Subject areaProcess and organisation
Also known asorg chartorganisational chart
An organization chart (org chart) is the diagram of a company's structure: functions, roles and reporting lines (who answers to whom).
It reads from top to bottom, and every line shows where a decision travels and where information travels.
The classic model, with rigid hierarchies, organisational silos between functions and purely vertical reporting, worked when information changed slowly. With artificial intelligence information arrives in real time and crosses functions, so a chart that forces it to climb the hierarchy slows decisions down. This is why adopting AI sooner or later reaches the org chart, and why a new model, the AI organization chart, is reshaping the approach to corporate structure.
An example
In the organization chart of a manufacturing company, quality reports to production. When customer complaints rise, the people inspecting parts must ask permission to stop the line from the person accountable for it: moving quality under general management changes one line of the drawing and, with it, who decides.
Related entries
broader entriesthis entry and narrowertwo levels down← up · → down
Enrico Giubertoni. Licensed under CC BY-NC 4.0: you may quote, translate and adapt this entry with the author’s name and a link, stating any changes. For commercial use, write to info@enricogiubertoni.com
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