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Organization Chart Contents



 
1.0 INTRODUCTION
We have gone far enough in our discussion of the management function of organizing and it is well to bring it to an end for now. We shall take it up again in our next course on principles and practice of
management, where we will discuss other important phases concerning organizing. We can hardly emphasize the importance of this function. That is why the conceptual and design skills of the manager are called forth in the exercise of this function.

 Last note, which is note 13, we looked at the span of control of the manager. We saw the nature of span of control and the implications. The implications are that in working out the desirable number of subordinates that should report to a manage gives rise to two forms of organization structures – the tall-shaped and flat – shaped structures. There are advantages as well as disadvantages of these structures which we discussed.

In this note, we will be talking about organization chart, and it is part of the final phase of organizing, for it is a reflection of an organization, showing the positions, levels, lines of authority as well as lines of communication. But the reflection is mainly in diagrams so that any one that sees them can quickly see the structure of organization. Actually we have been drawing organization charts since we started treating the function of organizing. What we will be doing in this note is to give more meaning to organization chart.

2.0 OBJECTIVES
By the end of this note, you should be able to:
· define an organization chart
· list the criteria for drawing a good organization chart
· explain the advantages of an organistion chart
· explain the limitations of an organization chart.

3.0 MAIN CONTENT
3.1 Definition of Organization Chart
When the structure of an organization is shown in a diagrammatic form, it is known as an organization chart. Remember that what we have said concerning the structure of an organization. It consists of levels and position which indicate the main activities that are being performed in order to attain the objectives of an organization.

3.2 Criteria for Drawing a Chart
There are standard criteria which are necessary for proper drawing of a chart so as to carry to the reader the actual information that is intended . These criteria are sometimes called rules for drawing a chart and they include the following:

3.2.1 Title
There should be a title for every position in the chart. This is necessary so that one position will be distinguished from the others. Care should be taken so that titles are not repeated. That is why before a position is created, careful consideration as to what the title should be would have been thrashed out.

3.2.2 Position
There should be positions which must be clearly indicated . Positions of the same status that is, of the same line must occupy the same horizontal line. For example, the functional managers which we have earlier identified to be production manager, personnel manager, finance manager and the marketing manager must occupy the same horizontal line. Any one of the positions dropping below means that the position is inferior to the others. Note that authority resides in the position.

That is why we always stress that each position with responsibility must attract commensurate authority . This is necessary. We will further discuss in detail and the exercise of authority in our next course in management , which is the principles and practice of management (CPM 106).

3.2.3 Heads
At the introduction stage in our discussion of the management function of organizing, we noted that the assignments must be given to individuals and groups having identified and tied together the basic activities necessary to achieve organizational objectives . That is why there are groups of personnel such as personnel department, production department, marketing department and finance department all performing specific duties relating to their departments.

Each of these departments must have a head commonly referred to as head of department. All the other personnel in the department are answerable to the head of department, who carries out the management functions.

3.2.4 Lines of Communication
These lines are provided indication to the flow of communication in the organization. You have to note that the flow of communication vertical,  206 that is four the superior officer drawn to the subordinates, from the subordinates to the superior officer.

 It can be horizontal, that is, managers for example communicating with one another. Communication can still be diagonal. This is seen when an employee communicates with another employee through his head of department to another employee in the organization.

3.2.5 Lines of Authority Line of authority is another criteria or rule to be observed in the process of drawing up a chart. Authority, you may recall flows from the top to the bottom and never from bottom to top. You must also remember that each position is a position of authority. That is why such authority is called position authority or legitimate authority. It is the authority that the person occupying the position uses to influence the behaviors of those working under him.

 3.2.6 Relationships Important relationships should be clearly indicated in the organization. A part from the line relationship or line authority which we have just discussed, staff relationship, that is, those who offer advisory services should be clearly indicated in the chart.
 
Fig 14:11 Showing Simplified Organisation Chart

 Note: * Title may vary from one organization to another

3.3 Advantages of a chart
It helps executives to appreciate them by providing clear pictures with regard to job position and duties and how they fit into the organization as a whole. It helps to avoid overlapping authority by providing clear visual and detailed picture of lines of authority and responsibilities. Together with manuals, they help to foster notey of command. It affords managers to think of ways of improving the organizations when marking new editions of charts.

This is because they must analyze  208 the activities necessary to accomplish objectives. Only the essential ones are included in the chart, and resources deployed accordingly. A chart provides source of authoritative information. It facilitates management developing and training.

3.4 Limitations f Organization Chart
Organization Charts and manuals do not guarantee good management. Managers still need to apply their skills in the process of management. In practice there are frequent changes which are unavoidable. It is difficult to revise the chart each time these changes occur, thereby making the chart out of death. It is difficult to include in the chart everything that is going on in the organization. The chart only shows a static picture.

Also a chart only provides formal relationships. The informal ones are excluded. Human beings are generally sensitive to their relative positions and status in the chart. Hard feelings and resentments may be caused by showing their positions and status to the outsiders. Each individual often attempts to stick to areas charted for him, defends his own jurisdiction and avoid. There is high cost of preparing, and circulating charts which may be higher than the benefits.

4.0 CONCLUSION
In this note, we have discussed the essential things concerning organization chart. You can see that major things in respect of organization which we have been discussing have been brought together in a chart. We looked at the definition of a chart, the rules to observe when drawing a chart and the advantages of having a good organization chart. We also saw the limitations of a chart.

5.0 SUMMARY
This note completes our discussions on the management function of organizations which have taken several notes. That is how it should be because of its importance which enables the anger to design a favorable environment conducive for group efforts. We shall be taking up the management function of staffing in our next note.  




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