This functional decomposition diagram outlines the key functions of a hotel management system. It breaks the system down into 6 main sections: 1) master maintenance to manage customer, room, rate, and employee details; 2) inventory system to manage stock levels; 3) services management to track available and booked services; 4) booking and cancellation management to handle reservations; 5) payment details to generate invoices and process payments; and 6) reports. Each main section contains subsections that further describe the constituent functions.