Managing a Level-Based Approval

Objective

After completing this lesson, you will be able to configure a level-based cost object approval

Level-Based Approval workflow - Overview

Level-Based Approval workflow - Overview

A flowchart illustrating a level-based cost object approval process. It starts with an employee submitting a report, which is checked by a line manager for legitimacy and basic errors. From there, the process splits into three cost centers: Cost Center 1, Cost Center 2, and Cost Center 3. In Cost Center 1, the approval begins with Dave, a Level 1 junior manager, and moves to Terry, a Level 2 senior manager, before finally reaching Jessica, a Level 3 CFO. In Cost Center 2, Cindy, a Level 1 junior manager, starts the approval process, which then moves to Tran, a Level 2 senior manager, and also ends with Jessica, the Level 3 CFO. In Cost Center 3, Finn, a Level 1 junior manager, begins the approval process, followed by Alecia, a Level 2 senior manager, and again ending with Jessica, the Level 3 CFO. After the Level 3 CFO's approval, the final step involves the processor completing the process. The entire flow is contained within a box labeled LEVEL-based – Cost Object Approval Step, emphasizing the hierarchical nature of the approval process.

The approval process in Concur uses a level-based system where each Approver is assigned a sequential position. This method ensures that every expense report progresses through each level, guaranteeing that it is reviewed and approved by the appropriate individuals. This hierarchical approach is designed to maintain control and accountability throughout the approval process.

It is essential to avoid any gaps in the sequence of approvers in a level-based approval system.

If an approver at a specific level is missing, an exception is generated, indicating that a level has been skipped. For example, if approvers are found at levels 1, 3, and 4, but not at level 2, the system flags the missing approver as an issue. This mechanism helps maintain the integrity of the approval process by ensuring that no steps are inadvertently bypassed.

Setting Up Approval Levels

Configuring levels in Concur involves defining a hierarchical structure for cost object approvals. This structure ensures that expense reports are reviewed and approved by the appropriate personnel based on their level of authority. Each level in the hierarchy represents a different tier of approval, starting from junior managers and moving up to senior managers and executives.

How to Set Up a Level-Based workflow

Setting up a Level-based Approval workflow ensures that the expense reports are routed to the appropriate approver with the required approval level, streamlining the approval process.

Follow these steps to set up a Level-based Approval workflow. We'll walk you through each part of the process, complete with detailed instructions and screenshots to help you along the way.

Once you complete these steps, a demo video is available at the end to reinforce what you've learned and provide a quick recap.

Steps

  1. On the Approval Routing page, choose Custom Workflow from the Step 1. Select your approval routing section.

    The Approval Routing configuration page in Concur Expense. The page is titled Approval Routing and includes options for defining how expense reports will be routed for approval. There are three tabs at the top: Approval Routing, Custom Workflow Setup, and Cost Object Approver List. The first step involves selecting the approval routing method, with options such as Processor, Manager > Processor, Manager > Second Approver > Processor, Manager > Second Approver > Manager (up to 5 levels) > Processor, and Custom Workflow, which is currently selected. Additional options include Include Budget Approver and Include routing by cost object. The second step involves choosing workflow preferences, such as allowing managers or employees to add another approver to the list, rerouting to the approver’s manager if a report stays pending for a specified number of days, and allowing employees to recall reports. The Save button is located at the top of the section.

  2. Select one of the custom fields available from the list of the Include routing by cost object? field. For this example, we will use Projects.

    The Approval Routing configuration page in Concur Expense, where users define how expense reports will be routed for approval. The page features three tabs at the top: Approval Routing, Custom Workflow Setup, and Cost Object Approver List. In Step 1, users select their approval routing method from options such as Processor, Manager > Processor, Manager > Second Approver > Processor, Manager > Second Approver > Manager (up to 5 levels) > Processor, and Custom Workflow (which is currently selected). Additional options include Include Budget Approver and Include routing by cost object, with a dropdown menu showing choices like Business Unit, Client, Feature, New Location, Division, and Project. In Step 2, users choose workflow preferences, such as allowing managers or employees to add another approver to the list, rerouting to the approver’s manager if a report stays pending approval for a specified number of days, and allowing employees to recall reports. The Save button is located at the top of the section.

