Successfully building and leading cross-functional teams

A cross-functional team operates largely independently of external decision-makers and therefore works faster than interconnected departments.

Cross-functional teams: The most important facts in brief

  • Cross-functional teams combine multiple skills to be able to work on a result area completely and independently.
  • You make decisions directly within the team, which improves speed and quality.
  • A cross-functional team is worthwhile if there is a clearly defined area of responsibility, sufficient work volume, and genuine decision-making authority.
  • Advantages arise primarily from shorter decision-making processes, greater accountability, and better coordination between specialist perspectives.
  • Difficulties arise when roles, responsibilities, or decision-making processes are unclear, or when individual specialized roles become bottlenecks.

What is a cross-functional team?

Cross-functional teams are groups in which many areas of expertise are combined in such a way that they can jointly take responsibility for a clearly defined goal ("end-to-end"). To do this, the team needs all the essential skills to plan, implement, test, and deliver without external dependencies.

  • Pooling of expertise: The team covers all the skills necessary to achieve the objectives.
  • Shared responsibility: Success and quality are the responsibility of the entire team, not individual functional areas.
  • Few dependencies: Transfers to other departments are eliminated or greatly minimized.
  • Focus on outcomes: The team works on a defined set of outcomes with measurable benefits, rather than on isolated tasks.

Difference between cross-functional and functional

Classically functionally organized teams include people with the same expertise in one department, such as development, marketing, or design. In this model, working on a product or project requires multiple handovers between units. Decisions take longer because each department has its own priorities, processes, and responsibilities.

Cross-functional teams break down this structure. They combine the relevant roles so that a result area can be handled entirely within the team. This eliminates the need for a lot of coordination across departmental boundaries. Decisions are made where the expertise is available.

When is it worthwhile to set up a cross-functional team?

Setting up or deploying a cross-functional team is worthwhile for your company if an area is so clearly defined that the team can handle it from start to finish on its own.

This always works very reliably when there is enough work in this area and, as a rule, no decisions by external bodies are necessary. Under these conditions, a cross-functional team works faster, requires less coordination, and takes responsibility for results.

Good conditions for a cross-functional team:

  • The result can be described very precisely. Examples: a product module, a complete ordering process, or addressing a target customer group.
  • The objective remains stable. There is a robust framework for decision-making and planning.
  • There is a constant flow of work in this area. The team remains continuously busy.
  • All core competencies can be brought into the team. Depending on the area, these include, for example, development, UX, data analysis, or marketing.
  • The team can prioritize independently. Decisions do not have to be constantly sought from managers or committees.
  • Dependencies on other teams are manageable. The team can carry out most steps itself.

These prerequisites immediately reveal the advantages of a cross-functional team:

  • The team does not waste time on handovers or waiting for decisions.
  • It can map the entire process internally.
  • The work and deadlines can be planned very accurately.
  • The team's working methods bring them very close to the customer, enabling them to understand and serve them better.

What difficulties frequently arise in cross-functional teams?

Cross-functional teams solve many internal coordination problems, but they also bring their own difficulties. Most of these arise when roles, decision-making processes, or responsibilities are not (yet) well defined. If this is the case, the team may lose momentum and encounter recurring conflicts.

  • Unclear responsibilities: If it is not clearly defined who makes decisions within the team or which role is responsible for which area, delays and conflicting expectations arise.
  • Conflicts between different professional perspectives: Different disciplines sometimes pursue different goals and apply different evaluation standards. This can lead to discussions about priorities and approaches.
  • Specialists become bottlenecks: Individual specialists, for example in data, infrastructure, or legal matters, quickly become the point where tasks pile up.
  • Different working methods within the team sometimes lead to additional work and misunderstandings.

How do I build a high-performing, cross-functional team?

When setting up a cross-functional team, you should describe the goal or outcome of the working group in great detail, assemble the necessary members based on their roles and skills, and then define responsibilities, decision-making processes, and workflows.

Step 1: Define the result/goal

The objective forms the basis of the team and determines which tasks and decisions are its responsibility.

