Purchase Requisition Request

Department: Procurement (with involvement from the requesting department and Finance, sometimes Executive oversight)

Industries: This process is common in any medium-to-large enterprise that procures goods or services. It's particularly vital in industries like manufacturing, retail, and IT, where departments like IT, Operations, and R&D need to acquire materials, equipment, or services. For example, an IT department might need approval for hardware/software purchases, and a manufacturing plant might request raw materials.

Purpose: To control and expedite the approval of internal purchase requisitions (PRs). This ensures that all purchases are validated, necessary, and within budget before moving forward. Yeeflow enables requesters to submit requisitions which are automatically routed for approval based on defined rules. This process streamlines approvals, enforces company policies, and ensures financial control.

Workflow: A typical purchase requisition approval process

1. Requisition Submission by Employee/Requester
   • Description: The employee or department manager submits a purchase requisition via Yeeflow, providing details such as item description, quantity, estimated cost, and justification. Supporting documents like quotes or product specifications can be uploaded as attachments.
   • Form Details:
     • Items Included: Item name, description, quantity, unit price, total estimate, and reason for purchase.
     • Attachment Upload: Supporting documents (quotes, invoices, product images, etc.).
     • Justification: Explanation of why the purchase is necessary.
2. Department Head Approval
   • Description: The requisition is routed to the department head or project manager for review. The department head confirms whether the purchase is aligned with departmental goals and budget.
   • Assignee: Requester’s Department Head
   • Actions: Approve / Reject
   • Notes: The department head may ask for additional details or clarification before approval.
3. Procurement Team Review
   • Description: Once the department head approves, the procurement team verifies the requisition. They ensure that the item is standardized and that it can be procured within the required terms. The procurement team may also check if existing contracts can fulfill the request.
   • Assignee: Procurement Officer
   • Actions: Approve / Reject
   • Notes: Procurement may suggest changes or ask for additional information (e.g., quotes) if needed.
4. Finance Approval (Conditional)
   • Description: If the requisition exceeds a financial threshold (e.g., over $10,000), it triggers finance approval to verify the purchase's budget alignment and financial compliance.
   • Assignee: Finance Manager or CFO
   • Actions: Approve / Reject
   • Trigger Condition: Requisition total exceeds $10,000 or exceeds departmental budget.
   • Notes: Finance may request budget adjustments or additional justifications.
5. Final Approval
   • Description: Once all required approvals are obtained, the requisition is considered fully approved.
   • Assignee: Procurement Team Lead (or designated approver)
   • Actions: Complete
   • Notes: Final approval signifies that all steps are reviewed and the requisition can be processed for purchase.
6. Notifications & Tracking
   • Description: The requester is notified whether their requisition is approved or rejected. If rejected, the requester receives feedback and may revise and resubmit the requisition.
   • Assignee: Requester
   • Actions: Notify & Resubmit (if needed)
   • Notes: Yeeflow provides complete transparency on the status of each requisition.

Key Benefits:

• Ensures all purchases are reviewed and approved by the correct stakeholders.
• Maintains budget compliance and financial oversight.
• Streamlines the approval process to reduce delays and improve procurement efficiency.

This workflow helps ensure that purchase requisitions are processed systematically, preventing unauthorized purchases while maintaining operational efficiency.