ABSTRACT

This chapter describes the various authorizations and approvals required in sourcing, including some that span the procurement cycle. Authorization and approvals follow an entity’s hierarchy of documents. Every decision or approval can be traced to a standard procedure, which is based on a policy, which is based on a regulation. This ensures that no determination in the sourcing process is arbitrary. The authorization to solicit rests with the procurement organization and is the objective of the prior authorized steps, including identifying need and requisitioning, developing requirements and design, and obtaining budget approval. This ensures that any procurement action withstands legal scrutiny.