  3. Confirm you want to perform this change by selecting the Change cost object routing button.

    The Approval Routing configuration page in Concur Expense, where users define how expense reports will be routed for approval. The page features three tabs at the top: Approval Routing, Custom Workflow Setup, and Cost Object Approver List. In Step 1, users select their approval routing method from options including Processor, Manager > Processor, Manager > Second Approver > Processor, Manager > Second Approver > Manager (up to 5 levels) > Processor, and Custom Workflow (which is currently selected). Additional options include Include Budget Approver and Include routing by cost object, with a dropdown menu showing choices like Business Unit, Client, Feature, New Location, Division, and Project. In Step 2, users choose workflow preferences, such as allowing managers or employees to add another approver to the list, rerouting to the approver’s manager if a report stays pending approval for a specified number of days, and allowing employees to recall reports. The Save button is located at the top of the section. A warning popup is displayed in the center of the screen, stating, WARNING! You are about to change cost object routing, and explaining the consequences of changing the source list and segments for this hierarchy. The popup includes a Change cost object routing button and a Cancel button.

  4. Select the cost object type. To define the approval structure for cost objects, choose Level from the Cost object approval is based on field.

    The Approval Routing configuration page in Concur Expense, where users define how expense reports will be routed for approval. The page features three tabs at the top: Approval Routing, Custom Workflow Setup, and Cost Object Approver List. In Step 1, users select their approval routing method from options including Processor, Manager > Processor, Manager > Second Approver > Processor, Manager > Second Approver > Manager (up to 5 levels) > Processor, and Custom Workflow (which is currently selected). Additional options include Include Budget Approver and Include routing by cost object, with the cost object set to Project. There is also a dropdown menu titled Cost object approvals based on with options Limit and Level, and Limit is currently selected. In Step 2, users choose workflow preferences such as allowing managers or employees to add another approver to the list, rerouting to the approver’s manager if a report stays pending approval for a specified number of days, and allowing employees to recall reports. The Save button is located at the top of the section.

  5. Select Save to enable these changes.

    The Approval Routing configuration page in Concur Expense, where users define how expense reports will be routed for approval. At the top, there are three tabs: Approval Routing, Custom Workflow Setup, and Cost Object Approver List. In Step 1, users select their approval routing method from options including Processor, Manager > Processor, Manager > Second Approver > Processor, Manager > Second Approver > Manager (up to 5 levels) > Processor, and Custom Workflow. The current selection is Custom Workflow. Additional options in this step include Include Budget Approver and Include routing by cost object, with the cost object set to Project. There is also a dropdown menu titled Cost object approvals based on with the option Level selected. In Step 2, users choose workflow preferences such as allowing managers or employees to add another approver to the list, rerouting to the approver’s manager if a report stays pending approval for a specified number of days, and allowing employees to recall reports. The Save button is located at the top of the section.

  6. On the Custom Workflow Setup tab, adjust the workflow steps, including reordering the steps using the arrows.

    The Approval Routing configuration page in Concur Expense, specifically within the Custom Workflow Setup tab. The page allows users to define how expense reports will be routed for approval. There are three tabs at the top: Approval Routing, Custom Workflow Setup, and Cost Object Approver List. The section displayed is focused on defining the steps in the approval workflow, with two sub-tabs labeled Steps and Step Rules. A list of steps is shown in a table format with columns for Step Name and Role. The steps listed include Report Submitted (System), Manager (Expense Approver), Cost Object Approval (Cost Object Approver), Officer Review (Expense Processor), Prepayment Validation (System), and Processing Payment (System). The Cost Object Approval step is highlighted, and there are arrow buttons on the left side of the table for reordering the steps. The highlighted step is currently between the Manager and Officer Review steps. Above the table, there are buttons labeled New, Modify, and Remove for managing the workflow steps. At the bottom right of the page, there are Previous, Next, and Done buttons for navigation.

    Note

    The option to bypass sending the expense report to a direct manager is available, allowing your company to streamline the approval process based on specified levels. If you're interested in using this option, contact SAP Concur Customer Support for assistance.

  7. Select the Cost Object Approver List tab. This page is where you define how Expense routes expense reports for approval.

    The Approval Routing configuration page in Concur Expense, specifically within the Cost Object Approver List tab. The page allows users to define how expense reports will be routed for approval. There are three tabs at the top: Approval Routing, Custom Workflow Setup, and Cost Object Approver List, with the Cost Object Approver List tab currently selected. The section displayed focuses on defining the steps in the approval workflow, with two sub-tabs labeled Steps and Step Rules. A table lists the steps in the workflow with columns for Step Name and Role. The steps listed include Report Submitted (System), Manager (Expense Approver), Cost Object Approval (Cost Object Approver), Officer Review (Expense Processor), Prepayment Validation (System), and Processing Payment (System). Arrow buttons on the left side of the table allow users to reorder the steps. Above the table, there are buttons labeled New, Modify, and Remove for managing the workflow steps. Navigation buttons labeled Previous, Next, and Done are located at the bottom right of the page.