  • Very precise formulation of the area of responsibility, for example, "Creation and optimization of the checkout process."
  • Clear demarcation from other teams to prevent overlap
  • Set measurable goals that provide guidance for planning and prioritization.

Step 2: Define roles and responsibilities

A cross-functional team must cover all the skills required to work independently on the objective.

  • Determination of core roles, such as product management, development, UX, data analysis, or marketing
  • Assignment of responsibilities per role so that responsibilities are clear
  • Determining how roles with a relatively small project share and time requirement can be integrated.

Step 3: Clarify responsibilities and decision-making processes

  • Determining which decisions the team makes itself and which are made externally
  • Disclosed framework for prioritization and goal setting
  • Binding formulation of quality standards and acceptance criteria

Step 4: Agree on working methods and processes

  • Common workflow such as Kanban or Scrum with defined steps, agile working
  • Regular coordination meetings such as planning, review, and retrospective
  • Uniform documentation standards to ensure that information remains accessible in the long term

Step 5: Manage participants and contributors

A cross-functional team needs agreements on how it will work with other departments.

  • Overview of all contributors and their requirements
  • Established process for how tasks are assigned to the team, for example via intake forms or a prioritization meeting.
  • Agreed format for status reports and expectation management

How do I lead a cross-functional team?

As the leader of a cross-functional team, ensure that you provide your team with a workflow in which, as far as possible, all decisions can be made quickly and efficiently. 

At the outset, binding ground rules should be established to structure the daily work routine. These include:

  • Coordination channels for technical and organizational issues
  • Expectations regarding documentation and communication
  • Dealing with conflicts and differences in decision-making
  • Rules regarding periods of concentrated work and availability

It is then your job to ensure positive cooperation and create a working atmosphere that leverages the strengths of a cross-functional team:

  • Address contradictions immediately, argue professionally and objectively, and do not postpone decisions.
  • Check in regularly, but briefly. Use boards that show the status of the work.
  • Define how you handle synchronous and asynchronous communication and how quickly feedback can be expected.
  • Give each team member decision-making authority and discuss decisions in reviews.

How can I provide suitable spaces for multiple cross-functional teams?

As an employer, you are faced with the task of providing suitable working conditions for several cross-functional teams without having to permanently reserve separate spaces for each team.

Since many employees in marketing, development, product, or consulting regularly work remotely, traditional, permanently assigned team rooms are hardly economical anymore. Actual utilization would be low, while costs would be high.

A suitable approach is to switch to desk sharing and bookable team zones. This involves using workstations, rooms, and team areas via a booking system instead of assigning them permanently. Your teams reserve areas exactly when they want to work together in person, for example for planning, reviews, workshops, or coordinating results.

The advantages of bookable team zones, rooms, and individual workstations: 

  • Lower vacancy rates: Fixed desks often remain unused in hybrid working models. Bookable workspaces avoid these idle times.
  • Even as you grow, there is no need to rent new office space, as your teams can easily share the existing facilities.
  • Your teams can select spaces that suit the task at hand, for example, for focused individual work, group discussions, workshops, or hybrid meetings.
  • Using the booking software, your teams can ensure that the required zones and rooms are available as soon as they start working on site.
  • Rooms and zones can be quickly adapted to different team sizes and tasks, which was not possible with previously defined areas.

PULT is your booking software for desks, rooms, and zones. With PULT, give your cross-functional teams the security and freedom to book suitable spaces at any time.

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FAQ

Have questions?

Does every cross-functional team need a dedicated space?

No, a permanently assigned space is not necessary if suitable areas and rooms can be booked as needed. It is important that the team has reliable access to suitable spaces when collaborative work on site is required.

Are cross-functional teams automatically faster?

At the beginning, additional coordination is required until roles and processes are established. After that, throughput times are usually significantly reduced because handovers are no longer necessary and decisions are made within the team.

How large should a cross-functional team be?

Typically, there are five to nine people, depending on the area of responsibility and the skills required. The team should be small enough for direct coordination and large enough to cover all areas of expertise.

What is the difference between interdisciplinary and cross-functional?

