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Definition

Approval Workflow

The defined process for routing invoices to appropriate approvers before payment.

Definition

An approval workflow is the structured process that defines how invoices are routed for authorization before payment. It typically includes rules based on amount, vendor, cost center, or other criteria, with escalation paths for delayed approvals.

Why It Matters

Proper approval workflows ensure spending is authorized, maintain segregation of duties, and create audit trails. Inefficient workflows delay payments and frustrate both AP teams and approvers.

Examples

Amount-based routing

Invoices under $1,000 auto-approve, $1,000-$10,000 require manager approval, over $10,000 require VP approval.

Department routing

Marketing invoices route to Marketing Director, IT invoices route to IT Manager.

How Nexus AP Helps

Nexus AP provides flexible workflow configuration with routing rules, parallel approvals, escalations, and mobile approval capabilities. Average approval time drops from days to hours.

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Frequently Asked Questions

What is an approval matrix?

An approval matrix defines who can approve what based on criteria like amount, department, vendor, or expense type.

How can I speed up approvals?

Mobile approvals, automatic reminders, escalation rules, and delegation for absent approvers all help accelerate the process.

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