Why Every Business Needs an Organisation Chart

Whenever I say ‘Every business needs an Organisation Chart’ in a presentation, I immediately follow it up by telling people who run very small businesses not to switch off, because this applies to everyone from the ‘solopreneur’ to BT. That’s because this isn’t a chart of who does what in your business; it’s a chart of what needs doing and who is responsible and accountable for getting it done.

All businesses are essentially the same

The reason it applies to all businesses is because all businesses are essentially the same. They look like this:

Businesses the same 1

 It follows that you need people in your business responsible for each of these areas. The Organisation Chart helps you to see how that works for you. At a minimum, it might look like this:

org chart black 1

Three good reasons to have an Org Chart:

1.  It defines what your business looks like
2.  You are clear about everything that needs to be done and where the responsibility lies:

  •  If you’re a ‘one-man band’ your name will be in every box
  •  If you’re in a partnership, you need to be clear about whose name is in each box. You can’t both be CEO, but one of you does need to be

3.  It gives you the basis for growth. When you want to hire in some help you can see where to do it. (Hint: start with the things that you aren’t the expert in).

Susie Collings helps businesses to run better – creating a good foundation for higher profit margins, loyal customers and staff, winning new business, easily adapting to change and growing sustainably.

If you want to build a robust framework for the people in your business or discuss any of the points raised please call Susie on 0118 380 0545 or email info@exilia.co.uk

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