Glossary · Approval workflow
What is an approval workflow?
Definition: An approval workflow is the sequence of steps through which a request, such as a purchase, expense or quote, is reviewed and authorised before going ahead.
The workflow defines who must approve each type of request according to rules: amount, department, supplier or type of expense. When a request is created, the system sends it to the first approver, who approves it, rejects it or asks for more information. Once approved, it moves to the next level or is carried out. Every decision is logged with date, person and comment.
It is used for purchases, supplier invoices, expenses, discounted sales quotes, contracts or holiday requests. Digitising it avoids approvals lost in email, allows sign-off with a single click, shows where each request stands and makes audits easier, because every authorisation leaves a trail. Company policy is also applied consistently, without informal exceptions.
A workflow with too many levels becomes a bottleneck. It is worth setting sensible approval limits, arranging delegation for absences and automatically escalating anything that has been waiting too long. Segregation of duties also matters: the person who requests an expense should not be the one who approves it. Approvals should be reserved for decisions that genuinely warrant them.
Example: purchase requests under €1,000 are approved by the department head, while larger ones also go to the finance director; if a request has had no response for three days, the system sends a reminder.