# Overview

> From the moment an Invoice and Credit Note is ingested by our system, PurchasePlus constantly analyses every document in the 'Open' and 'Awaiting Approval'

Source: https://www.purchaseplus.com/docs/for-purchasers/invoice-and-credit-note-approval-workflows

Markdown: https://www.purchaseplus.com/docs/for-purchasers/invoice-and-credit-note-approval-workflows.md

# Overview
**Jump To**:

-   [Approval Workflow](#approval-workflow)  
    -   [Workflow Ranks](#WorkflowRanks)
        -   [Order](#WorkflowRankOrder)
        -   [Maximum Value](#WorkflowMaximumValue)
        -   [Approvers](#WorkflowApprovers)
    -   [Workflow Assignments](#WorkflowAssignments)
        -   [Note on Organisation Hierarchies](#OrgHierarchies)
    -   [Workflow Executions (Audit Log)](#WorkflowExecutions)
-   [Who can Create and Manage Approval Workflows?](#WhoCanManageWorkflows)
-   [Guide: Creating an Approval Workflow](#CreatingInvoiceWorkflows)
-   [Guide: Updating Approval Workflows](#ManagingInvoiceWorkflows)  
    -   [Updating Approval Workflow Ranks](#UpdatingWorkflowRanks)
    -   [Adding or Removing Approvers](#AddingOrRemovingApprovers)
    -   [Updating a Workflow's Assignment(s)](#UpdatingWorkflowAssignments)
    -   [Deleting a Workflow](#DeletingAWorkflow)
-   [Guide: Approving (or Declining) a Document in an Approval Workflow](#ApprovingAnInvoice)
-   [New vs legacy](#new-vs-legacy)
-   [Troubleshooting](#troubleshooting)

* * *

### Approval Workflow

From the moment an **Invoice and  Credit Note** is ingested by our system, PurchasePlus constantly analyses every document in the 'Open' and 'Awaiting Approval' states, and raises Header- or Line-Level [Flags](/docs/for-purchasers/invoice-flags-explained) on the document, according to each Organisation's Flag Settings. These Flags tell us there is a problem with that document - for example, the quantity ordered (on the matched Purchase Order) is not the same as the quantity Invoiced - and it needs to be reviewed by an appointed person.

Exactly _who_ that person is may differ, depending on the Organisation Unit that received the Invoice or Credit Note, the value of the document, or both. It may even need to be reviewed by multiple humans within an organisation. **The logic regarding _who_ needs to Approve an Invoice or Credit Note, as well as the automated notifications and tasks that enable the reviewer, is defined by an Approval Workflow. (** Note: that this also applies now in stock transfers and requisitions**)**

Once a document has been granted Final Approval, it will be automatically progressed to the Reconciled state, and is able to be [Exported to your external AP System](/docs/for-purchasers/export-an-invoice-or-credit-note).  
  
An Approval Workflow contains [Ranks](#WorkflowRanks), [Assignments](#WorkflowAssignments), and is [Executed](#WorkflowExecutions) when an eligible Invoice or Credit Note is coded to the assigned Organisation/Unit. Read on to learn more.  
  
For **requisitions** and **stock transfers**, once they reached the **Final Approval**:  
**Requisitions** will be completed and will obtain a Purchase Order.  
**Stock Transfers** will be mark as completed. 

### Workflow Ranks

Workflows have Ranks, which control the user(s) that can approve Invoices or Credit Notes up to a nominated Value.

![Workflow Ranks](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-1.avif)Workflow Ranks all have a Name (e.g. 'Rank 1', or 'Kitchen Hand'), and each Rank has three distinct components: [Rank Order](#WorkflowRankOrder), [Rank Maximum Value](#WorkflowMaximumValue), and [Rank Approvers.](#WorkflowApprovers)  
  
This also applies for requisition workflows and stock transfers:

**Inventory Transfers**  
![Inventory Transfer Approval Workflow ranks](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-2.avif)

#### **Requisitions![Requisition Approval Workflow ranks](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-3.avif)**

#### Workflow Rank Order

An Invoice or Credit Note that enters a Workflow will require Approval in the defined Rank Order. That is, the document must first be Approved by Rank Order 1, before it can be Approved by Rank Order 2, and so on, until it is granted Final Approval. _Please see section: [Workflow Rank Maximum Value](#WorkflowMaximumValue) for more information about Final Approval_.

A Workflow may contain up to 10 Ranks.

