As businesses continue to grow and expand, streamlining processes has become more critical than ever. One tool that can help visualize and optimize these processes is the Sankey chart. This visualization technique uses directed arrows to represent the flow of materials, information, or products through a system, highlighting bottlenecks and areas for improvement. In this ultimate guide, we will explore how to create Sankey charts and their applications in various industries.

What is a Sankey Chart?

A Sankey chart, also known as a Sankey diagram or flowchart, is a type of circular flowchart that uses directed arrows to represent the flow of materials, information, or products through a system. The chart is named after its creator, Dr. Helmut Sankey, a German chemist who developed the technique in the 1930s.

The Sankey chart is useful for identifying bottlenecks, optimizing processes, and identifying opportunities for cost savings and process improvements. It is particularly useful for visualizing the flow of materials, energy, or information through a supply chain, production process, or marketing system.

Tools for Creating Sankey Charts

There are several tools available for creating Sankey charts, including:

1. Microsoft Visio: Visio is a popular diagramming tool that includes a range of Sankey chart templates and shapes. It is available for both Windows and Mac and offers additional features such as the ability to import and export diagrams and the ability to collaborate with others in real-time.
2. Lucidchart: Lucidchart is a cloud-based diagramming software that offers a range of templates and shapes for creating Sankey charts. It offers real-time collaboration and the ability to export diagrams in a variety of formats.
3. SmartDraw: SmartDraw is a professional-looking diagramming tool that includes a range of templates and shapes for creating Sankey charts. It offers a variety of collaboration features, including the ability to share diagrams and make real-time changes.
4. Gliffy: Gliffy is a cloud-based diagramming software that offers a range of templates and shapes for creating Sankey charts. It offers real-time collaboration and the ability to export diagrams in a variety of formats.
5. Draw.io: Draw.io is a free, open-source diagramming tool that includes a range of templates and shapes for creating Sankey charts. It offers real-time collaboration and the ability to export diagrams in a variety of formats.

How to Create a Sankey Chart

To create a Sankey chart, follow these steps:

1. Choose a flowchart tool: Select a tool that you are comfortable using and that has the capability to create Sankey charts.
2. Create a new diagram: Begin by creating a new diagram and selecting the flowchart type as a Sankey chart.
3. Add nodes and links: Add nodes to the chart to represent the starting and ending points of the flow, and add directed links to represent the flow of materials, information, or products.
4. Configure the chart properties: Configure the properties of the chart, such as the title, orientation, and number of loops.
5. Customize the chart: Customize the chart by adding shapes, text, and other elements to enhance the chart’s clarity and effectiveness.
6. Export the diagram: Export the chart in a format that is suitable for your needs, such as PDF, PNG, or JPEG.

Applications of Sankey Charts

Sankey charts are widely used in various industries and can be applied in a range of scenarios to improve processes and identify areas for improvement. Some of the common applications of Sankey charts include:

1. Supply Chain Management: Sankey charts can be used to visualize the flow of materials, information, or products through a supply chain, highlighting bottlenecks and areas for improvement.
2. Production Processes: Sankey charts can be used to visualize the flow of raw materials, work-in-process, and finished goods through a production process, highlighting bottlenecks and areas for improvement.
3. Marketing Systems: Sankey charts can

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