Interdisciplinary describes the collaboration of different disciplines without pooling responsibility for results within the team. Cross-functional means that a team is jointly responsible for a clearly defined result.

What happens when specialized knowledge is rarely needed?

Experts can then be brought in to provide appropriate support. This allows the team to remain operational without having to permanently fill any specialist roles.

About author

Isolde Van der Knaap

Hybrid Work Enthusiast and Account Executive

At PULT we're designing the future of the hybrid workplace for companies and their employees. Focused on SME and mid market customers in Eruope, I'm working on everything from Customer Discovery to Onboarding. I'm very passionate about new work and moved to Hamburg in 2024 even though I'm originally from France.

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Office Insights

Open-Concept Office: Pros and cons, design, and modern concepts

An open-concept office is an open workspace where many employees work together without partition walls. Noise, a lack of private spaces, and constant interruptions are considered the biggest drawbacks of open-concept offices. However, you can solve these very problems through zoning, well-designed soundproofing, and skillful space planning.

Open-concept Office: The Most Important Points at a Glance

An open-concept office refers to an open workspace for multiple teams without fixed partitions and is one of the most common office concepts in companies that adopt a hybrid work model.

The biggest drawback of open-concept offices is the noise level: noise and acoustic distractions are among the most commonly cited causes of loss of concentration and declining productivity in open-concept offices.

Zoning, acoustic partitions, and sound-absorbing materials solve the core problems in open-concept offices because they physically separate areas for concentration, communication, and relaxation.

PULT makes it possible to plan open-concept offices: Through Desk Booking and Office Insights, the software shows which zones are actually being used and provides occupancy data for space planning tailored to actual needs.

What is an open-concept office?

An open-concept office (or open-plan office) is a contiguous office area in which more than ten employees work in an open space without floor-to-ceiling walls. It differs from a cubicle office in its open structure and from purely open-space areas in that it has clearly defined functional zones.

How does an open-concept office differ from a traditional office?

Office types can be classified based on how the space is divided. From cubicle offices with individual rooms to combination offices and open-concept offices, the openness of the space increases gradually.

A modern open-concept office combines open workspaces with activity zones—areas each designed for a specific task. It is precisely this zoning that distinguishes this well-thought-out concept from a simple desk arrangement.

For hybrid teams, an open floor plan makes particular sense. When part of your workforce is working from home, shared workspaces allow for much more efficient use of space than permanently assigned individual offices.

What are the pros and cons of open-concept offices?

Open-concept offices offer short lines of communication and high space efficiency, but their main drawbacks are noise and a lack of private spaces. The balance between these two factors determines whether the space is productive or stressful.

What are the advantages of an open-concept office?

The advantages of an open-concept office lie in collaboration and cost savings. Teams can easily coordinate with one another; these discussions take place without the need to schedule appointments, and new employees are able to integrate more quickly.

Added to this is the financial benefit. An open-concept office with shared workstations significantly reduces per-capita office costs, especially in companies where a high percentage of employees work from home.

Short lines of communication: Teams coordinate with one another without organizational hurdles.

Greater space efficiency: Shared workstations reduce costs per employee.

Greater transparency and visibility: You can immediately see who is present and what people are working on.

Faster onboarding: New colleagues learn the processes by working closely with the team.

What are the disadvantages of an open-concept office?

The biggest drawback of open-concept offices is the noise level. Conversations, phone calls, and keyboard clicks all blend together, and it is precisely this acoustic distraction that is one of the most common reasons why concentration suffers in an open-concept office.

In a controlled laboratory experiment, a research team at Bond University demonstrated that typical open-concept office noise increases negative mood by 25% and the physical stress response by 34%—as measured by heart rate and skin conductance—after just eight minutes of noise exposure. In real-world office settings, where employees are exposed to these noise levels for hours on end, these effects are correspondingly more pronounced. (Sander et al., Journal of Management & Organization, 2021)

Open-concept office layouts also significantly reduce face-to-face communication. In two field studies conducted with Fortune 500 companies, the volume of face-to-face interaction dropped by about 70% after the transition to an open-concept layout, while email and instant messaging traffic increased sharply. People who are constantly visible to everyone tend to withdraw inwardly and turn to digital channels. (Bernstein & Turban, Philosophical Transactions of the Royal Society B, Harvard Business School, 2018). The availability of private spaces is therefore an important factor in well-being.

