I agree - using Excel is probably easier. Enter the data and labels then make chart and copy and paste from Excel to Word.
If you have a chart in Word, the right click around the chart until you get a menu with "Chart Type" to appear - I had difficulty getting the menu to come up. Under Chart Type, you can choose the type of chart.
MS Word instructions:
Follow these steps to create a chart, such as a bar chart or a pie chart.
On the Insert menu, click Object, and then click the Create New tab.
In the Object type box, click Microsoft Graph Chart, and then click OK.
Microsoft Graph displays a chart and its associated sample data in a table called a datasheet.
To replace the sample data, click a cell (cell: A box formed by the intersection of a row and column in a worksheet or a table, in which you enter information.) on the datasheet, and then type the new text or numbers. If needed, you can import data from a text file, a Lotus 1-2-3 file, or a Microsoft Excel worksheet. You can also copy data from another program.
To return to Microsoft Word, click the Word document.
Note If you close the datasheet you can reopen it by double-clicking the chart and then clicking Datasheet on the View menu.