PurposeThe paper aims to the size-dependent analysis of functionally graded materials in thermal environment based on the modified couple stress theory using finite element method.Design/methodology/approachThe element formulation is developed within the framework of the penalty unsymmetric finite element method (FEM) in that the C1 continuity requirement is satisfied in weak sense and thus, C0 continuous interpolation enhanced by independent nodal rotation is employed as the test function. Meanwhile, the trial function is designed based on the stress functions and the weighted residual method. Besides, the special Gauss quadrature scheme is employed for integrals of matrices in accordance with the graded variation of the material properties.FindingsThe numerical results reveal that in thermal environment, functionally graded materials exhibit better bending performance compared to homogeneous materials, Moreover, the findings also indicate that with an increase in MLSP, the natural frequencies of out-of-plane modes gradually increase, while the natural frequencies of in-plane modes show much less variation, leading to a mode switch phenomenon.Originality/valueThe work provides an efficient numerical tool for analyzing and designing the functionally graded structures in thermal environment in practical engineering applications.