Purchase Order Approvals are used when approval is required to place orders, i.e. purchasing amount restrictions. You can use the threshold method, which only requires one approver, or you can create Hierarchical Approvals which uses multiple approvers.
Using either method will require you to select the approval method under Global Options and follow the specific setup steps for each options’ setup.
This method allows you to use up to four different approval “Ranks” based on monetary value to determine whose approval is required. You can also set up the ability to allow purchase orders to increase by a certain amount once the approval has been given, bypassing the need to go through the approval process again.
Note: Users cannot approve a purchase order that they requested approval for.
Hierarchical PO Approvals use an emailed, ranked system in lieu of a monetary threshold. This feature uses the Yellow Dog API to send emails to required people, and they can accept or reject the PO through a web portal. Email addresses are set in the Employees section in Yellow Dog, so everyone who will be approving POs must have an employee login set up, even if they do not use Yellow Dog. The employee requesting approval will receive notifications upon approval or rejection, so they will need to have their email address assigned to their user as well.
Follow the steps above to create a purchase order. Committing will not be an option if Approval is required. Instead, the Request PO Approval button will be available. Select Request Approval, then Save & Close the PO.
Once a Purchase Order has been approved by everyone that is required, you will be able to reopen and Commit the PO.
When someone with Approval access logs in, Yellow Dog will open to the Purchase Order Approvals list. You can always access this list in the Purchasing module as well.
From the Purchase Order Approvals list, you can either select the PO and click Approve or Reject, or you can open the PO and approve or reject it from there.
When a PO has been requested for approval, an email will be sent to any users assigned to the first approval tier.
Following the link in the email, the approver will go to a web page to review, then approve or reject the request.
Note that although multiple users may be assigned to the same tier, a single PO can only be approved or rejected once per tier.
Once the Purchase Order has been approved by one person in the first tier, an email is sent to all users assigned to the second tier, and so on until either the PO Approval Request has been rejected at any point, or it has been fully approved by someone in each tier as configured for that particular store.
When the Purchase Order Approval request has been either rejected or fully approved, the original requester will receive an email notification.
The current approval status can also be viewed from the Approvals button in the Purchase Order editor.
The PO can now be committed.