Here is a term paper on ‘Organisation Charts’ for class 11 and 12. Find paragraphs, long and short term papers on ‘Organisation Charts’ especially written for school and college students.

Term Paper on Organisation Charts

Term Paper Contents:

  1. Term Paper on the Meaning of Organisation Charts
  2. Term Paper on the Features of Organisation Charts
  3. Term Paper on the Types of Organisation Charts
  4. Term Paper on the Principles Followed in Organisation Charts
  5. Term Paper on the Merits of Organisation Charts
  6. Term Paper on the Limitations of Organisation Charts

Term Paper # 1. Meaning of Organisation Charts:


A proper design of the organisation can help to improve teamwork and productivity by providing a framework within which people can work together most effectively. It is the duty of the top managers to relate the people to the design. Organising is a technical and highly demanding activity which requires special skills and abilities.

There are several aids of organisational design like organisation interview questionnaires, organisation charts, organisation manuals, flow process chart, work measurement etc. The most widely used techniques are organisation charts and manuals. These aids formalise and communicate organisational relationships to the members of the organisation.

Most organisation structures are too complex to be conveyed verbally. An organisation chart is a diagram of an organisation’s structure, showing the functions, departments or positions of the organisation and how they are related.

The patter of network relations between the various positions in an organisation and the persons who hold those positions is referred to as organisation chart. They depict the major functions or positions of the organisation and their inter­relationships.


According to Koontz and O’Donnell “every organisation can be charted, for a chart is nothing more than an indication of how departments are tied together along their principal lines of authority.”

Louis. A. Allen states, “The organisation chart is a graphic means of showing organisation data. Organisation charts are snapshots: they show only the formal organisation and depict it for only a given moment in time.” In the words of George R. Terry “A chart is a diagrammatical form which shows important aspects of an organisation including the major functions and their respective relationships, the channels of supervision, and the relative authority of each employee who is in charge of each respective function.”

Charts are a valuable adjunct to organisation analysis. They show overlap and duplication, dual reporting relationships, various authority levels, excessive spans of supervision and other deficiencies. Charts provide a bird’s eye-view of relationships between different departments of an organisation.

Term Paper # 2. Features of Organisation Charts:

The features of a chart are:


(a) It is a diagrammatical presentation.

(b) It presents formal organisation structure.

(c) It depicts the various levels of authority in the organisation.

(d) It indicates the inter-play of various functions and relationships.


(e) It identifies the superior, subordinate relationship.

(f) It specifies the channels of communication.

(g) It earmarks the intentions of the management.

Term Paper # 3. Types of Organisation Charts:

The presentation of the organisation design can be made in any one of the following ways. They are:


(1) Vertical charts

(2) Horizontal charts

(3) Circular charts.

(1) Vertical Chart:


Other name Top-down-chart. It shows the different levels of organisation in a step arrangement, with the senior executive at the top of the chart and the successive levels of management depicted vertically in pyramid form.

Its merits are:

(a) It is easily read and easily understood.

(b) It shows clearly the downward flow of delegation by merely trenching the connecting lines downward.


Its limitations are:

(a) The information conveyed is by this chart is limited.

(b) It creates confusion in the presentation of parallel levels.

(2) Horizontal Chart (Left to Right Chart):

In this method of presentation the top positions are presented on the left and those of the lower levels are shown on the right.

Its merits are:


(a) Easy to prepare

(b) It minimises the importance of levels and minimise confusion.

(3) Circular Charts:

In this chart the position of the chief executive is in the centre of concentric circles. Positions of equal importance are located at the same distance from the centre on the same concentric circle. The lower levels are away from the centre. The chief advantage of this presentation is to show the flow of formal authority from the chief executive in many directions. The drawback of this presentation is that this may create confusion in the minds of the viewer.

Term Paper # 4. Principles Followed in Organisation Charts:

Principles to be followed in the preparation of organisation charts are:

(a) Organisation Charts should be Simple and Flexible:


They should be as simple as possible to make it easily intelligible to the reader. Further it is to be designed in such a way to permit periodic modifications that may be necessary in tune with the requirements of the situation.

(b) Title:

The name of the company and of the component chartered should be indicated in the title. This is to be placed in the right-hand top corner of the chart. On the lower right corner date of issue, date of issue of the chart it replaces and the name of the issuing authority with his signature are to be given.

(c) Consistency:

Consistency should also be maintained in lining the chart. Based on the availability of space horizontal or vertical lining may be used. The lining combinations used should be standardised for easy reading and for good layout.

(d) Chart Boxes:


Several standard size chart boxes are to be selected and to be used consistently usually a rectangular box is used. The box should contain the name of the function and the name of the position.

(e) Numbering:

Decimal system is to be used for numbering charts. Assign a whole number for each function and its subdivisions decimals of the whole number. To identify chart boxes use appropriate decimal notation.

(f) Lines of Authority:

Both the superiors and subordinates should observe the lines of authority for transmitting orders and reports both down­wards and downwards.

(g) Definite Lines of Position:


Line of position of each individual should be very carefully defined Avoid over lapping and no two persons be placed at the same position specially when their authorities and responsibilities are different. Similarly, same duty should not be assigned twice. Further none should be compelled to serve two masters in the same relation of answerability.

Term Paper # 5. Merits of Organisation Charts:

Organisation charts are the road maps for decision making and it is used as a training device for those who would learn how a company is organised.

Its merits are:

(a) It is a position guide and it is graphic presentation of who is responsible to whom and who has authority over whom. As a management tool it provides a broad picture positions of authority and authority relationships in the organisation structure.

(b) It facilitates in understanding the tone and character of the organisation and it develops a co-operative attitude among employees by educating them about their organisational relationship.

(c) It prevents overlapping and duplication. It acts as a guide to managers. It facilitates the training of new recruits in organisational relationships.


(d) It provides guidance to outsiders and educates them about the organisation.

(e) It provides a basis of planning of organisational change.

(f) It provides a framework for classification and evaluation of personnel and their promotion. It facilitates proper flow of communication.

Term Paper # 6. Limitations of Organisation Charts:

(a) Charts introduce bureaucratic rigidity in the formal relationships.

(b) It is difficult to revise the chart and keep it update. Updating is difficult as it involves lot of time and money. So it results maintaining status quo which resists change. It lacks a realistic approach.

(c) Very often charts show relationships which are supposed to exist rather than what actually exist in the organisation. So charts are tend to be idealistic rather than realistic.

(d) Charts suffer from over simplification as they fail to show how much authority an individual can exercise and how far he is responsible.

(e) Charts may cause confusion and misunderstanding among organisation members. It may also create feelings of superiority and inferiority resulting in conflict among members.

(f) They only depict formal relationships and are in capable of giving any idea about informal relationships which play a crucial role in the organisation.

(g) A chart cannot indicate how much authority exists at any position in the organisation or how much responsibility is allocated to each level.

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