The life cycle of an organization in a changing economic environment

Abstract

The concept of “life cycle” is used by an organization to plan a certain sequence of changes in the current state and maintain its position in the market in the future. In the theory of the life cycle of the organization’s position in the market, it is emphasized that the development of an enterprise occurs according to an algorithm common to all organizations. However, the issues of manifestation of life cycle stages in a changing economy are ambiguous. There are no clearly established and regulated values of indicators that guarantee the maintenance of the position of organizations at the stages of their existence. The aim of the study is to substantiate the methodology for determining the stage of the life cycle of an organization for the development or adjustment of the strategic policy of its development. The study revealed that the assessment of the organization’s potential is carried out on the basis of groups of indicators and factor coefficients established and recommended for use in Russian and international practice. As a result of the study, it was proposed to use the factorial integral indicator of the economic assessment of the enterprise, which allows the current position of the enterprise in the current economic situation and planning its activities in the future.

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