diff --git a/src/Microsoft.OpenApi.OData.Reader/Microsoft.OpenAPI.OData.Reader.csproj b/src/Microsoft.OpenApi.OData.Reader/Microsoft.OpenAPI.OData.Reader.csproj
index ff7dd0b7..e61a7d0f 100644
--- a/src/Microsoft.OpenApi.OData.Reader/Microsoft.OpenAPI.OData.Reader.csproj
+++ b/src/Microsoft.OpenApi.OData.Reader/Microsoft.OpenAPI.OData.Reader.csproj
@@ -27,6 +27,7 @@
 		- Adds support for retrieving collection of enum values from UpdateMethod property of UpdateRestrictions annotation #564
 		- Adds nullable to double schema conversions #581
 		- Updates tag names for actions/functions operations #585
+		- Creates unique operation ids for paths with composable overloaded functions #580
 	</PackageReleaseNotes>
     <AssemblyName>Microsoft.OpenApi.OData.Reader</AssemblyName>
     <AssemblyOriginatorKeyFile>..\..\tool\Microsoft.OpenApi.OData.snk</AssemblyOriginatorKeyFile>
diff --git a/src/Microsoft.OpenApi.OData.Reader/Operation/EdmOperationOperationHandler.cs b/src/Microsoft.OpenApi.OData.Reader/Operation/EdmOperationOperationHandler.cs
index 55ad88b2..ad6217e9 100644
--- a/src/Microsoft.OpenApi.OData.Reader/Operation/EdmOperationOperationHandler.cs
+++ b/src/Microsoft.OpenApi.OData.Reader/Operation/EdmOperationOperationHandler.cs
@@ -81,6 +81,7 @@ protected override void SetBasicInfo(OpenApiOperation operation)
                 // duplicates in entity vs entityset functions/actions
 
                 List<string> identifiers = new();
+                string pathHash = string.Empty;
                 foreach (ODataSegment segment in Path.Segments)
                 {
                     if (segment is ODataKeySegment keySegment)
@@ -101,6 +102,16 @@ protected override void SetBasicInfo(OpenApiOperation operation)
                             identifiers.Add(keySegment.Identifier);
                         }
                     }
+                    else if (segment is ODataOperationSegment opSegment)
+                    {
+                        if (opSegment.Operation is IEdmFunction function && Context.Model.IsOperationOverload(function))
+                        {
+                            // Hash the segment to avoid duplicate operationIds
+                            pathHash = segment.GetPathHash(Context.Settings);
+                        }
+
+                        identifiers.Add(segment.Identifier);
+                    }
                     else
                     {
                         identifiers.Add(segment.Identifier);
@@ -109,21 +120,13 @@ protected override void SetBasicInfo(OpenApiOperation operation)
 
                 string operationId = string.Join(".", identifiers);
 
-                if (EdmOperation.IsAction())
+                if (!string.IsNullOrEmpty(pathHash))
                 {
-                    operation.OperationId = operationId;
+                    operation.OperationId = operationId + "-" + pathHash;
                 }
                 else
                 {
-                    if (Path.LastSegment is ODataOperationSegment operationSegment &&
-                        Context.Model.IsOperationOverload(operationSegment.Operation))
-                    {
-                        operation.OperationId = operationId + "-" + Path.LastSegment.GetPathHash(Context.Settings);
-                    }
-                    else
-                    {
-                        operation.OperationId = operationId;
-                    }
+                    operation.OperationId = operationId;
                 }
             }
 
diff --git a/test/Microsoft.OpenAPI.OData.Reader.Tests/Operation/EdmFunctionOperationHandlerTests.cs b/test/Microsoft.OpenAPI.OData.Reader.Tests/Operation/EdmFunctionOperationHandlerTests.cs
index 49322066..5f225a81 100644
--- a/test/Microsoft.OpenAPI.OData.Reader.Tests/Operation/EdmFunctionOperationHandlerTests.cs
+++ b/test/Microsoft.OpenAPI.OData.Reader.Tests/Operation/EdmFunctionOperationHandlerTests.cs
@@ -1,4 +1,4 @@
-// ------------------------------------------------------------
+// ------------------------------------------------------------
 //  Copyright (c) Microsoft Corporation.  All rights reserved.
 //  Licensed under the MIT License (MIT). See LICENSE in the repo root for license information.
 // ------------------------------------------------------------
@@ -299,6 +299,65 @@ public void CreateOperationForOverloadEdmFunctionReturnsCorrectOperationId(bool
             }
         }
 
+        [Theory]
+        [InlineData(true)]
+        [InlineData(false)]
+        public void CreateOperationForComposableOverloadEdmFunctionReturnsCorrectOperationId(bool enableOperationId)
+        {
+            // Arrange
+            EdmModel model = new();
+            EdmEntityType customer = new("NS", "Customer");
+            customer.AddKeys(customer.AddStructuralProperty("ID", EdmPrimitiveTypeKind.Int32));
+            model.AddElement(customer);
+
+            EdmFunction function = new("NS", "MyFunction", EdmCoreModel.Instance.GetString(false), true, null, false);
+            function.AddParameter("entity", new EdmEntityTypeReference(customer, false));
+            function.AddParameter("param", EdmCoreModel.Instance.GetString(false));
+            model.AddElement(function);
+
+            function = new EdmFunction("NS", "MyFunction", EdmCoreModel.Instance.GetString(false), true, null, false);
+            function.AddParameter("entity", new EdmEntityTypeReference(customer, false));
+            function.AddParameter("param", EdmCoreModel.Instance.GetString(false));
+            function.AddParameter("param2", EdmCoreModel.Instance.GetString(false));
+            model.AddElement(function);
+
+            EdmFunction function2 = new("NS", "MyFunction2", EdmCoreModel.Instance.GetString(false), true, null, false);
+            function2.AddParameter("entity2", new EdmEntityTypeReference(customer, false));
+            function2.AddParameter("param3", EdmCoreModel.Instance.GetString(false));
+            model.AddElement(function2);
+
+            EdmEntityContainer container = new("NS", "Default");
+            EdmEntitySet customers = new(container, "Customers", customer);
+            model.AddElement(container);
+
+            OpenApiConvertSettings settings = new OpenApiConvertSettings
+            {
+                EnableOperationId = enableOperationId,
+                AddSingleQuotesForStringParameters = true,
+            };
+            ODataContext context = new(model, settings);
+
+            ODataPath path = new(new ODataNavigationSourceSegment(customers),
+                new ODataKeySegment(customer),
+                new ODataOperationSegment(function),
+                new ODataOperationSegment(function2));
+
+            // Act
+            var operation = _operationHandler.CreateOperation(context, path);
+
+            // Assert
+            Assert.NotNull(operation);
+
+            if (enableOperationId)
+            {
+                Assert.Equal("Customers.Customer.MyFunction.MyFunction2-df74", operation.OperationId);
+            }
+            else
+            {
+                Assert.Null(operation.OperationId);
+            }
+        }
+
         [Theory]
         [InlineData(true)]
         [InlineData(false)]