Life cycles of a company. Life cycle of an organization

The life cycle concept has received much attention in the market research literature. The life cycle is used to explain how an organization goes through the stages of birth or formation, growth, maturity and decline. Organizations have some exceptional characteristics that require some modification of the life cycle concept. One of the options for dividing the life cycle of an organization into appropriate time periods involves the following stages.

1. Entrepreneurship stage. The organization is in its infancy; the product life cycle is being formed. Goals are still unclear, the creative process flows freely, and progress to the next stage requires a stable supply of resources.

2. Collectivity stage. The innovative processes of the previous stage are developed, and the mission of the organization is formed. Communication within the organization and its structure remain essentially informal. Members of the organization spend a lot of time developing mechanical contacts and demonstrate high levels of commitment.

3. Stage of formalization and management. The structure of the organization is stabilized, rules are introduced, and procedures are defined. The emphasis is on innovation efficiency and sustainability. Decision-making and decision-making bodies become the leading components of the organization. The role of the top management of the organization is increasing, the decision-making process is becoming more balanced and conservative. The roles are clarified in such a way that the departure of certain members of the organization does not pose a serious threat to it.

4. Stage of developing the structure. The organization increases product output and expands the service market. Leaders identify new development opportunities. The organizational structure becomes more complex and mature. The decision-making mechanism is decentralized.

5. Decline stage. As a result of competition and a shrinking market, an organization faces a decrease in demand for its products or services. Leaders are looking for ways to hold onto markets and seize new opportunities. The need for workers, especially the most valuable specialties, is increasing. The number of conflicts is often increasing. New people are coming to management to try to stem the downward trend. The mechanism for developing and making decisions is centralized.

The main stages of an organization's life cycle are graphically presented in Fig. 1. In the figure, the part of the curve that has a positive slope reflects the stages of creation, growth and maturity of the organization, the other part with a negative slope reflects the stage of decline of the organization.

Figure 1 - Life cycle of an organization

When creating an organization, when the creative process flows freely, the desire for stable and sustainable development is manifested. In this case, two tasks are solved - providing access to the necessary resources and mastering the mechanism of competition. The key role here is played by analyzing the situation and obtaining objective information. To analyze the situation, the table can be used. 1. Moving on to creating conditions for economic growth, to ensuring high quality of goods and services, the organization must choose a type of management that meets the characteristics and objectives of this stage. This choice is predetermined by the conditions shown in table. 2.

Table 1 - Analysis of the situation at the stage of creating an organization

Directions and stages	Target	Methods	results
1. Selecting a product or service	Identify a niche in the market	Study sales volume and demand satisfaction (market capacity)	Possible sales volume of the product
2. Assessing the actions of competitors	Identify competitors' capabilities	Study the work of similar enterprises: their technology, organization, product quality, costs, supply, sales	Dominant factor of competition
3.Analysis of business scheme	Determine required resources	Explore the possibilities of creating technology (or purchasing, installing equipment, launching and operating it)	Formation of the entire system of initial conditions and prerequisites
4. Analysis of the general environment	Determine significance external factors	Study the state of state-political, economic, technological and other factors	Uncertainty of factor values. Stability of factor values.

table 2

Characteristic	Control type
Operational	Strategic
Main purpose	Profit maximization	Maximizing profit taking into account the interests of society
The main way to achieve the goal	Optimizing the use of internal resources	Establishing a dynamic balance with an uncertain and unstable environment
The importance of the time factor	Not the most important factor in competition	The most important factor in competition
Short-term performance assessment	Profitability	Accuracy of forecasting changes in the internal environment and time to adapt to changes
Attitude towards staff	Employees are one of the organization's resources	Employees are the most important resource of an organization

The main criterion when choosing the type of management should be maintaining a stable balance between consistency and innovation, carrying out effective activities in the present while simultaneously planning for the future.

The maturity of the organization is manifested in the fact that the emphasis is on the efficiency of innovation and stability, product output increases and the service market expands, managers identify new opportunities for organizational development. All this is aimed at ensuring the strategic viability of the organization, maintaining and strengthening a stable position in the market. At the maturity stage, it is especially important to periodically and timely adjust the management structure of the organization, abolish bodies that have completed their task, timely introduce new divisions into the structure, create temporary targeted structural units to solve certain problems, allocate specialists to analyze the state of affairs and develop development prospects and so on.

The life cycle concept points to the most characteristic symptoms of organizational collapse that appear during the decline stage. These include, in particular:

 a decrease in demand tightens competition and complicates its forms;

 competitive power of suppliers increases;

 the role of price and quality in competition is increasing;

 the complexity of managing the increase in production capacity is increasing;

 the process of creating product innovations becomes more complicated;

 profitability decreases.

Temporary stages of organization development

The stages of life cycle can be presented in the form of age characteristics. The characteristic properties and parameters of the organization at each time stage of development are presented in Table. 3.

Table 3 – Time stages of organization development

Stages	Birth	Childhood	Boyhood	Early maturity	Heyday	Late maturity	Aging	Update
Factors
Primary Goals	Survival	Short term profit	Accelerated growth	Systematic growth	Balanced growth	Uniqueness	Service	Update
Leader type	Innovator	Opportunist (adaptive type)	Consultant	Participant	Cooperative figure	Statesman	Administrator	Reorganizer
Organizational character	Struggle	Achievement	Change	Expansion, diversification	System orientation	Maturity	Focus on existing structures	Change orientation
Organizational image	With yourself in the spotlight	Local	Sectional	National	Multinational	International	Complacent	Self-critical
Energy concentration on	New	Competition	Conquests	Coordination	Integration, management	Device	Continuation of existence	Update, development
Central problem	Access to the market	Existence	Market share	Multilateral growth	Centralization, autonomy	Balance of interests	Stability	Rejuvenation
Planning type	With foresight	current	Sales, budget	By order, specialization	Difficult, complex	Socio-political	extrapolation	creative
Control method	One man	Small group like-minded people	delegation	decentralized	centralized	Collegial	Based on tradition	Competitive, encouraging
Organizational model	Profit maximization	Profit optimization	Planned profit	Good position	Social responsibility	Social Institute	bureaucracy	Phoenix Imitation

Childhood. This is a dangerous period because most failures occur during the first years after the organization's inception. From world statistics it is known that a huge number of small-scale organizations fail due to incompetence and inexperience of management. Every second small business fails within two years, four out of five businesses fail within five years of its existence. The goal of this period is to achieve quick success, and its goals are healthy existence and development, and not simple survival. Often all the work is done to the limit of capabilities, so as not to lose the momentum of increasing success. Management is carried out by an active and trained leader and his initial team.

