What are Organizational Charts for Business?
The Organizational charts, or org charts, are visual representations of how an organization operates. It shows the number of staff that a company has as well as their respective positions and how they interact with other employees and their supervisors.
Businesses, including small and emerging businesses, should make an effort to create an innovative organizational chart. The reason is that it benefits the entire management and employees. It is also a tool for placing emphasis on workplace relationships.
Some of you might find this a bit challenging to create an impressive organizational chart, but don’t worry because we got you! We’ve blended some tips you can use to design your ideal org chart for your team.
Different Types of Organizational Charts
There are four types of organizational charts. Each contains the names of officials and employees, their positions, pictures, and their other information.
1. Hierarchy Org Chart
This one is the most widely used organizational structure among the types of org charts. It is typically a pyramid-shaped chart that is presented and structured according to the ranks and positions of the employees.
2. Functional Org Chart
This is another common type of organizational chart. It is presented by dividing various departments according to the tasks and functions.
3. Matrix Org Chart
This is known to be one of the most complicated org charts. It is also widely used in large businesses. A matrix flowchart uses a grid or matrix. In fact, it looks like a table because usually it’s being used in a company that’s working on a project with paired project managers including their respective teams.
4. Team-based Org chart
Team-based organizational charts are typically used in companies with teams working toward a common goal and performing their assigned individual tasks. Another great thing about it is it is less hierarchical.
Importance of Organizational Charts in Business
An organizational chart is not just a simple diagram that every company uses. In fact, it serves many purposes.
- Serves as a guide for employees when they want to check on who they will report to. This is very advantageous for large businesses with big numbers of employees. It’s because employees can view their corporate organizational chart at any time.
- Organizational charts are also beneficial for business owners as they can always refer to them every time they need to plan projects and campaigns that involve all departments and staff in the company.
- Guide administration to govern which positions need to be filled. It helps the administrator assess whether there is already a need for expansion within the company.
- Overall, organizational charts help maintain an organized workflow, improve the work performance of employees and maintain effective work plans within the company.
Tips on Making Innovative Org Charts
Having an org chart is actually beneficial and can help your company greatly. So don’t be afraid to innovate and make it better. Many companies are even trying their best to come up with new and improved organizational charts. Having an innovative and up-to-date organizational chart is also a sign of progress within the company.
Here are some tips you can use to create a useful organizational chart for your company:
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Be consistent
Ensure your organization chart is always stay updated and checked periodically. The goal is to avoid having outdated and inaccurate information. Understand the various types of organizational charts.
This will let you know which organizational chart to use for your business. This is very important as it will help you build a reliable org chart for your own company.
Keep in mind that your employees and customers are likely to rely on your company org chart when they need information about your business and workplace.
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Be creative
Many companies also strive to create a good organizational chart because it represents their entire business. They make sure that it’s updated and has all the information of all the members of the company. A good org chart is also accessible for everyone.
Don’t be afraid to do the same thing. Be bold and put some colours in your org chart. Feel free to make it more attractive.
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Use tools that can help you make innovative org charts like chart maker.
Designing an org chart may be difficult for some but now that there are organizational chart makers that can be found online like Venngage, things can become a lot easier.
Tools like this provide organizational charts template that you can take advantage of. Another great thing about this is many of their templates are free.
Having an organizational chart usually makes a big impression. You’ll never know how an org chart can lead to a major step in your business.
Who knows? It could impress an investor, a client, and many others around the world when they see your well-curated org chart. It’s like giving them an overview of how your business works and what you can deliver.
