1. Organisation Charts An organisation chart is a presentation in pictorial form of the structure of an organisation. It should also show the relationship between the personnel and the organisation.

2. The advantages of drawing such charts are:  (1)They make managers think clearly about the best form of organisation.  (2)They define authority and help in drawing up job specifications.  (3)They provide a visual aid for all concerned.  (4)They give a clear idea of responsibility.  (5)They prevent ‘passing the buck’ from one department to another.

3. The disadvantages are:  (1)They may create dissatisfaction among those who think their status is too low.  (2)They may represent the organisation as the managers think it is, or as they would like it to be, and not as it really is.  (3)They may get out of date unless frequently reviewed.

4. There are three main methods of presenting organisation charts the vertical, horizontal and circular methods. The vertical method is the most popular.

5. Rules for drawing and interpreting organisation charts  (1)If possible, all the boxes should be of the same size, or some people will think that the larger boxes are more important.  (2)Positions of the same level of seniority should be on the same level on the chart.

6.  (3)Charts should be fully labeled, and dated.  (4)Direct lines of responsibility should be shown by continuous lines; the main relations or points of contact between one department and another are shown by broken lines.

7.  (5)Charts should be regularly reviewed.  (6)In large organisations, it may be impossible to show the full struc­ture on one chart of reasonable size. In this case one general chart may be drawn showing the overall structure and separate, detailed charts showing the structure of each department.  (7)Charts should be neatly drawn in black or dark blue ink, for ease of copying