Adolescence. During this transition period, the growth of the organization occurs, as a rule, not systematically, in spurts. The organization is increasingly gaining strength, but coordination is below optimal levels. More organized procedures are gradually replacing the risky passion for success. Planning, development of budgets and forecasts are being established. The hiring of new specialists is expanding, which causes friction with the existing staff. The founders of the organization are forced to play more of the role of immediate managers rather than entrepreneurs, carrying out systematic planning, coordination, management and control.

Early maturity. The hallmarks of this period are expansion, differentiation and possibly diversification. Structural divisions are formed, the results of which are measured by the profit received. Many generally accepted performance evaluation methods are used, job descriptions, delegation of authority, performance standards, expertise, organization of training and development. However, tendencies towards bureaucracy and the struggle for power, localism and the desire to achieve success at any cost are beginning to appear.

The flourishing of strength. Having shareholders on the board, the organization bets on at this stage the goal of balanced growth. Structure, coordination, stability and control must be as important as innovation, improvement in all parts of the organization and decentralization. The concept of structural divisions is adopted, the performance of which is measured by the profit received. New products, markets and technologies must be managed, and the qualifications of management personnel must be more refined. As the rate of growth accelerates compared to previous stages, an organization often overestimates its successes and capabilities.

Full maturity. Having competent, but not always responsible leadership, the organization acts practically on its own. Quite often an undesirable state of general complacency is established. Despite the fact that income levels are quite acceptable, growth rates are slowing down. An organization may deviate from its original goals under the influence of public opinion. At the same time, the weaknesses are too obvious. These symptoms are often ignored by management.

Aging. This stage would never have occurred if the leadership of the organization was constantly aware of the need for renewal. Competitors invariably compete for an organization's market share. Bureaucratic red tape, not always justified strategy, ineffective motivation system, cumbersome control system, closeness to new ideas - all this, taken together, creates conditions for “clogging the arteries.” As practice shows, it is very difficult to stop and stop doing unproductive work. As a result, the organization gradually begins to disintegrate. It is forced to either accept a rigid system of renewal, or perish as an independent structure, merging with the corporation that acquires it. The organization rolls back, and the struggle for its survival begins again.

Update. The organization is able to rise from the ashes like a Phoenix. This can be done by a new management team empowered to carry out the reorganization and implement a planned program of internal organizational development. Numerous studies show that organizations throughout their life cycle confidently are developing, when they have a sound strategy and use resources effectively; are being rebuilt, when they cease to meet the chosen goals; die, when they find themselves unable to perform their tasks.

Actions of a manager at the stages of development of an organization

On creation stage The head of the organization must:

ü carefully study consumer demand for these products or services in specific markets;

ü collect and evaluate information about the activities and intentions of competitors, compare it with the capabilities, available resources and strategy of the company;

ü weigh the need and feasibility of increasing the company’s potential and making appropriate adjustments to its strategy;

ü take the necessary measures to attract additional resources from internal and external sources;

ü rationally organize the management process, including the placement of personnel, the creation of a system of responsibility, a reliable decision-making mechanism, a system of motivations and incentives.

On growth stages organization to the fore in the activities of the leader

speakers:

ü solving social problems of the team, allowing to consolidate and develop the interest of employees;

ü ensuring a balance between current and innovative future activities, between improving the quality of products and services and searching for new areas of investment of capital;

ü optimization of the relationship between centralization and decentralization in company management, introduction of progressive management structures, information technologies, etc.

On maturity stages The head of the organization must:

ü systematically and as a matter of priority monitor the behavior of competitors and, if necessary, make changes to long-term plans organizations;

ü analyze the need and possibilities for technical re-equipment of production, increasing the level of technological and design preparation of production;

ü together with consumers, determine the production, scientific and technical policy of the organization;

ü create the necessary conditions for maintaining and strengthening the intellectual potential of the organization, efficient work target commands, use

ü matrix structures, etc.

On stages of decline organization there is a certain centralization of company management and in these conditions the manager:

ü considers the possibilities of saving all types of resources and concentrating the company’s activities in the direction that promises the greatest return on investment as soon as possible;

ü is exploring the possibility of merging with other companies, narrowing the range of products, if this will allow maintaining and effectively using the existing potential with minimal losses;

ü begins to implement changes in the organization and methods of enterprise management, in establishing connections with new markets and suppliers.

Product life cycle. Concept of two S-curves

The life cycle of an organization is directly and closely related to product life cycle - time interval, including the time of creation, duration of production and time of use of the product by the consumer. This concept is used to plan marketing and supply and sales activities, organize after-sales service of products, select adequate forms of management and create the necessary structural links.

It is necessary to distinguish:

1. full product life cycle;

2. product life cycle in the production sector;

3. life cycle of products in the sphere of consumption.

Product life cycle stages:

1 – R&D (birth);

2 – development of production (growth);

3 – mass production (maturity);

4 – market saturation;

5 – curtailment of production (decline).

The life cycle curve of a product in marketing is called an S-shaped curve (Fig. 2), it shows the principle of operation of any technology or any product life cycle.

The S-shaped curve, which we will call the S-curve for brevity, is a graph of a function whose abscissa is the “cost” of technology development, and the ordinate is the “result.” It reflects the development process of any technology, including organizational technology, and has the shape of a stylized letter S.

The S-curve has three characteristic sections: a section of technology learning, a section of increased technology returns and a section of its saturation.

"Training" area

In this area of a newly born technological idea, the experience of those researchers who implement the idea is accumulated. They are the ones who “learn.” The initial learning process is a process of periodic encounters with the next technological difficulties, overcoming which will allow the technological concept to be realized in all its glory. Researchers during this period are like hedgehogs in the fog, who, moving through a forest of problems, “bump into” another tree. At the beginning of the birth of an idea, there are many such trees (and they are thicker), but as you move towards the edge of the forest, there are fewer problems and trees, and they themselves are weaker, so it is important that the direction of exiting the forest (the concept) is initially chosen correctly. During the technology learning period, the S-curve is flat - the resources invested in product development do not yet provide a good return. New ideas often resemble newly born racehorse foals. They are terribly clumsy, but they contain great opportunities that require a lot of money to identify.

