational institutes should come up with better strategies in order to build trust among employees by providing fair appraisal solely based on their performance.