What is a diagram?

From radiation and falling rocks to icy roads and hungry sharks — when you need someone to understand something in a hurry, only a picture will do. While only slightly less dramatic, the business world employs diagrams for that very same reason: simplicity. 

This is because the brain processes images 6,000 times faster than text, which makes them something of a secret weapon when you need to share information in a way people understand. But what is a diagram in the business world, exactly? Allow us to explain.

Why use diagrams?

Diagrams are more than just pretty pictures. They’re one of the best ways to communicate ideas. Here’s where they shine. 

Simplifying the complex

Diagrams have a knack for turning the complex into the comprehensible. A well-made diagram is like a good translator — it takes the incomprehensible and expresses it in a language we can all understand. That’s why you see them across all industries, breaking down mountains of data into bite-size pieces. 

Seeing the connections

Diagrams are a great way to show relationships and structures. Want to understand how roles in a company interlink? An organizational chart has your back. Need to follow a process step-by-step? Flowcharts are your guides. 

Trying to identify cause-and-effect relationships? Fishbone Diagrams can be your detectives. With diagrams, the interconnections are right there for you to see.

Making decisions and solving problems

Diagrams help you spot patterns, uncover solutions, and weigh up risks. When you reach a tough decision point, they can help you move forward with confidence. 

When you’re sizing up a business venture, a SWOT analysis diagram can help you assess the field. And when there’s a difficult choice ahead, a Decision Tree is your friend. 

Boosting memory 

Remember studying for exams? A good diagram can often make the difference between a “fuzzy concept” and a “clear idea.” When you turn information into a visual format, it sticks. It’s easier to recall, making diagrams great buddies for planning and presenting.

Powering up communication and collaboration

Finally, let’s not forget that diagrams are communication powerhouses. They offer a shared visual language that teams can grasp in seconds. They get people up to speed and serve as a handy reference point for brainstorming sessions or project collaborations.

What’s in a diagram? 

Diagrams can be simple, intricate, and layered, filled with different components that all work together. Here are the basics to help you speak fluent “diagram.” 

The frame

Like the glass that holds your water, the frame serves as the container for the rest of the elements. The frame could take many forms: a circle, a grid, a pyramid, or a box, depending on the type of diagram you’re creating. The frame guides the placement and arrangement of the rest of the diagram. 

The lines

Lines connect the various parts of the diagram, acting as the pathways that guide the eye and the mind. Lines represent different types of relationships or sequences, and the style of the line (solid, dashed, dotted) and the direction of any arrows can communicate even more detail about the nature of these relationships.

The labels

Labels give additional context. They’re words or sentences that add detail and meaning to the diagram, whether that’s understanding what each symbol or shape represents or explanations. Labels can be found within shapes, along lines, or even outside the main frame of the diagram.

The shapes or symbols

Shapes and symbols are icons that represent different ideas or steps within the diagram. They can be simple geometric forms or more complex icons, and their meaning can vary widely depending on the type of diagram.

The colors

Though not always necessary, colors can seriously improve clarity and visual appeal. Use like-shades to distinguish between different elements, highlight important points, or convey additional information. 

Different types of diagrams and their uses: cheat sheet

Diagrams help us simplify complex data, visualize abstract concepts, and plan detailed projects while bypassing pages upon pages of text. They come in a variety of formats, each suited to conveying specific types of information. 

To get the most out of your diagram, you need to choose the right one for the job. So — what do you want to do?

I want to map out my ideas

To kick off brainstorming sessions and organize ideas or thoughts, you’ll want the following:

• Mind map
• Lotus blossom diagram 

I want to visualize hierarchical or structural information 

These diagrams are ideal for representing organizational structures, taxonomies, and other hierarchical or branching relationships.

• Organizational chart
• Tree Diagram or dendrogram
• Pyramid or triangle chart

I want to illustrate a process or sequence 

If you’re looking to depict decision pathways, steps in a process, or the sequence of events, these diagrams can help. 

• Flowchart
• Feedback loop
• Decision tree
• Roadmap
• Gantt chart
• Fishbone diagram

I want to analyze and prioritize

For prioritization, strategic analyses, or comparisons (e.g., brand comparisons), these diagrams can be effective.

• Matrix or quadrant chart
• Venn diagram
• SWOT analysis diagram
• Perceptual diagram (aka positioning map) 

I want to visualize proportional or distributional data

When you need to depict proportions or distributions, these diagrams come in pretty handy:

• Circle diagram (pie chart, doughnut chart)
• Stacked bar chart

I want to describe user or customer experiences 

To map user experiences or illustrate a conversion process, consider the following:

• Funnel chart
• Journey map

There are other diagrams beyond these, but the above are the most commonly used and understood business diagrams you’ll encounter in the workplace. 

How to choose the right diagram for your needs: A step-by-step guide 

With so many options, how do you make the right choice? It starts by taking a close look at what you’re trying to do.

1. Know your purpose

The first step is getting crystal clear on your goals. Are you mapping out a process, brainstorming ideas, analyzing data, or illustrating relationships? Different diagrams have distinct strengths, so start by defining your primary goal. 

2. Think about your audience

Next, keep your audience in mind. Who’s eyes will be on this diagram? And how will they use it? Is it for a team of engineers, executives, students, or perhaps customers? What’s their level of familiarity with the subject matter? What kind of visual language will they best respond to? Knowing your audience will help you make a functional, user-friendly selection. 

3. Identify the complexity of information

The level of detail should also guide your choice. If you’re dealing with a complex process with lots of steps or variables, a flowchart or a decision tree is a good shout. If you need to show hierarchical relationships, then a tree diagram or an organizational chart might be your best bet.

4. Think about the diagram’s scalability

If your data or process is expected to evolve over time, will the diagram adapt well to these changes? Some diagrams are easier to modify than others, so you’ll need to consider future updates before you make your choice. 

You’ll also want to consider the format here—paper and pen/whiteboards are great for rough-and-ready diagrams, but if you need to keep, share, and/or modify them over time, you’ll want an online diagramming tool for a sleek look and collaborative format. 

5. Reflect on aesthetics

Last but certainly not least, consider looks. A visually pleasing diagram can make all the difference when it comes to engagement and comprehension. While this shouldn’t be your primary criterion, choosing a diagram type that you can make visually appealing (while still effectively communicating the information) should factor into your decision. Oh, and choose softer colors. No one wants to see lime green and traffic light red first thing on a Monday. 

Why diagramming tools are your secret weapon

Ever tried assembling a piece of furniture without the right tools? It can be quite a challenge, right? The same can be said when creating a diagram. 

Yes, you can sketch a diagram on a piece of paper, but the process can become laborious and less effective when the complexity increases. This is where diagramming tools come into the picture, and we’d argue that they’re your secret weapon for crafting clear, compelling diagrams. 

Here’s why:

• A smoother design process: Create and edit diagrams in a snip with a library of templates and an easy drag-and-drop interface.
• A professional look: The standard shapes and lines give uniformity across your creations. This is especially handy when you’re creating something for academic or business purposes, where presentation counts. 
• Easy editing and updating: Imagine having to erase and redraw portions of a hand-drawn diagram every time there’s an update or change. With diagramming tools, making changes is as simple as a few clicks. 
• Collaborating is a breeze: You and your team can work together on the same diagram, no matter where you are. Everyone can edit and leave comments in real time. This makes it easier to gather input and reach a final version together. 
• Easy to share and present: Once you’re finished, you can share with ease. Export your in various formats (like PDF or PNG), embed it on a webpage, present it directly from the tool, or open up sharing permissions so people can view asynchronously and leave comments.
• Easy scalability: As your information gets more complex, a diagramming tool can keep up. Expand with more shapes and colours with a click, then share with the team. 

Cacoo does all this and more. Choose a template and get started with your own creation!