Institutional, Economic, and Human Resource Challenges in Public Sector Management: An Empirical Study of Public Organizations

Organizations in Balkan region of Europe, faced with the many complex problems and challenges that are directly affecting their effectiveness and sustainability as organizations in the local and global market. These challenges include the economic factors, such as lack of financial resources and difficulties in budget management, as well as political and social factors, including the impact of unsustainable policies, administrative obstacles, and high unemployment rates. Although these issues have been addressed in a general manner in the existing literature, there is still a lack of in-depth analysis within the specific context. This study aims to identify and analyse the key challenges in the management of public organizations operating in the Kosovar market through a combined methodological approach (both qualitative and quantitative). The result of research show the impact of economic, structural and political and factors, the lack of well-coordinated reforms, and the low level of professionalism in managing of human resources as major obstacles to institutional development. The conclusions and recommendations is to contribute to the improvement of managerial capacities and the enhancement of the sustainability of public organizations, thereby positively influencing the country's economic and social development.