#### Workflow Rank Maximum Value

The Maximum Value of a Rank is important, as it tells us which Ranks can provide Final Approval for an Invoice, Credit Note, and which Ranks cannot. 

If the document's value is less than or equal to the Rank Maximum Value, final approval will be granted by the Rank. If the document's value is greater than the Rank Maximum Value, Final Approval will not be granted by the Rank, and it will continue to the next Rank.

For example, if Rank 1's Maximum Value is $500, and an Invoice with a value of $501 enters the Workflow, then Approvers in Rank 1 will not be able to provide _Final_ Approval for the Invoice - Final Approval must be provided by someone in a Rank with a Rank Maximum Value of more than $500. However, if the Invoice's value was $499, then the Approver(s) in Rank 1 could provide Final Approval for the Invoice, without it having to be approved by a user in a higher Rank.

**Please note:** there is no 'Unlimited' Rank Value. The final Workflow Rank's Maximum Value should be the highest feasible Invoice or Credit Note value that you are likely to receive.

#### Workflow Approvers

Workflow Ranks can have one or more Approvers:

![Workflow Rank Approvers](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-4.avif)The Approvers belonging to each Rank will be notified by email when an Invoice or Credit Note enters the Rank and requires their Approval. Any User in the Rank can approve the document, and the Rank Approval will be considered 'granted' by the first user that Approves within the Rank. 

### Workflow Assignments

Invoice or Credit Note Approval Workflows are assigned to one or more Organisations or Organisation Units. Any document that is expensed (Coded) to an Organisation or Organisation Unit will be placed into the assigned Workflow for that Organisation. 

![Workflow Assignments](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-5.avif)

Users with the 'Manage Organisations' permission can Assign a Workflow to their Organisation on the **\[System Settings\] → \[Organisation Settings\]** page.

A Workflow can be assigned to multiple Organisations (Departments), but an Organisation can only have one Workflow assigned to it. 

For Stock Transfer Approval Workflow- the only difference is when you assign them to the Stock Location itself:![Stock Transfer Approval Workflow on a Stock Location](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-6.avif)  

#### Note on Organisation Hierarchies

Workflows are not 'inherited' from parent Organisations. If you wish for an Organisation Unit to have the same Invoice Approval Workflow as one of its Parent Organisations, it must be applied at both the parent and child levels in the Organisation Hierarchy.

### Workflow Executions

Workflows are 'Executed' when an eligible Invoice or Credit Note is coded to an Organisation where a Workflow is Assigned. 

There is an **\[Executions\]** tab within a Workflow that lists all of the times a particular Workflow has been invoked, detailing the documents that were involved:

![Workflow Executions](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-7.avif)

To view a detailed Information Panel (i.e. an Audit Log) regarding a specific Workflow Execution and all of the Execution Events, click the button in the **\[Info\]** column.

![Workflow Executions Info Panel](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-8.avif)

Cancelling, Parking or Deleting an Invoice or Credit Note at any time during an Active Execution will cancel the Workflow Execution.  
  
For Requisitions you will see the number of requisitions same goes with stock transfers:

**Requisitions**

![Requisition Workflow Executions](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-9.avif)

**Stock Transfers**  
![Stock Transfer Workflow Executions](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-10.avif)

### Who can manage workflows

A User must have the 'Can Manage Approval Workflows' permission enabled to be able to Create or Manage Approval Workflows.

![Permission Can Manage Workflows](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-11.avif)

Users with this Permission will be able to Manage the Workflows in any Organisation of which they are a member.

To Assign a Workflow to an Organisation, a user must have the 'Manage Organisations' permission.

### Creating an Approval Workflow

Users with the 'Can Manage Approval Workflows' can create a new Invoice or Credit Note (also applies for requisitions and stock transfers) Approval Workflow by following these steps. Once created, Workflows cannot be deleted.

**Step 1.**  Navigate to **\[System Settings\] → \[Approval Workflows\]** in the Side Navigation Bar, and then click the **\[Create a New Approval Workflow\]** button:

![Create a New Approval Workflow](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-12.avif)

**Step 2.** Select the desired Workflow Type, and then give the Workflow a Name and Description, before clicking **\[Create Workflow\]**:

![Create New Workflow with Credit Note option](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-13.avif)

**Step 3.** You will arrive at the newly-created Workflow, which has one default Rank. You can edit the default Rank by clicking **\[Update Rank\]** in the **\[More\]** menu, if you wish to change the Name or the Maximum Value of the Rank:

![Update Rank on a new Workflow](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-14.avif)

