What is an Organizational Chart?

IT organizational charts are a diagrams that shows the structure of an organization, the relationships and relative ranks of its parts and positions or jobs. These charts are also used for similar diagrams such as ones showing the different elements of a field of knowledge or a group of languages. The French Encyclopédie had one of the first organizational charts of knowledge in general.

An organizational chart of a company usually shows the executive, managers and employees who make up the business. It also shows the relationships between the businesses staff members, which can be one of the following:

• Line - direct relationship between superior and employee.
• Lateral or Flat - relationship between different departments on the same hierarchical level.
• Staff - relationship between a managerial assistant and other areas. The assistant will be able to offer advice to a line manager. However, they have no authority over the line managers’ actions.
• Functional - relationships between specialist positions and other areas. The specialist will normally have authority to insist that a line manager implements any of their instructions.

In many large businesses, the organization chart can be large and incredibly complicated and is therefore sometimes reduced to smaller departmental charts for each individual department within the business.

There are three types of organization charts:

• Hierarchical
• Matrix
• Flat

Organizational charts can be used in company profiles, trade shows, board meetings and employee education services. These charts are very similar to the Fortune 500 org charts that you see in many business magazines. In fact, a good organizational chart can help a marketing department develop good IT sales leads that can increase sales.

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