Functional outcome includes a wide range of abilities from successful performance on neurocognitive tests to managing independent living in the community. Assessment of functional outcome has been one of the main concerns in the Measurement and Treatment Research to Improve Cognition in Schizophrenia (MATRICS), as it is supposed to mirror the cognitive improvement on the primary measure (i.e. MATRICS Consensus Cognitive Battery; MCCB) . The first step was to identify an optimal level of functional outcome; functional capacity was specified as co-primary measures for MCCB. Subsequently, appropriate co-primary measures were explored both in performance-based and interview-based approaches. To study a higher level of functional outcome, functional performance has also been considered, which predicts the ability of patients to adjust themselves to the community. Among the community functioning measures developed recently, the Modified SFS/SAS for MATRICS-PASS (Social Functioning Scale/Social Adjustment Scale for MATRICS-Psychonomic and Standardization Study) was introduced, based on its ability to predict social functioning in patients with schizophrenia. Finally, the author discussed several issues concerning the translation of functional outcome measures into non-English languages.