SOP: Proposal Approval Matrix

1. Purpose

The purpose of this SOP is to define clear approval workflows and authority levels for proposals before they are shared with clients. This ensures commercial accuracy, compliance with discount policies, and accountability across Sales, Pre-Sales, Delivery, and Finance.

2. Scope

This SOP applies to:

• All proposals generated under Proposal Creation SOP.
• Sales Representatives, Sales Managers, Pre-Sales Consultants, Delivery Managers, Finance, and Head of Sales.
• IT Services & SaaS proposals across SMB, mid-market, and enterprise clients.

3. Definitions

• Approval Matrix: Role-based structure defining who must approve proposals based on deal size, discount level, or risk.
• Thresholds: Pre-defined monetary/discount limits requiring additional approval.
• Fast-Track Approval: Accelerated process for low-value, standard-compliance proposals.

4. Step-by-Step Process

A. Approval Triggers

A proposal must go through approval before submission to client if:

1. Total deal value exceeds threshold.
2. Discounts are applied (see Pricing & Discount Approval SOP).
3. Proposal includes non-standard terms, scope, or delivery models.

B. Standard Approval Workflow

1. Sales Rep Drafts Proposal
   • Creates proposal using Proposal Template.
   • Attaches Handoff Pack for reference.
2. Initial Review (Sales Manager)
   • Validates compliance with sales policies.
   • Reviews pricing alignment, positioning, and next steps.
3. Solution Validation (Pre-Sales)
   • Confirms scope, architecture, and effort estimates.
   • Checks proposal against technical feasibility.
4. Delivery Validation (Delivery Manager)
   • Confirms delivery feasibility and resourcing.
   • Flags risks (timelines, dependencies, resource availability).
5. Commercial Validation (Finance)
   • Required if deal value or discount exceeds threshold.
   • Reviews payment terms, margins, and risk exposure.
6. Final Sign-Off (Head of Sales)
   • Required for high-value/strategic deals (see Approval Matrix table below).

C. Approval Matrix (Example – to be customized by organization)

Deal Value (USD)	Discount %	Mandatory Approvals	Final Authority
≤ $25,000	≤ 5%	Sales Manager	Sales Manager
$25,001 – $100,000	5–10%	Sales Manager + Pre-Sales	Head of Sales
$100,001 – $250,000	10–15%	Sales Manager + Pre-Sales + Delivery	Head of Sales
> $250,000	> 15% or custom terms	Sales Manager + Pre-Sales + Delivery + Finance	Head of Sales / CEO

Note: Values & thresholds should be aligned with company pricing strategy.

D. Approval Process Execution

1. Sales Rep submits proposal for approval via CRM workflow or email with attached draft.
2. Approvers must respond within SLA (e.g., 48 hours).
3. Approvals recorded in CRM as notes/attachments.
4. Proposal cannot be shared with client until all approvals complete.

5. Roles & Responsibilities

• Sales Representative: Drafts proposal, initiates approval request.
• Sales Manager: First-line approval for all proposals.
• Pre-Sales Consultant: Approves solution feasibility.
• Delivery Manager: Approves delivery feasibility and resource alignment.
• Finance: Validates pricing, discounts, and margins for large/discounted deals.
• Head of Sales: Provides final authority for strategic or high-value deals.
• CEO (if included): Approves exceptional deals outside normal policy.

6. Governance, Violations & Consequences

• Submitting proposals to clients without required approvals → escalation to Head of Sales.
• Repeated bypass of approval → formal performance review under Sales Performance Management Policy.
• Approval SLAs must be monitored by Sales Ops to avoid delays.

7. Review & Ownership

• Document Owner: Head of Sales.
• Review Cycle: Quarterly, to align with pricing, discount, and authority updates.
• Version Control: Maintained in CRM knowledge base.