Rules-based workflow vs. Ad-hoc workflow

The difference between ad-hoc and rules-based workflows in contract management using the example of Shareflex Contract.

2023-02-01 – Sara Glöckner

A hand placing a wooden block at the starting point of a process diagram consisting of additional wooden blocks.

Everyone knows them, everyone needs them, everyone uses them – workflows. Whether as little helpers in everyday life or in complex business processes in our daily work, we use workflows in a wide variety of places, organisations and different business areas. Their primary goal is to simplify and, if possible, automate processes in order to free up resources for other tasks. But not all workflows are the same. Basically, the subject can be divided into two areas or two different types of workflow: Rules-based workflows and ad-hoc workflows.

Rules-based workflow

Rules-based workflows follow a pre-defined pattern that is always the same. Process A is followed by Process B, and so on. These are processes in the company that are subject to certain rules and should run automatically.

The easiest way to explain this is with an example:

In our contract management software Shareflex Contract we use, among other things, a release workflow for contracts that runs via our workflow engine “Shareflex Flow”. To be able to release a contract via workflow, the responsible person first sets the contract draft to “draft completed”. This event triggers the review and approval process. The contract is now ready for legal review, so the second step is to notify the legal department and anyone else with the appropriate rights that a workflow task is waiting for them.

After the legal review, if successful, the next workflow step is the content review. If the draft contract passes this step without any changes, it moves to the final step of the review and approval workflow and the draft contract is released internally. This is followed by the usual contract lifecycle steps, such as contract negotiation, contract signing, contract execution, etc.

Permissions

Permissions can be used to control who can access which workflow tasks. For example, legal staff can see all workflows in their area, as well as their own tasks. Other areas, such as sales, will not be visible to them unless they have been given the necessary rights.

Graphical representation using a process diagram

In order to make this automated, rules-based workflow more transparent, we have graphically represented the individual workflow steps in Shareflex Contract in a process diagram from a technical perspective. The manual steps required BEFORE the start of the workflow as well as some steps AFTER the start of the workflow are shown in order to make the overall process easier to understand:

However, a rules-based workflow does not mean that the process always runs linearly in one direction only. Rules-based can also mean that steps have to be taken back in the course of the process, for example if the draft contract has to be revised again at the request of management (see process diagram). This step is deliberately taken into account and part of the rules-based workflow.

Process diagram of a rule-based workflow in the contract management software Shareflex Contract.

Process diagram with workflow steps:
The red field marks the point where the currently running workflow is located.

Graphic showing file folders, a laptop and figures searching for and managing documents.

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Ad-hoc workflow

Unlike a rules-based workflow, where the process is defined by rules, such as who is the contact person for internal contract approval (usually management), in an ad-hoc workflow the user can freely decide on the workflow steps. This includes who is the contact person for the next workflow step. It is therefore not predefined or determined by rules which step has to be taken and how.

A classic example of an ad-hoc workflow is the “Get Feedback” workflow. However, a review and approval workflow can also be implemented using individual steps and assignments. In Shareflex Contract this can be done in three sub-steps:

Screenshot of the user interface for an ad hoc workflow in three steps within the contract management software Shareflex Contract.

Ad-hoc workflow in 3 steps

Combination of workflows

It is also possible to combine rules-based and ad-hoc workflows. Here is an example:

Let’s stay with the process of reviewing and approving contracts. As we can see in the process diagram, the content of the contract needs to be checked. Colleague A is responsible for this. Typically, he would check the contract and, if all is well, forward it for internal approval. This completes his workflow step. However, it can happen that colleague A is always the contact person for checking the content, but in this case he lacks the expertise for this contract. So he forwards the draft contract ad-hoc to his colleague B so that she can check it and give feedback to colleague A. This is a short break from the regular workflow in the form of a delegation. After that, the rules-based workflow continues as usual.

Break out of a rule-based workflow by delegating with comments and responses.

Breaking out of the rules-based workflow into an ad-hoc workflow through delegation

Manage your workflows with Microsoft 365 and the Shareflex ECM product suite

Workflows can be created using a variety of tools or manually. However, when it comes to data-driven workflow processes, companies often turn to Microsoft 365 and the integrated Power Platform, in particular Power Automate. Using Power Automate, you can build simple workflows that are especially beneficial for data-driven processes.

With the Shareflex brand and our Shareflex ECM Online product suite, we specialise in document-based work and have created a workflow system within our business applications to map document-based business processes. Among other things, this has the advantage that the individual workflow steps are automatically versioned and can thus be traced at any time. In addition, existing business rules can be adopted and configured to suit the customer’s needs.

However, we do not offer a pure workflow management software product. Instead, our workflow engine is an integral part of each of our product solutions. This includes contract management (Shareflex Contract), document control / QM (Shareflex Quality Documents), invoice processing (Shareflex Invoice) and document management (Shareflex Documents). If you would like to know more about us and our solutions, please do not hesitate to contact us. We will help you find the right solution for your business.