  8. Select the arrow for the Global field to open the list with available projects.

    The Approval Routing configuration page in Concur Expense, currently within the Cost Object Approver List tab. This page allows users to define how expense reports will be routed for approval. At the top, there are three tabs: Approval Routing, Custom Workflow Setup, and Cost Object Approver List, with the Cost Object Approver List tab selected. A checkbox labeled Include All Groups below Selected Group is present, along with a search field to filter child items. A hierarchical list titled Global is expanded, displaying sub-items labeled Project 1 (P1), Project 2 (P2), Project 3 (P3), Project 4 (P4), Project 5 (P5), and Project 6 (P6). To the right of the list, a table with columns for Group, Approver, Authorized Currency, Approval Limit, and Level is shown, although it is currently empty. Above the table, there are buttons labeled New, Modify, and Remove for managing the approval groups.

  9. Choose the appropriate project from the list. Select New.

    The Approval Routing configuration page in Concur Expense, currently within the Cost Object Approver List tab. This page allows users to define how expense reports will be routed for approval. At the top, there are three tabs: Approval Routing, Custom Workflow Setup, and Cost Object Approver List, with the Cost Object Approver List tab selected. A checkbox labeled Include All Groups below Selected Group is present, along with a search field to filter child items. A hierarchical list titled Global is expanded, displaying sub-items labeled Project 1 (P1), Project 2 (P2), Project 3 (P3) highlighted in yellow, Project 4 (P4), Project 5 (P5), and Project 6 (P6). To the right of the list, a table with columns for Group, Approver, Authorized Currency, Approval Limit, and Level is shown, although it is currently empty. Above the table, there are buttons labeled New, Modify, and Remove for managing the approval groups. New button is highlighted in yellow.

  10. On the New Cost Object Approver window, in the Approver field, type the name of the approver who is assigned to review and approve the expense report for that specific project. Select the approver's name when it appears.

    A user interface dialog box titled New Cost Object Approver. The dialog box contains several fields for setting up a new approver. The first is labeled Group and is an uneditable field displaying Global-Project 3. Below that is the Approver field, where the user can type to search for an approver. In this example, arra has been typed, and a suggestion Arranda, Jack appears. The next section is labeled Approval Limit and contains two fields: Currency, which is a dropdown menu labeled Select one for choosing the currency, and Amount, which is a text field with the default value 0 for specifying the approval amount. Bellow the Approval Limit section is a Level field for indicating the approval level. At the bottom of the dialog box, there are two buttons: a Cancel button on the left and a Save button on the right.

  11. Enter a number in the Level field to define the approver's level of authority.

    A user interface dialog box titled New Cost Object Approver. The dialog box contains several fields for setting up a new approver. The first is labeled Group and is an uneditable field displaying Global-Project 3. Below that is the Approver field, populated with Arranda, Jack. The next section is labeled Approval Limit and contains two fields: Currency, which is a dropdown menu labeled Select one for choosing the currency, and Amount, which is a text field with the default value 0 for specifying the approval amount. Bellow the Approval Limit section is a Level field for indicating the approval level. 1 (highlighted in yellow) is set for the Level. At the bottom of the dialog box, there are two buttons: a Cancel button on the left and a Save button on the right.

  12. Select Save to enable these changes.

    A user interface dialog box titled New Cost Object Approver. The dialog box contains several fields for setting up a new approver. The first is labeled Group and is an uneditable field displaying Global-Project 3. Below that is the Approver field, populated with Arranda, Jack. The next section is labeled Approval Limit and contains two fields: Currency, which is a dropdown menu labeled Select one for choosing the currency, and Amount, which is a text field with the default value 0 for specifying the approval amount. Bellow the Approval Limit section is a Level field for indicating the approval level. 1 is set for the Level. At the bottom of the dialog box, there are two buttons: a Cancel button on the left and a Save button on the right. The Save button is highlighted in yellow.

  13. Repeat steps 8–12 to set the appropriate approval level for each approver.

Result

Scenarios to Consider

An expense is charged to the wrong cost center - The approver should consider the following steps when deciding whether to return the report to the employee, or make the change (assuming the configuration allows the approver to make changes).

  • If the approver knows the correct cost center, the approver can select the appropriate one. The expense report restarts the cost object approval step. The report is routed through the workflow of the affected cost center.

  • If the approver does not know the correct cost center, the approver should return the expense report to the employee. The employee can make the appropriate changes and resubmit the report. The report will be routed through the workflow of the affected cost center.

  • If the approver does not act, the only time-out action supported within cost object approval is proceeding to the next step.

Summary

Thank you for completing this unit!

Throughout these lessons, you have acquired a solid understanding of configuring custom approvals in Concur Expense. This unit provided a comprehensive overview of the fundamentals, including the management of limit-based and level-based approvals to align with your organization's workflow and approval processes.

Before you move on from this unit, there is a knowledge check to help reinforce and assess what you've learned.

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