The purpose of this study was to evaluate the effectiveness of the existing performance management system (PMS) in enhancing performance at this freight rail organisation (FRO). The focus of this study was to establish whether the performance management processes are effective in enhancing the individual performance level in this FRO. The performance management processes referred to in this study include conceptualising and exploring; performance management and its processes, the balanced scorecard (BSC) as a tool of performance management and explaining the relationship between performance management and a reward system within the FRO. A qualitative research design was used for this study to answer the research question. The research design consisted of a case study where thirty semi structured interviews were conducted with the first line managers, junior managers, middle managers and senior managers at this FRO. The interviews were transcribed, and research data was analysed using a content analysis method. This study yielded a number of benefits in terms of the research findings, conclusions and recommendations about the effectiveness of performance management processes, the BS and the relationship between individual performance and reward. As a result, the study will not only benefit management in dealing with a strategy and drive individual performance, but will also assist all levels of employees within the FRO and other organisations in understanding the day-to-day operational activities of performance management. It will also help human capital professionals, industrial psychologists at the FRO and other organisations in knowing and understanding the best practices to adopt, in managing their individual performance levels. / Industrial and Organisational Psychology / M. Com. (Industrial and Organisational Psychology)