Revenue Management

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Topic

    Janelle Azimullah
    Revenue Management where percent-spent is used in Enterprise...Answered
    Topic posted October 28, 2019 by Janelle AzimullahGold Trophy: 10,000+ Points, tagged Revenue Management 
    35 Views, 2 Comments
    Title:
    Revenue Management where percent-spent is used in Enterprise Contracts?
    Summary:
    Revenue Management where percent-spent is used in Enterprise Contracts?
    Content:

    How does Revenue Management integrate with PPM where percent-spent revenue recognition is setup in Enterprise Contracts?

    How do we define the logic for percent spent using Revenue Management configuration?

    Are the revenue events generated within Revenue Management and posted to Project Module?

    Version:
    Fusion Revenue Management R13 19C

    Best Comment

    Perry Unrau

    The current integration between Enterprise Contracts, Project Billing, and RMCS is comprised of:

    1. Views provided by Enterprise Contracts of the contract header and contract line tables.

    2. View provided by Project Billing of the revenue distribution line table.  The Generate Revenue process creates revenue distribution lines for all eligible revenue plans for all revenue methods, including percent spent and percent complete.  The revenue distribution lines are displayed on the Manage Revenue Distributions page in the Contract Revenue work area.  They are also summarized by contract, contract line, and associated project and task and displayed on the Manage Summary Revenue page in the Contract Revenue work area.

    3. Process in RMCS to use the views provided by Enterprise Contracts to pull in project contract headers as source documents and project contract lines as source document lines.

    4. Process in RMCS to use the view provided by Project Billing to pull in revenue distribution lines as satisfaction events.

    The intent of the integration is for Project Billing to generate all revenue, based on rates, amounts, or progress.  The amount of revenue generated is converted into a percent of the contract line amount, which is the Enterprise Contracts proxy for the performance obligation allocated revenue amount.  This percentage is then pulled into RMCS as a satisfaction event using the satisfaction measurement method of Percent.  RMCS then calculates revenue to be recognized in RMCS, using the percentage and the performance obligation allocated revenue amount.  When the contract line amount in Enterprise Contracts and the performance obligation allocated revenue amount in RMCS are the same, the revenue generated in Project Billing and the revenue recognized in RMCS would be identical.

    Revenue created in RMCS is not interfaced back to Project Billing.

    Perry

     

    Comment

     

    • Janelle Azimullah

      Have looked at "How To Generate Revenue For Contracts With Percent Complete Revenue Method? (Doc ID 2204831.1)" but it only covers only the Project Billing information but not the integration with RMCS.

    • Perry Unrau

      The current integration between Enterprise Contracts, Project Billing, and RMCS is comprised of:

      1. Views provided by Enterprise Contracts of the contract header and contract line tables.

      2. View provided by Project Billing of the revenue distribution line table.  The Generate Revenue process creates revenue distribution lines for all eligible revenue plans for all revenue methods, including percent spent and percent complete.  The revenue distribution lines are displayed on the Manage Revenue Distributions page in the Contract Revenue work area.  They are also summarized by contract, contract line, and associated project and task and displayed on the Manage Summary Revenue page in the Contract Revenue work area.

      3. Process in RMCS to use the views provided by Enterprise Contracts to pull in project contract headers as source documents and project contract lines as source document lines.

      4. Process in RMCS to use the view provided by Project Billing to pull in revenue distribution lines as satisfaction events.

      The intent of the integration is for Project Billing to generate all revenue, based on rates, amounts, or progress.  The amount of revenue generated is converted into a percent of the contract line amount, which is the Enterprise Contracts proxy for the performance obligation allocated revenue amount.  This percentage is then pulled into RMCS as a satisfaction event using the satisfaction measurement method of Percent.  RMCS then calculates revenue to be recognized in RMCS, using the percentage and the performance obligation allocated revenue amount.  When the contract line amount in Enterprise Contracts and the performance obligation allocated revenue amount in RMCS are the same, the revenue generated in Project Billing and the revenue recognized in RMCS would be identical.

      Revenue created in RMCS is not interfaced back to Project Billing.

      Perry