Organisational Charts

• It is a diagram that shows the organisation structure of a given organisation
• It is also defined as a pictorial depiction of an organisation’s structure
• An organisation’s structure is also known as it’s internal structure
• It shows:
  1. The titles of certain position
  2. The layers of authority within the organisation/The organisation’s hierarchy
  3. Each individual’s span of control
  4. The lines of communication from top to bottom
  5. Line and authority staff relationships
  6. Chain of command
  7. Reporting relationships
• The titles shown an organisations chart are defined according to each individual organisation’s rules and
• organisational culture
• For example the leaders of some organisation are known as:
  1. Chief Executive Officers (CEO)
  2. Managing Directors
  3. General Manager etc
• These titles are chosen according to each individual organisation’s preference
• The significance of each position varies from organisation to organisation
• There is no set convention on how to choose these title names and
• They are purely random
• An organisational chart only shows formal relationships
• It does not show informal relationships (structure of informal groups)
• They give a quick picture of how the organisation is structured including:
• Whether the organisation is tall or flat
• Whether authority is centralised or decentralised

To access more topics go to the O Level Business Notes page.