28+ Sample Detailed Organizational Charts

What is a Detailed Organizational Chart?

A detailed organizational chart is a schematic representation of a business’s internal arrangement. It details the relationships, responsibilities, and roles of workers within a company. You can also call an organizational chart as an organization chart or org chart. An org chart visually displays the hierarchical status of employees with other individuals who are also part of the company. According to Investopedia, you can create organizational charts using three common formats: hierarchical, flat, and matrix. The hierarchical format is the most commonly used model among the three, which we will discuss further in the next section of this article.

The flat format or also referred to as a “horizontal” chart, is a type of diagram that places employees on one level, indicating equality in authority and freedom in decision-making. The matrix format is a more complex organizational outline because it groups people according to their general skill-sets. For example, a graphic designer has two projects to complete, one is with his regular team leader, and the other with their project manager.

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An Example of a Detailed Hierarchical Organizational Chart

The hierarchical structure positions the high-ranks above the diagram and situates the lower-ranks under them. Here is one example of a hierarchy, along with every individual’s job descriptions.

Chairman. In a corporation, the chairman’s role is to govern every board meeting, to set an agenda, and to persuade board members about their votes. He sees to it that committee meetings proceed without any setback. Also, he labors in reaching a general agreement regarding the decisions of the board.Board members. Board members represent shareholders. Their work responsibility is to create policies for supervision and management, deciding on major corporate issues. These decisions may specifically include appointing corporate directors, compensating executives, and creating dividend policies.Chief executive officer. The person who runs the whole company is the CEO. Also, he is the person who the business executives communicate with, but it is the board of directors who appoint him. The role of a CEO differs from company to company depending on its structure. In large companies, CEOs usually make strategic and major decisions for the overall growth of the company. In small businesses, CEOs help in handling day to day operations.President. In a corporation, the president serves as a leader of an important segment of the whole company, instead of being the overall leader of the whole company. In some entities, the CEO is also the president. In small companies, the company owner might also be the president. In an establishment where a CEO is in charge, the president comes next to him in the ranks. You can also refer to a president as a COO or chief operating officer.Senior vice president. The highest in the ranks of vice presidents is the senior vice president. He directs the activities of the other vice presidents under him. He is someone who was once a vice president and progressed as being the senior vice president because of his experience and longevity.Vice president. The responsibilities of a vice president may include the following: lead different departments and oversee its operations, assess the work of other leaders, execute the business plan, develop a marketing strategy, increase the company’s profitability, evaluate the company’s success, and keep an eye on competitors, markets, customers, and trends. The obligations of a vice president depend on the company’s needs.Assistant vice president. One level below the vice president is the assistant vice president. His duties may include screening new hires for the management position, managing departmental marketing, and analyzing the performance of every department.Senior director. In marketing, the role of a senior director is to oversee the advertising materials of a business organization. His main responsibility is to ensure that the business brand keeps its reputation in all advertising materials. In research, his job is to create research projects as well as oversee the making of findings records. In financing, his work is to control company finances through careful monitoring of profits.Assistant director. The function of an assistant director may include the following: supervising company programs, assisting the human resource department in recruiting and hiring new staff members, managing financial matters (e.g., payroll), planning major events relating to a company’s programs, marketing and promoting special events, supervising employees while giving them tasks, and more.Manager. The manager’s job is to plan, command, and supervise the operation of a specific department or division within the company. He is also responsible for keeping the work system, processes, and policies in place while motivating his people to do their part.Assistant manager. One of the primary duties of an assistant is to delegate tasks. In the absence of a manager, the assistant manager takes his place. They have the authority to delegate duties and obligations essential to the business’s operation. They assign different tasks to different workers while executing other duties and responsibilities.Full-time employee. Normally, a full-time employee works 40 hours in one week, yet there are state and federal laws that lowered this norm. For the Bureau of Labor Statistics, a full-time worker works more than 35 hours in one week, but this is for the sake of statistics alone. The Fair Labor Standards Act, which is the dominant law for employment in the U.S., leaves the issue to the employers. What matters to them is that employers obey their provisions concerning child labor, overtime, recordkeeping, and minimum wages.Part-time employee. To make it simple, a part-time employee is a worker who labors less compared to a full-time employee. A company’s policy manual should clearly state its distinction between full-time and part-time employees.

