Approval codes

Approval codes determine monetary amount limits and who must approve requisitions at each limit. Each level has an approver assigned to it and has a higher limit than the level below. For example, this approval code is defined.

Dollar amount limit	Approval needed by
$100,000	Vice President
$50,000	Department Manager
$1,000	Supervisor

In this example, the Supervisor can approve requisitions totalling $1,000 to $49,999. Both the Supervisor and the Department Manager must approve requisitions totalling $50,000 to $99,000. All three approvers (the Supervisor, Department Manager, and the Vice President) must approve a requisition amounting to more than $100,000.

You can set up the approval code so that lower levels of approval are not needed. You can do this by setting the Skip Lower Levels option to Yes on Approval Codes (RQ02.1). In this example and with the Skip Lower Levels option set to Yes, only the Department Manager must approve a requisition totaling $12,000.

Approval is not required for requisitions that do not exceed a monetary limit. For example, a requisition with a total below $1,000 does not need any approval. Processing of these requisitions is not constrained or restricted by the approval process.

You can bypass the approval process by setting up one approval code that has a high threshold. This means that a requisition will never exceed the threshold and therefore, will never need approval.

Requisitions are approved at the header level and the approval type used is Header Using Approval Codes. With this approval type, you approve the requisition header using the approval code from the requester. The application copies the approval type from the requester to the requisition header.