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Organization chart

Discussion in 'ISO 9001:2015 - Quality Management Systems' started by Rajan Gupta, Jun 9, 2017.

  1. Rajan Gupta

    Rajan Gupta Member

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    What are the purpose of organization chart other than understanding the hierarchical structure ?

    Is it mandatory to display in the office/plant enterance area ?
     
  2. John C. Abnet

    John C. Abnet Well-Known Member

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    Good day Rajan;
    As with all Management System activities, it is important that (beyond meeting the "shalls" of the standard), you and your organization establish with a selfish motive. In other words, establish rules and activities that you and your organization need and want and that are in the best interest of your organization and its customers. In regards to an "Organization Chart", please consider this paper that I wrote on our web-site www.separateboats.com during an expedition in 2015. I have attached it here and it discusses my experiences and opinion regarding the purpose and significance of an organization chart, including specified roles and responsibilities. Hope this helps.


    In 2015 my wife and I became the only couple to ever kayak the 1591 miles from the source of the Wabash River, to the Gulf of Mexico. At that time, it became difficult not to see the parallels between planning and executing on an expedition of this magnitude, and the best practices of a well lead business. The result is the following article that I wrote during the trip.

    Published July 6, 2015 by John and/or LaNae

    The Business of Expedition

    It better be. Ran like a good business that is. On an adventure like this, to do otherwise, would certainly lead to failure, and/or loss of gear, and/or injury, or in the worst scenario, loss of life. I’ll warn you in advance that this post may be somewhat boring to some readers. However, my 20 years working in Japanese automotive quality assurance has altered the lens through which I view things. It was impossible, therefore, for me not to recognize some areas of this expedition which to apply these views. So the parallels of a good business (note the qualifier), and this trip can be identified as follows…

    1 – An organization chart. Many businesses focus on goals and objectives but fail to lay a strong foundation via a list of the team members and their specific areas of responsibility. Without this, subsequently established rules and processes are destined to fail. And, since rules and processes are designed to meet goals and objectives, those goals and objectives cannot be achieved.

    2 – 5s: Another applicable tool is the Japanese industry concept of 5s. Here in the States, we try to distill them down to specific terms, when in reality, they more accurately reflect a philosophy and mindset.
    Here is how they relate specific to our trip….
    a) If it’s not necessary get rid of it. Unnecessary items lead to clutter and confusion.
    b) Have an assigned place for everything. If items don’t have a specific place then you don’t realize when they are missing.
    c) Have everything in its place. Each time. Every time. No exceptions. If it’s not where it belongs, then it’s not available the moment it’s needed.
    d) If it’s wet, dry it off. Moisture leads to rot.
    e) If it’s dirty, clean it off. Dirt causes and hides damage.


    3 – Failure Mode Analysis/Process Controls: Identify what MIGHT go wrong and then Identify how to prevent what MIGHT go wrong.
    On a trip like this we considered the following examples…
    a) The wind will blow. Secure it.
    b) The water will rise. Tie it off.
    c) Moisture will fall. Seal it up.
    d) Things will fail. Have contingencies.
    e) Lightweight equals light duty. Be gentle.


    4 – Planning: Experience has taught me to follow the rule “long on planning, short on execution”. Yep, the planning and preparation for this trip took considerably more time than the trip itself. Time well spent. It is also important to note that we are people of faith and, therefore, prayed about and recognize God’s leading and directing as we prepared for this trip – Pray as if it all depends on God. However, God also expects us to use the gifts and abilities he has given us – Work as if it all depends on you. (These Biblical principles are why our boats are named “Pray” and “Work”). We applied the following planning disciplines…
    a) Benchmarking: The old adage “don’t reinvent the wheel” is a wise one. We, therefore, reviewed gear and methods used by people who have made similar trips.
    b) Lessons learned: We reflected on our own previous camping and kayaking experience.
    c) Trials: We took trips ahead of time specifically to prove out new gear and methods.


    5 – Project Management: In order to ensure success, it is important to schedule each step of the planning and execution process and then be sure that each step is completed on schedule.

    We encourage everyone to step out of the ordinary and plan an adventure of your own. And when you do, applying the principles described above will help you to be safe and successful.


    John C. Abnet


    [​IMG]
     
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  3. John C. Abnet

    John C. Abnet Well-Known Member

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    Note: It is not a requirement to display your organizational chart as you described.
     
  4. The PPAP Assassin

    The PPAP Assassin Active Member

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    Actually, if you look at Clause 5.3 (Organizational roles, responsibilities, and authorities) it CLEARLY states that "Top management shall ensure that the responsibilities and authorities for relevant roles are assigned, communicated and understood within the organization."

    This is why the Organizational Chart is necessary and should be kept as documented information. This should be displayed in some form as a means of communicating the information. We display ours in the quality manual and update as necessary. Org charts are pretty easy to develop. And as long as top management is involved, you will satisfy the requirement.
     
  5. John C. Abnet

    John C. Abnet Well-Known Member

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    Thank you for your reply "PPAP Assassin". Your statement is indeed accurate. However, the original question was "Is it mandatory to display in the office/plant entrance area ?" In response to that question, no, it is not mandatory to display in the office/plant entrance area.
     
    The PPAP Assassin likes this.
  6. The PPAP Assassin

    The PPAP Assassin Active Member

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    I agree!
     
  7. David Bradley

    David Bradley Active Member

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    While org charts are useful in many ways, I believe they fall short of meeting the standard if they are the only method. They show the reporting structure, but still do not clearly identify roles, responsibilities and authorities. This is particularly true in a very small organization. Our org chart shows who my boss is, but does not reflect what authority I have to fulfill customer requirements. It does not inform me of my responsibilities related to my job. In many cases job descriptions might not even cover my authority and responsibility. Most of that kind of information will be best found in process documents. I think meeting the requirements of the standard will be in a combination of sources.
     
  8. Qualmx

    Qualmx Well-Known Member

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    well. this is not the main reason to have the org. chart, responsbilities and authorities may be included
    in procedures and job descriptions, no need for the org. chart.
    However it is useful for other purposes in the organization.
     
  9. Andy Nichols

    Andy Nichols Moderator Staff Member

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    I rather doubt that it's an effective way to show responsibilities to make people read through a lot of documents, when an org. chart gives a very quick and convenient simple picture, which can then be used to "target" which documents expand details. Org chart required? No, but VERY useful.
     

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