Despite the fact that performance management has been ubiquitously adopted in the public sector across the world today, there is limited and inconclusive evidence that it improves citizen satisfaction with the government. In this article, we use survey data and multilevel modelling to analyse the effects of multiple performance management components on citizens' perceptions of government performance across 19 major cities in China. The results reveal that performance management does have a positive impact on citizen satisfaction. In addition, citizen participation, performance feedback and accountability, and information openness are positively associated with citizen satisfaction along various performance dimensions in different magnitudes. While we should take account of and mitigate its unintended consequences, our results suggest that it is still promising for public organizations to implement performance management.