What is a cross-functional team?
Cross-functional teams are groups of people with different skills, responsibilities, and areas of expertise that work together to achieve specific goals. Cross-functional teams typically include employees from all organizational levels and departments. Team members who may be unable to work together or cross paths otherwise come together to form cross-functional teams.
Some teams use project collaboration software to help employees work together effectively. Project collaboration tools refine communications, enable users to collaborate and share tasks, and allow team members to share content.
Types of cross-functional teams
Organizations can structure cross-functional teams in many ways based on their needs and team structure. Some of the common types of cross-functional teams include:
- Project teams. Enterprises may benefit from creating temporary teams to see a project through from start to finish. An organization may need different skill sets and backgrounds to complete a project. For example, a project manager, technology expert, software developers, and change managers may work together to implement a new software system across the organization.
- Scrum teams. Similar to project teams, scrum teams work together to deliver a product or complete a development-related project. Key players on a scrum team include a scrum master, a product owner, and the development team.
- Task forces. Organizations create task forces to target a particular problem or issue. Task forces usually come together to accomplish an objective and disband once they achieve their goals.
Benefits of cross-functional teams
Organizations that use cross-functional teams often experience a range of benefits, including:
- Improved collaboration. By nature, cross-functional teams provide opportunities for team members to collaborate with departments they may not have had the chance to work with otherwise.
- More innovation. The range of skill sets and areas of expertise on cross-functional teams enables better problem-solving because team members bring unique perspectives and different lenses to the situation. As a result, the team may generate more innovative ideas and customized solutions to their problems.
- Clear roles and responsibilities. Since team members have areas of specialization on cross-functional teams, each person can effectively focus on their role and responsibilities without a lack of clarity or too much overlap.
- Increased alignment across departments. Having a cross-functional team means pulling together team members from different departments. As these team members come together, they can obtain and share information with their departments, improving communication and alignment throughout the organization.
Challenges of cross-functional teams
Cross-functional teams can quickly become dysfunctional without the right foundations and structure to support their efforts. Some of the common challenges cross-functional teams experience are:
- A lack of clear goals and purpose. A cross-functional team needs a clear mission, widely understood goals, and a path to get there to avoid failing. As part of the early planning process, cross-functional teams should align on their goals and purpose before diving into the weeds of the work.
- Competing interests. When team members from different departments come together, they bring their biases. Conflicting goals may arise because team members have different perspectives and underlying motivations. Cross-functional teams should align with the company’s goals to avoid favoring parties.
- Lack of trust. It can be challenging for team members to trust one another without a previous working relationship. Cross-functional teams need to get to know one another to build trust and work together effectively.
Best practices for managing cross-functional teams
Cross-functional teams may not reach their maximum potential without the proper structure and support. Implementing these best practices can help organizations create the most effective cross-functional teams for the highest likelihood of success.
- Choose a diverse group. Members of cross-functional teams have unique areas of expertise and skill sets. Outside of skills, organizations should ensure cross-functional teams are diverse amongst other categories, including age, gender, race, and tenure.
- Ensure expectations are clear. At the beginning of a project, the team should clarify and outline clear expectations and responsibilities. Agreeing to a shared understanding of the project tasks, deadlines, and goals helps team members understand their roles so they can deliver the best results.
- Encourage collaboration with the right tools and technology. Without the right tools, a cross-functional team can’t work together effectively. Collaboration platforms and instant messaging tools are examples of tools that facilitate team collaboration.
Cross-functional vs. functional teams
It's important to know how cross-functional teams differ from functional teams.
Prepare cross-functional teams with the skills they need to ensure their project is successful.
