Installing SDD on Laptop by replacing DVD burner?

I'm installing PNY XLR8 120GB 2.5" SATA III SSD on my Lenovo ThinkPad Edge 14 laptop by removing DVD drive, when I'm powering it on, its looking for DHCP server and later gives a message "No operating system found"

I have changed the boot sequence to local HDD drive, Laptop has windows 8.1 installed. Any Idea what should I do next?

Booting windows 8.1 is different than before as for windows 7. You need to setup your bios in correct way.
Because its trying to boot from lan by dhcp it means that he didn't recognize boot from your local hdd. All is about correct bios settings. Boot manager for windows 8 is using different boot method.

Download and burn windows 8.1 as iso on a USB flash drive. Boot from this drive. ONLY your SSD should be connected. Don't connect the HDD-that you do later. Format the SSD and then install the OS

Did you put Windows 8 on the new hard drive? If not, nothing is there for it to boot.