¶ Purpose
The Transaction Approval Setting screen allows administrators to configure approval workflows transaction‑wise. It defines which employee can approve which transaction types and up to what monetary limit, ensuring internal controls, authorisation compliance, and audit governance across all financial transactions.
¶ Prerequisites
The following transactions must be completed.
- The Employee master must be completed.
- The Location master must be completed.
- Access rights must be assigned to the responsible user for the transaction.
¶ Transaction Approval Setting
The Transaction Approval Setting screen allows the user to select the appropriate employee to approve the various types of transactions.
Navigation: Main – Menu ⇢ Transactions ⇢ Finance ⇢ Finance Entries ⇢ Finance ⇢ Select Financial Year ⇢ Show List ⇢ Approval ⇢ Transaction Approval Setting
- The user must select the appropriate Location and Transaction Type from the dropdown list.
- The user must select the appropriate checkbox for the employee.
- The user must enter the Max Limit details.
Note: If the Max Limit is set to zero, it indicates that no fixed limit has been defined.
- Click Save, the following message will appear.
- Click Ok.
¶ Functional Use Cases
| Sl No. | Use Case | Business Scenario | Functional Outcome in ERP |
|---|---|---|---|
| 1 | Configure Transaction‑Wise Approval | Different transactions need different approvers. | ERP enforces approval based on configuration. |
| 2 | Define Approval Limits | Approval authority varies by amount. | ERP validates approval limits. |
| 3 | Assign Approvers to Employees | Specific employees approve specific transactions. | ERP routes transactions accordingly. |
| 4 | Multi‑Level Approval Setup | High‑value transactions need multiple approvals. | ERP triggers sequential approvals. |
| 5 | Auto‑Approval Below Threshold | Small-value transactions don’t need approval. | ERP auto‑approves eligible transactions. |
| 6 | Block Posting Without Approval | Unauthorised posting attempt. | ERP restricts posting. |
| 7 | Audit & Approval Tracking | Compliance and traceability are required. | ERP maintains an approval audit trail. |
¶ Use Case Scenario
- Click here for a detailed use case scenario.
¶ Transaction Checklist
| Steps | Checklist Item | Details / Purpose (Before Starting Transaction) |
|---|---|---|
| 1 | Identify Transaction Types | List of transactions requiring approval. |
| 2 | Identify Approver Employees | Employees are eligible for approval. |
| 3 | Define Approval Limits | The maximum amount an approver can approve. |
| 4 | Determine Approval Levels | Single or multi‑level approval. |
| 5 | Confirm Company / Location Scope | Approval applicability scope. |
| 6 | Verify User Roles | The approver must have approval rights. |
| 7 | Decide Auto‑Approval Rules | Thresholds for auto‑approval. |
| 8 | Compliance Review | Ensure approval policy alignment. |