In a young business the owner approves everything. That keeps control, until the owner becomes the reason orders wait. Approval limits, often called a delegation of authority, let others decide within a set amount while the owner keeps the large and unusual decisions.
01A simple matrix
| Decision | Up to ₹50,000 | Up to ₹5 lakh | Above ₹5 lakh |
|---|---|---|---|
| Purchase order for regular material | Purchase officer | Plant head | Director |
| New supplier | Purchase head | Plant head | Director |
| Payment to a supplier | Accounts head | Finance head | Director |
| Discount beyond the price list | Sales manager | Sales head | Director |
The amounts are an example. Set them so that the owner sees perhaps a tenth of the decisions and most of the money.
02Rules that make it work
- One approver per step
- , by role, not by name, so it still works when someone is on leave.
- No splitting
- Two orders of ₹45,000 to the same supplier on the same day are one order of ₹90,000.
- The person who raises a request does not approve it
- Exceptions are recorded
- An urgent payment approved on the phone is still entered, with who approved it.
03Review it twice a year
Look at what was approved, what was rejected and how long approvals took. Raise limits where approvals are routine and slow; tighten them where problems slipped through.
In MatruOS, approval chains are set by role and amount. AI team members can prepare an order or payment; sending, paying, signing, filing and deleting wait for the person whose limit covers it.