The usual Atiyah–Segal "functorial" description of quantum field theory corresponds to the "Schrodinger picture" in quantum mechanics. I will describe a slight modification that corresponds to the "Heisenberg picture", which I will argue is better physically motivated. The example I am most interested in is a version of quantum Chern–Simons theory that does not require the level to be quantized; it provides a neat packaging of pretty much all objects of skein theory.
Links:
[1] http://www.mpim-bonn.mpg.de/taxonomy/term/39
[2] http://www.mpim-bonn.mpg.de/node/3444
[3] http://www.mpim-bonn.mpg.de/node/3946