How to Make a Business Organizational Chart in 3 Steps

Cody Cromwell
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Choose the Type of Organizational Chart You Need

A simple chart is just a bar chart divided into categories and either stacked up on top of each other or placed in columns depending on the category. It captures the amount of customers in each category of business in a single bar, showing information such as total monthly or yearly sales, number of employees, number of customers, and other similar figures.

The following chart is a typical organizational chart that represents an employee-led hierarchy. The employee names are placed above each of the departmental names, which belong to the division. The divisions themselves are separated by a horizontal bar.

An organizational chart is a table that graphs the hierarchical structure of a business or organization. It may be a simple chart that graphically depicts only the higher level of the business or it may also include a chart that depicts the financial and statistical details of the business at a more detailed level.

This simple organizational chart can be represented in more than one way. The following chart shows the hierarchy of a business that only has a 1 st level. The management and employees at this level are not further divided into a 2 nd and 3 rd level.

This chart can be also represented in the following way:

This chart is basically similar to the previous one but is slightly different in the way the departments are grouped and the organization chart at the 2 nd level of the company is absent.

Hierarchical/Top-Down Organizational Chart

When you create a hierarchical organizational chart, you display employees by the size of their department or organization they are in. You can also place subordinates with the size of the organization they are in underneath them.

For example, let’s say you have a business with employees and that you want to create a chart. An organizational chart with the departmental names and sizes can be created in Microsoft Office.

  • Click on the Insert tab.
  • Choose the Series tab.
  • Place a checkmark in the checkbox for the Series arrow.
  • For the number of rows you want the chart to have, enter 10 or so.
  • To type text, you need to go to the Design tab.
  • Components will appear in the Preview window.
  • Click in the first blank cell.
  • Enter the first department’s name.
  • Type the first employee’s name.
  • Press Enter on your keyboard.
  • Next, you press Enter on your keyboard again.
  • In the next cell, you enter the next employee’s name.
  • Continue in this manner with the other departments and employees… You can also move through each department by simply repeating the process you used in the previous step.

Functional Organizational Chart (by Department)

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A functional organizational chart helps to map how work is organized, and is very useful during an interview when demonstrating the organizational structure of the company and the flow of power. A functional organizational chart will clearly illustrate a company’s structure, and the skills and qualifications of its employees.

Matrixed/Cross-Functional Organizational Chart

This organizational chart design is used in a matrix by grouping interrelated departments, and then placing managers of the departments in similar rows and columns. It’s a versatile alternative to the traditional organizational chart, which narrows down the possibilities.

To make an organizational chart using a matrix layout, first identify the departments that will be represented in your organizational chart. Second, group the departments into three groups by similar functions or providing related services to clients. Then, place all managers of the departments in the same row or column. Make sure that each manager’s department is in the same row or column. Once you’re done, you will have a very beneficial matrixed organizational chart.

The matrix design in the organizational chart is a great way to retain productivity in an efficient manner, especially for fast-paced organizations. The matrix design can help prioritize and achieve goals faster as it helps employees see everything that is going on at a single glance. Moreover, it’s a cost-effective way of creating an organizational chart because it eliminates the need for a primary executive. A cross-functional organization chart will also help employees have a better understanding of the organization and will increase communication between departments.

Here’s how to create an organizational chart with a matrixed layout:

Choose a Free or Paid Organizational Chart Tool

If you’re not a fan of formulating and drawing your own charts, there’s a great collection of organizational charts online. In this post, we’ve provided a list of free and paid organizational charting tools. And if you’ve already created your structure in a different way, you can edit the chart and incorporate your existing data.

Create a Custom Organization Chart in the Excel Spreadsheet

You can start your organizational chart with either a free or a paid Excel organizational charting tool. However, neither of these tools will produce a similar chart as the one you’re going to see in the next step.

Therefore, you’ll need to convert the chart to a CSV file to import it into a free or paid organizational charting tool in Excel or in other free or paid spreadsheet programs.

To do that, it really helps to use a spreadsheet grid tutorial, spreadsheet grid template or spreadsheet spreadsheet grid chart template.

Create a Free or Paid Organizational Chart in Excel, or in a spreadsheet program

Once the CSV file is ready, you can import it into Microsoft Excel, Google Sheets, OpenOffice, or LibreOffice and start creating your organizational chart. You can also use it in any other spreadsheet program that supports importing a CSV file.

Free Organizational Chart Software Tools

Make creating and managing an organizational chart easier than ever and spending less time on it. Invest in business management software for business, small business and home based business.

With more than 40,000 users, is our most comprehensive and user-friendly tool. It’s easy to set-up and manage a business organizational chart in Microsoft’s Visio software.

With over 22,000 users, is also a great tool to arrange your business’s organizational chart and incorporate business templates and business charts. Use it in Word, Excel, PowerPoint, Project, Publisher and Access.

In Microsoft’s PowerPoint, use the Layered Pane to easily arrange and manage your organizational chart. Use it along with the Line Style box to easily manage your organizational chart’s lines.

