Classification and recording of research revenue

1

• Classification and recording of research revenue

2
Overview

• Current classification system
• Emerging issues in recording and classifying
  research revenue
• Problems in the current system
• Solutions to the problems
• Other issues not identified

3
Current classification system

• Fund type is used to identify the Competitive,
  industry and other public sector revenue sources
• GL account is also used to identify the revenue
  source
• The GL account structure does not reflect any
  meaningful information that can be used
• The primary emphasis is to get the Fund type
  correct, the GL account is secondary

4
Current CI Structure in SAP FM

• Research
• Commonwealth Research Grants
• Research Grants
• Commercial Research
• Research Donations

5
Emerging issues and interest in research revenue

• New DVC Research, Prof. Edwina Cornish, is
  requiring more analysis of research revenue
• Emphasis on commercial research
• Setting of targets for research
• Easier reporting and budgeting
• Complement DEST classification and cross
  institution benchmarking

6
Problems in the current system

• GL account classification does not match fund
  type classification
• No restrictions in place to fix errors at the
  transaction entry
• Departmental workarounds to tackle delays in
  contract review and classification
• New staff not familiar with process and guidelines

7
SAP research revenue recording
Fund Type Non Research
Fund type Research
GL account Research GL account Non Research
8
Solutions to the problems

• Create a better structure for GL accounts
• Correct Fund Type classification
• Cleanup any errors in classification for 2004
• Place restrictions to correct data entry errors
• Provide guidelines and training

9
Proposed GL Structure

• Research Revenue
• Competitive ARC Research
• Competitive NHMRC Research
• Competitive Commonwealth Research
• Competitive Non Commonwealth Research
• Other Public Sector Local Government
• Other Public Sector State Government
• Other Public Sector Other Commonwealth Government
• Industry Australian
• Industry Australian Non-profit and Individuals
• Industry International
• Industry International (Competitive)
• Cooperative Research Centres
• Linkage Infrastructure Equipment and Facilities

10
Whats going to happen?

• New GL structure will be created ASAP
• 6 new GL accounts
• Revenue will be moved to the correct GL account
  by end of July
• Any errors will be fixed - by end of July
• Fund type will be reclassified CRC and LIEF
• Guidelines will be in available soon

11
SAP research revenue recording - Fix
Fund Type Non Research
Fund type Research
GL account Research GL account Non Research
12
Feedback

• Any questions or issues
• Suggestions for improvement