Scout allows Company Admins to create Contract Approval Flows within their Company Settings. This feature is meant to enhance the user experience and capabilities so that users can better use the contracts approval module.
This article will cover:
- How it works
- How to create an Approval Flow
- Creating a new Phase
- Submitting a Contract into an Approval Flow
How it works
When the approval rules are met, contracts can be sent to one or more Approval Groups. These Approval Groups are organized into Phases. Phases make up the Contract Approval Flow. Phases are sequential and dependent on the completion of the previous phase.
For example, Approval Flow A has Phase 1 and Phase 2. Phase 1 includes rules that if met, would send approval requests to Approval Group 1 and Approval Group 2. In this case, Approval Group 1 & 2 have to approve before Phase 2 can begin.
If all Approval Groups approve the contract, then the contract status will change to "Approved". If any of the Approval Groups do not approve then the contract will be returned to the user with an "In Progress" status.
While the Approval Flow is in process, the contract requester can track the approval process in the Approval tab of the contract. The Approval Flow has the ability to be linear or web like (having many paths).
How to Create an Approval Flows
First you must have Approval Groups set up in your company setting. For more information on Approval Groups click here.
Once you have Approval Groups set up, you can start creating an Approval Flow. Begin by navigating to your Company Settings and click on "Approval Flows" from the left menu.
In Approval Flows, click "Create New Flow".
Then select "Add a New Phase".
In the Phase, click "Create New Rule" to set the criteria for what will be sent to your Phase 1 Approval Group.
Then click "Edit Rules". This opens the available filters to create rules.
Click "Choose Filters & Columns".
Select filters by checking the boxes. Then click "<Save".
In this example, the filters: Contract Type and Spend have been selected.
Choose Master Service Agreement from the Contract Type drop down. The make the Spend range $0-$10,000. This makes the rule more narrow. Then click "Add".
Now that the rule has been created, Scout needs to know who to send the contracts to. Click "Add Approval Groups" and previously created Approval Groups will appear.
Select one or more Approval Groups by checking the boxes. Then click "Add Approval Group".
The Approval Groups have been added to the First Phase.
Scout gives you the option to set an order of approvals. Check the "Set order" box and drag the 9 dots next to the Approval Group name to set the order of approvals. When you are happy with the order, click "Save".
An Approval Flow for Master Service Agreements (MSA) with Spend between $0-$10,000 has just been created. The rule will send submitted MSA's with Spend between $0-$10,000 to Approval Group 1 for approval then Approval Group 2 for approval. Great!
Scout gives you the option to make more rules. For example, what about the MSA's that are out of this range? Say $10,001-$100,000?
A new rule for MSA's with spend between$10,001-$100,000 can be created by click "Create New Rule".
Like before, click "Edit Rule".
Choose the filters and set the Spend range to: $10,001-$100,00. Then click "Add".
The rule has been set. Now, click "Add Approval Group" to set the Approval Group. When you've finished adding the Approval Group, click "Save".
Phase 1 is complete!
Scout gives you the option to create more rules with in Phase 1 or create a Phase 2.
Creating a New Phase
In this example, we will create a Phase 2 by clicking "Add a New Phase".
Like before, click "Create New Rule".
Scout gives you the option to create another rule. Click "Edit Rule" to do this.
Alternatively, users can choose not to add a rule. This makes Phase 2 a "catch all" phase, meaning that all contracts from Phase 1 have to be approved by Phase 2 approvers. In this example, Phase 2 will be a "catch all" phase.
To add an Approval Group to Phase 2, click "Add Approval Groups". When you've finished adding the groups click "Save".
The flow is complete!
Users have the ability to add additional rules and phases, but for this example we are finished.
Submitting a Contract into an Approval Flow
In the steps outlined above, a rule has been set to send MSA Contracts with Spend between $0-$10,000 to an Approval Flow.
In this example, a Sourcing Manager has created an MSA with Spend of $5,000. This contract falls into the Approval Flow. Sourcing Manager can view the Approval Flow by clicking on the Approvals tab.
In the Approvals tab, click "Preview Approval Flow" to view the approval process.
To send this contract to the approvers change status from "In Progress" to "Send For Approval". The contract status will change to "Out for Approval".
The Sourcing Manager can track the approval process in the Approvals tab and send reminders to the approvers.
Once all Approval Groups have approved the status will change to "Approved".
If any of the Approval Groups reject the contract the requester will receive an email stating "Your Contract Has Been Rejected" and the project status will be return back to "In Progress".
Congratulations! You are now a Contracts Approval Flow master!
For more information on Contracts click here.