The history of technology and business is replete with examples that confirm what has been said; first, a technological concept (idea) is born, and then the technology is debugged (finished), the manufacturers themselves get used to it (trained), and only after that the technology moves into a period of increased returns.

Let us characterize the stages of the life cycle according to Milner.

Entrepreneurship stage (birth). The organization is in its infancy; a product is being developed based on ideas and know-how. Goals are still unclear, the creative process flows freely, without restrictions, resources, as a rule, are absent. The organization is not of particular interest to the external environment

The founders of the organization identify unmet consumer needs or social needs. At this stage, such human qualities as determination, ability to take risks and dedication are especially important. A directive method of leadership is often used, requiring quick execution and careful monitoring. As a rule, there is no management system. Those who work in an organization during this period show enthusiasm, cohesion based on ideas and views, and interact in a creative way. Opportunities dominate existential threats.

Collectivism stage (childhood). The innovative processes of the previous stage are developed, and the mission of the organization is formed. Communication within the organization and its structure remain essentially informal. Organization members spend a lot of time developing and making collective decisions. Work in the organization is streamlined, the rudiments of a management system appear, and roles (job responsibilities) are distributed. This period is characterized by a lack of resources.

This is a dangerous period, since the greatest number of failures occur in the first years of the organization's activities. It is characterized by the formalization of the rules of its existence and behavior in it; incompetence, arrogance and inexperience of management. The main goal is survival. The level of responsibility for decisions made, a management structure is gradually taking shape, and a division of labor occurs. Conflicts arise regarding the distribution of power. A production process (single or unique) is organized. Research of the proposed market and activities to generate demand are carried out.

Stage of formalization and management (youth). The structure of the organization is stabilized, rules are introduced, and procedures are defined. The emphasis is on innovation efficiency and sustainability. Bodies that develop and make decisions become leading components of its structure. The importance of the top management of the organization increases, the decision-making process becomes more balanced and conservative. The roles are clarified in such a way that the departure of certain members of the organization does not pose a serious threat. A product range is being formed. The maximum possible segment or number of market segments is captured and the consumer is conquered. Organizational functions are becoming increasingly specialized. There are enough resources, the process of their accumulation begins.

The organization's management system is finally taking shape. Financial flows and production activities are stabilized. There is a need for new developments of goods and services. The division of labor is deepening, matrix organizational structures are emerging. There may be conflicts in the distribution of results obtained in the first stages. Planning, budgeting, and forecasting are being improved. The hiring of new specialists is expanding, which causes friction with the previous staff. Creative workers often quit.

The organization seeks to increase its strategic flexibility and reduce its vulnerability by reducing the number of risky decisions. At the same time, there is no possibility of quickly transferring resources from one area to another. The organization turns from an amorphous group into a system, as clearly formalized goals appear. The focus is on efficiency, measured by the ratio of net profit to total costs;

The stage of developing a long-term structure (maturity). At this stage, the organization increases production output and changes the type of production
and expands the range of services provided. Leaders identify
new development opportunities. The organizational structure becomes comprehensive and rational. The decision-making mechanism has been formed, the management system is becoming bureaucratic. Competition is intensifying. The management system is gradually losing its adaptive capabilities. The organization is significantly expanding its scale. Resources are being accumulated.

The structure of the organization becomes highly specialized (bureaucratic). Command forms of labor management emerge. There is a decentralization of the decision-making process. Markets are diversifying and activities are becoming increasingly more complex. A system of stable material and non-material motivation, a corporate culture are finally formed, and the image of the organization is created. Generally accepted methods of performance assessment, job descriptions, performance standards, expertise, delegation of authority and responsibility, and organization of training and personnel development are used. However, tendencies of bureaucracy, struggle for power, localism, and the desire to achieve success at any cost begin to appear.

As the growth rate of indicators accelerates compared to previous stages, organizations often overestimate successes and opportunities. Quite often an undesirable state of general complacency is established. Despite the fact that income levels are quite acceptable, their growth rates are slowing down. An organization may deviate from its original goals due to external pressure.

Decline stage. As a result of competition, the demand for the organization's products or services and its market share are reduced. Managers are looking for new opportunities to retain market share. The need for workers is increasing, especially those who have the most valuable specialties for the organization. The number of conflicts is increasing. The mechanism for developing and making decisions is centralized. The organization winds down production and returns to a state in which it has ideas, people and initial technological developments: these are supported by the material resources accumulated in the previous stage. The cycle is completed, but the business process is not finished.

The profitability and efficiency of the organization are falling. Actions in it become uncoordinated. Coordination is difficult. There is a high staff turnover. This stage is characterized by bureaucratic red tape, a strategy that is not always justified, an ineffective motivation system, a cumbersome control system, and employee rejection of new ideas. If measures are taken to renew the organization, then its revival is possible. This can be done by a new management team empowered to implement a reorganization and a planned organizational development program.

Introduction........................................................ ........................................................ ....... 2

Chapter 1. Life cycles and stages of development of organizations................................. 4

1.1 Concept and essence of life cycles.................................................... 4

1.2 Stages of development of organizations .................................................... ........... 10

1.3 Product life cycle.................................................... .................... 15

Chapter 2. Models of organizational development.................................................... 20

2.1. Model of I. Adizes................................................... ........................... 20

2.2. L. Greiner's model................................................... ........................... 25

Chapter 3. Practical part……………………………………………………………..28

Conclusion................................................. ................................................... 33

List of used literature......................................................... ........ 35

1.1 Concept and essence of life cycles

Organization life cycle theory is now considered an independent field scientific research. However, over the past 20 years, the study of organizational life cycles has become one of the most popular research topics in organization theory.

When considering the life of an organization, one should think about patterns that could not only explain the past, but also allow one to predict the development of the organization in the future. Organizations are born, develop, achieve success, weaken and, ultimately, cease to exist. New organizations are formed every day. At the same time, hundreds of organizations are liquidated every day. Those who can adapt thrive, those who are inflexible disappear. Consequently, the manager must know what stage of development the organization is at and assess how well the adopted leadership style corresponds to this stage. That is why the concept of the life cycle of an organization is widespread.

The life cycle of an organization can be called the stages of development and crises of company growth. It should also be noted that changes in an organization do not occur according to formal logic; they depend on many external factors. Thus, an organization can be likened to a living organism. Modeling its development can be carried out using the theory of life cycles.

The life cycle of an organization is a set of stages through which an organization passes during the period of its operation. Also, according to Milner, the life cycle of an organization is a set of predictable changes with a certain sequence of states over time.

