The main aim of this EU IPA financed project was to enhance capacities of the Croatian Employment Service in delivering services to its clients. A new set of tailor-made mediation services to the employers was developed and capacities of the CES staff to deliver the new services and implement new working methods were increased. A model of e-counseling support for CES clients was also created. E-counselling was defined as a new business process of self-service vocational guidance and counseling services to the unemployed and job seekers supported by an e-advisor. Corresponding application module was also developed. This project introduced new tailor-made active labour market measures targeted to the long-term unemployed and a model for management, monitoring and implementation of these measures.