How to create an organizational chart (with free templates)

You’re at a family dinner when your grandma pulls out the family tree. She smooths out the paper, tracing her name down the line until she finds a familiar one. “See! Right next to your cousin Charles—that’s your third cousin, the famous poet!”

Just like family trees, organizational charts help visualize where you and your team members fit within the organization’s structure. Also known as an organogram, an org chart outlines your team structure and illustrates reporting relationships between roles.

In this guide, we’ll cover how to make an organizational chart, the different types of org charts, and provide free organizational chart templates to help you build your own.

How to make an organizational chart

An organizational chart is a way to visualize your company’s structure. To create an org chart, you’ll need to gather team member information and decide how you’d like to build the chart. 

As you consider the reporting relationships in your organization, you can plan your chart from top to bottom.

1. Define scope

You can treat your organizational chart like any other new project you work on. Defining the scope of your org chart can help ensure it clearly represents your team structure. The scope will determine the overall purpose of your organizational chart.

To begin, consider the following questions:

• Will your org chart act as a resource for team members to know who’s who within the company? 

• Will you share your organizational chart with external stakeholders or partners? 

• Will you need multiple charts for different levels of the company? 

Asking these questions from the start can help you gather the right information and map out your chart.

2. Gather information

Gathering information is the most important step of making an organizational chart because without the right information, you won’t be able to proceed.  You can gather information by surveying individual team members through email or working with your HR department. 

You’ll need up-to-date information about the people in your company, including employee names and their latest job titles. You’ll also need to understand reporting relationships throughout your company, such as the hierarchy between managers and direct reports. Consider gathering headshots of your team for added personalization.

3. Decide how to build your chart

Deciding how to build your organizational chart is crucial because different tools can make the process easier. Drawing out your org chart by hand isn’t time efficient and will make your results hard to share, so consider harnessing the power of a tool for this process. 

Using an editable PDF can save you time because the template is pre-built with placeholders. You can then easily share the PDF with the rest of your company. 

4. Plan for updates

After creating your org chart, use a team calendar to plan for regular updates. After all, it’s likely that your company structure and team dynamics will change often. 

People switch in and out of positions, new employees are hired, and reporting relationships change. With a digital org chart, it’s easy to update the structure and redistribute it to team members.

Organizational chart templates

Creating an organizational chart can be easier when building from an org chart template. Most companies follow similar structures, whether it’s a top-down structure or a matrix structure. 

You can use the org chart examples below as jumping-off points. To create your custom org chart, determine which organizational type best represents your company structure. Then, update this free org chart template to fit your unique team needs.

Types of organizational charts

There are four common types of org charts. Each one uses a different chart design and represents a different way that a company might function. Since an organizational chart is basically a hierarchy chart—a visual translation of your company’s internal structure—the chart type you use should mirror your organization’s reporting relationships and decision-making procedures.

1. Functional top-down (hierarchical)

A functional top-down org chart is the most common structure, with the company functioning as a hierarchy. At the top of this organizational structure there is one team member, who usually has the title of president or CEO. 

Branching off from that team member are the leaders who are next in charge, like the company vice presidents. The organizational hierarchy extends further into departments and eventually branches into teams. 

2. Matrix organizational chart

The matrix organization is a more complex structure than the traditional top-down design. If your company uses this reporting structure, team members report to multiple managers. 

While employees likely have a primary manager they report to for their department, they may also report to a project manager. These secondary project managers also have department managers they report to, which makes the matrix org chart look rectangular instead of tree-like. 

3. Divisional structure

A divisional organizational structure is a high-level version of the traditional hierarchical structure. Divisional structures make sense for companies that have departments working independently from one another. 

For example, companies with separate product lines may work in divisional structures because each product line has separate IT, marketing, and sales departments.

4. Flat organizational chart

The flat organizational chart is unique because it shows few or no levels of management. This type of organizational structure may be present in a small business or a modern business that’s experimenting with no chain of command. 

With this type of organizational structure, the company promotes wide-spread team member self-management and decision-making. 

How to use an org chart

Using an organizational chart provides a clear visual of different departments and job titles in action, helping team members collaborate effectively and feel confident in their roles and responsibilities.

1. Visualize reporting relationships

As a manager, you may use an org chart to show work responsibilities and reporting relationships to new team members. When onboarding new hires, the org chart helps team members get to know their fellow teammates and what they do. It also helps new team members remember who’s who within the company. 

2. Manage growth and change

Organizational charts can also help the leadership team stay organized and manage growth or change within the company. For example, if a department head notices that one team has become larger than other teams, they can shift or hire new team members to create balance.

3. See where everyone fits

An org chart creates clarity by showing everyone in the company where they fit in the organizational structure. If a new member joins the team, they can glance at the organizational chart and understand that they have five other members on their team, two assistants below them, and a project manager above them. They can also see that their project manager reports to a department manager.

4. Improve communication

Having an established organizational structure for your company can improve communication because it makes reporting relationships clear. Without an organizational chart in place, team members may not know who to go to when they have questions. The org chart makes it clear who leads what, so team members can feel empowered to ask questions and collaborate with others.  

5. Create visual directory

An org chart is essentially a visual directory of your organization. You can update the chart when team members get promoted or when they leave. Keeping a visual directory up to date keeps everyone informed of who’s working at the company and what their current position is.

Pros and cons of using organizational charts

Before learning how to make an organogram or org chart, teams should understand the pros and cons to build a structure that grows with their team and workflows.

Pros of organizational charts:

• Improves communication and clarity. Helps team members understand reporting relationships and how their roles fit into the company structure.

• Simplifies onboarding. New hires can quickly grasp team structure and leadership hierarchy.

• Improves decision-making. Leaders can better assess workflows, allocate resources, and streamline organizational structure.

• Supports restructuring efforts. Provides a clear snapshot of the company’s evolving hierarchical or flat organizational chart.

• Works with modern tools. Platforms like Lucidchart, Microsoft Excel, PowerPoint, and Asana allow easy updates, real-time collaboration, and integrations with project management tools.

Cons of organizational charts:

• Gets outdated quickly. Company restructuring and role changes require frequent updates to maintain accuracy.

• Only shows formal relationships. Doesn’t capture dotted-line reporting, informal teams, or collaborative workflows.

• Lacks management style insights. The org chart displays hierarchy but not leadership approaches or team dynamics.

• Can be difficult to update. Static charts require constant revision, but org chart software and apps like Asana offer real-time adaptability.

Streamline your structure with an org chart

While there are limitations to organizational charts, these charts offer a helpful way to understand your company structure. It can also improve communication with upper management by clarifying roles and responsibilities. To build an organizational chart for your company, use our free editable PDFs and customize them as you see fit. 

Need help streamlining teamwork? Find out how Asana helps teams communicate effectively.

FAQs about org charts and organograms