Multiple App Server on a single host

I have a requirement to have multiple application server installations on a single server. Each installation will support a separate department. In the past each department had their own servers and had full control of their application server.
Would it be possible to create separate unix accounts for each department and install the Oracle Application Server under each separate account?
Will the installations be able to manage/avoid port conflicts? Or would I have to manage the ports manually?

Yes it is possible to have multiple instances of OAS (Oracle Application Server) in the same server, if the server hardware (especially RAM) can support it. The port numbers will be assigned automatically by the OUI (Oracle Universal Installer) for each new instance or you can specify them manually (you didnt say which version of OAS but there is a section in the matching installation guide.
However, consider this....
a) they are all still on the same server and any service interruptions to the server as a whole (e.g. apply patches, need to restart the server, all instances would need to be shut down)
b) These kinds of installations can be a horrible mess to administer
Personally I think a better solution is to separate the physical server using virtualization software e.g. VMware ESX to make separate virtual hosts. Then each virtual host has its own IP address and its own instance. e.g. host1 for department 1, host2 for department 2. Then each virtual host can be shut down, rebooted, patched etc, completely independent of the others.

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