In today's contemporary world, there is a growing interest in human resource management, because of that, this research is encouraged by deliberation about the importance of human resources, the ways in which they are managed so the organizations of public sector could be more efficient. The fundamental goal of this final specialist work was to determine in which ways management determines human resources in public sector, discover their influence on employees' effectiveness by means of the levels of individual motivation factors and factors of satisfaction, are changes needed in the system of motivation and by the means of which job performance monitoring parameters of motivation and satisfaction can be reached and thus employee efficiency. For this purpose, data has been collected from primary sources by survey research. Research's results showed that employees have medium level of motivation and medium level of satisfaction, which ultimately affects their efficiency. They are most motivated by safety at work and they are most satisfied by regularity of salary payments. Such a picture of levels of motivation and satisfaction is attributed to general unfavorable and insecure economic-financial situation in society, high rate of unemployment and multi-year public sector savings programs, which includes reduction of employees' salaries. Employees' motivation and satisfaction are important parameters in evaluating the appropriateness of existing motivation system in organizations, at the same time a message to management for needed changes in the system. Introduction of human resources development model through continuous process of working effect management is of extreme importance how to organization and for the employee, while organization's management is, by measuring, getting an insight in competence development and effectiveness of human resources which it has, employee gets a feedback about his work success.