How do I design a modern open-concept office?

A productive and employee-friendly open-concept office is created through spatial zoning based on activity, effective soundproofing, and space planning based on actual usage data. However, furniture and rules alone are not enough if the basic layout of the space does not suit the way people work.

How does zoning work in an open-concept office?

Zoning divides the open space into areas for different activities. This principle stems from the activity-based working concept, in which each type of work is assigned its own appropriate space:

Quiet areas for concentration and quiet, independent work.

Opportunities for collaboration.

Customizable project areas for teamwork and time-bound projects.

Quiet, secluded areas for breaks and relaxation.

This allows employees to choose a workspace that suits their current task and ensures they have the best possible conditions there.

What type of soundproofing is suitable for an open-concept office?

Effective soundproofing in an open-concept office is achieved through sound-absorbing materials and physical barriers. The combination of elements on the ceiling, on the floor, as well as room dividers and large plants reduces the noise level.

Acoustic partitions between workstations block sound directly at the source.

Large plants with lush foliage also act as natural sound barriers.

Upholstered furniture and upholstered room dividers absorb sound.

Floor-to-ceiling partitions in an open-concept office separate zones from one another both acoustically and visually.

Acoustic panels on the ceiling and walls, sound-absorbing carpeting and rugs, and enclosed phone booths for video calls significantly reduce noise levels.

In cases where noise levels remain high despite these measures, the cause usually lies in the use of the space itself.

How does Desk Booking help optimize space in an open-concept office?

Desk Booking provides the data needed to plan an open-concept office according to actual needs. Rather than relying on assumptions, booking and occupancy data show which areas are regularly in use and which, by contrast, remain empty.

This leads to specific ways to adapt the space that allow for the redistribution and management of its use. For example, if the area designated for quiet work is consistently overbooked while spaces for collaboration remain empty, this is a measurable indicator that the layout needs to be redesigned.

PULT provides the necessary occupancy data: This allows you to analyze the use of your office space, and employees can reserve their seats in the appropriate zone.

How to Turn Your Open-Concept Office Into a Productive Workplace

An open-concept office becomes productive through zoning based on activity, effective soundproofing, and space planning based on actual usage data. The open space is preserved, and its weaknesses are eliminated through the right structure.

With PULT Office Insights, you can see which areas of your space are actually being used and plan renovations based on real data.

Your employees can reserve a workspace in the appropriate zone and see where their colleagues are already seated.

You manage capacity and attendance all in one place.

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Office Insights

Workplace Automation: What does it really mean for your office?

Workplace automation refers to the automation of daily, recurring office tasks, from desk reservations to visitor registration. For companies with a hybrid work model, the question arises as to which processes can be automated and how this can be done in compliance with the GDPR.

Workplace Automation: The Basics

Workplace Automation automates recurring office processes—such as room and desk reservations, attendance tracking, and visitor management—based on rules, without requiring employees to manually initiate each step.

You can identify office processes that are ready for automation by three characteristics: clearly definable rules, a high frequency of repetition, and a measurable susceptibility to errors when processed manually.

SMEs must ensure compliance with three requirements before launching: GDPR-compliant data storage, involvement of the works council (Section 87 of the Works Constitution Act), and adherence to EU hosting standards to avoid issues related to the Cloud Act.

PULT is an all-in-one office management platform that automates desk booking, room reservations, office analytics, and visitor management, and integrates fully with MS Teams, Personio, and Slack so your office runs without any manual intervention.

What is workplace automation

Workplace automation encompasses all software-driven office processes in which a defined rule or algorithm determines the next step.

This ranges from automatic booking confirmations to rescheduling meeting rooms when the number of participants does not match the room size. In this way, workplace automation goes beyond mere digitization measures. Digitization converts paper forms into machine-readable data. Automation handles the resulting tasks on its own.

