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What is After The Fact Approval?
In purchasing, after the fact approval refers to the review of purchases after they have already been contracted. This is typically done with an Invoice Approval system.
In a "proper" approval process, one gets approval prior to purchase. In After the Fact approval, purchases are reviewed after approval. After the invoice is received but before it has been paid.
Although the process does not remove the company from its purchasing obligations, the review process serves as an internal audit of purchases.
At times, After the Fact Approval is the preferred way to approve POs. Especially when orders need to be rushed and time is of the essence. In fact, all organizations, at times, need after-the-fact approvals. When setting up a system Aestiva needs to know whether after-the-fact approval is a main process for you or simply an exception.
The top purchasing and invoice payment systems, like those provided by Aestiva, are equipped to handle different approval scenarios, including After the Fact approval and mixtures of before-the-fact and after-the-fact approval processes.
After the fact approval, in many organizations, is used to perform after the fact receiving, a process whereby acceptance of goods and services is performed as part of the invoice approval process.
Example Use"Most of our purchases are done without POs, so yes, we use After the Fact approval."
See AlsoAfter The Fact Receiving, Purchase Order Approval Flow, Invoice Authorization Software, PO Number
Purchasing NoteAestiva offers the best purchasing solutions since they can adapt to all kinds of processes, including after the fact approval.