Performance management in municipalities constitutes the basic theme of this study. The performance management, which is considered as an approach of one of the new public administration applications, bears a great significance in terms of providing more efficient and effective public services which are financed by the taxpayer’s funds. Therefore, instead of traditional public administration, a flexible, transparent and accountable management approach respecting strategic planning can be provided. The subject of this study is to define and present the basic concepts regarding the performance management in municipalities and to make necessary assessments as a result of the conducted field study. In this study, direct techniques and methods are used in combination with field study method. As a result of the analysis of the data that has been extracted based on the indicated methods, it has been concluded that the implementation of performance management applications in municipalities are essential.