Top-Down Allocation

7min
Introduction
The Aimplan Planning & Reporting tool provides built-in support for top-down allocation. This feature enables you to enter a value at an aggregated level, and the resulting value is automatically spread across the underlying data.
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How Top-Down Allocation Works
Top-down allocation operates based on the hierarchies defined in the visualization. In the example above, you can see an account hierarchy on the rows and time on the columns.
When the total value is changed, all the component values that make up the total are adjusted accordingly.
Example
Let's consider an example to illustrate how the top-down allocation works:
flowchart TD
    x[15] --> I
    y[10] --> I
    z[5] --> I
    I{Aggregation} --> A
    A(30) -->|Is changed to| B(60)
    B --> C{Top-Down \n Allocation}
    C -->|15 * 60 / 30| D[30]
    C -->|10 * 60 / 30| E[20]
    C -->|5 * 60 / 30| F[10]
flowchart TD
    x[15] --> I
    y[10] --> I
    z[5] --> I
    I{Aggregation} --> A
    A(30) -->|Is changed to| B(60)
    B --> C{Top-Down \n Allocation}
    C -->|15 * 60 / 30| D[30]
    C -->|10 * 60 / 30| E[20]
    C -->|5 * 60 / 30| F[10]
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In this example, we have three initial values: 15, 10, and 5. These values are aggregated to obtain a total value of 30. The total value is then changed to 60, resulting in a proportional increase across the allocated elements.
Allocation Calculation
The top-down allocation process involves dividing the changed total value among the individual elements based on their proportions. Each element receives a share of the total value determined by the ratio of its initial value to the aggregated total value.
In the example above, the allocation calculation is as follows:
Element A: 15 * 60 / 30 = 30
Element B: 10 * 60 / 30 = 20
Element C: 5 * 60 / 30 = 10
Special Cases
While the above calculation applies to most scenarios, there are some cases where it may not be applicable, and alternative techniques are used.
All Blank/Zero Values
When opening a planning scenario for the first time, it's common for all values to be blank or zero. In such cases, proportions cannot be calculated as it would result in a divide by zero error. Instead, it is assumed that the value should be evenly spread across all children.
Locked Values
Locked values are those that cannot be changed. However, if a hierarchy contains items that are not locked, the allocation will be applied to those items. In this scenario, the locked values are subtracted from the total to ensure the allocation is accurate.
Disabling Top-Down Allocation
Top-down allocation can be disabled by entering "visual settings" and switching the "top-down allocation" toggle.
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Updated 20 Nov 2023
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