5. What is Organization Structure? In organization structure simply by means the systematic arrangement of people working for the organization. The organization is concerned with establishment of positions and relationship between positions. The organization structure has two dimensions. Horizontal. Vertical. What is an Organizational chart? According to George Terry, Organizational chart is a diagrammatical form, which shows the important aspects of an organization including the major functions and their respective relationships, the channels of supervision, and the relative authority of each employee who is in charge of each respective function. It is a representation of the framework or structure of an organization. It maybe a vertical or top-down chart, horizontal or left to right chart and circle or concentric chart.