LGTM they're closely related & snap/proportional editing aren't associated w/ orientation or pivot.

@Pablo Vazquez (pablovazquez) Yes, it does look a bit funny if you set both to 3D Cursor, but then again that is also true today. I'm not sure any of the alternative solutions are really nicer either - they would be inconsistent with the rest of Blender and take up much more space.

You already really have to just know what each dropdown is for, since there are no descriptors or labels for any of the items in the header there.

The separate icons idea sounds nice, although it sounds hard to design them. @Andrzej Ambroz (jendrzych) : any ideas?

@William Reynish (billreynish) - looks like not an easy task, but You know: no pain, no gain.

You already really have to just know what each dropdown is for, since there are no descriptors or labels for any of the items in the header there.

This is exactly why I agree with one of Pablo's suggestions that we could "just have both without labels and rely on better icon design to tell the types apart." If we have to know what these things are anyway, we might as well save the space on the header. That not only includes "Transform Orientation", but also "Overlays" and "Shading" too.

Just remove the text, and if it is not clear based on the context, position, or icons then that will give some incentive to fix something. Probably the icons. Right now it isn't just that the same "3D Cursor" icon is used for Pivot point and Transform Orientation, but also that it is difficult to tell the difference between Global and Local orientation icons.

AFAIK, the main (only?) reason we have text for the Orientation setting, is that you can make custom orientations. Without the text, it would be impossible to know which one of your custom orientations were set.

Without the text, it would be impossible to know which one of your custom orientations were set.

We'd just show the text only if there is a custom orientation, otherwise show only the icon.
We do something similar with snapping options, swapping out the icons for the word "Mix"

We could do that, but then the whole section would jump to make space for the text.

It might be acceptable though.

If @Andrzej Ambroz (jendrzych) is able to design icons to differentiate between 3D Cursor Orientation and 3D Cursor Pivot, then I think we could probably get away with removing the text.

Really though, it's a bit funny that we try so hard to make these transform tool toggles so small when there is usually loads of space in the actual tool settings top bar area above, as well as the Tool Properties.

But alas, that is a bigger topic :)

I would try to use only text without icons for "Transform Orientation", the text is more clear, all words are short, no problem with custom option, no problem with 3D Cursor icon.

@Harley Acheson (harley) would rather keep text for orientation always, while its nice we have icons - global/local/gimbal/normal etc - don't communicate in an easy to identify/memorable way what each one does.

@Andrzej Ambroz (jendrzych) Great! Regardless of the discussion above, I think we should go with your icon change anyway - it helps clarify the difference between the two.

Using diagonal cursor icon is odd since by default it's not displayed at 45deg angle, it's upright in ortho views and when placing.

@Campbell Barton (campbellbarton)
yep - it's not diagonal by default but it uses the available space and features of the general symbol in a clever way.
Moreover, I plan to work more on some of these icons, because users report that pictograms are too similar to each other. Sea of arrows in short words. I predict more reductions, simplifications and generalizations, not necessarily embedded in realism.