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An organizational chart is a diagram that visually represents the structure of an organization. It outlines roles and responsibilities, making it clear who does what, who reports to whom, and how different job functions are interconnected. It serves as a communication tool and facilitates effective management and planning.
How to make a small business organizational chart
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Identify the business structure
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Identify key positions, roles, and departments
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Draw the lines of authority and communication
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Review and refine
Types of organizational charts
Choosing the right template for your chart depends largely on the structure of your business. Here are three examples:
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Small business. This type includes the owner or manager, their direct reports, and the teams for each department, showing a clear hierarchical structure.
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Simple. Ideal for businesses with a less complicated structure. This outlines only major roles and relationships.
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Horizontal. Perfect for flat organizations. This type of chart showcases teams or departments on the same level in the organizational structure.
Organizational chart FAQ
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What is the best layout for an org chart?
The best layout for an org chart depends on the structure and nature of your organization. However, in general, a hierarchical structure showing clear lines of authority and communication tends to be most effective.
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How do you create an organizational chart?
An organizational chart can be created using various software tools or by hand-drawing. The crucial elements to consider are identifying the organizational structure, positions, relationships, and communication lines.
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What is the best program to make an organizational chart?
There are numerous software tools out there to create an organizational chart. Some popular ones include Microsoft PowerPoint and Word, Google Slides, and and Google Sheets. The best program depends on various factors including your familiarity with the tool, complexity of your organization, and specific features you may require.

