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Workflow rules are inherited throughout the approval process. It is important then, to understand how inheritance works within the various levels of a Buying Organization hierarchy. Very simply, rules enabled for a parent Buying Organization are also enabled for each child Buying Organization in the hierarchy. Within each child Buying Organization, however, any rules that not applicable to that child can be disabled. Or, you can override rule configuration by assigning different approvers / approval groups for a child Buying Organization. Once you have disabled or overridden a rule within a child Buying Organization, all children below that child Buying Organization inherit the change as well.
In other words, when you set up Buying Organization 1, you enable the approval rules that your business design requires. Then, for each child, you either allow a child to inherit enabled rules, or disable rules specifically for that child. At every Buying Organization level you can enable or disable any rule, depending on what is enabled/disabled for the Buying Organization directly above it.
It is also important to consider that when reassigning approvers, an approver or approval group with Buying Organization scope is limited to approving Shopping Carts only within their own Buying Organization, while an approver or approval group with SuperBorg Scope can approve any Shopping Cart within its own Buying Organization and any child Buying Organizations.