Course Hero Logo
This textbook is available Logo
Foundations of Business 6th Edition

Foundations of Business (6th Edition)

Book Edition6th Edition
Author(s)Hughes, Pride
PublisherCengage Learning
Section 7-1: What is an Organization?
Section 7-2: Job Design
Section 7-3: Departmentalization
Section 7-4: Delegation, Decentralization, and Centralization
Section 7-5: The Span of Management
Section 7-6: Forms of Organizational Structure
Section 7-7: Corporate Culture
Section 7-8: Committees and Task Forces
Section 7-9: The Informal Organization and the Grapevine
Chapter 7, Section 7-1, Concept Check, Exercise 01
Page 188

How do large and small organizations use organization charts differently?


For most large organizations, for example, Kellogg's, ExxonMobil or Procter they do not maintain a detailed or completed organizational chart.

  • First, charting is difficult even for a few relative positions implying that for larger organizations charting will be close to ambiguous.
  • Secondly, larger organizations are known to change segments of their organizational structures. In most cases, an organization chart structure would be updated even before it was completed. What helps such organizations is technology, systems that can be able to detect updates and implement them automatically. 


Organization charts are, in most cases, useful for smaller firms. Organization charts are essential for everyone in an organization, especially for the managers as they help in monitoring changes or growth in an organization structure. 

Did you like this example?
Subscribe for full access
Page 188