Zoho Inventory

Help Docs

Transaction Approval

Transaction Approval allows you to verify and approve the transactions that your employees create in Zoho Inventory. So, only the transactions that are approved reflect in your accounts and reports. 

Introducing an approval workflow helps to avoid situations where a wrong item or an incorrect quantity may be recorded while making a purchase. Let’s look at a scenario to understand this better.   

Jason is a business owner and has multiple employees working for him. A newly appointed staff in the purchase department accidentally sends out a purchase order with a wrong quantity. Jason figures this out and wonders how he could have prevented this in the first place. Immediately, he sets up an approval workflow to ensure that all purchase orders his employees send has their managers’ approval.  

Let’s see how you can set up transaction approval to prevent any possible mishap.

This document will help you learn about:


Setting-up Transaction Approval

Transaction Approval Setup is a three step process:

Enabling Transaction Approval

The first step in setting up the approval workflow is to enable the approval option to start approving transactions recorded by the users in the organization.

To enable transaction approval: 

enable-approval

Note: If you have an integrated Zoho Books account, then you will have to enable this feature through the Zoho Books organization.


Transaction Approval Preferences

Once you have enabled transaction approval, you can set your approval preferences. This will help you to restrict and define the role you would like to offer your approvers.

You will be able to find Approval Preferences below the Transaction Approval section. Check or uncheck the box if you would like to enable or disable a preference.

approval-preferences


Adding Approvers

The users with Admin role have access to approve transactions. However, you can further extend this to your co-workers and add them as approvers. Approvers are users of the organization other than the Admins who have approval access. You can add users to your Zoho Inventory organization and enable approval permissions.

To add approvers,

Step - 1 : Create a new role

new-role

more-permissions

Step - 2 : Inviting new users

Once you have enabled permissions, you can invite new users to the organization as approvers. To invite new users,

Note: You can learn more about Users and Roles here.


Enabling Approval Permissions for Existing Users

The admins of an organization will be able to approve all transactions. However, there may be cases where the admin would like to permit other existing users to approve transactions. To enable approval permission to users:


Transaction Approval Process

Once transaction approval has been set up, the users in your organization can start creating and submitting transactions for approval. Let’s see how transaction approval works for both sales and purchase transactions:

Transaction Approval in Sales Entities

Once you enable transaction approval for sales entities, it will be open for Invoices and Sales Orders. Only when a transaction is approved, a user will be able to do the following actions:

The transaction approval workflow for sales entities involves two important steps:

  1. Submitting for Approval
  2. Approving Sales Transactions 
Submitting for Approval

The first step in transaction approval is to create and submit transactions for approval. To create and submit a new sales transaction:

sales-submit

You will receive a notification once your transaction is approved. 

Approving Sales Transactions

As soon as transactions are submitted, the respective approvers can approve them.

To approve the transactions, the approver/admin should:

sales-approve

sales-approval

Once the transaction has been approved, the users of the organization will be able to perform all actions associated with the entity as mentioned above.


Transaction Approval in Purchase Entities

Once you enable transaction approval for purchase entities, it will be open for Purchase Orders and Bills. Only when a transaction is approved, the user will be able to do the following actions:

The transaction approval workflow for purchase entities again involves two important steps:

  1. Submitting for Approval
  2. Approving Transactions 
Submitting for Approval

The first step is to create transactions and submit them. The submitted transactions will be further processed once the approver has verified them. 

To create a new Bill/Purchase Order, 

save-submit

You will receive a notification once your transaction is approved. 

approval notification

Approving Transactions

The approvers can approve the submitted transactions. To approve the transactions the approver/admin should,

approve

save-approve

Once the transaction has been approved, the users of the organization will be able to perform all actions associated with the entity.

Note: Once you approve a transaction, you cannot undo this action. You can however mark the transaction as Void and later convert it to the Draft state.


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