- step ▁processes ▁for ▁determ ining ▁which ▁to ▁appro ve . ▁Their ▁processes ▁often ▁take ▁the ▁form ▁of ▁either ▁a ▁question naire ▁or ▁interview , ▁sometimes ▁even ▁a ▁site ▁visit , ▁and ▁includes ▁app rais als ▁of ▁various ▁aspects ▁of ▁the ▁supp lier ' s ▁business ▁including ▁capacity , ▁financi als , ▁quality ▁ass urance , ▁organiz ational ▁structure ▁and ▁processes ▁and ▁performance . ▁ ▁Based ▁on ▁the ▁information ▁obtained ▁via ▁the ▁evaluation , ▁a ▁supp lier ▁is ▁scored ▁and ▁either ▁approved ▁or ▁not ▁approved ▁as ▁one ▁from ▁whom ▁to ▁proc ure ▁materials ▁or ▁services . ▁In ▁many ▁organizations , ▁there ▁is ▁an ▁approved ▁supp lier ▁list ▁( AS L ) ▁to ▁which ▁a ▁qualified ▁supp lier ▁is ▁then ▁added . ▁If ▁rejected ▁the ▁supp lier ▁is ▁generally ▁not ▁made ▁available ▁to ▁the ▁assess ing ▁company ' s ▁proc ure ment ▁team . ▁ ▁Once ▁approved , ▁a ▁supp lier ▁may ▁be ▁re evalu ated ▁on ▁a ▁periodic , ▁often ▁annual , ▁basis . ▁The ▁on going ▁process ▁is ▁defined ▁as ▁supp lier ▁performance ▁management . ▁ ