Business CHARTS & Visuals

“The secret of achievement is to hold a picture of a successful outcome in mind.”

– Henry David Thoreau, 19th Century American Author

Crafting effective charts isn’t just about making data look good—it’s about transforming raw data into compelling visual narratives that drive understanding, engagement, and action. A well-designed chart can turn a complex analysis into a story that resonates with stakeholders, inspiring decisions that shape the future. This guide takes you beyond the basics, exploring the best practices and chart types to tell your data’s story effectively.

I’ve created thousands of charts, some with enough insight to change the strategic direction of large organizations. Charts seem so mundane and boring, but framing analysis in just the right way can be the difference between a yawner chart versus one that shouts insight. As a strategic leader, you’ll often have to take that insightful analysis of the last few steps by putting it into a chart that visually tells the story.

Why Business Charts Matter

Charts are the most effective way to make sense of data at a glance. In a world flooded with information, visualizations let insights leap off the page, transforming raw numbers into strategic value.

Why Use Charts?

1. Clarify Complexity: Data in spreadsheets can be overwhelming, but the right chart highlights trends, relationships, and insights that may otherwise go unnoticed.
2. Drive Decisions: Visuals are powerful tools to communicate insights to stakeholders who may not be familiar with the raw data.
3. Enhance Understanding: Charts make data accessible, especially for visual learners, speeding up analysis and interpretation.

Stacked column chart

Use for: Showing overall and sub-segment trends.

A stacked column chart visually represents the composition of categories within a total, highlighting changes in both the individual segments and the overall pattern. Tip: Ensure large enough segments to keep the chart readable, and position the largest values on the bottom for visual stability.

Best used to show overall and sub-segment trends. Make sure you have large enough segments, so it doesn’t get too messy, and always place the largest values on the bottom.

100% stacked column chart

Use for: Showing normalized, relative trends of segments.

A 100% stacked column chart is ideal for illustrating how segments within a category change over time in relative terms. This chart is particularly helpful for assessing proportions within categories when absolute values are less important.

Focuses on the normalized relative trends of different segments, but can also represent absolute values. Below is the same data from the preceding Stacked column chart to make a 100% stacked column chart.

Waterfall chart

Use for: Breaking down elements to reveal their cumulative impact.

Widely used in strategy consulting, the waterfall chart demonstrates how various components add up to a total. Starting from an initial value, each segment visually adds or subtracts from the base, providing a clear view of cumulative effects. Tip: Typically, arrange values from largest to smallest unless another structure, such as process flow or time, makes more sense.

2×2 scatter plot chart

Use for: Identifying patterns, clusters, or correlations within data.

The 2×2 scatter plot is excellent for visualizing relationships between two variables, revealing clusters or trends. Removing outliers can often sharpen insights, helping to focus on the most relevant data.

Radar Chart

Use for: Comparing multiple dimensions across two or more entities.

Radar charts are useful for visually comparing strengths and weaknesses across multiple dimensions, such as performance metrics, competencies, or features of competing products. Tip: Limit the number of elements to avoid overcrowding.

Mekko Chart

Use for: Displaying two-dimensional data with variable segment sizes.

A Mekko chart is a unique way to represent both size and category breakdown, with segment width representing one variable and height representing another. This can be particularly effective for market sizing, where categories and their sub-segments are displayed proportionally.

Bubble chart

Use for: Visualizing three to four data dimensions.

Bubble charts go beyond basic scatter plots by adding extra dimensions with bubble size, color, and sometimes pattern. They’re ideal for displaying complex relationships, such as market size, market share, and growth potential all in one chart.

Best Practices for Creating Insightful Charts

To create charts that convey insights clearly and effectively, follow these best practices.

1. Keep It Simple

Simplicity is key to clear communication. Avoid excessive data points, colors, or labels that can make charts overwhelming. When a chart is simple, audiences are more likely to focus on the insight rather than getting lost in the details.

2. Prioritize and Order Your Data

Order values based on meaningful criteria—whether it’s by size, time, importance, or another relevant metric. Well-ordered data allows the audience to follow the narrative easily and highlights the most impactful information.

3. Compare “Apples to Apples”

Ensure that elements within the chart belong to the same level or category. Mixing unrelated metrics or categories can lead to confusion and detract from the insight.

4. Ensure Clean Chart Hygiene

Consistency in font, colors, labels, and spacing adds polish to charts, ensuring a professional look and feel. At top strategy firms, maintaining clean and consistent slides is standard practice.

Example Slide Hygiene Practices:

• Call Out the Insight: Add a clear, concise insight in the header or as a note. Don’t make readers guess the chart’s purpose.
• Use Consistent Font Style and Size: Consistency allows insights to stand out without visual distractions.
• Choose Simple Color Schemes: Stick to a few complementary colors to avoid overwhelming the viewer. If color is used, ensure it aligns with your message (e.g., red for declines, green for growth).
• Source the Data: Provide a data source at the bottom, especially for external datasets, to ensure transparency.

The slide below serves as a good example.

Chart Selection Guide

Use this quick reference to choose the best chart for different data insights.

How to Transform Data into a Story with Charts

Data alone isn’t enough to make an impact—charts need to tell a story. Here’s how to structure your visuals to communicate effectively:

1. Frame the Insight: Determine the key message before selecting a chart. If your main point is a trend, consider a line or bar chart; if it’s a breakdown, consider a stacked or waterfall chart.
2. Structure for Flow: Think about how the audience will read the chart. Group data logically and label clearly to guide viewers through the narrative.
3. Highlight the Key Insight: Use annotations, arrows, or callouts to draw attention to the chart’s main takeaway. Don’t leave it to the viewer to guess what matters.
4. Leverage Context: Often, providing context with past data or industry benchmarks can make the insight even stronger.

DOWNLOAD YOUR FREE POWERPOINT CHART TEMPLATES

To get you going on your charting needs, download the free and editable PowerPoint Chart templates.

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