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Employees need to be motivated constantly to keep the level of performance high. The key to human resource motivation is that their contribution to the organization must be recognized. The assessment of how successful employees have been at meeting their individual goals therefore becomes a critical part of Human Resource Management (HRM). This leads to us to the topic of Performance Appraisal. Therefore, this research is about performance appraisal, which emphasizes the role of the performance appraisal in enhancing employee motivation in organizations. The study was approached from the viewpoint of using performance appraisal as a contributor to employee motivation development. Thus from a human resource development perspective, the accomplishment of this research objectives may lead to improved uses of performance appraisals based on several changes. It is hoped that this study will primarily important to organizations to identify the strengths and weaknesses of the current appraisal systems on motivating employees and to take necessary steps to improve the system.