We will call the periods lived by a company within the framework of the same type of value systems and fixing, first of all, the specifics of management tasks in a certain period of the organization’s functioning, stages; periods in which an organization fundamentally changes internal values and orientations are development cycles.

As a rule, experts, despite ongoing discussions, agree that the full life cycle of an organization necessarily includes the following stages (Fig. 1):

Rice. 1. Organizational life cycles

In the figure, stages are indicated by numbers: 1 - formation of an organization, 2 - intensive growth or “reproduction”, 3 - stabilization, 4 - crisis (recession).

So, life cycles are divided into stages:

¾ “party”;

¾ “mechanization”;

¾ “internal entrepreneurship”;

¾ “quality management” or “quality management”.

1. The attitude characteristic of the development cycle of the “Tusovka” organization puts at the forefront the values of interpersonal communication, the creation of intra-company integrity based on personal contacts, commitment general principles communication and similar human characteristics. Features of the activity are defined technological process, regulations, leader; The parameters of the company's activities are little variable.

2. At the “mechanization” stage, problems gradually accumulate that lead the organization to a crisis. At this stage, the company is a well-oiled machine. Reduced staff turnover, middle management has been formed. The company becomes prestigious, the number of employees grows:

3. The attitude that manifests itself during the development cycle of “internal entrepreneurship” proclaims the need for maximum participation of each employee in the “entrepreneurial process”. This idea of values suggests that any employee of the organization should approach the implementation of his activities as an entrepreneur who represents a product on the market.

And therefore, any employee must know his client well (and internal ones as well), his needs and work so that his product is sold.

4. The attitude characteristic of the “quality management” stage is associated with the full focus of everyone on quality. As part of this cycle, each employee of the organization must be concerned with the problem of quality (compliance with the customer’s ideas about what is desired) of the final product, and for this, each of the intermediate products (semi-finished products) must be of the highest possible quality. Although the very problem of understanding quality will also require.

According to Milner, organizations have some exceptional characteristics that require some modification of the life cycle concept. One of the options for dividing the life cycle of an organization into appropriate time periods involves the following stages (Fig. 2).

Rice. 2. Life cycle of an organization

1. Entrepreneurship stage. The organization is in its infancy; the product life cycle is being formed. Goals are still unclear, the creative process flows freely, and progress to the next stage requires a stable supply of resources.

2. Collectivity stage. The innovative processes of the previous stage are developed, and the mission of the organization is formed. Communication and structure within the organization remain essentially non-legal. Members of the organization spend a lot of time developing mechanical contacts and demonstrate high levels of commitment.

3. Stage of formalization and management. The structure of the organization is stabilized, rules are introduced, and procedures are defined. The emphasis is on innovation efficiency and sustainability. Decision-making and decision-making bodies become the leading components of the organization. The role of the top management of the organization is increasing, the decision-making process is becoming more balanced and conservative. The roles are clarified in such a way that the departure of certain members of the organization does not pose a serious threat.

4. Stage of developing the structure. The organization increases product output and expands the service market. Leaders identify new development opportunities. The organizational structure becomes more complex and mature. The decision-making mechanism is decentralized.

5. Decline stage. As a result of competition and a shrinking market, an organization is faced with a decrease in demand for its products or services. Leaders are looking for ways to hold onto markets and seize new opportunities. The need for workers, especially the most valuable specialties, is increasing. The number of conflicts is often increasing.

New people are coming to management to try to stem the downward trend. The mechanism for developing and making decisions is centralized.

Despite the uniqueness of each company, the entire period of its existence can be divided into the main stages through which it passes. The transition from one stage to another is associated with the implementation of changes. In order to facilitate changes and the transition from one stage to another, it is necessary to know the features of each stage in this chain

Thus, looking at an organization through the prism of development cycles allows us to more accurately identify its main value systems and orientations and specify the tasks facing the organization. Moving on to creating conditions for economic growth and ensuring high quality goods and services, the organization must choose a type of management that meets the characteristics and objectives of this stage. By applying the concept of the life cycle, it can be seen that there are distinct stages that organizations go through and that transitions from one stage to another are predictable rather than random.

When examining the organizational structures of enterprise management, it is necessary to keep in mind that any organization is part of society, which is an organic system. The laws of the socio-economic formation in which it exists apply to the organization and are manifested in it; the relations of this formation are reproduced in the organization. At the same time, each organization has its own individual life cycle, which consists of several stages and phases.

1.2 Stages of development of organizations

As already noted, experts, despite ongoing discussions, agree that the full life cycle of an organization necessarily includes the following stages (Fig. 3):

Rice. 3. Stages of company development

In the figure, the part of the curve that has a positive slope reflects the stages of creation, growth and maturity of the organization, and the other part with a negative slope reflects the stage of decline of the organization.

The first stage in the development of an organization is its formation. At this stage, it is important for the organization to find a product that can be offered to the consumer. If an organization manages to find its place in the market and sell its product, then it can move to the second stage - intensive growth.

At this stage of development, the organization is growing, the volume of goods sold is increasing, the number of personnel, the number of branches, divisions, and areas of activity are increasing. If an organization manages to stay on the wave, stabilize sources of income, and gain a foothold in the market as a full-fledged agent, then it can move on to the third stage - stabilization.

At this stage, it is important for the organization to stabilize its activities as much as possible. To do this, it tries to reduce the cost of production by cutting costs and maximizing standardization of its own activities. Usually, due to the variability of the market and consumer, the life cycle of the product offered by the organization is limited, which also affects the stage of development of the organization.

After the stabilization stage, the organization can naturally move into the next stage - a crisis, which is characterized, as a rule, by a decrease in the efficiency of activities below the limits of profitability, loss of place in the market and, possibly, the death of the organization.

An organization can survive and move on to the next development cycle only if it can find a new product that is attractive to consumers and occupy a new place in the market. If this is successful, then in a transformed form it can again experience the stages of information, intensive growth and stabilization, which will inevitably be replaced by a new crisis.

In the development of an organization, crises are inevitable. According to management consultants, even the most conservative companies, characterized by a stable position in the market, experience crises at least once every 50-60 years.

For changing Russian conditions, the development stage can last a year, and often several months.

In addition, analysis of the stories of successful companies allows us to highlight the following main features of the target orientation of the organization at various stages of its development (Appendix 1).

Milner B.Z. offers a more detailed look at the stages of an organization’s life cycle (Appendix 2).

