Hi Lorna,
Did you check the 'Link to file' button? Also, if the Excel file isn't open, the charts in Word can only update when you open the document or specifically do something to cause the data to refresh. You should also check that you've activated Word's 'update automatic links at open' option (see under File|Options> Advanced > General).
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Cheers,
Paul Edstein
[Fmr MS MVP - Word]
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