This paper shows the importance of human resources for business success and is guided by the approach that people are the most valuable resource in creating new values and the most important factor of success. Accordingly, the importance of human resources management is becoming increasingly emphasized in order for the organization to create conditions for more competitive and successful business. At the very beginning, the concept of human resources management and the first steps towards success in work are explained: human resources planning and job analysis. The segments of human resources management such as acquisition, selection, motivation and development of human resources are listed. The purpose of performance appraisal and the characteristics of an efficient appraisal system are presented. These are extremely important processes that enable the organization to employ and retain the best people who will contribute with their knowledge and skills to achieve the goals of the organization and thus increase its productivity.The importance of career management is emphasized, as well as lifelong education in the human resources field, so that organizations could respond in a timely manner to continuous changes in their environment. Finally, an interview was conducted with a human resources manager of a leading insurance company in Croatia in order to determine the benefits of implementing a system for measuring performance and rewarding work, as well as the challenges that human resources managers face.