This study examines the moderating effects of performance measurement systems (PMS), i.e. PMS sophistication (i.e. BSC-like PMS), on the relationships between internal values drivers (internal efficiency, employee commitment, organizational flexibility) and performance outcomes (customer satisfaction, market performance, financial performance). Consistent with arguments of BSC proponents we argue that highly sophisticated PMS help managers to better manage the relationship between less straightforward value drivers and performance outcomes. We find that level of PMS sophistication moderates some of the relationships between internal value drivers and performance outcomes. Specifically, performance effects shift from more straightforward value drivers (internal efficiency), to less straightforward ones (employee commitment and organizational flexibility) when complexity and, thus, PMS sophistication are high. In line with our argumentation, we find a negative moderation effect of PMS sophistication on the relationship between internal efficiency and financial performance, and a positive moderation effect on the relationship between organizational flexibility and financial performance. Moreover, the relationship between employee commitment and market performance is positively moderated by PMS sophistication. Our empirical evidence is based on survey data from 331 electronic equipment-manufacturing companies.