An organizational chart is one of those things everyone agrees is important… in theory. In practice, it's often treated like last-minute meeting notes: hastily thrown together, sometimes inconsistent, and rarely updated unless there's a major problem. But a well-crafted org chart is much more than a box-and-line diagram; it's a reflection of your company's structure, culture, and strategy. It helps people understand how decisions are made, how communication flows, and where responsibilities (and bottlenecks) truly lie.
Too often, though, org charts become outdated relics, snapshots frozen in time that no one updates once the company starts evolving. Teams grow, roles shift, new leaders emerge, but the chart stays the same, quietly sowing confusion. When that happens, employees are left guessing who to turn to for approvals, collaboration becomes clunky, and the bigger picture gets blurry.
It's at this point that the HR department starts asking, "What is the best way to create an org chart?". In this article, we'll take a closer look at some common mistakes and share multiple org chart best practices so your organizational chart becomes a powerful asset, not just a forgotten file on a dusty server.
What Are Some Common Mistakes to Avoid When Creating an Org Chart?
So you're making an org chart but what could possibly go wrong? As it turns out, plenty can go awry. From tangled reporting lines to mysteriously duplicated roles, common mistakes can turn a useful tool into an organizational mystery. In this section, we'll walk through the classic hurdles to stay away from, so your org chart is clear, accurate, and doesn't require a detective to interpret.
One of the biggest pitfalls when searching for the best way to create an org chart is making the chart unreadable. When lines cross all over the place and boxes are cramped or cluttered, it becomes nearly impossible to get a clear picture of the company structure at a glance. Just as bad is including outdated or irrelevant information, such as employees who have left or roles that no longer exist, which only causes confusion and makes people doubt the chart's accuracy.
Many organizations fall into the trap of constantly updating their charts manually. This tedious process is time-consuming, prone to errors, and quickly becomes unmanageable as the company grows. As a result, charts often become inconsistent, which undermines their usefulness and hampers effective communication across teams.
Some org charts grow so complex and overloaded with information that they often become visually overwhelming, discouraging people from using them altogether. On the flip side, charts that lack enough detail fail to clearly communicate responsibilities. Another critical issue is designing charts that aren't scalable or adaptable, forcing teams to build new charts from scratch whenever the company evolves rather than easily updating the existing one.
Accessibility also matters since a chart that's hard to find or access misses its purpose, as employees won't bother consulting a document they can't easily reach. Keep in mind that security should never be overlooked; sensitive information within an org chart must be properly protected to prevent data leaks and privacy breaches.
8 Org Chart Best Practices
Designing an org chart is a bit like organizing a family reunion. If you don't get the seating right, things quickly turn chaotic, baffling, and someone's guaranteed to wind up in the wrong place. So, what are the best practices for creating an org chart that actually works? Let's take a sneak peek at some org chart best practices to help you build charts that make sense, avoid the usual headaches, and maybe even spark a few "aha!" moments along the way.
Choose the Right Org Chart Type
Selecting the right org chart type isn't just about aesthetics, it's a strategic decision that shapes how people understand roles, relationships, and lines of accountability across your organization. To make the right choice, you'd better take into account:
- level of hierarchy and overall management style;
- number of organizational layers and team groupings;
- frequency of how roles, teams, reporting lines change;
- primary audience for the chart (e.g., employees, leadership, external partners);
- key information that needs to be immediately visible (e.g., reporting lines, cross-team collaboration, functional areas).
These factors determine which types of org charts will best represent your structure and serve its intended purpose. For example, a fast-growing, project-based company may benefit from a matrix org chart that offers flexibility and reflects cross-functional collaboration, while a traditional organization might be better suited to a hierarchical one that clearly defines authority and reporting lines.
Break Big Charts Into Smaller Ones
Bulky org charts can quickly become overwhelming and hard to read, especially in mid-size or enterprise organizations. When too much information is crammed into a single view, it loses clarity and makes it difficult for people to understand team structures, reporting lines, or key roles. Therefore, you should split complex charts into manageable parts organized by department, function, team, or geographic region.
For instance, instead of displaying a single org chart for a 500-person company, create separate ones for Sales, Marketing, Product, and Operations. Link them together through leadership roles or a simplified top-level chart. This modular approach not only enhances clarity but also simplifies updates, speeds up onboarding, and allows teams to focus on the information most relevant to them.
Avoid Templates That Require Manual Edits
Counting on static org chart design templates that need constant manual tweaking is a recipe for frustration especially as your company expands or undergoes frequent changes. Each time someone switches roles or teams are reorganized, you're stuck moving boxes, adjusting connectors, and realigning layouts by hand. Over time, this manual upkeep becomes more of a design task than a strategic one, distracting from the chart's actual purpose: clarity and alignment.
Instead, the best way to create an org chart that remains accurate and reliable is to prioritize using tools or methods designed for easier maintenance. A modular layout can make adjustments quicker when team structures shift, while a clean, easy-to-follow design reduces friction during updates. It's also important to have a clearly defined owner responsible for keeping the chart current.
