Revenue allocation automatically assigns transaction revenue to the appropriate organisational unit within your institution based on program ownership. This allows you to track which parts of the organisation are generating revenue.

When a customer purchases a program, the system allocates the revenue to the organisational unit that owns that program. For transactions involving multiple programs (such as team enrolments across different courses), revenue is split proportionally across the relevant organisational units.

How Revenue Allocation Works

Each program in Academy is assigned to an organisational unit during program setup. This organisational unit becomes the "owner" of that program for revenue tracking purposes.

When a purchase is processed:

1. The system identifies which program(s) are included in the transaction
2. It determines which organisational unit owns each program
3. Revenue is allocated to those organisational units accordingly
4. The allocation appears in revenue reports and exports to your finance system

For multi-program purchases, revenue is divided based on the value attributed to each program in the transaction.

Use Cases for Revenue Allocation

• Universities: A university with separate faculties (Engineering, Business, Health Sciences, Arts) can track which faculties are generating the most revenue from their short courses and professional development programs. When the Engineering faculty runs a project management course, revenue allocates to Engineering. When Business runs a leadership program, revenue allocates to Business.
• Training Organisations with Multiple Departments: A corporate training provider with separate divisions for Digital Skills, Leadership Development, and Technical Training can track performance by division. This helps with budget planning, resource allocation, and understanding which training areas drive the most revenue.
• Multi-Entity Organisations: Organisations operating through multiple legal entities or subsidiaries can track revenue by entity for financial reporting and compliance purposes.
• Cost Centre Allocation: Organisations that need to attribute revenue to specific cost centres for internal budgeting and performance management can use organisational units to match their cost centre structure.

Setting Up Revenue Allocation

Setting Up Organisational Units

Note: this step must be completed by a platform administrator. 

Before you can set up organisational units, this will need to be enabled on your platform. This is found in Platform Settings > Entity Profile > Entity Settings.

Toggle on Enable Org Unit Entity, and Org Unit Assignable to Programs.

To create an organisational unit, go to Entities > Org Units > Add Org Unit. 

You will be prompted to create a name and code for the Org Unit: 

• Name - The full name of the organisational unit as it should appear in reports (e.g., "Faculty of Engineering", "Leadership Development", "Sydney Campus").
• Code - A short code to identify this unit in reports and finance system exports (e.g., "ENG", "LEAD", "SYD"). Use codes that match your finance system's cost centre or department codes to simplify integration and reconciliation.

Assign an Organisational Unit to a Program

Once you have created your organisational units, you can add the relevant unit to each program. This determines where revenue will be allocated when the program is sold.

First, navigate to Program Settings for the relevant program. At the bottom of the screen, you can select the relevant Organisation Unit from the drop down. 

Viewing Revenue by Organisational Unit

Navigate to Sales & Finance > Revenue to access revenue reporting tools.

From the Revenue reports, you can filter by organisational unit to see revenue attributed to specific faculties, departments, or divisions. This allows you to track performance by unit and compare revenue across different parts of your organisation.

Revenue Allocation for Complex Transactions

Team Enrolments Across Multiple Programs: When a corporate client purchases training for 20 employees across four different programs owned by different organisational units, the system automatically splits the revenue. If the total purchase is $10,000 with 5 participants in each of four programs priced equally, each organisational unit receives $2,500 in allocated revenue.

Discounts and Team Pricing: When discounts or team pricing apply, the system allocates the discounted revenue proportionally. If a 10% discount applies to the entire order, each organisational unit receives 90% of their normal allocation.

Transfers Between Programs: When a customer transfers from one program to another, revenue reallocates accordingly. If someone transfers from an Engineering program to a Business program, the system issues a credit note against Engineering's revenue and creates a new transaction allocated to Business.

Refunds and Credits: When refunds are processed, revenue allocation reverses. The organisational unit that originally received the revenue has it deducted when the refund is issued. For credits on hold, revenue allocates when the credit is spent, not when it's issued.

Best Practices

Keep Organisational Units Consistent: Avoid changing program assignments between organisational units unless absolutely necessary. Changes affect historical reporting and can create confusion in year-over-year comparisons.

Use Clear Naming Conventions: Use organisational unit codes that match your finance system's cost centre or department codes. This simplifies reconciliation and reduces mapping errors during integration.

Review Allocation Regularly: Periodically review revenue allocation reports to ensure programs are assigned to the correct units and that revenue is flowing as expected. This is particularly important after organisational restructures.

Document Your Structure: Maintain clear documentation of what each organisational unit represents and which programs should be assigned to it. This helps staff make correct assignments when creating new programs.