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What is a Business Flow Chart?

A flowchart is a graphical representation of a process, system, or workflow that shows the sequence of steps involved in achieving a specific goal or completing a task. In the context of business, flowcharts are commonly used to visualize business processes, identify potential problems or bottlenecks, and improve operational efficiency.

Why are Flow Charts Important and How are They Best Used?

Flowcharts are important because they provide a clear and concise visual representation of a process, system, or workflow. They help to identify inefficiencies, redundancies, and potential areas for improvement, and enable stakeholders to better understand the overall process. Flowcharts are best used as a tool for communication, collaboration, and problem-solving.

Included in a Flow Chart

A flowchart typically includes the following elements:

  1. Start and End Points: The beginning and end of the process or workflow.
  2. Process Steps: The individual steps or actions involved in the process.
  3. Decision Points: Points where a decision must be made based on a specific condition or criteria.
  4. Connecting Arrows: The arrows connecting the process steps and decision points to show the sequence of events and direction of flow.

Benefits of Using a Flow Chart

There are several benefits to using a flow chart in business, including:

  1. Improved Efficiency: Flowcharts help to identify inefficiencies and redundancies in a process, making it easier to streamline and improve the process.
  2. Better Communication: Flowcharts provide a clear and concise visual representation of a process, making it easier for stakeholders to understand and communicate about the process.
  3. Problem Solving: Flowcharts can be used to identify potential problems or bottlenecks in a process, enabling stakeholders to develop solutions and implement improvements.
  4. Standardization: Flowcharts can be used to standardize processes and ensure that all stakeholders are following the same procedures.
  5. Training: Flowcharts can be used as a training tool to help new employees understand a process or workflow.

5 Steps to Creating a Flow Chart



Terminators are your start and end points in your flow chart. The start terminator indicates the point at which the process begins, whether that be when you reach a certain amount of money or a specific date. The end terminator is when your goal, a time limit, or objective is reached. Since they are both terminators, they should share a shape/color in the flowchart for organizational purposes.



The next step after the start terminator is the process. What will you be doing first to reach your end terminator? What’s after that? These are actionable items that will guide your process later.



After the process has been completed, it’s time to analyze. Compile the data accumulated from your process and pick out what metrics are important to focus on.



Now that you have all of your data and have decided what numbers matter most, you can make a decision. Based on the data you have, which path will you take now? Use connectors to determine possible paths branching off of your flowchart.



Make sure to note and record how the experiment went, what you learned, and the final decision you made. It’s important to document all of this information so you can refer back to it for similar future tests.

Frequently Asked Questions About Business Flow Charts

What are the different types of flowcharts?

There are several different types of flowcharts, including process flowcharts, swimlane flowcharts, data flow diagrams, and workflow diagrams.

Can flowcharts be used in project management?

Yes, flowcharts can be used in project management to visualize project workflows, identify potential problems, and improve project efficiency.

How often should flowcharts be updated?

Flowcharts should be updated whenever a process or workflow is changed or updated. It is important to keep flowcharts up-to-date to ensure that all stakeholders are following the most current procedures.

Can flowcharts be used in quality management?

Yes, flowcharts can be used in quality management to identify inefficiencies and opportunities for improvement, standardize processes, and ensure that quality standards are being met.

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