Organizational Function

An Organizational Function is a specialized area within an organization that carries out specific processes.

Context:
- It can represent the division of labor and expertise within a company.
- It can bring together people, resources, and capabilities around common goals and processes.
- It can be supported by an Organizational Function Capability (an organizational capability).
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Example(s):
- Front-Office Functions - Directly interact with customers and drive revenue generation, including Marketing, Sales, Customer Service.
  - Marketing Function - Focused on market research, branding, advertising, and promotions.
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- Back-Office Functions - Provide supporting capabilities behind the scenes, including HR, Finance, IT, Operations, Warehousing.
  - Finance Function - Focused on accounting, budgeting, financial planning and analysis.
  - IT Function - Focused on technology infrastructure, systems, and services.
  - HR Function - Focused on recruitment, training, compensation, and culture.
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- Core Functions - Critical processes central to the business model, such as Manufacturing, Product R&D.
- Administrative Functions - Perform general governance and support tasks, including Legal, Compliance.
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Counter-Example(s):
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See: Organizational Structure, Organizational Process, Cross-Functional Team.

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References

(Levesque et al., 2022) ⇒ J. Levesque, C. Dalmasso. (2022). “Understanding the Impacts of Digital Transformation in the Service Industry: The Mutation of the Back-Office Function in the Insurance Sector.” In: IPDMC 2022.
- QUOTE: “… work has focused on the Front Office side, with relatively little attention given to Back Office (BO) … industry, one that describes a core organizational function of administrative operations. …”
- NOTE: It evaluates the digital transformation's impact on organizational functions within the service industry, with particular focus on the role of the back-office function in the insurance sector.

(Domingues et al., 2014) ⇒ J.P.T. Domingues, P. Sampaio. (2014). “A Model for Assessing Maturity of Integrated Management Systems.” In: Occupational Safety and Health.
- QUOTE: “… A back-office and front-office based maturity model development assessing IMS the ultimate contribution from this paper. This contribution, on its own, and sustained on multi…”
- NOTE: It introduces a model to assess organizational functions' maturity in Integrated Management Systems, based on back-office and front-office operations.

(Marciniak, 2013) ⇒ R. Marciniak. (2013). “Choice Between Outsourcing and Shared Services.” In: Zilina, Slovakia, EDIS Zilina University Publishers.
- QUOTE: “… about optimization of back-office functions in organizations. In this … So theoretically an organizational function can be … In the hybrid model some functions (typically front-office functions) …”
- NOTE: It provides an analysis on the optimization of organizational functions, particularly back-office functions, and deliberates on the choice between outsourcing and shared services.

(Zazzera et al., 2021) ⇒ A. Zazzera, L. Ferrara, V.D. Tozzi. (2021). “Care Transition for Complex Patients: A Framework to Analyse and Develop the Operating Centres for Transition.” In: Journal of Integrated Care.
- QUOTE: “… (6) if the OCT mainly runs front office or back-office activities. … Organizational features: The COT is an organizational function, … , it is actually an organizational function of the LHA and can …”
- NOTE: It discusses the organizational function of Operating Centres for Transition, detailing the balance between front-office or back-office activities in care transition for complex patients.

(Tate & Johnstone, 2011) ⇒ M. Tate, D. Johnstone. (2011). “ICT, Multi-Channels and the Changing Line of Visibility: An Empirical Study.” In: e-Service Journal: A Journal of Electronic Services in the Public Sector.
- QUOTE: “… This means that ICT is no longer a ‘below the line’ organizational function. Many of the … Increasingly, organizations cannot rely on a line of visibility between front office and back office, …”
- NOTE: It investigates the changing nature of organizational functions in relation to ICT and multi-channels, and the effect on the visibility between front-office and back-office operations.