The first stage is childhood. This is a dangerous period because most failures occur during the first years after the organization's inception. From world statistics it is known that a huge number of small-scale organizations fail due to incompetence and inexperience of management. Every second small business fails within two years, four out of five businesses fail within five years of its existence. The goal of this period is to achieve quick success, and its goals are healthy existence and development, and not simple survival. Often all the work is done to the limit of capabilities, so as not to lose the momentum of increasing success. Management is carried out by an active and trained leader and his initial team.

The second stage is adolescence. During this transition period, the growth of the organization occurs, as a rule, unsystematically, in spurts. The organization is increasingly gaining strength, but coordination is below optimal levels. More organized procedures are gradually replacing the risky passion for success. Planning, development of budgets and forecasts are being established. The hiring of specialists is expanding, which causes friction with the previous staff.

The founders of the organization are forced to play more of the role of immediate managers rather than entrepreneurs, carrying out systematic planning, coordination, management and control.

The third stage is early maturity. The hallmarks of this period are expansion, differentiation and possibly diversification. Structural divisions are formed, the results of which are measured by the profit received. Many generally accepted methods of performance assessment, job descriptions, delegation of authority, performance standards, examination, organization of training and development are used. However, tendencies towards bureaucracy and the struggle for power, localism and the desire to achieve success at any cost are beginning to appear.

The fourth stage is the prime of life. The organization sets the goal of balanced growth at this stage. Structure, coordination, stability and control must be as important as innovation, improvement in all parts of the organization and decentralization. The concept of structural divisions is adopted, the performance of which is measured by the profit received. New products, markets and technologies must be managed, and the qualifications of management personnel must be more refined. As the rate of growth accelerates compared to previous stages, an organization often overestimates its successes and capabilities.

The fifth stage is full maturity. Having competent, but not always responsible leadership, the organization acts practically on its own. Quite often an undesirable state of general complacency is established. Despite the fact that income levels are quite acceptable, growth rates are slowing down. An organization may deviate from its original goals under the influence of public opinion.

At the same time, the weaknesses are too obvious. These symptoms are often ignored by management.

The sixth stage is aging. Competitors invariably compete for an organization's market share. Bureaucratic red tape, not always justified strategy, ineffective motivation system, cumbersome control system, closeness to new ideas - all this, taken together, creates conditions for “clogging the arteries.” As practice shows, it is very difficult to stop and stop doing unproductive work. As a result, the organization gradually begins to disintegrate. It is forced to either accept a rigid system of renewal, or perish as an independent structure, merging with the corporation that acquires it. The organization rolls back, and the struggle for its survival begins again.

And the last stage is updating. The organization is in a position to revive. This can be done by a new management team empowered to carry out the reorganization and implement a planned program of internal organizational development.

Numerous studies show that organizations grow confidently throughout their life cycle when they have a sound strategy and use resources effectively; restructure when they no longer meet the chosen goals; die when they are unable to perform their tasks.

Thus, at each stage the organization implements a specific development strategy. A look at the organization through the prism of stages of development allows you to more accurately identify its main target and strategic settings and orientations.

1.3 Product life cycle

It should be noted that many experts connect the stages of an organization’s life cycle with the life cycles of its product. That is, the life cycle of an organization is directly and closely related to the life cycle of products - time interval, including several stages, each of which is distinguished by the special nature of the process of changing production volume over time.

The life cycle of a product is the process of developing product sales and making a profit, consisting of the stages of market introduction, growth, maturity and decline (Fig. 5).

Rice. 5. Product life cycle

Shown in Fig. 6 The product life cycle is traditional. An example of such a life cycle is the production of dairy ice cream. It appeared on the market in the late 50s - early 60s, then after the appearance of other varieties of ice cream - popsicle, ice cream, nut ice cream, chocolate ice cream, creme brulee, etc. - it was gradually replaced.

Although all products go through stages of introduction, growth, maturity and decline, their duration and rate of transition from one to another may vary significantly. Close observation of the markets for various goods, be it household or agricultural equipment, fashion clothes shows that life cycles will have their own characteristics, which are dictated by how they functional features and consumer behavior.

However, in life one has to deal with numerous examples of deviations from the classical life cycle curve, some of them are shown in Fig. 6.

Rice. 7. Types of product life cycles

“Continuing craze” or “Boom” describes a popular product with stable sales over a long period of time. Buckwheat is in high demand among the population. Having gained economic independence, collective farms, state farms, and farmers, focusing on the market, began to produce more of it. The market demand for this product has not yet been satisfied, and in the future we can expect a further increase in its production.

“Flash” characterizes goods; sales of goods first rise rapidly and then fall just as sharply.

“Seasonality or fashion” occurs when a product sells well over periods spaced apart in time. Sales of crop products are associated with the change of seasons and production seasons (sales of fruit and vegetable juices, soft drinks in summer time or sugar and a period of mass home canning).

“Continuing hobby” manifests itself in the same way, except that “residual” sales continue in amounts that are only a fraction of the previous sales volume.

“Renewal” or “Nostalgia” characterizes a product for which, after a certain time, demand resumes (production of kumys and other national drinks and dishes).

“Failure” usually reveals the behavior of a product that does not have market success at all.

Each stage of any life cycle has its own characteristics and requires different marketing approaches. Their a brief description of given in appendix. 3.

When considering the life cycle of a product, it is necessary to limit the time periods of the duration of one or another stage (phase) (Table 8).

Table 8

Product life cycle

In addition, it should be noted that at the first stage - implementation – Sales of products are usually unprofitable, the buyer is inert, sales volume is low, and marketing costs are high. The emergence of a new product is associated with the need to overcome existing consumer habits. For example, until relatively recently, food products such as powdered milk, fresh frozen vegetables and fruits, and instant coffee had certain sales difficulties. Efforts are directed towards those buyers who are most ready to buy the product. At this stage, the manufacturer stimulates demand, carries out product promotion, and various research. This stage is characterized by high costs and low profits.

During the growth stage, there is a sharp increase in sales and profits. Prices are stabilized, costs per unit of production are reduced, and consequently, returns on invested capital increase. But at the same time, the number of competitors increases, and the manufacturer is forced to invest additional funds in promoting the product to compete.

The maturity stage is characterized by the achievement of a stable sales volume. This is the longest stage of the product life cycle. Increasing sales volume at this stage can be achieved by improving products, increasing their attractiveness, and lowering prices.