With over 14,000 users, is one of the best organizational chart software tools available. You can use it in Microsoft Word, PowerPoint, Word, Excel, and Adobe Illustrator.

With over 4,000 users, is a great tool to make your business all the more effective and effective tool for business, home, personal and small business owners. You can use it in Microsoft’s Word, Excel, PowerPoint, and Access.

Paid Organizational Chart Tools

You can use organizational chart templates and software to build your organizational chart, but it’s also important that you draw it using a tool that is as accurate as possible. In this case, a good organizational chart template and software might be your best bet. You can find free organizational chart templates on Microsoft Paint and on other online tools. However, if you want a more professional looking drawing, you might need to pay for the possibility of getting more precise and more accurate results.

Here are a few organizational chart software tools that you might want to consider:

KM Map Organizational Chart and Visitor Management Software

KM Map is a software that will help you manage your company’s operations. The software’s organization chart template is easy to use. For example, you can enter a secretary’s email address and click to send the email. In addition, you can add attachments to emails, post directly to social media, sort and filter emails and save them to templates.

Fill Out Your Organizational Chart

Although most people have resumes and business cards, the idea of completing and printing an organizational chart is often foreign. If you’re not familiar with the organization chart format, there are basic web resources to help you get started on creating one.

Typically, business organization charts are created for the purpose of locating employees in an office or for identifying key staff positions. Naturally, most organizational charts require the use of name mapping and skill mapping to display the key relationships between people. Regardless of the reason for creating one, there are a number of organizing software applications available, including Word, Excel, PowerPoint and Tableau.

Structuring your organizational chart with each staff and their key responsibilities will help you define your business. For example, the key purpose of the chart can help you define department boundaries. You may choose to place everyone on the chart into a single department or you may choose to create sub-departments. You can also break the organizational chart down into multiple levels for greater clarity. The most important things to keep in mind when making your organizational chart are avoiding duplicative information, clearly defining roles within the organization, and planning for future expansion.

Why Your Small Business Needs an Organizational Chart

Your small business will need an organizational chart to keep track of important information and projects. To ensure that you don’t get overwhelmed by the pile of projects and assignments, consider creating an organizational chart in your company’s first weeks.

But in order to make this chart functional, you need to consider its features beforehand. You also need to know how to design it. Otherwise, it won’t give you the efficiency that you want and it will only collect dust on the table.

So how do you build an organizational chart that works best for your small business? This article will give you advice on what to include and what to look for when creating your chart.

Organizational Chart Features

Creating a functional organizational chart is often easier said than done. After all, selecting what goes into an organizational chart can be quite tricky. You have to figure out the important information, and also make sure that the selected information isn’t multiple or duplicated.

Here’s a list of some of the most important features of an organizational chart:

  • Time Management
  • Reporting
  • Supervisor and management
  • Leadership
  • Professionals
  • Staff organization and separation
  • Accountability
  • Employee relations
  • Meetings, appointments, and events

Benefits of Using an Online Organizational Chart

An online organizational chart is an easy-to-use, web-based tool that gives you the ability to create a graphical representation of your company or organization’s structure in seconds. Creating an organizational chart is easy using organizational chart software, and we have outlined steps below to show you how to make an effective organizational chart for your business. Using a wall chart for your organizational chart can be a health hazard. Parents magazines are entitled to print articles on the emotional and physical health problems that can emerge indirectly from this sort of work. It is interesting that about a dozen studies have been done on the health issues of schematic drawing over the past 50 years.

The first step for creating an organizational chart in an effective manner is to decide whether you are going to use a spiral-bound or a loose-leaf chart. Spiral-bound organizational charts are a permanent fixture with a sheaf of pages that prints out into four strips. These charts have a durable spine and tear-resistant pages, and they are quite easy to create. This type of organizational chart organizes people by skills rather than by job title. This kind of organizational chart works well for businesses in which employees have jobs that require specific skills that are not visible on the job itself, such as a photographer or an editor.

The Bottom Line

A business organizational chart is a chart that illustrates the management structure in a business organization, which includes the management structure of an organization as well as the functional or administrative structure of an organization. It enables the following:

Business Structures: Business organizational charts (also known as organizational charts) represent the structure of an organization, which includes the structure of the organization itself and the layers below. The business organizational chart helps in understanding the layers and the importance of each layer in the organization’s decision-making environment.

Functional Dive: The organizational chart is an exercise in visualizing how functions operate, and how they are coordinated. In some cases, it shows how we can further divide the functions of the company and work as a well coordinated team.

Centrality: The diagram allows the reader to understand the responsibility of each layer as well as how centrality is exercised across the structure, namely how it is performed at each layer. Centrality is a key aspect in several areas, such as teamwork, strategic planning, communication and delegation of operations.

Reciprocity: The chart clearly communicates the level of reciprocity; the responsibilities of one department/function/layer are reciprocated to another.