This is a hierarchy that is intentional and developed early in the company’s inception to help distribute power and responsibilities, keep employees aware of company news and create a system for sharing knowledge. The chain of command represents levels of authority, and it’s easy to see by viewing your company’s chain of command who has direct reports and how many people an individual is responsible for. This pattern continues until every person or level of employment at the organization is accounted for. At the top of the chart would be the owner of the company or the chief executive officer, and the people who report to them would appear directly below.
Every employee, from the CEO to new hires, is typically included on an organizational chart. Most every company has a chain of command in place, which is an organizational structure that shows how members of the company report to one another.
