Approval Workflow for Orders
An approval workflow for orders is a structured process in which one or more people in a company must approve an order before it can proceed – for example, before it is picked, packed, or invoiced. This applies to both sales orders and purchase orders. The purpose of an approval workflow is to ensure that all orders comply with the company’s internal rules and policies before they become operational.
Rackbeat November 14, 2025
How Does an Approval Workflow Work in Practice?
An approval workflow can vary in complexity depending on the size of the company and its specific needs. In its simplest form, it might mean that a sales manager must approve any orders above a certain value. In more advanced setups, several stakeholders may be involved – for example, the finance department, warehouse manager, and purchasing team.
A typical workflow might look like this:
Order creation – A team member creates a sales or purchase order.
Automatic or manual check – The system may flag the order as “awaiting approval” if, for example, the amount exceeds a certain threshold or specific products are included.
Approval – The designated approver is notified and can review the order.
Rejection or approval – The order can either be rejected (with comments) or approved.
Order processing – Once approved, the order proceeds to picking, packing, shipping, invoicing – or receiving, if it’s a purchase order.
The Benefits of an Approval Workflow
An approval workflow isn’t just a safeguard – it’s a key component of a professional approach to both inventory management and order management. By implementing a structured approval process, your business can streamline operations, reduce errors, and gain better oversight of all orders, whether they relate to sales or purchasing.
Here are some of the key benefits:
– Increased control and traceability:
All orders go through a defined process before being processed. This ensures that no unauthorized sales or purchase orders make it through the system. It improves visibility and control, especially as the company grows or when many team members are involved.
– Reduced risk of errors and rework:
When one or more responsible people must approve an order, you reduce the likelihood of mistakes such as incorrect pricing, wrong delivery addresses, or ordering the wrong items. It also saves time, as you avoid fixing issues later in the process.
– Efficient management of purchasing and sales orders:
An approval workflow supports both the operational and strategic sides of purchasing management. You ensure that only necessary and accurate purchases are made, which helps you manage stock levels and budgets more effectively.
– Support for advanced WMS functionality:
If you use a digital WMS (Warehouse Management System), the approval workflow can be integrated directly into your automated processes. This means that an order won’t be released for picking and packing until it’s been approved, ensuring smoother warehouse operations.
– Stronger internal order management:
When working with many sales orders, it’s essential to know who is creating, editing, and approving them. An approval workflow establishes clear procedures and responsibilities, making order management more efficient and accurate.
– Improved cross-department collaboration:
With a well-designed approval workflow, collaboration between sales, warehouse, and procurement becomes more structured. This makes it easier to adhere to internal policies and ensures that everyone is working from the same set of guidelines.
When Should You Consider Using an Approval Workflow?
An approval workflow is especially relevant if:
Your company handles a high volume of orders daily.
Multiple employees are creating orders.
You need additional control over specific customers, suppliers, or products.
You want better documentation and traceability in your processes.
Ready to Take Full Control of Your Orders?
A well-functioning approval workflow isn’t just an extra layer of security – it’s an investment in more efficient inventory management, improved order management, and smoother collaboration across your organization. At Rackbeat, we’ve made it easy to tailor your workflow to your exact needs, so you can eliminate manual errors and focus on what truly creates value.
Want to see how it works in practice?
Book a free, no-obligation online meeting with one of our specialists, and we’ll show you how Rackbeat can optimize your entire order flow – from the first click to final delivery.
Book a demo here – it only takes 30 minutes:
