The Republic of Croatia is still struggling with the slow and inefficient bureaucracy and the unproductiveness of the former systems. The modern public sector seeks professional and contemporary education, but above all efficiency in organizations. The public sector is a complex system that ensures the realization of public interest, satisfies the needs of citizens and provides citizens with public services. The public sector (state administration, local and regional, public services and services with overruled public authority) in most countries goes trough continuous changes seeking to respond to the challenges in the economic, political and social environment. The basic requirements that impose on this are the legal security and predictability of public sector action, impartiality and transparency in service delivery, accountability for results, professionalism, cost-effectiveness in the use of public revenues and efficiency in achieving the goals. New public management as a doctrine that appears has many changes in the public sector in many countries in Europe and world which could be an example for Republic of Croatia.