“…Whereas both functional differentiation and organization present two key concepts of modernity (Bergthaller & Schinko, 2011;Leydesdorff, 2002;Luhmann, 1977Luhmann, , 1990Luhmann, , 1997Roth & Schütz, 2015;Schoeneborn, 2011;Seidl, 2005;Vanderstraeten, 2005;Wetzel & Van Gorp, 2014), the field of nonprofit studies appears to emphasize the latter concept considerably more than the former. A possible reason for this state of affairs is the intuitive, but unwarranted, association of functional differentiation with possible excesses of organizational departmentalization (Durant, 1998;Moon, 2013;Raju, Lonial, & Crum, 2011;Roth, Sales, & Kaivo-oja, 2017;Springer, 1977;Young, Hougland, & Shepard, 1981). It is true that the definitions of specific organizations as "nonprofit" or "nongovernmental" do imply functional differentiation by referring to profit and government as the, respective, categories of the economic and political systems.…”