Structure of the Company (Organizational chart /Organigram / Organogram)
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An organizational chart, also called organigram, organogram, or organizational breakdown structure, is a diagram that shows the structure of an organization and the relationships and relative ranks of its parts and positions/jobs.
An organogram is a graphical representation of an organization’s structure. It’s used to show hierarchical relationships between supervisors and the team members who report to them, as well as departments.
To make an organogram you can use many free offline and online tools.
Common Tools to Make an Organogram
Among the free tools Excel seems easy to me for making organograms for large companies.
However, if you have the budget and want to avoid manual hassle you can use paid online tools.
Online Template Or Organogram Maker Example
Benefits of Creating an Organizational Structure
- Provides accountability
- Clarifies expectations
- Documents criteria for promotion
- Designates decision-making authority
- Creates efficiency
- Fosters collaboration
Common Types of Organizational Structures
- Hierarchical organizational structure
- Functional organizational structure
- Horizontal or Flat organizational structure
- Divisional organizational structures
- Matrix organizational structure
- Agile or TEAM organizational structure
- and many more
Hierarchical organizational structure
In a hierarchical organizational structure,
employees are grouped and assigned a
supervisor. It is the most common type
of organizational structure. Employees
may be grouped by their role or
function, geography or type of products
or services they provide.

Functional organizational structure
In a functional structure,
the organization is
divided into groups by
roles, responsibilities or
specialities. For example,
an organization may have
marketing, finance and
sales departments that
are each overseen by a
manager who also has a
supervisor that oversees
multiple departments. A
functional structure can
be beneficial because
departments can trust
that their employees
have the skills and
expertise to support their
goals.
Horizontal or Flat organizational structure
In a flat organizational
structure, most middlemanagement levels are
removed so there is little
separating staff-level
employees from upper
management. Employees are
given more responsibility and
decision-making power
without the usual
hierarchical pressures or
supervision and can often be
more productive. Small
companies and early-stage
start-ups mostly use this type
of structure because they
often have fewer employees
and projects to manage. It
may also be referred to as a
"horizontal structure."
Divisional Structure
In a divisional structure,
organizations are split into
divisions based on specific
products, services or
geographies. For this reason,
this structure is typically used
by large companies that
operate in broad geographic
areas or own separate,
smaller companies. Each
division has its executive
leadership, departments and
resources. For example, a
large software company may
separate its organization
based on product type, so
there's a cloud software
division, a corporate software
division and a personal
computing software division.
Matrix Organizational Structure
The matrix organizational
structure resembles a grid in
which employees with
similar skills are grouped
and report to more than one
manager. This often includes
a functional manager who
oversees projects and their
progress and a product
manager who is responsible
for the company's strategy
and success regarding
product offerings. The
matrix structure is typically
used by large, multinational
organizations and promotes the sharing of skills and
knowledge across
departments to complete
goals.
Agile or TEAM organizational structure
In a team-based/ Agile organizational structure,
employees are grouped
into skills-based teams to
work on specific tasks while
working toward a common
goal. Often, this is a flexible
structure that allows
employees to move from
team to team as they
complete projects. This
structure focuses on
problem-solving and
employee cooperation.
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