Org Charts as a Management Tool
Sunday November 4, 2007
Most Organization Charts are worthless. They show the formal organizational power structure of the company. The real power in an organization is often different.
However, Org Charts can be effectively used as a Management Tool rather than just a passive reflection of the way an organization has evolved. Org Charts as a Management Tool shows you the good, the bad, and the effective use of org charts.
How To Build an Org Chart
Another important thing to be aware of is that within any company there is the official org chart showing employee structure and then there is the hidden org chart. The hidden org chart is the way things really work within the company. An example being people who smoke tend to form a group. Maybe the guy/lady towards the bottom of the chart is really who most people look to for answers. Understanding how people naturally group together is important in developing company policies and strategies.