**Step 4.** Click **\[Create New Rank\]** to add more Ranks as you require. It is strongly recommended that the Ranks should be Ordered according to the Maximum Values of the Ranks, in ascending order. You can edit the Ranks and the Rank Order by selecting the relevant option(s) in the **\[More\]** Menu:

![Create New Rank on a Workflow](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-15.avif)

**Step 5.** Add Approvers to each Rank by clicking the button in the **\[Approvers\]** column. You will only be able to add Approvers that (a) are existing PurchasePlus users, and (b) are members of the Organisation in which you are creating the Workflow:

![Add Approvers to a Workflow Rank](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-16.avif)

**Step 6.** The Workflow becomes 'Active' as soon as it is [Assigned](#UpdatingWorkflowAssignments) to one or more Organisations or Organisation Units. 

### Updating an Approval Workflow

You can update the Name and the Description of a Workflow by visiting the **\[Settings\]** tab:

![Update Workflow Settings](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-17.avif)

#### Updating Workflow Ranks

By clicking the **\[More\]** menu on a Workflow Rank, you will be presented with a list of options for updating a Workflow Rank:

![Update Workflow Ranks](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-18.avif)

-   **\[Move Rank Up\]** and **\[Move Rank Down\]** can be used to modify the order of the Ranks in the Workflow.
-   **\[Update Rank\]** can be used to change the Name or the Maximum Value of the Rank.
-   **\[Delete Rank\]** will completely remove the Rank from the Workflow.

If even a single Invoice is Awaiting Approval in the Workflow, the Ranks for that Workflow cannot be updated or deleted. The Invoice(s) need to be either Parked, or go through the approval process before the Ranks can be updated. However, you can add a new Approver (user) to the Rank at any time. **(same goes with requisitions, credit notes and stock transfers)**

#### Adding or Removing Approvers

To manage the Approvers in a Workflow Rank, first click the button in the **\[Approvers\]** column:

![Approvers on a Workflow Rank](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-19.avif)To Add a new Approver, click the **\[Add Approver\]** button and search for the user in question. You will only be able to add Approvers that (a) are existing PurchasePlus users, and (b) are members of the Organisation in which you are creating the Workflow.

To Remove an Approver, click **\[Remove\]** in the **\[More\]** menu:

![Remove Approver from a Rank](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-20.avif)

#### Updating a Workflow's Assignment(s)

The ability to Assign a Workflow can be found in two place in PurchasePlus:

1\. The **\[Assignments\]** tab of the Workflow: ![Workflow Assignments tab](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-21.avif)

2\. The **\[System Settings\] → \[Organisation Settings\]** page:

![Assign a Workflow](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-22.avif)**Please note:** Users must have the 'Manage Organisations' permission to assign an Approval Workflow to an Organisation or Organisation Unit.

If even a single Invoice is in an Awaiting Approval state per the Workflow, a Workflow can't be un-assigned from an Organisation. The Invoice(s) must either be Parked or go through the Approval process first. **(same goes with requisitions, credit notes and stock transfers)**

#### Deleting a Workflow

Workflows must be deleted by a PurchasePlus Configuration Team member. Please [get in touch with us](mailto:help@purchaseplus.com) to arrange the Deletion of a Workflow from an Organisation Unit

### Approve or decline

Users have the ability to Approve or Decline an Invoice or Credit Note that has been coded to an Organisation Unit where (a) there is a Workflow Assigned, and (b) they are an Approver in one of its Workflow Ranks.

Approvers can either Approve or Decline the document from the **\[Invoices OR Credit Notes\] → \[Awaiting My Approval\]** page. Please note, Approvers in the second (and subsequent) Ranks of the Workflow will only see Invoices or Credit Notes in this list after they have been granted Approval by the earlier Rank(s):

![Invoices Awaiting My Approval page](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-23.avif)

Additionally, Approvers can click into an Invoice or Credit Note and use the **\[Approve\]** or **\[Decline\]** buttons in the header of the document:

![Approve and Decline buttons on an Invoice](/images/docs/for-purchasers/invoice-and-credit-note-approval-workflows-24.avif)

**What happens when an Invoice or Credit Note is Approved?**

-   If the Invoice or Credit Note's Value is greater than the Approver's Rank Maximum Value, the document will be progressed to the next Approval Rank. Users in the next Approval Rank will be notified by email.
-   If the document's Value is less than the Approver's Rank Maximum Value, the Workflow considers this 'Final Approval', and the Invoice or Credit Note is automatically moved to the state of Reconciled. It can be exported to your external AP system for payment. **(same goes with requisitions and stock transfers)**

