Project Management

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Topic

    Lukas Oleksiak
    % spent revenue and cost
    Topic posted November 15, 2019 by Lukas OleksiakGreen Ribbon: 100+ Points, tagged Project Billing & Revenue, Project Contracts, Project Costing 
    33 Views, 1 Comment
    Title:
    % spent revenue and cost
    Summary:
    How to stop revenue being recognised for a particular cost transaction?
    Content:

    Hi there,

    I have the following use case:

    We are delivering a project and are using % spent revenue recognition method within the contract. We are funding a set of tasks via Contract Lines.

    We use Project Budget to calculate the % spent revenue recognition to provide Oracle with the Total Planned Cost.

    Against the funded tasks we incur some costs, which legitimately should not contribute/count towards out %spent revenue recognition. I notice that against a cost transaction we can set Revenue to Hold Until Released. I have used it but it made no difference to my revenue when using % spend. I believe it only applies if Revenue Plan = Rate Based.

    Is there any mechanism to set cost transactions as non-revenue contributing when using % spent revenue plan?

    Version:
    Oracle Cloud R13 19D

    Comment

     

    • Simon Williams

      I’m afraid not. It’s about taking the total cost against the plan/forecast/budget values for the contract line. Can you move the cost to a non-recoverable task, to avoid the calculation? Assuming it’s not receipted or tracking other values in third party tools against the task.

      Sadly, the ability to create our own extensions in cloud isn’t available yet  which would give functionality to add your own business logic. Extending the old extensions was a really useful feature.