Which office processes can be automated?

Processes that occur daily and always follow the same or a similar pattern are ready for automation.

Area Manual Process Automated version
Space & Workplace Booking meeting rooms, spaces, and workstations by arrangement, via a list, or by email. Self-booking with automatic confirmation
Space & Workplace Identifying and Resolving Duplicate Bookings Automatic detection and rebooking in the event of capacity conflicts
Space & Workplace Send a reminder for your own desk reservation Automatic push notification to the user
Space & Workplace Coordinate Parking Assignments Using a Spreadsheet Automatic assignment of parking spaces based on predefined booking rules
Visitor Management Visitor Registration at the Front Desk Paperless Self-Registration with GDPR-Compliant Data Collection
Visitor Management Notify the host by phone when visitors are arriving Automatic notifications via MS Teams or Slack
Office Evaluation Track Office Utilization Using Handouts Real-Time Analysis of Office Usage
Office Evaluation Compile capacity utilization reports yourself Automatically generated reports based on occupancy data
Human Resources Management Manage Leave Requests via Email Automated approval process with status notifications
Human Resources Management Create and Send Onboarding Checklists Automated task assignment and access granting upon admission
Attendance & Planning Who is in the office and when? Check with them to find out. Real-Time Automatic Attendance Overview
Attendance & Planning Coordinate office days with the team via chat Rule-Based Scheduling with Attendance Thresholds
IT & Access Manually Set Up Access for New Employees Automatic Assignment of Permissions via SSO and HR Integration
IT & Access Access Control by Reception Staff Automated access control via app or badge
Buildings & Facilities Cleaning schedules based on a fixed weekly plan Cleaning Based on Actual Room Usage
Compliance & Security Manually Maintain Attendance Lists for Fire Safety Real-time occupancy data as the basis for evacuation plans

How does automated room and desk booking work?

For example, an automated meeting room management system detects when two people book a conference room that is actually designed to accommodate 20 people. The system identifies the discrepancy and automatically rebooks the reservation into a smaller, suitable room.

This reduces the number of conflicts over available spaces and frees up time for office managers that was previously spent on manual adjustments. Workplace automation via Wi-Fi check-in takes this a step further: As soon as you log in to the office with your device, the system automatically reserves your desk without a single click.

What compliance considerations must a company keep in mind when implementing workplace automation?

Automating office processes always involves processing data. Therefore, three points must be clarified:

GDPR Compliance: What data does the tool collect, how long is it stored, and who has access to it? Booking data and attendance records are considered personal data.

Employee Participation: As soon as a tool tracks attendance or workload, Section 87(1)(6) of the Works Constitution Act (BetrVG) applies. You must consult with the works council before implementing it.

Hosting: EU hosting with a German or European data center circumvents the Cloud Act issues that arise with U.S. providers without an EU branch.

How do I get started with Workplace Automation?

To automate your workplace, start by identifying all the processes that, although they follow a very consistent pattern, are repeatedly carried out manually by employees. Review these processes and provide your team with software to automate them. The more processes a single software solution can handle, the fewer new tools you'll need to burden your team with.

1

Identify processes: Which processes take more than 30 minutes each day or regularly produce errors? These are the first candidates.

2

Examine the process: Is the current process already the best option? Or could it be streamlined?

3

Select a tool based on its integration capabilities: EU hosting and integration with existing systems are important selection criteria.

4

Roll out the changes gradually: Start with one feature—such as automatic room booking—and then expand to other areas after receiving positive feedback.

5

Review KPIs after 4 weeks: How many booking conflicts remained? How much administrative time was saved? How has office utilization changed?

Here's how PULT puts your office management on autopilot

Your workplace automations work best when they're bundled into a single software solution rather than spread across multiple tools. You can bundle workstation and room reservations, presence detection, occupancy analysis, visitor management, and parking management into PULT:

Desk booking, room booking, and office analytics are all handled in a single tool, without any integration issues between individual systems.

Automatic presence detection via your existing Wi-Fi system.

Office Insights provide data and analyses on office utilization.

