Organizational Chart

What is an organizational chart?

• A diagram that

displays a company’s
structure
– Identifies roles,

relationships, and
responsibilities

– It shows who is in

charge of whom

Hierarchical Structure

• Higher ranking

professionals are on
the top

• Lower ranking

individuals are
beneath

• Supervisors are clear
• May be divided by

department, product
types, geography, etc.

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Flat Structure

• Individuals are on the

same playing field

• Eliminated middle

management

• More autonomy
• Works well for small

businesses, more
challenging with
larger organizations

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Matrix Structure

• Employees are grouped

by skill, department, or
reporting manager

• Combines different

organizational structure
components

• Popular when project

managers seek out
employees from different
areas, that then report to
two managers

• Opens up communication

networks within an
organization

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Organizational Chart

Relationships

• Use lines to show how

one person is related to
another
– A solid line indicates who

reports to whom

• There may be multiple lines

from one person to others
based on how many people
report to that person

– A dotted line indicates a

more informal relationship,
ex. You may work on a
project with/ for this person

• Squares are typically

used around each
person/ role

Managerial Styles

• Describes how a

person manages
others
– Affects organization,

decision making,
planning, staffing, etc.

• Style may depend on

those being managed
and company goals

Autocratic

• Clear instructions and

expectations

• Not much input from

others

• Manager makes the

decisions

• Clear hierarchical

structure

• Lots of pressure on the

manager

• Helpful in life or death

circumstances

Democratic

• Consults staff/ team

members

• Input from others is

valued

• Employees are

encouraged to share
ideas

• Manager still makes the

final decision

• May take longer for a

decision to be made

• Not all employees feel

heard

Laissez-faire

• Managers are

mentors

• Employees make

their own decisions

• Managers are not

involved in everyday
tasks

• Hands off

management

Transformational

• Manager provides

clear, overarching
direction

• Managers provide

encouragement and
focus on growth

• Promotes innovation
• Works best when

employees are highly
skilled and motivated

Your Task

• Take some time to meet with your group and discuss

how you would like your business to be structured.

• Draft an organizational chart. As you create your chart,

think about how each person is related to another.

• Select a program to create an organizational chart.

Options may include: Google Docs, Google Slides,
Microsoft Word, Canva or another software.

• Your organizational chart should include:

– Your food truck name
– Each of your group member names within the chart,

along with their role

– For other employees, you may title them “Employee

1, Employee 2, etc.”, but be sure to include their role

– Use lines to show who is in charge of whom

Your Task

• Write a detailed

paragraph that explains
your chain of command
(who answers to whom)
and structure selected
based on the
organizational chart you
have created.

• Next, select a

managerial style
discussed and explain
why it is a good fit for
your organization.

Grading Rubric

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Criteria

Points

Possible

Organizational Chart:
•Food truck and group member names are included within the chart, along
with their role (3 pts.)

•Other employees are identified with role (3 pts.)

•Uses lines to show who is in charge of whom (3 pts.)

•A clear structure has been created (3 pts.)

•Chart is visually appealing and clearly communicates the organizational
structure (3 pts.)

15

Written Content:
•Explains the chain of command (2 pts.)

•Correctly identifies the structure created (1 pts.)

•Identifies a managerial style (2 pts.)

•Explain why the managerial style is a good fit (2 pts.)

7

There are no errors in grammar, mechanics, or spelling

3

TOTAL

25

Business Plan Integration

• Integrate your

organizational
chart and written
paragraph into
your Business Plan
under the section
“Organizational
Plan”.