Clemson University is preparing to transition to revenue-based budgeting (RBB), an incentive-based model designed to ensure transparency, streamline college- and division-level decision-making, and to align budgets with accountability and responsibility. By encouraging smart revenue growth and expense management, RBB incentivizes innovation and entrepreneurship across the University.
RBB also aligns with Workday@Clemson, the University’s Finance and Human Resources-focused enterprise resource planning program. Currently in development, this modernization effort will integrate and streamline core daily tasks for Clemson faculty, staff and student workers.
University leadership guides RBB implementation
When Clemson first began work on RBB, the University’s leadership – including the dean of each academic college – drafted the guiding principles that would help direct the design, development and implementation of revenue-based budgeting at Clemson. The RBB Steering Committee voted to adopt each principle as ongoing guidance for this transformative change effort.
“Our steering committee’s first act when we met was to develop guiding principles for revenue-based budgeting at Clemson,” said Executive Vice President for Academic Affairs and Provost Robert H. Jones. “Collectively, our deans implemented essential values at the center of the RBB structure to keep all of us focused on components of financial stewardship that advance the bold goals in Clemson Elevate.”
Guiding Principles
Five guiding principles for revenue-based budgeting at Clemson define how the University implements this forward-thinking shift in the budget paradigm. Tony Wagner, Executive Vice President for Finance and Operations and Chief Operating Officer at Clemson, emphasized the ongoing influence of guiding principles on RBB.
“The guiding principles established early in our collaborative work are the guard rails that will build a new budget model that meets the unique needs of our University,” said Wagner. “These five guiding principles will ensure our model empowers academic leadership with financial transparency and authority while incentivizing innovation, entrepreneurship, smart revenue growth, and expense management.”
Support
Support the University’s land-grant mission, leading to achieving goals as defined in Clemson’s strategic plan, Clemson Elevate.
Simplicity
Be simple to articulate and ensure transparency.
Data-driven
Be data-driven and enable predictability that allows for multi-year planning.
Accountability
Align budgetary authority with responsibility and accountability.
Innovation
Incentivize efficiency, collaboration, innovation and entrepreneurship in line with Clemson Elevate.
RBB process moves to shadow phase
After completing the RBB design phase, Clemson has now entered the second phase of implementation: the shadow phase. During this time, the University tests the RBB model framework alongside the current budget process. RBB is rooted in incremental change over time, allowing the budget model to create predictable and meaningful impacts. The shadow phase provides the opportunity to work in partnership with the campus community on the impacts of the model and improve implementation leading into fiscal year 2027, which beings July 1, 2026.
Learn more about revenue-based budgeting at Clemson University by visiting clemson.edu/rbb.