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by Philip Price 10 min read

An approved supplier list (ASL) is a compiled list of all the suppliers approved by a company as sources from which to purchase parts or materials. The ASL is usually created by procurement or engineering teams using a variety of criteria such as the functional fit of the product, financial stability, and past performance of the supplier. FAQs

Full Answer

What is an approved supplier list?

An approved supplier list ensures that purchase orders and contracts are limited to those suppliers that meet your company’s establish criteria for supplier selection, evaluation, and re-evaluation. What is supplier status?

Why do you need a Supplier Approval program?

When selecting a new supplier for your business, your company’s reputation is on the line. Building a strong supplier approval program and enforcing established procedures will significantly reduce the risk to your organization.

What do suppliers need to know when selecting a new supplier?

Suppliers need to be made aware from the outset that their performance will be assessed and recorded. When selecting a new supplier for your business, your company’s reputation is on the line. Building a strong supplier approval program and enforcing established procedures will significantly reduce the risk to your organization.

What should be included in a supplier checklist?

Each company should put thought into the content of the checklist and how it’s implemented and maintained. Supplier Questionnaire: The purpose of the supplier questionnaire is to assess the supplier’s food safety and quality systems.

What is a list of approved suppliers?

An approved supplier list (ASL) is a compiled list of all the suppliers approved by a company as sources from which to purchase parts or materials.

What is approved list?

An approved list is a roster of pre-vetted investments that a broker may recommend to clients, or that a mutual fund manager may buy for a fund. Approved lists are sometimes called legal lists.

Why do you need an approved supplier list?

The primary purpose of the ASL is to ensure the placement of purchase orders or contracts are limited to those suppliers that meet the company's established criteria for supplier selection, evaluation, and re-evaluation.

Why is it important to have an approved supplier list?

Lower risk – A preferred supplier programme is an important way to mitigate supply chain risk. You know these suppliers are compliant and will adhere to regulations. An increased level of trust and reliability means your business can benefit in other ways, such as choosing to keep inventory levels low.