Functional Job is a fundamental concept in the Jobs to be Done (JTBD) framework that defines the core, practical goal a customer is trying to accomplish, independent of any specific product or solution. Understanding functional jobs is essential for portfolio companies to accurately define markets, identify innovation opportunities, and develop products that create superior customer value.
A functional job is the primary, practical task or goal that customers are trying to accomplish—the fundamental reason they seek out and "hire" products or services. Functional jobs define what customers are ultimately trying to achieve, regardless of what specific solutions they currently use.
Functional jobs are defined using an action verb and an object that describe a customer goal independent of any products. For example:
Understanding functional jobs is critical because:
Traditional market definitions often revolve around product categories, which can lead to serious strategic errors. Comparing functional jobs with product-based market definitions highlights the advantages of the JTBD approach:
This distinction explains why companies like Kodak (focused on the "film" product category rather than the "share memories" functional job) missed massive market shifts and eventually failed.
Not all job statements are equally effective at guiding innovation and strategy. Well-defined functional jobs share several key characteristics:
Functional jobs must be completely independent of any product, service, or solution. They describe what customers are trying to accomplish, not how they currently do it.
For example, "use a spreadsheet to analyze data" is not a functional job because it references a specific solution (spreadsheets). The functional job is "analyze data to make decisions."
Functional jobs remain constant even as technologies and solutions change dramatically. The job of "creating a mood with music" has remained the same whether accomplished through live musicians, vinyl records, cassettes, CDs, MP3s, or streaming services.
Functional jobs should be defined at the right level of granularity—broad enough to encompass meaningful market opportunities but specific enough to guide innovation efforts.
For example, "communicate" is too broad to be actionable, while "send emails" is too narrow and solution-specific. The appropriate functional job might be "share information with colleagues."
Functional jobs should be expressed in customer language rather than industry or technical terminology. They should reflect how customers think about their goals, not how companies think about their products.
Well-defined functional jobs have implicit success criteria—customers can determine whether the job has been completed successfully, which provides the foundation for identifying needs within the job.
Accurately identifying functional jobs requires rigorous research and analysis. The thrv methodology includes several approaches to ensure that portfolio companies correctly identify the functional jobs in their markets:
In-depth interviews with job beneficiaries explore:
Analyzing how solutions have evolved over time reveals the underlying functional jobs:
Understanding the circumstances that trigger job execution helps clarify the functional job:
Examining all the different ways customers currently accomplish their goals helps define the true functional job:
A series of "why" questions helps uncover the fundamental job behind superficial product preferences:
This process typically reveals the functional job that drives customer behavior.
One of the most powerful applications of functional jobs is in defining markets more accurately:
Traditional approaches define markets based on product categories, technologies, or industries. For example:
These definitions create artificial boundaries that often miss important competitive threats and growth opportunities.
The JTBD approach defines markets based on the functional jobs customers are trying to get done:
These definitions provide a more accurate and stable view of competitive dynamics and market opportunities.
Defining markets based on functional jobs has several important strategic implications:
For example, when Netflix initially defined their market as "rent movies" (a product-centric view), they focused on competing with Blockbuster. When they redefined their market as "create entertainment experiences" (a functional job view), they recognized the opportunity to produce original content and compete with traditional studios.
Functional jobs can be categorized in several ways that help portfolio companies understand market dynamics:
Understanding this distinction helps companies develop appropriate value propositions and go-to-market strategies for different contexts.
This distinction affects product complexity, pricing potential, and competitive dynamics.
Job frequency influences customer expertise, willingness to invest in solutions, and customer relationship dynamics.
Understanding this relationship helps companies identify logical growth directions.
Functional jobs are one of several types of jobs in the JTBD framework. Understanding how functional jobs relate to other job types is crucial for comprehensive customer understanding:
The practical goals customers are trying to accomplish—what they want to get done.
How customers want to feel (or avoid feeling) when getting the functional job done. For example, while getting to a destination on time (functional job), customers want to feel confident and relaxed rather than anxious (emotional job).
How customers want to be perceived by others when doing the functional job. For example, while sharing memories (functional job), customers might want to be perceived as caring or creative (social job).
