Form Action links this article from Mindsharp
On the Data View Web Part, you’ll often see the wizard build "Form Action" links. They typically look something like:
You don’t have to stop there, however: you can use them to tell the browser where to return to, or to simply navigate to another page, etc. But the real power comes from…
Form Action Workflows
Not tied to list. Instead, they’re called by clicking the link they’re associated with. As such, they don’t have built-in access to the "current item." However, form fields can be made available to workflow for the current record. Additionally, variables can be passed into the workflow at initiation which will imbed a great deal of flexibility’.
Create a custom action in SPD for the SharePoint Toolbar or List Item Menu. Choose what event you want to happen when you click the Custom Action as follows. You can do this from SPUI but there is more power in SPD.
Scroll down on the above box to enter in the image URL like this: /_layouts/images/uploaddoc.png
You cant add a single custom action to go multiple places so you have to create multiple actions with the same name, one for each place you want the button to appear. You cannot start a workflow action on the New Form Ribbon targeting a workflow the user will get an error if they click on the action because an item does not exist yet. this is from here
Tip from here as follows
This action is great to use with the StartWorkflow component http://spc3.codeplex.com/
For View Ribbon actions
And for Display Form Ribbon actions