The term organization is used in a double sense: to denote the process of organizing some activities, and in another sense, to indicate the result of the process with which to shape the organizational units of different types, widths and structures in all areas of social life. The meaning of the organization is not limited to human economic activity, but on his overall work and life activity. It allows the realization of complex tasks, extends the scope of man's individual strengths developing from them the social power, speeds up the process of achieving tasks and reduces the cost to achieve the same results. Every organization goes through the stages of the life cycle that can more or less match with the life cycle of living organisms. Some organizations may go through several stages of the life cycle, but instead of shutting down their businesses, they improve their operations. Life cycle stages organization are entrepreneurial phase or construction phase, the phase of the collective spirit or growth phase, phase of formalization or stage of differentiation and elaboration phase or stage of development. On each stage of the life cycle are operating internal and external factors that shape the organization and each phase of the life cycle has certain characteristics, which differ in organizational structure, according to the style of management, according to the goals that every phase have. By analyzing the life cycle of the company "Kamen" d.d. Pazin can be read that company went through all stages of the life cycle and they are continued to improve their business, invest in technology, innovation, and the development of technical and information knowledge of it’s employees.