The free electron laser is considered one of these important and advanced inventions because it provides a laser beam within various wavelengths of the electromagnetic spectrum. In any laser system device, several parameters must be available on which the efficiency and performance of the laser system are dependent. The Pierce parameter is one of the important parameters in measuring the performance quality of the free electron laser. In this paper, the simulation results were obtained using the MATLAB program to show the important effect of the Pierce parameter on the performance of the free electron laser system. The simulation results showed that the values of the Pierce parameter ranged between (0.01 - 0.03) for the laser beam with long wavelengths, while it ranged between (0.001-0.0001) for the short wavelengths. The results showed an increase in the efficiency values of the free electron laser system with increasing the values of the Pierce parameter, which represents the ratio between the saturation power and the power of the electron; therefore, it can be used as a specific threshold to measure the efficiency of the laser system. Additionally, the simulation of the Pierce parameter has a direct relation to the small signal gain per unit length.