**What happens when an Invoice or Credit Note is Declined?**

-   Approvers will be prompted to add a Comment, and the document is automatically transitioned to a Cancelled state. **(same goes with requisitions and stock transfers)**

### New vs legacy

For historical users of PurchasePlus, you may be familiar with the way that Workflows worked in our Legacy platform. Here is how 'New' Approval Workflows differ from Legacy Workflows:

-   Unlike in Legacy Invoice Approvers, New Workflow Approvers (and the Approval Order) are defined by [Ranks](#WorkflowRanks), as opposed to the Operational or Financial Approver Role approving the Invoice at any time.
-   \[New\] Approval Workflows need to be enabled for the Purchaser Organisation, as well as the individual Organisation Units.
-   Unlike Legacy Approval Workflows, there is no 'Unlimited' Rank that can be applied, and the final Rank should have the highest value required to be approved.
-   In New Workflows, users can view the [Executions](#WorkflowExecutions) of the Workflow upon the implicated Invoices and Credit Notes. Within an Execution, users can view the Execution Events - providing an effective Audit Log for an Invoice or Credit Note within a Workflow.

Finally, it is important to note that 'New' Approval Workflows are mutually exclusive with Legacy Approval Workflows. As soon as New Approval Workflows are enabled for an Organisation, users at that Organisation can no longer Approve Invoices or Credit Notes according to the Legacy Operational and Financial Approval Workflows.

### Troubleshooting

-   **I've just enabled New Workflows for my Organisation, but none of my (Awaiting Approval) Invoices have been placed in the relevant Workflow.**  
    Invoices and Credit Notes that were Awaiting Approval when New Workflows was enabled need to be re-Opened and then Marked as Awaiting Approval again for the relevant Approval Workflow to take affect. **(same goes with requisitions and stock transfers)**
-   **What if the Invoice or Credit Note is coded to a different Organisation Unit during the Workflow Execution?**  
    The Workflow Execution status is updated to Cancelled, and document enters the new Workflow Execution. **(same goes with requisitions and stock transfers)**
-   **What if an Invoice or Credit Note is mid-Workflow Execution, and all of the Flags get resolved?**  
    The Execution is cancelled, and the document is automatically updated to Reconciled. **(same goes with requisitions and stock transfers)**
-   **What if no Approval Workflow can be found for the Organisation Unit that an Invoice or Credit Note is coded to?**  
    The document stays in the Awaiting Approval state. **(same goes with requisitions and stock transfers)**
-   **What if there is an Approval Workflow enabled for an Organisation, but no Approvers are added to any Workflow Ranks?  
    **The Invoice or Credit Note will remain in the Approval Workflow until an Approver is added to the relevant Rank. **(same goes with requisitions and stock transfers)**
-   **I want to replicate the Legacy 'Operational and Financial Approval Workflows'. How can I do this?**  
    You can create two Workflow Ranks with a $0 Maximum Value each, and add Operational Approvers to one of the Ranks, and Financial Approvers to the other Rank. **(same goes with requisitions and stock transfers)**
-   **I'm being prevented from editing a Workflow, even though I have the correct permission.**   
    Our system prevents a Workflow from being edited if there are any active Executions in the Workflow. First, Approve or Decline the Invoices in the Active Execution, and then you will be able to edit the Workflow. **(same goes with requisitions and stock transfers)**
-   **I'm getting two 'Invoices Awaiting My Approval' emails.**  
    You must be removed as an Approver from the Legacy Invoice Approval Workflow.
-   **Can I 'Skip' Approval Ranks if I am a member of a Workflow Rank with a higher Maximum Value than the Invoice or Credit Note's Value?**  
    No, the document will still require Approval from the defined users in the Rank Order that has been configured for the Workflow. For example, if an Invoice's Value is $1000, Rank 1 can approve up to $500 and Rank 2 can approve up to $2000, Rank 2 members must still await Rank 1's Approval before they can provide Final Approval for the Awaiting Approval Invoice.  
    However, the 'Can Super Approve Invoices and Credit Notes' permission allows permitted users to forcefully transition any 'Awaiting Approval' Invoice or Credit Note into the 'Reconciled' state, regardless of whether or not it is currently in an Approval Workflow. This permission is therefore an effective way for authorized individuals to 'skip' workflow approval ranks. **(same goes with requisitions and stock transfers)**