Managing People - the Organisation Chart

Author: Jim Riley  Last updated: Sunday 23 September, 2012

People management - Organisation charts & hierarchy

The simplest way to show how a business is organised is to look at an organisation chart.  This shows the management hierarchy in a business and works from top to bottom. Here is an example organisational chart:

Hierarchy

The levels of hierarchy refer to the number of layers within an organisation. Traditional organisations were tall with many layers of hierarchy and were often authoritarian in nature.

The organisation chart above shows a business with four levels of hierarchy – from the Managing Director at the top, to assistants and team members at the bottom.

Below is another organisation chart, which shows a taller hierarchy.

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