How To Create a Detailed Organizational Chart by Using Word

Ever since technology advanced, people can make detailed organizational charts, not only with their pens and papers but also by using word tools in their computers. The following are steps to create an org chart with the help of Microsoft Word:

Step 1: Click Insert SmartArt in your Word Document

Open Microsoft Word and click the Insert tab. Choose the word SmartArt to see the Graphic Menu. On the left side, you can see the word hierarchy. Now, you can select the template that you want to use as a diagram.

Step 2: Enter the Right Text that Belongs to Each Shape

After choosing a template, a pop-up menu will appear. Next thing you do is to enter the right text that belongs to each shape. Every shape represents an executive or an employee that belongs to the structure. Note that you still have to organize the information you have before you create an org chart, to ensure its completeness.

Step 3: Organize Your Chart According to Hierarchy

Remember that the purpose of an organization chart is to clarify the organization’s structure, specifically the “chain of command.” An org chart must determine who is under whom to prevent confusion in the company’s overall function. To put someone on top using Microsoft Word, you can press the Tab key right after you click an employee’s name on the text box. To place someone below, click the keys Shift and Tab together.

Step 4: Add or Delete Shapes

Most templates in Word come in five shapes, but if you have a large company, you will need more than that. To put on additional shapes, click the tab SmartArt Tools Design, then select Add Shape. By doing that, it will be easier for you to control where you want your shapes to be.

Step 5: Finalize Your Detailed Organizational Chart

To finalize your org chart, you can choose the fonts, sizes, colors, and shapes according to what you think is best. Make your detailed diagram simple and easy to understand. Choose colors that will make the fonts clear for your employees. Remember that you are making an org chart to maintain order in your company.

FAQs

What are the advantages of making a detailed organizational chart?

The following are reasons why a company should have a detailed org chart: (1) It defines reporting relationships. An org chart will show a worker to whom he/she reports and who also reports to him/her. This will prevent confusion between employees because it also displays who supervises whom. (2) It controls the extent of management. It is normal for the organizational chart to change over time when the company grows. In a company with only four employees, you will expect all members to report to the owner himself/herself. When a business expands, the number of employees also increases. Therefore, an org chart will keep and control the number of employees who will report directly to the CEO. (3) It makes project planning easier. Managers use the org chart to divide a large project into simpler tasks. Then, they choose workers who will be responsible for completing every task.

How do you update an organizational chart?

You cannot directly edit a company’s org chart. The diagram will update itself once there are real changes in the structure depending on the decision of the top management. For example, to transfer a full-time employee to another position in the structure, the higher ranks must first decide to move that employee to a new manager.

What are the obligations of every board member?

The following are general duties of board members as individuals: (1) attend every committee and board meeting, (2) know the mission, policies, programs, and services of the company, (3) review the agenda prepared by the chairperson before attending the meeting, (4) contribute finances to the business, (5) market the business organization, (6) nominate potential board members, (7) keep an update about organizational developments, (8) obey all the policies written in all contract signed, and (9) review the company’s financial statements.

How many board of directors should a company have?

This depends on the organizations’ needs. To determine the number of directors your company needs, consider the following factors: (1) The board needs enough expertise to achieve its mission, (2) If the number of directors is not enough, the tendency is for members to overwork and be unproductive, and (3) If the number is too much, each member may have lesser chances of participating actively.

How long should be the term of a board member?

There are no rules that exactly decide on that matter. Most organizations limit the term of their board members to only two successive terms and may require one to rest for a year before shareholders appoint him again. Some companies change almost half of their board members every two years.

A detailed organizational chart serves as a guide for all company members, for executives and employees. It helps a company maintain its order as a whole. Without one, a business organization will have a hard time reaching its goals.