Abstract: A system utilizing a web-based interactive database to automate the allocation of the operating expenses is disclosed. The system is configured to receive business information, allocate operating expenses, compute an average deal cost, calculate deal cost per product by adjusting the average deal cost to reflect complexity differences, and provide various management reports to track operating expenses by different categories to facilitate strategic decision making process. In another embodiment, the invention is a method and a computer program for allocating operating expenses that utilizes a web-based system including a server system, a centralized database and a client system.