Full integration with MS Teams, Slack, Personio, and HiBob.

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Office Insights

Huddle Meetings: How to make daily team check-ins truly productive

A huddle meeting is a daily or regular team check-in that takes no more than 15 minutes to align priorities and identify roadblocks. The difference from a traditional status meeting lies in its structure and in what you consistently leave out afterward.

Huddle Meeting: The Basics

A huddle meeting is a regular team check-in limited to 10 to 15 minutes, with three set questions: What was completed yesterday? What's on the agenda for today? What's currently holding the team back?

The Daily Huddle meeting format works whether held in person or virtually, without an agenda document and with a rotating spokesperson. Anything that goes beyond the three core questions should be addressed in follow-up discussions afterward.

For hybrid teams, team huddle meetings require some ground rules: cameras on, a fixed time zone, a breakout channel for follow-up discussions, and GDPR-compliant policies for recording.

PULT, the all-in-one software for hybrid office management, shows moderators in real time every day who is in the office and who is working remotely. This provides a reliable information basis for every huddle meeting before it begins.

What is a huddle meeting?

A huddle meeting is a short, structured team discussion of a fixed duration (10 to 15 minutes) that takes place daily. The goal is to coordinate efforts. Discussions should be held in separate follow-up meetings. Each team member answers the same three questions:

1

What did I finish yesterday?

2

What do I have to do today?

3

What's holding me back right now?

The concept originates from Scrum, where the daily huddle is known as the daily standup. It is now also used by HR, operations, and sales teams, as well as cross-functional teams that coordinate across locations.

What is the proper format for a huddle meeting?

The huddle meeting format requires three key conditions to be effective: strict adherence to the schedule, the assignment of a facilitator, and a fixed list of participants.

1

Duration and Timing. The Daily Huddle Meeting takes place at the same time every day. Exceptions weaken the routine. The maximum duration is 15 minutes. If you regularly go over that time, you should consider whether parts of the content belong in a separate format.

2

Participants. Only individuals who are directly dependent on one another. Larger departments are divided into smaller subgroups.

3

Facilitator's Role. A facilitator keeps track of time and consistently directs discussions toward follow-up conversations. Rotating facilitation fosters a sense of personal responsibility within the team.

Element Standard Remote/Hybrid
Duration 10 to 15 min. 10 to 15 min.
Format While standing Camera on
Moderation Rotating Specified
Follow-up meetings Right after that Breakout Channel
Minutes Optional Note Short Chat Log

What changes in the team huddle meeting in a hybrid office?

In teams where some members are in the office and others are working remotely, three issues arise that could undermine the format: remote participants become passive listeners, discussions in the plenary session get out of hand, or technical problems delay or prolong the meeting.

Checklist for Hybrid Team Huddle Meetings:

Cameras are required for all participants, including office groups sharing a screen.

Real-time chat in the team chat during the meeting.

Breakout session or a fixed time slot on the calendar for follow-up meetings immediately afterward.

A fixed meeting link and time zone in everyone's calendar.

Facilitating from a remote setting to ensure that remote participants are on an equal footing in terms of structure.

Clear hybrid work policies are essential for this model to work for everyone involved.

What legal considerations must companies keep in mind during their daily huddle meetings?

Daily huddle meetings count as work time and must be documented as part of time tracking. This also applies to brief 10-minute check-ins.

If you record video huddles, you need a GDPR-compliant legal basis and must inform participants in advance. If the huddle format is used for regular performance monitoring, a company agreement may also be required.

How to Make Huddle Meetings a Permanent Part of Your Hybrid Team

A huddle meeting is only effective when time management, structure, and the facilitator's role work together seamlessly. In a hybrid work environment, a fourth factor comes into play: transparency about who is working, when, and from where. Daily check-ins help to improve the employee experience because coordination routines become reliable and transparent for everyone.

Use PULT to see where your colleagues are working

PULT shows you at any time who is in the office and who is working remotely. You can also see your colleagues' scheduled attendance and receive reports on your teams' attendance. Desk booking, room booking, visitor management, and office insights are all integrated into a single platform.

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