why and how to make an organization chart?

why and how to make an organization chart?

The creation of an organizational chart is essential for the organization and proper functioning of a company, regardless of its size. Indeed, even if the organization of small companies is very different from that of large companies, they can nevertheless create their own organization chart.

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Why make an organizational chart for a small business?

Although not obligatory, the realization of an organization chart remains recommended, including for the small companies. These fall into different categories: VSEs, SMEs and start-ups. Due to their size, they are characterized in particular by a small workforce, a direct relationship between the manager and his employees with personnel management provided by the manager. Creating an organization chart for small companies is therefore much easier than for large companies with different hierarchical levels.

The org chart allows small businesses to provide a visual representation of their operation and organization. It helps to quickly and easily understand the distribution of positions and the links that exist between all employees. It also gives employees, as well as external stakeholders, a precise idea of ​​the people to contact to respond to various issues, which saves them time.

Thanks to the organization chart, it is thus easier to identify the role of each person in a small company. Each employee then knows precisely which tasks he must perform, in which department and under which responsibility. The implementation of an organization chart in a small company makes it possible above all to clarify the functions of the employees who are versatile and carry out different missions within the same position.

When a new employee joins a small company, he needs benchmarks to be able to find his place. This is where the flowchart comes in handy. This tool is a good way for employees to guide newcomers on the organizational functioning of the company, the tasks to be performed and the people to contact in case of questions.

For small businesses, the organization chart is also used as a malfunction analysis tool. It makes it possible to identify and correct problems relating to their structuring. It is used to optimize the organization of work by assigning the right tasks to each employee.

The organizational chart also allows small businesses to create a hierarchy between the functions that exist and to represent it graphically in order to:

  • to develop their structure;
  • increase their efficiency;
  • facilitate business transactions;
  • to help employees understand how their work contributes to the good functioning of the company.

As for medium and large companies, the organization chart therefore offers significant advantages to small companies.

  • Better define the objectives of each service.
  • Ensure better coordination between work teams.
  • Improve internal communication.
  • Establish the job mobility process in a transparent manner and thus make the path to promotion clearer for employees.

How to make a small business organization chart?

To create its organizational chart, a small business will generally choose a simple hierarchical structure: the manager, in direct hierarchical relationship with the various employees. However, other types of organization charts are also possible:

  • the horizontal organization chart;
  • the functional organization chart;
  • matrix organizational chart.

The horizontal organization chart, or flat organizational chart, is often adopted by small businesses. In this structure, there are few or no hierarchical levels between the manager and the employees. This gives the manager the opportunity to supervise all of his collaborators, but also allows employees to participate in decision-making.

Based on a hierarchy, the functional organization chart represents the distribution of positions and functions within a company. This organizational chart template is very useful for companies that want decisions not to be made by the manager alone. This structure is also a good way for employees to avoid too much specialization in a particular area and their disconnection from the overall functioning of the company. Small businesses opting for this type of functional organization chart also generally attach particular importance to the management of knowledge and skills.

When an employee works for several team leaders at the same time, we speak of a matrix structure. Employees are organized by projects. Thus, they demonstrate independence and flexibility. For small businesses, the matrix organization chart allows for greater decentralization. It is also a very useful tool for companies with activities in different geographical areas.

After determining which org chart template is right for their structure, small businesses should list all employees, including the manager. This step is essential to not forget anyone on the organization chart.

Next, small businesses must decide how they will design an organizational chart that is compatible with the chosen template. The easiest and fastest way to establish one is to use specialized software. In addition to Word or PowerPoint, there are many online tools to create a flowchart for free:

  • Can go
  • Lucidchart
  • Vism
  • GitMind
  • Creately
  • revenge

To create an organizational chart from the chosen format, small businesses should follow these steps:

  • add a box that represents the leader at the top of the organization chart;
  • fill in the box with the name and position of the manager;
  • create a box for each employee and add their name and function;
  • display a branch or a line that connects the manager to the employees, repeat the operation according to any other hierarchical levels;
  • possibly complete the boxes of the organization chart with the photos of the employees;
  • check that the number of boxes on the organization chart corresponds to the number of employees previously listed.

Finally, it must be taken into account that small businesses can experience a number of changes as they develop. When employees join or leave the company, the organization chart must be modified accordingly. In addition, job changes may occur over time for some employees, whether at the same hierarchical level or at a higher level. The organizational chart must therefore be regularly updated so that it clearly reflects the situation of the company at a given moment, a sort of photograph.

To take it a step further, download these free timeline and flowchart templates and use it to plan your processes and programs.Models of friezes and flowcharts

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