ADR / 004

Separate commercial approval from financial validation

Two decisions with different owners, evidence and SLAs should not share one approval step—even when one form collects the data for both.

Reference pattern

Independently created. Contains no employer or client implementation detail, internal names or figures.

01Context

A commercial organization routes every new customer through a single ‘customer approval’. Sales managers approve terms they can judge—and tax data and credit exposure they cannot. Finance re-checks everything later, so the step neither protects Finance nor speeds up Sales.

02Decision drivers

  1. D01

    One accountable owner per decision

  2. D02

    Approvers see only evidence they can judge

  3. D03

    Rejections return to the stage that can fix them

  4. D04

    SLAs measurable per decision

03Options considered

Rejected

One combined approval

Small organizations where one role genuinely owns both decisions

Cost: Approvers sign for evidence outside their competence
Selected

Sequential, separate decisions

Terms must be settled before credit can be sized

Cost: Longer path unless each SLA has an owner
Situational

Parallel decisions, joint gate

High volume where terms rarely change after validation

Cost: Rework when credit review changes the terms

04Decision

Model commercial approval and financial validation as two decisions with separate owners, evidence, SLAs and return states. Commercial approval decides whether to commit on these terms; financial validation decides whether this legal entity can transact. A credit outcome that changes the terms returns to commercial approval—not to the start.

05Consequences

  • Sales managers stop approving tax and credit data they cannot assess.
  • Each rejection carries a reason code and returns to the stage that can fix it.
  • Approval ageing and first-pass validation become separately measurable and separately owned.
  • CRM shows two distinct states instead of one ambiguous ‘pending approval’.

06Revisit when

01

One role becomes accountable for both commercial and credit risk.

02

Credit exposure is pre-approved by segment, making validation deterministic.

07Where this decision is applied

Cases that take this decision, and why it matters there.

  1. Architecture case / 002Designing a global lead-to-customer operating modelA process-first case for a fictional global B2B company: stages, decision rights, approvals, exceptions and measurement—designed before any system is configured.Process ArchitectureSystems & CRM ArchitectureDigital Operating ModelFictional scenario · 20 min
  2. Process case / 02Designing a quote-to-order process with clear ownershipBinding approvals to quote versions, moving ERP validation forward and giving rejected orders an owner.Process ArchitectureSystems & CRM ArchitectureAutomationFictional scenario · 9 min
  3. Automation case / 05Designing approval automation as a state machineTwo decisions—commercial approval and financial validation—modelled as one state machine with explicit rejection, return and re-entry, invalidation rules for changed data, timeouts that escalate and a complete history.AutomationProcess ArchitectureDigital Operating ModelFictional scenario · 8 min