Functional Organizational Chart Complete Guide

Edraw Content Team

Do You Want to Make Your Organizational Chart?

EdrawMax specializes in diagramming and visualizing. Learn from this functional organizational chart complete guide to know everything about functional organizational chart. Just try it free now!

Try It Free Switch to Mac >

Try It Free Switch to Linux >

Try It Free Switch to Windows >

Try It Free

Different organizations have different people working inside them. Collectively these people make the framework, and sequentially, the functional organizational chart enlists them. Still, the capabilities, skills, and expertise are traits that vary across the members. We can't give everyone the same authority level, as that would be an apparent injustice to deserving people. That is where the functional org chart jumps in. It uses visual shapes to create a network of employees and departments. Next, the chart organizes and links them according to their specialties.

This article will discuss its complete guide that will tell you how these charts can be a reason for healthy interdepartmental competition. Plus, its primary characteristics will help you understand how the chart can help the CEO to assign tasks without imperfection. As for the big question of their creation, we'll summarize why programs like EdrawMax are the best choice for its production. Lastly, you'll get step-wise instructions and free template examples that will help you create your functional org chart with minimum effort and time.

functional organizational chart

1. What is a Functional Organizational Chart

A functional org chart is a type of organization chart that shows the relationship between the departments and their managers. It's also known as a functional structure or divisional structure. Basically, it is a visual representation of employee segmentation based on skills and specialties. It helps managers understand how tasks are assigned. Plus, it increases basic communication skills between employees and supervisors. Functional org charts have wide use in different contexts, including:

Managing resources within an organization (e.g., recruiting new employees)
Assigning interdepartmental responsibilities for different projects or tasks within the company

The functional organization chart is a visual representation of the relationships between an organization's different departments and functions. It shows how your team works together to accomplish its goals, which can enhance communication between departments and help identify areas for improvement. The most common way to create a functional organizational chart is with Microsoft Visio or Google Drawings. But if you don't have access to these software programs, there are free online tools that make it easy!

Functional organizational diagrams illustrate the relationship between departments, functions, and employees. The purpose of functional org charts is to help an organization identify its hierarchy. The chart also illustrates which managers oversee each group and where they should be within the organization's structure.

What is a Functional Organizational Chart:

A functional org chart is a type of organization chart that shows the relationship between the departments and their managers. It's also known as a functional structure or divisional structure. Basically, it is a visual representation of employee segmentation based on skills and specialties. It helps managers understand how tasks are assigned.

2. The Importance of Functional Organizational Chart

A functional organization is a type of organizational structure based on the division of labor and specialization of skills. It organizes the departments, managers, and employees by functions or activities.

Advantages and disadvantages of the functional organization

A functional organization is a flexible, efficient, and effective organizational structure. Organizations and corporations use it to provide products and services that efficiently meet customer needs. The advantages of using this type of structure are:

Flexibility:

You can change your business processes according to changing circumstances without changing the people performing those tasks. Moreover, the diagram can represent every minor and major department. It is a universal way to organize the corporation framework according to expertise.

Efficiency:

With limited resources, you can focus on what works best for your company instead of spending time trying out new approaches or methods that might not work well enough in the long run.

All-in-one Visualization:

In government organizations, functional organizational charts often visualize an organization's chain-of-command structure or hierarchy. They also provide an overview of which departments work together and their respective responsibilities towards achieving certain goals within said organization.

Academic importance:

In non-profit organizations like schools or universities across different levels, these types of diagrams can help students understand how specific areas relate to others. So, they don't end up forgetting about essential details during class time when discussing subjects. This visualization is something very important, especially when dealing with younger children who aren't yet familiar enough with what goes on behind closed doors at various institutions' desks.

The Importance of Functional Organizational Chart:

A functional org chart is a graphical representation of the relationships between different parts of an organization. In the business environment, it shows how functions align with each other and their respective goals. It helps CEOs determine how to allocate resources to various analysts and departments., who should report to whom, and what roles they have concerning each other. However, there are some cons that you may have to face during its usage.

3. How to Read a Functional Organizational Chart

Functional org diagrams are not as complex as their hierarchical counterparts, but they still have some common characteristics. First, all functional org charts have at least one vertical axis and at least one horizontal axis. It means if you put a person on the X-axis, then you can represent their job title on the Y-axis, which will tell you their level of responsibility within the organization. Second, functional orgs tend to be less detailed than hierarchical ones. It makes sense because there are fewer levels to describe your organization's structure. If you need more information about employees' responsibilities in the workplace as a whole, then you should use a hierarchical chart instead!

To read a functional org chart, the visualization must have an ideal structure with common attributes. For instance, reading it won't be easy if the chart does not have proper links and visual shapes at the appropriate axis. To read an organizational chart, first of all, look for the title details in it. The title lets you understand if the visualization focuses on the entire company structure or specific departments. Once you got that, look for the information axis. Find out the positional axis that delivers skills and authority levels, respectively. On top of that, you can look for additional sections that supply extra information. Some organizational charts have a key box that shows the departmental names characterized by different colors.

Functional organizational charts are a great way to show how different departments and functions of your company work together. The chart is broken down into horizontal sections, and each section has its own name, title, and function. It makes it easy to tell what each department does, even if you don't know much about the organization as a whole.

4. How to Create a Functional Organization Chart Easier

Creating an organizational chart is a no-brainer if you have the appropriate toolset. Still, very few programs in the market are suitable for functional organization chart production. The best way is to use an ideal online chart maker with an easy-to-use interface and exceptional features. EdrawMax is one of the programs, offering every appropriate tool for free. The following steps will tell you how to create a functional org chart within minutes.

Step1 Account Creation

Open your browser and type Download EdrawMax in the search engine box. Now open the first official link and download the program as per your operating system. It is available in Windows and macOS. Once you have downloaded it, install the program according to the instructions. Open it and log in to it by creating an account. Moreover, you can use your professional email for the sign-up. EdrawMax provides you with an online platform as well for instant chart production.