The tasks related to buying, learning, setting up, maintaining, and using specific solutions for the functional job. For example, while the functional job might be "analyze data," consumption jobs include "learn to use the software" and "maintain the system."
While all these job types are important, functional jobs serve as the foundation for market definition and primary innovation targets. The other job types provide additional layers of understanding that help refine product design, user experience, and marketing approaches.
Functional jobs serve as the top level of a hierarchical structure that helps portfolio companies understand customer behavior in detail:
This hierarchical structure provides a comprehensive framework for understanding customer behavior at different levels of granularity:
By understanding this complete hierarchy, portfolio companies can develop comprehensive strategies that address both the big picture (which jobs to target) and the specific details (which features to build).
Understanding functional jobs transforms how portfolio companies develop their product strategies:
Functional jobs help companies make more accurate platform decisions by revealing the fundamental customer goals beyond current technologies. This prevents attachment to declining platforms and enables quicker transitions to emerging ones.
For example, Blockbuster remained committed to the physical retail platform because they defined their market as "rent movies," while Netflix recognized that their functional job was "create entertainment experiences," allowing them to transition from DVDs to streaming.
Functional jobs provide the foundation for identifying and prioritizing the most valuable features based on which job steps and needs are most underserved.
Rather than adding features based on competitive parity or internal preferences, companies can focus on improvements that help customers get their functional job done better.
By understanding the functional job, companies can identify adjacent opportunities that naturally extend their value proposition.
For example, a company helping customers "manage personal finances" might expand from budgeting tools to investment guidance, debt management, and tax optimization—all logical extensions of the core functional job.
Functional jobs reveal potential partners who address different aspects of the same job, creating opportunities for integrated solutions that deliver more complete value.
For example, a company helping customers "plan travel experiences" might partner with accommodation providers, transportation services, and activity vendors to create a more comprehensive solution.
By focusing on underserved aspects of the functional job, companies can create meaningful differentiation even in crowded markets.
Rather than competing on all fronts, they can specialize in specific job steps or needs where current solutions fall short, creating a distinctive value proposition.
In thrv's proprietary Jobs to be Done methodology, functional jobs serve as the foundation for creating growth strategies for portfolio companies:
The thrv platform includes tools for mapping functional jobs, ensuring they are correctly defined to capture true market opportunities.
The methodology analyzes how solutions for functional jobs have evolved over time, revealing patterns that help predict future market directions.
thrv helps portfolio companies size markets based on functional jobs rather than product categories, providing more accurate assessments of opportunity.
The methodology helps companies understand relationships between different functional jobs, identifying synergies and expansion opportunities.
thrv's approach maps competitors based on which aspects of the functional job they address, revealing both threats and opportunities that traditional competitive analysis might miss.
This comprehensive approach ensures that portfolio companies build their strategies on a solid foundation of customer-centric functional jobs rather than transient product categories.
For portfolio companies, a deep understanding of functional jobs delivers several strategic benefits:
By focusing on stable customer goals rather than changing product categories, companies gain a more accurate view of their true market.
Functional job analysis reveals potential competitors from adjacent categories before they become obvious threats.
Breaking free from product-category thinking enables more creative approaches to helping customers get jobs done.
Messaging based on functional jobs connects more directly with customer goals and motivations than product-feature messaging.
Building strategy around functional jobs creates a more stable foundation than focusing on specific technologies or product features.
Functional jobs represent the foundation of the Jobs to be Done framework, providing a stable, customer-centric definition of markets and innovation opportunities. By defining the practical goals customers are trying to accomplish independent of any specific solution, functional jobs offer portfolio companies a powerful lens for understanding customer behavior, identifying market opportunities, and developing products that create superior value.
The thrv methodology provides portfolio companies with sophisticated tools for identifying and analyzing functional jobs in their markets. This functional job-based approach leads to more accurate market definition, better competitive positioning, more innovative product development, and ultimately accelerated growth and enhanced equity value.
By understanding the functional jobs their customers are trying to accomplish—rather than just the products they currently buy—portfolio companies can develop more effective strategies that create sustainable competitive advantage and long-term equity value.