At the decline stage, there is a gradual decrease in sales and profits due to changes in consumer tastes or improvements in technology, etc. At this stage, the manufacturer must decide to continue or stop production.

So, in modern world There is a pattern that increased competition in the consumer market leads to a reduction in the duration of product life cycles, as well as an increase in the cost of developing new products. Thus, the purpose of product life cycle research is to, if possible, extend the life of a product on the market. At the same time, unprofitable stages of the product life cycle should be reduced, and profitable ones should be delayed, using demand regulation tools.

Assessing the life cycle phases allows you to plan the cyclicity of their turnover, timely replacement of products and the development of analogues, thereby reducing the degree of risk, and, ultimately, allows you to ensure flexibility in the development of the enterprise.

2.1. Model of I. Adizes

There are different models of organizational behavior and development. What they have in common is that organizations, like products or services, have their own life cycles. As with products, life cycles for various types organizations may be different. Of particular interest are models that summarize the main stages of life cycles.

One of the earliest models was proposed in 1951; since then, a fairly large number of very diverse models have appeared, containing from 3 to 10 stages of organizational development.

One of the theories of life cycles was proposed by the American researcher I. Adizes in the late 1980s. The theory of I. Adizes focuses on the two most important parameters of the life of an organization - flexibility and controllability (manageability). Young organizations are very flexible and agile, but poorly controlled. As an organization matures, the ratio changes - controllability increases, and flexibility decreases.

Here, the stages of the life cycle are divided into two groups: growth and aging. The following stages can be distinguished:

1. "Generation". The organization does not exist physically, but the business idea has already arisen. An organization is born when an idea has received a positive assessment, certain internal commitments regarding its implementation have been formulated, and there is a willingness to take on the risk of founding a new business.

2. "Childhood". At this stage, attention moves from ideas and opportunities to production results - meeting the needs for which the organization was created. An organization in its “childhood” has a vague structure, a small budget, and there are practically no business procedures. The organization is very personalized: there is little subordination, and there is no system for assessing the performance of tasks. At this stage of development, two conditions must be met to avoid “death”: ensuring constant influx funds and the founder's dedication to building a sustainable organization.

3. “Come on, come on” (rapid growth stage). During the transition from childhood to rapid growth the vision of the company's future changes from a very narrow view of the business to a panorama of almost endless possibilities. One of the types of pathology at this stage may be the desire of the founder to “embrace the immensity,” that is, diversification may even include those areas of business about which the founder has not the slightest idea. To survive, an organization must not chase every opportunity, but clearly define what not to do. The organization at this stage is characterized by reactive behavior: it only reacts to the opportunities provided by the external environment, but cannot yet foresee them and acts by trial and error. How more serious error, the more significant losses the organization suffers. In the future, such actions lead the company to crisis. To get out of this situation, she needs to reconsider her activities and create an administrative subsystem - move from managing by intuition to more professional actions.

4. "Maturity." Distinctive feature behavior of the organization at this stage - conflicts and contradictions.

At the same time, the following tasks are being solved: mastering the delegation of authority, changing the leadership system, shifting goals. The result is conflict between old and new employees, founder and professional manager, founder and company, corporate goals and individual employee goals. If the systematization of administrative activities is successful and the institutionalization of leadership has occurred, the organization moves to the next stage - prosperity.

5. "Flourishing" This is the optimal point on the life cycle curve where the organization achieves a balance between self-control and flexibility. Some features of an organization in its “burgeoning” stage: the presence of systems of job responsibilities and organizational structure; result orientation; planning and following developed plans, the ability to foresee;

¾ growth in both sales and profits.

This stage is an indicator of the viability of the organization, its ability to achieve effective results in the short and long term. If organizational resources stop growing, organizational viability reaches a certain level - stabilization, which is the end of growth and the beginning of decline.

6. "Stability". This is the first stage of aging in the life cycle of an organization. The company is still strong, but is beginning to lose flexibility and become mature. A stable position in the market is achieved. A stable organization has the following features:

¾ low level of growth expectations;

¾ focusing on past achievements instead of trying to look into the future;

¾ rewarding performers, not innovators.

7. "Aristocracy." This stage is characterized by following signs: the emphasis in the company’s activities shifts to “how” something is done, rather than “what” is done and “why”; there are traditions, formalism is part of the custom; The organization has significant financial resources.

An aristocratic organization tends to deny existing reality.

8. "Early bureaucratization." Typical features of organizational behavior: there are many conflicts in the organization; the organization is gripped by “paranoia”; the focus is on internal conflicts.

The main emphasis becomes rules and regulations without an obvious focus on results and satisfying consumer orientations.

9. “Bureaucratization and Death.” The company does not create the necessary resources for self-preservation. A bureaucratic organization has many systems with weak functional orientation. There is no orientation towards results, there is no tendency to change, but there is a system, regulations and procedures. The death of an organization occurs when no one entrusts it with anything.

In the theory of I. Adizes, special attention is paid to the risks of an organization at the stages of its formation. They can be summarized as: “death in infancy,” “the founder’s trap,” “the failed entrepreneur,” and “premature aging.” The first can manifest itself at the very early stage of an organization’s development, when everything depends on its founder, his abilities and dedication, as well as on the flow of funds into the organization. Next, there is a need to delegate powers and create an administrative subsystem, since the founder himself can no longer cope with all the functions. How successfully he accomplishes this depends further development companies.

Finally, the last two pitfalls relate to the period when the business outgrows the founder, and he has to make a choice: either decentralize management, or hire professional managers, or sell his business. In any case, he must lose all or part of control over his enterprise.

The sequence of stages in the life cycle of an organization, according to I. Adizes, is shown schematically in Fig. 9.

Rice. 9. Stages of the life cycle of an organization according to I. Adizes

Thus, the theory of I. Adizes was born on the basis of likening an organization to a living organism. The model shows that not all enterprises survive to flourish; flourishing is inevitably followed by bureaucratization of business, and then death. I. Adizes identifies a number of dangers that await the organization on the path of its development, but does not answer the question: what organizational state should it strive for in order to stay longer in the flourishing phase. However, Adizes' theory describes a monotonously unidirectional evolution, where the boundaries of the stages are blurred and conditional.

