Approval Workflow
A structured series of steps—often automated—through which a request, document, or transaction is reviewed, validated, and either authorised or rejected, ensuring that organisational policies, budgets, and compliance requirements are met before action is taken.
Key Facts
Alternate names: approval process, sign-off workflow, routing workflow
Typical use cases: purchase requisitions, expense reports, invoices, HR changes, IT access requests, marketing assets
Core components: trigger event, routing rules, approver roles, escalation rules, notifications, audit log
Routing logic drivers: dollar amount, cost centre, project code, risk score, document type, geography, supplier tier
Common platforms: procure-to-pay suites, business-process-management (BPM) tools, low-code workflow builders (e.g., Power Automate, Monday.com, ServiceNow), Slack/Teams bots
Key KPIs: average approval time, SLA compliance %, number of approval loops, exception rate, audit-trail completeness
Why It Matters
Risk & compliance control – Ensures the right stakeholders verify policy, budget, and regulatory requirements before money or data moves.
Efficiency & speed – Well-designed workflows replace email chains and paper sign-offs, cutting cycle times from days to hours.
Accountability & transparency – Every decision is timestamped and attributed to an individual, creating a defensible audit trail for SOX, GDPR, and ISO standards.
Scalability – As the organisation grows, automated workflows handle higher volume without proportional head-count increases.
Real-World Examples
Fintech Scale-Up
Implements a dynamic approval workflow for SaaS purchases: requests under €200 auto-approve; €200–1 000 route to the manager; above €1 000 add Finance. Slack notifications and 24-hour escalations cut average cycle time from 7 days to 30 minutes.
Public University
Uses a BPM platform to route research-grant spending. Each requisition passes through PI, department chair, grants office, and compliance. Automated reminders raise on-time approval from 63 % to 96 %, reducing grant draw-down delays.
Diagram / Visual (optional)
A flowchart: Trigger → Policy Engine → Level-1 Approver → (conditional) Level-2 Approver → Compliance Review → Final Approval/Reject → Audit Log.
Related Terms
Approval Chain
Workflow Automation
Intake-to-Procure
Segregation of Duties (SoD)
Procure-to-Pay (P2P)
Frequently Asked Questions
Q: How is an approval workflow different from an approval chain?
A: Approval chain refers to who approves; approval workflow encompasses who, when, and how—including routing logic, escalations, and system actions.
Q: What’s the optimal number of approval levels?
A: Best practice is ≤ 3 for routine transactions, with dynamic routing that adds layers only for high-risk or high-value items.
Q: How can we speed up slow approvals?
A: Use clear SLAs, real-time notifications, mobile approvals, and automatic escalation if an approver sits idle beyond a set time (e.g., 48 hours).
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