Recognizing revenue using the Revenue Workbench
Revenue will become available to recognize for a project, based on the contract that is assigned to it. Once it’s available, you can carry out a ‘revenue run’, that formally recognizes the revenue.
When you carry out a revenue run, you can choose to recognize only part of the available recognizable revenue, if desired. And, you can recognize revenue on any schedule you choose – once a month, weekly, or even daily – to keep track of where you stand.
Use the Revenue Recognition Summary report to view revenue recognition data for projects.
Creating a revenue run
To create a revenue run:
- Go to Revenue > All Revenue.
- Find the revenue you want to recognize using the As Of, Client, and Project filters. Only amounts earned up to and including the As Of date will be included.
- Click Refresh Data to apply the filters. The table displays:
- The revenue you’ve already recognized for the project (Recognized Revenue column)
- The earnings that are still available to recognize (Recognizable Revenue column)
You can add Client
columns to this table by clicking the
icon located above the table, on the right.
- Click Create Revenue Run to take a snapshot of your revenue up to the date selected.
The revenue run displays.
- At this point, you can:
- Override the auto-generated number assigned to the run
- Add a description of the run
- View the As Of and Creation date displayed in the header
- Update the amount of revenue to recognize, if necessary, by clicking and editing revenue values. The original amount will display under the final value, with a line through it.
Finalizing and exporting a revenue run
Once you’ve generated a revenue run, you can:
- Click Mark as Complete to change the revenue run status from Draft to Complete.
This doesn’t alter the data at all – it just serves as an indicator that you’ve finalized the run.
- Click Download to download the run as a CSV file.
You can then import this file into your ERP system.
Viewing and cancelling revenue runs
To view a list of all revenue runs you’ve created, click Revenue > Revenue Runs. To view a revenue run, click its number.
To cancel a revenue run:
- Go to Revenue > Revenue Runs.
- Select the run number from the Revenue Run column.
- Click the icon that displays in the top, right-hand corner of the revenue run.
- Select Cancel Revenue Run.
- Click the Cancel Revenue Run button in the dialog that displays.
What happens if a change is made that impacts the contract?
You might, at times, need to make a change to a project that impacts its revenue calculation. For example, you may need to allocate more resources to a Percent of Completion project that’s behind schedule, upping its estimate. Or, you may need to update a project’s total contract value if the contract is renegotiated.
Recognizable revenue will always reflect the current contract value and resource allocations. If you’ve already recognized some revenue, the value of those revenue runs won’t change – only the recognizable amount will be affected.
So, it’s possible to have a negative amount of recognizable revenue available if you’ve, for example, reduced the contract value of a Percent of Completion project, or if you’ve added resource hours to it.
How do I correct past revenue runs?
If you made an error in a revenue run, you can cancel it and create a new run. All data you included in the original run will be returned to the recognizable revenue pool.
How do I remove previously selected clients or projects from the filters?
Click the x in the filter field, then click Refresh Data.
Can we recognize revenue that becomes available in the future today?
Yes, if you set the As Of date for the future.