In order to resize an Org Chart, it is first necessary to ungroup it. Any of the positions from the Basic Style Org Chart (represented by a rectangle) will not have accurately placed selection handles after resizing.
Steps to recreate:
1. Create an Org Chart using the Basic Style.
2. Ungroup the Org Chart.
3. Resize one of the positions so that it is less than 0.20" in height.
Notice that the Selection Handles are no longer on the corners of the rectangle.
Workaround:
Use any other Element Style in place of the Plain Element Style for the positions in the Basic Org Chart Style. Custom Model Style and other Org Chart Styles do not have the same problem.