In order for an organization to be effective, it must produce something that is of value to its customers. This allows ongoing relationships to be built. Ultimately, this produces a profit to be reinvested in the organization to improve its capabilities as well as to pay the financiers of the organization for the risk of the endeavor.
What is needed to structure this “machine” or organization is an org chart. Most org charts have a President or CEO at the top, who then works with leaders below them, who then in turn work with managers below them, who ultimately work with the front line employees below them. In the “traditional” org chart, the customer is typically not on the org chart at all; a contradiction to the important nature of their position.
The highest position at the top of the chart is implied to have the most power and the greatest knowledge. However, the reality is that the front line people have very important positions as they have access to information and wisdom that is directly and closely related to the customer: the key to success. Suppliers are also very valuable to an organization’s success since their pricing, timely delivery, as well as intellectual capital are all required in order to supply your product/service to your customers.
We have found The Perfect Org Chart below to be a better representation of how really great companies actually perform.
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