The Procurement Glossary » Approval Workflow
Approval Workflow
Procure-to-Pay
Definition
The defined sequence of authorisations a requisition, order or invoice must pass through before it can proceed.
Explanation
Approval workflows enforce policy and budget before money is committed. Rules route items by value, category, cost centre or budget to the right approvers, often in multiple tiers. Automating them removes inbox delay while keeping control.
Example
Requisitions under RM1,000 need one approval; above RM10,000 they route to the department head and finance.
Related terms
- Purchase Requisition (PR) — An internal request to buy something, raised by a staff member and routed for approval before any order is placed.
- Delegation of Authority (DOA) — The formal policy defining who can approve spend and up to what value, at each level of an organisation.
- Approval Hierarchy — The ordered chain of approvers through which a purchase must pass, typically escalating with value.
- Budget — A financial plan allocating expected spend across categories, departments or projects for a period.
Related concepts
- Procure-to-Pay (P2P) — The end-to-end operational buying cycle — from requisition and approval to purchase order, receipt, invoice matching and payment.
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Frequently Asked Questions
What is Approval Workflow?
The defined sequence of authorisations a requisition, order or invoice must pass through before it can proceed. Approval workflows enforce policy and budget before money is committed. Rules route items by value, category, cost centre or budget to the right approvers, often in multiple tiers. Automating them removes inbox delay while keeping control.
Can you give an example of Approval Workflow?
Requisitions under RM1,000 need one approval; above RM10,000 they route to the department head and finance.
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