Org charts and org chart types. How companies structure reporting relationships. The stuff of Dilbert cartoons and tales of disaffected corporate woe, but also the glue that holds most organizations together in some semblance of order.
A Reader Question about Types of Organizational Structure
I’m overdue for answering a reader question, so let’s answer one about org chart types. This arose out of a post I wrote a while back about how to become a management consultant. In that, one of the pieces of advice that I offered was to become well versed in different organizational types and structures.
This led to a pretty natural reader question.
After reading your post on becoming a management consultant, I’m wondering if you have useful resources for tackling three of the areas you encourage learning:
1. Business Organization Structures
I’ve elided the second two things he asked about because speaking to all three would make for a pretty disjoint blog post. So today, it’s all about the org chart. (Not to be confused with organizational structures like LLC, S-Corp, etc, which I won’t talk about here).
So let’s define the actual purpose of org charts, and then walk through some of the most common examples. I’ll structure this post by how a company might adopt these structures at different points in its maturity. But first, I’ll speak to the philosophical why.
And I’ll try to do it all while striking a healthy balance between cynicism and exposition.