Sustainability-oriented innovation (SOI), which is innovation directed at improving social, environmental, and economic conditions, is being studied and used as a way to address the risks and opportunities organisations have in these three areas. This research explores the use of Performance Management (PM), meaning the strategy and processes used in organisations to define and improve performance, as a way to develop SOI capabilities in companies. The conceptual model used is based around four concepts: SOI, which describes what is to be achieved, organisations, or learning organisations, as the place where this can happen, PM, which explains how this can be accomplished, and individuals and teams as the central subject that describe who is this targeted for. The research was based on a literature review around these areas and a set of semi-structured interviews to managers and senior directors of large multinational organisations with innovation or sustainability related roles. Through the analysis and interpretation of this data, the results validated the effectiveness of PM to improve SOI in organisations, as well as uncovering six specific opportunity areas to leverage it more effectively. The latter are summarised as: purpose or vision offering direction, values that enable autonomy and celebrate trying, daring and shared goals, resources committed for the long run, sustainability literacy, and enabling business processes. The research contributes to the literature by outlining pathways to connect sustainability practices with other business practices, especially Human Resources, the area of study of PM. Additionally, it contributes to the practice of SOI by providing guidelines to identify and act on potential areas of opportunities to leverage on PM to develop SOI capabilities.