Introduction

Organization charts is a vital tool for providing information about organizational relationship,
such as a chart is a diagrammatical form which shows the major functions and their
respective relationships. and manuals are prepared for the purpose of describing the
organization structure.

 These are used as tools of management control.

 They give full information on a particular organisation.

 An executive finds out his exact place in the organisation structure from the charts and
manuals.

 It shows the responsibility and authority of an executive. He knows his superior for whom
he is responsible and his subordinates whom he has to supervise.

J.Batty defines, “an organization chart is a diagrammatic representation of the framework or

structure of an organization”.

Terry defines, “an organization chart is a diagrammatical form which shows the important
aspects of an organization including the major functions and their respective relationship, the
channels of supervision and the relative authority of each employee who is incharge of each
respective function”.

Contents of organization charts

1. Basic organization structure and flow of authority.

2. Authority and responsibilities of various executives.

3. The relationship between the line and staff officers.

4. Names of components of organisation.

5. Positions of various office personnel.

6. Number of persons working in the organisation.

7. The present and proposed organisation structure.

8. Ways of promotion.

9. The requirements of management development.

10. Salary particulars

TYPES OF ORGANISATION CHART: all use a spatial relationship (i.e, a distance
between) to illustrate differences in rank, authority or status.

1. Basic(Vertical chart): the basic relationship is that between superior and subordinate, and
usually this is shown vertically. The lines of command flows from the top level to the bottom
in vertical lines. This vertical chart is in the form of a graph. This type is followed in
companies.
Superior-supervisor,etc Subordinate-operator,clerk,etc

Managing
Director

Production Marketing
Finance Personal
Manager manager
Manager Manager

Sales
Marketing Sales promotion
Manager
research Manager Manager

Regional sales Regional sales Regional sales

manager A manger B manager C

Sales executive I Sales executive II

Sales executive III

salesman salesman salesman salesman

This fig .1 shows Top –down Organization chart

2.Horizontal chart: the lines of command flows horizontally. In this, the supervisor is on the left
side of the chart and the subordinate on the right side or vice versa. This is not followed in any
organisation.
 Production Sales Regional
manager manage sales Sales
manager I sales
EX.I
man
Marketing
manager
Manager Marketing . Regional salesma
director R.manager sales n
manager II Sales
Finance Ex.II
mnager
salesma
Regional
Personal
Sales sales
manager Sales Ex. III
promotion manager III Sales
manager man

Figure 2. left to right organizational chart.

Principles of organisation chart:

1. Observation of lines of authority by top executives: the executives should never by pass the
lines of authority. The executives should give orders or obtain information by following the
lines of authority.

2. Observation of lines of authority by subordinates;

3. Defining lines of position: the position of each individual in an organisation should be

clearly stated. The staff should be assured that there would not be overlapping and two
persons would not be appointed to the same position when their authorities and
responsibilities are different.

4. Non-assignment of same duty twice: an individual should not be compelled to work

under two masters for the same work performance.

5. Avoid unique concentration of duty: all work or maximum work should not be
concentrated in a single point. The work should be divided according to the duties and
responsibilities of each worker and the administrative relationship with others.

6. Organisation charts should be above personalities: a position should not be assigned to

a person since he is the son or relative of any one of the top executives
of the organisation. Importance should be given to an organisation than to an individual.

7. Simple and flexible: understandable. Size and nature of the organisation may be changed
in course of time. Need may arise for periodical modification in the organisation chart. Then
the existing organisation chart should permit these modifications

Advantages of organisation charts:

1. They give a clear picture of the organisation in a simple way.

2. They show the levels of authority and relationship prevailing among employees at a
glance.

3. Dual reporting relationships and overlapping positions come to light in the preparation of
organisation chart.

4. Instructing work is simplified.

5. Newly hired personnel can understand their role in the organisation and behave
accordingly.
6. Strengths and weaknesses of an organisation are evaluated.

7. It act as authoritative sources of information.

8. The lines of authority shown are definite and formal.

9. The lines of promotion can be understood.

10. Organisation charts help planning and improve communication both inward and outward.

11. Correct methods of checking and balances in the organisation are provided.

12. The degree of contribution to organisation and acheivements can be identified.

13. The obstacles to the efficient functioning of the mgmt can be found while drawing the
organisation chart.

14. The outsiders can have a quick understanding of each department and orgnal disputes can
be solved in the organisation.

Limitations of organisation charts:

1. Most of the org charts are like photos taken in an instant

2. The organisation charts create more rigidity of relationship prevailing among the
employees of the organisation

3. It is very difficult to maintain and ensure that the organisation charts uptodate. The
employees of the organisation are very reluctant to put up with the organisation changes.

4. The organisation charts don‟t show the informal relationship existing among the
organisation staff members.

5. If the charts are not correctly prepared, they will lead to misleading inference. A false
picture may be developed by following the oversimplified organisation structure.

6. There is no differentiation between line officers and staff officers in an organisation chart.

7. The organisation charts produce a psychological complex such as superiors, inferiors etc.,
in the minds of the employees.

8. The relationship shown in an organisation chart does not actually prevail among the
employees.

9. The words and lines used in an organisation charts give different meanings to different
people.
Organization chart of Nursing services at Medical College Hospital

Principal

M.S.V.P

Nursing Superintendent

Sr. Sister Tutor

D.N.S

Sister-in-charge Sister Tutor

Staff nurse

Student
Bibliography

1. Prasad L M. principles & practice of management. 4 th ed.sulthan chand &

sons; New delhi:1994.
2. Neeraja K.P., Textbook of Nursing education, 1st edition, New Delhi, Jaypee
Brothers Medical Publishers (Pt) Ltd., 2003
3. Basavanthappa BT, Nursing education, 1st edition, New Delhi, Jaypee
Brothers, 2003.