2.2. Model by L. Greiner

In contrast to the theory of I. Adizes, L. Greiner proposed a model that describes the development of companies through a sequence of crisis points. He identifies five stages of organizational development, separated from each other by moments of organizational crises. The company moves from one stage of development to the next by overcoming the corresponding crisis of a given transition period. L. Greiner identifies the following stages and crises of organizational development (Fig. 10):

Rice. 10. Model of organizational development by L. Greiner

The stage of development by means of creation lasts from the inception of the organization to its first organizational crisis - the crisis of leadership. An organization emerges as a result of the entrepreneurial efforts of managers and develops thanks, as a rule, exclusively to the realization of the creative potential of its founders. The organizational structure of a company most often remains unformalized.

However, as an organization grows, its founders are increasingly forced to control and direct its development in specific directions, which requires new specialized knowledge that they do not yet possess.

The second stage is the stage of development through management. When the leadership crisis has been successfully overcome, a period of organizational growth begins, the basis of which, first of all, is clearly planned work and professional management.

However, after some time, there comes a point when the bureaucratic management structure and the concentration of most decision-making processes at its upper levels begin to limit the creativity of middle managers. The management system itself in an organization becomes a source of contradiction, the essence of which lies in the different understanding of the necessary and sufficient freedom of different levels of management. This is a crisis of autonomy.

The third stage is the stage of development through delegation of authority. Successfully overcoming the crisis of autonomy is associated with structural restructuring and decentralization of functions, as well as the subsequent delegation of authority to make certain decisions from upper levels to lower ones. This, to a certain extent, increases the development potential of the organization, but in the end it becomes the cause of a new crisis - a crisis of control, when top managers begin to realize that they are losing control over the organization as a whole.

The fourth stage is the stage of development through coordination. Successfully overcoming a crisis of control is associated with changes in the system of coordination of the functioning of the units that make up the organization.

During this period, strategic divisions are identified in the structure of the organization, which have a fairly high degree of operational independence, but at the same time, are strictly controlled from the center in terms of the use of the organization’s strategic resources: financial, technology, labor, etc. This gives a new impetus to development, but gradually leads to the emergence of peculiar boundaries between the headquarters and the functional divisions of the organization, which, in the end, become the cause of a boundary crisis.

And the fifth stage is the stage of development through cooperation.

To overcome the crisis of boundaries requires high skill of psychologists capable of resolving interpersonal conflicts. Unification of the team in the organization at this stage can occur due to common interests and values, rather than the sophistication of the formal structure. Structural restructuring at this stage is useless and meaningless. Creating a team of like-minded people in an organization gives it a new impetus for development.

This stage is not the last. It only indicates the logical completion of a certain development cycle of the organization.

L. Greiner's theory of organizational development essentially expresses that all changes in an organization are programmed. Since the 1970s, when the theory was created, many businesses have indeed gone through stages similar to those outlined in Greiner's model. Despite this, it is incorrect to say that any modern enterprise will necessarily follow this path.

The two presented models do not provide answers to other questions either. Both of these models do not fully take into account the specifics of doing business.

3. Practical part.

The Department of Public Education of the Pavlovsky District Administration is the governing body for the education sector and is directly subordinate to the Head of the Administration. The full name of the company is the Department of Public Education of the Administration of the city of Pavlovo, Pavlovsk district.

The main task in the activities of the department of public education is the implementation of a unified educational policy, ensuring the realization of the rights and requests of citizens of the region for education.

The subject of the RONO activity involves organizing the work of subordinate educational institutions to implement the Law of the Russian Federation “On Education”, developing a strategic program for the development of the district’s education system, conducting an expert analysis of the state of the education system, identifying prospects and trends in its development, conducting certification of teaching staff in the district’s education sector.

The Department of Public Education was formed in the 1960s. The staff of RONO consisted of 3 inspectors and a methodological service (head and 4 methodologists), two inspectors are still working today. The key areas of work at that time were the organization of cognitive activity of students, the scientific organization of work of teachers and school principals. Every 5 years, teachers took advanced training courses, where they improved their teaching skills based on modern scientific methods and developments.

The Department of Public Education of the Pavlovsky District Administration is a municipal entity.

1. Since municipal institution small in size and not based on modern theories management, then it has no mission. Management is not interested in this.

2. This institution is an open system, as it involves a wide range of connections with the external environment and strong dependence on it.

3. The external environment is a set of active business entities, economic, social and natural conditions, national and interstate institutional structures and other external conditions and factors operating in the environment of the enterprise and influencing various areas his activities.

Elements of the external environment of a municipal institution include:

Administration of Pavlovsk district;

Department of Educational Management for the Nizhny Novgorod Region;

Administration for the Nizhny Novgorod region.

Factors of direct and indirect impact external environment are presented in table 1.

Table 1.

External environment analysis

Factor name	Significance degree	Characteristics of impact
Factors of direct impact
Effective recruitment, training and promotion processes for all employees	High	As a result of recruitment and selection, the professionalism of the team is formed
Compliance of the compensation system for motivating and stimulating employees	High	As a result of motivation, a conscientious attitude of the team towards work is formed
Qualifications and experience of employees	Very high	Shows the level of knowledge and skills of employees
Factors of indirect impact
Coordination and integration of all activities related to the value chain between organizational parts	Average	Creates a favorable atmosphere in business and moral terms
Effectiveness of educational technologies	High
Logistics and technical support	High	Increases work efficiency
The quality of education	High	Increases work efficiency

The internal environment of the RONO is understood as the economic organism of the company, including a management mechanism aimed at optimizing the management activities of the institution.

Since the municipal institution is quite small in size, the functions are carried out by several people, as shown in Table 2.

Table 2.

Internal environment analysis

Functional subsystem	Characteristics of functions
Boss	Directly manages the department of public education; Direction of activity of deputy heads of department; Ensuring interaction with departments of the district administration, with the district and city Councils of Deputies, the department of science and education of the regional administration; He is the manager of loans provided to the department, signs cost estimates and other financial documents, determines the conditions for bonuses and material incentives for the work of department employees; Carrying out management of the activities of the department apparatus and subordinate institutions; Issuing orders, instructions and instructions, organizing control over their implementation; carries out the selection and placement of management personnel of the district educational institution
Head of Personnel	Providing educational institutions of the region with teaching staff, monitoring the organization of their studies and advanced training; Organization of the work of the department for the targeted direction of graduates of rural schools into pedagogical educational establishments, and also selects rural youth for admission to the workers' faculty; Direction of activities of the department and administrations of educational institutions on issues of legal and social protection of teachers; coordination of the work of preschool educational institutions, labor protection and safety, civil defense and emergency situations, licensing, methodological services, schools in the southern zone
Specialists	- carrying out the functions prescribed by job descriptions

4. Classification characteristics:

In relation to profit: non-profit;

By form of ownership: municipal;

For the intended purpose: performance of work;

By location of the enterprise: on the same territory;

Size: small.

