Job Advice and Coworking

Organization Chart: Definition and Types

19 Nov 2024

In any company or startup, organizational clarity is essential for success and collaboration. Organizational charts are visual tools that facilitate the understanding of the internal structure, helping teams and leaders to coordinate better. At Aticco, we know that a clear organization, combined with flexible workspaces, enhances collaboration and efficiency in every team.

What is an Organizational Chart and what is it used for in a company?

The organization chart is a key tool for any organization, since it allows visualizing its internal structure and hierarchical levels in a graphic and understandable way. A company's organization chart shows how responsibilities are distributed, how departments are organized and what functions each team member has. This is essential to establish a clear line of communication, facilitate coordination and promote operational efficiency within the company. In the business world, organizational charts are essential for structuring roles, responsibilities and workflows. However, it is not enough to have a well-defined structure on paper; it is just as important that the physical space where companies operate reflects that organization. Coworking spaces, such as those offered by Aticco, allow companies to set up adaptable spaces according to their organizational chart, facilitating both collaboration between large teams and the work of independent professionals. This flexible approach not only optimizes productivity, but also fosters cohesion and dynamism in teams.

Types of Organization Charts

Choosing the right type of organization chart is essential for a company's structure to be represented in the best possible way. The following are the most common types:

Vertical Organization Chart

The vertical organization chart is the most traditional and is characterized by showing the hierarchical structure of the company from top to bottom. In this model, the top positions appear at the top and the lower levels are placed below. It is ideal for companies with a well-defined hierarchical structure, as it allows to quickly visualize the relationship of subordination between different areas and team members.

Functional Organization Chart

This type of organization chart distributes the company's areas or departments according to different functions or specific tasks, such as marketing, finance, sales and human resources. The functional organization chart helps to clearly define the roles and responsibilities of each team, improving efficiency and specialization within the company. It is useful in companies seeking to optimize their processes through a clear delimitation of functions.

Interactive Organization Chart

With the evolution of technology, the interactive organization chart has become a popular tool in the organization of modern companies. Unlike traditional organization charts, this model allows for dynamic navigation and real-time updating. In addition, it is ideal for companies with complex or rapidly changing structures, as it allows you to add details about each team member, including skills and current projects. An online or web-based organizational chart makes it easy for any employee to access it anytime, anywhere.

Small Business Organization Chart

Smaller companies tend to adopt simpler organizational charts, reflecting fewer hierarchical levels and a less complex structure. This type of organization chart is more flexible and allows each team member to have a multifunctional role. It is common to see a horizontal organizational chart in these companies, where the founders or leaders have direct contact with all team members, fostering collaboration and fluid communication.

How to create an Online Organization Chart

Today, technology greatly facilitates the creation of online organization charts, with tools that allow you to create customized diagrams adapted to the specific needs of each company. Here are some basic steps to create an online organization chart:
  1. Define the structureBefore creating the organization chart, it is important to be clear about the structure of the company and the roles to be reflected.
  2. Choosing the right toolThere are multiple platforms that allow you to create an online flowchart, such as Miro, Lucidchart and Canva, where you can easily customize your designs.
  3. Customize the organization chartSelect colors and shapes that represent the company's identity, and add relevant information about team members or departments.
  4. Update regularlyAn organizational chart should be kept up to date to reflect any changes in the organizational structure.

Examples of Business Organizational Charts for inspiration

Observing how other companies organize their structures can be very useful when designing your own organization chart. Here are some examples of common company organization charts:
  • Organizational chart of a technology companyIt usually includes areas such as development, marketing, operations and technical support, with well-defined hierarchies in each department.
  • Organizational chart of a service companyOrganizes the teams according to customer service, operations, finance and marketing areas, highlighting the interaction between these departments.
  • Organizational chart of a startupTends to be less hierarchical and with cross-functional roles, in which the founders and core team are directly involved in multiple areas.

Common challenges in diversity and inclusion in the workplace and how to overcome them

Organizational charts can also play an important role in promoting diversity and inclusion in the workplace within companies. Establishing a clear structure helps ensure that all voices are represented and that an inclusive culture is fostered from the ground up. Common challenges include unequal opportunities and lack of visibility for certain groups. Overcoming these challenges requires proactive diversity policies and the creation of inclusive workspaces that promote equality and respect. The organizational chart is an indispensable tool for any company looking for a clear and organized structure, especially in collaborative work environments such as coworking spaces at Aticco. By offering flexibility and customization, organizational charts allow innovative companies to adapt and grow in a changing environment, optimizing team collaboration and promoting inclusiveness.

Frequently Asked Questions about Organization Charts

  • How does the organization chart affect the organization of a company?

    The organization chart is a visual guide that facilitates coordination and improves communication in a company, helping to avoid confusion about responsibilities and hierarchy in each team. A clear organization chart optimizes workflow and allows for more agile decision making.

  • What are the best tools for creating an online organization chart?

    Some of the most recommended tools for creating an online organizational chart are Lucidchart, Miro and Canva. These platforms offer customizable templates that adapt to different types of business structures and allow for easy real-time updating.