This study evaluates the implementation of the performance management system in the Ba-Phalaborwa municipality. This is pertinent because municipalities today have become focal points for service delivery. The key contribution of this article is the implementation model it posits. The study was essentially qualitative in design and used a semi-structured questionnaire for data collection. The study discloses that the system is currently flawed because, among other things, there is minimal employee involvement in the planning of performance management; there is a lack of training opportunities to address identified weaknesses, non-payment of performance bonuses to good performing employees, and the majority of employees do not know their performance targets as reflected in the Service Delivery and Budget Implementation Plan. The study proposes to the Ba-Phalaborwa municipality the payment of performance bonuses to good performing empl