5. The organizational structure of the department of public education of the city of Pavlovo is linear and assumes a two-level leadership that exists in various divisions of local government bodies, such as district administrations. Figure 2 shows that there are two vertical levels as 2 deputies and three horizontal levels, which include leading specialists. In general, the management system has one head of the Department, two deputies, five specialists and methodologists.

Figure 2. Organizational structure

The organizational structure of RONO includes 3 hierarchical levels. For the main manager, control coverage includes 2 persons, his deputies. Departmentalization is based on a functional principle. The organizational structure of RONO is linear.

Conclusion

Having analyzed life cycles and the stages of their development, we came to the conclusion that the life of an organization proceeds according to certain laws: the formation stage is replaced by a stage of intensive growth, which can go into a stage of stabilization, and then decline.

For the stage of formation of an organization in conditions of market relations, it is essential to determine the goals of activity through clarifying ideas about the needs of a potential client.

The stage of intensive growth and consolidation in the market is characterized by the organization’s orientation towards expanding the circle of consumers, suppliers and partners, as well as the formation of its own style (image).

The problems that arise for an organization that has reached the stage of stabilization are mainly internal character. The success of the organization at this stage depends on its “authenticity” to the existing models in the external environment.

The recession stage - the most difficult stage of an organization's existence - is accompanied by the mobilization of resources, the search for ways and means of resisting the crisis.

If an organization manages to overcome crisis phenomena and gain a foothold in the market, then it can go through several cycles of its development. The first cycle is characterized by special attention to the internal atmosphere, the creation of a favorable climate, the next - the desire for maximum formalization of activities and relationships, then - a focus on creating entrepreneurial potential, and then - the desire for maximum product quality.

We also noted that the life cycle of an organization is closely related to the life cycle of the product that this organization produces. Knowledge of the phases of product life cycles, reasonable planning of the cyclicity of their replacement and timely change of goods ultimately allows for flexibility in the development of the enterprise.

Thus, we can say that the study of life cycles and stages of their development is very important. Its future and future fate depend on the correctness of the actions that an organization takes at each stage of its life cycle.

List of used literature

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Organizations are born, develop, achieve success, weaken and eventually cease to exist. Few of them exist indefinitely; none lives without change. New organizations are formed every day. At the same time, every day hundreds of organizations are liquidated forever. Those who can adapt thrive, those who are inflexible disappear. Some organizations develop faster than others and do their job better than others. The manager must know what stage of development the organization is at and evaluate how well the adopted leadership style corresponds to this stage. This is why the concept is widespread life cycle of organizations as predictable changes with a certain sequence of states over time.

The lifespan of an organization and the length of its cycle stages are determined by several factors:

Industry affiliation of business

Intensity and complexity of work

Availability of resources

Presence of information barriers

Level of training of organization employees

There are many characteristics of life cycle stages. Let's consider a generalized version according to Milner:

This is a dangerous period, since the greatest number of failures occur in the first years of the organization's activities. It is characterized by the formalization of the rules of its existence and behavior in it; incompetence, arrogance and inexperience of management. The main goal is survival. The level of responsibility for decisions made is growing, a management structure is gradually taking shape, and a division of labor is taking place. Conflicts arise regarding the distribution of power. A production process (single or unique) is organized. Research of the proposed market and activities to generate demand are carried out.

Each organization is a kind of living organism that goes through certain stages in its development. It all starts with the birth of the company, after which it gradually gains strength and influence, achieving prosperity and power. However, any organization has its end, after which it eventually disappears from the consumer market. To better understand the factors that influence this process, you should carefully analyze all the activities of the company step by step.

So, we should start with an overview of the main stages that any company created for the purpose of making a profit as a result of business activity goes through:

Generation stage. First, an idea appears that is associated with the satisfaction of someone in society. After this, enterprising people are found who can bring this idea to life, as a result of which a business is created, the main goal of which is to meet the needs of a particular area of the population in any economic area. The life cycle of an organization at this stage includes registration, searching for sources of investment, recruiting personnel and entering the production market.
The stage of collectivism and focus on a common goal. After the company begins its entrepreneurial activities, the team gradually begins to unite into a single team. In any case, every competent manager strives for this, since only in a reliable team new and promising ideas are born, aimed at achieving maximum success for the company. Here good example American and European companies can become leading ones, in which the primary role is given to personnel, therefore the life cycle of an organization must necessarily include this most important period, on which the future of the company actually depends.
The stage of formalization and acquisition of a certain structure. The next stage is the gradual improvement of the organizational system, which consists of the emergence of new departments, the merger or division of the areas being studied, the approval of the charter, certain rules and the life credo of the company. Informal customs and laws also emerge here, which can further stimulate both executive employees and management. Here the life cycle of the organization begins to resemble a young and promising company that has established its core team and is successfully gaining momentum.
Improvement stage. At this stage, the organization reaches the peak of its success, having taken a leading position in the market for selling certain products or providing the necessary services. Here, however, managers should under no circumstances demote the company, since unimplemented ideas that may be proposed by your employees and not implemented due to a stop in intensive development can be used by your competitors who are breathing down your back. This must be taken into account, and the active activities of the company should not include the search for new needs of the population and the offer of new types of goods and services.

To better understand everything that happens to the company, it is better to use an analogy with the period of a person’s life, since in this case you will be able to more clearly imagine all the tasks and goals that the company faces at every step of its development. So, the stages of an organization’s life cycle include the following steps, which will show the main goals of the company:

Birth is the goal: survival and profit maximization;

Childhood is the goal: short-term profit and its gradual optimization;

Adolescence - goal: accelerated growth and planned profit;

Maturity is the goal: systematic growth and good position;

Empowerment - the goal: balanced growth and social responsibility;

Full maturity - goal: maximum improvement of products and services, as well as the search for new approaches to, If necessary, complete re-equipment of the company with technical resources

In conclusion, it should be said that every leader needs not only to know certain stages life development companies, but also take into account those that face the organization at every stage. The successful life cycle of an organization using the examples of Coca-Cola and McDonald's companies proves that with competent leadership you can stay afloat for many decades after your founding. The main thing is to use a flexible approach and have a competent marketing strategy that will periodically transform the company to meet the needs and requirements of the population.