Commitments to suppliers need a person's name on them. A procurement approver authority matrix assigns each buying decision an AI agent prepares to an approver by value and risk: catalogue orders under a low limit may run at depth 3, while larger orders, new suppliers, awards, waivers and extensions go to buyers, managers or a panel.
What does the procurement matrix decide?
Commitments. A purchase order or contract award obliges the organisation to pay, and in public bodies it must also show fair treatment of suppliers. An agent can read requests at depth 1, draft specifications, requests for quotation and purchase orders at depth 2, compare quotes against written criteria, and issue low-value catalogue orders at depth 3. The matrix sets who approves everything above that line.
Two features make procurement distinctive. First, fairness: approvers of competitive awards must be able to show that the criteria were set before the quotes were opened and that the agent's scoring traces to the quotes. Second, conflicts: anyone with a link to a bidding supplier must step aside, and the matrix should say who replaces them. The general concept is set out in what an authority matrix is.
How do you fill it in?
- Copy your financial delegation for purchasing into the limit column. Agents work within it.
- Add the agent's depth for each action.
- Add the approver and second approver.
- Add the fairness or integrity check the approver must confirm.
- Name who steps in if the approver has a conflict.
- Record the certificate required, if approval rights depend on certification.
The template
| Procurement action | Agent depth | Approver | Limit | Second approver when | Check before approving | If conflicted | Certificate |
|---|---|---|---|---|---|---|---|
| Catalogue order | |||||||
| Purchase order | |||||||
| Add new supplier | |||||||
| Award competitive contract | |||||||
| Waive competition | |||||||
| Extend or renew contract | |||||||
| Accept price variation | |||||||
| Change supplier bank details |
A worked example
A hypothetical housing association's procurement team: five buyers, two category managers and a procurement manager. Values are illustrative.
| Action | Agent depth | Approver | Limit | Second approver when | Check | If conflicted | Certificate |
|---|---|---|---|---|---|---|---|
| Catalogue order | 3 | None | 1,000 from framework catalogue | n/a | Budget code valid | n/a | n/a |
| Purchase order | 2 | Buyer | 25,000 | Above 25,000, category manager | Quote and budget | Another buyer | Operator |
| New supplier | 2 | Category manager | All | Above 100,000 expected spend, procurement manager | Registration and insurance checked at source | Other category manager | Operator |
| Competitive award | 2 | Evaluation panel | All | Panel chair signs | Criteria set before opening; scores traced | Panel member replaced | Operator |
| Waive competition | 1 | Procurement manager | 50,000 | Always, finance director | Written justification | Finance director | Operator |
| Extension | 2 | Category manager | Within contract terms | Beyond terms, procurement manager | Performance and price | Procurement manager | Operator |
| Price variation | 2 | Category manager | Indexation per contract | Above contract mechanism, procurement manager | Contract clause | Procurement manager | Operator |
| Bank detail change | Refused | Category manager via call-back | All | Always, finance | Verified by phone to a number already on file | Procurement manager | Operator |
Competitive awards go to a panel, never one person, and the agent's scoring is a draft for the panel to test. Each score must trace to the quote. A losing bidder may ask how they were scored, and the answer must not be "the agent decided".
Waiving competition sits at depth 1: the agent may summarise the request, but it does not write the justification. Waivers are where poor procurement and favouritism hide, so the argument must be in a person's words.
Bank detail changes are refused for the agent. A supplier email announcing new details mid-contract is external, and an external claim cannot authorise a payment.
Approval logic for money going out in other forms appears in the approver authority matrix for the claims team and the approver authority matrix for the collections team, which handles money coming in. Thresholds belong in the approver rule for the procurement team, and cover in the reviewer rota for the procurement team. Buyers can evidence their review skill with Pryme Intelligence Academy's Operator certificate. The broader skills map is AI agent skills by role.
Questions people ask
Can the agent issue purchase orders without a buyer?
Only for catalogue items under a low limit, from an approved framework, once it has earned that depth. Everything else is a draft for a buyer.
Who checks the agent's quote comparison?
The buyer for purchase orders, the panel for competitive awards. Both should be able to trace each score back to the supplier's own quote.
What if a buyer is related to a bidder?
They declare it and step aside. The matrix names who replaces them, and the record shows the change.