Abstract Now a days most of the organizations around the corporate world are allocating more in their human resources rather than capital structure, as they believe that employees are significant base for improving their profitability and achieve success.
Researchers have put their best into finding new avenues, where an organization can improve its performance. Thus the purpose of this research is to empirically investigate the influence of employee motivation on performance. In order to materialize the objective, researchers were required to get the questionnaire filled from the employees working in two selected service based organizations. Once the data was collected regression analysis was performed along with that, Cronbach’s alpha test was also performed to test the reliability of the constructs. The constructs in this study were statistically significant, except empowerment. The study also found a positive relation between motivation and performance indicating that the higher the motivation the higher the performance. Thus, concluding that there were ample evidences that autonomy, recognition have significant influence on motivation, which eventually impact on performance of the employees of investigated service organizations based in Karachi, Pakistan. The study recommends that organizations should formulate and implement the kind of policies that ensures the autonomy and due recognition of the employees from time to time, which in turn could help organization to motivate their employees, so that the organization performance can be fuelled.