My current position is in a functional organization where each department team has a functional manager to whom other team members report to. I think this style work well for us as each department needs to concentrate their focus on certain activities and having functional managers to report to makes it easier for a team to work together and avoids wasting time with some members being out of sync or not having work to do. This style also helps keep projects on schedule and running smoothly in my opinion as functional managers often collaborate to continually update what is required of their team.