Kamma means action as it is referred to as willed actions of the body, speech and mind. Every action we do will produce these seeds and eventually these seeds bear fruit. Kamma is a powerful force that can leap over death into the next life. This explains the differant circumstances by which people are born and experiance life. We can observe the kammic formations in our daily lives such as when an outburst of anger and bad things said between two people may sour or taint the relationship for an indefinite period of time.
Kammic formations keep everything in balance.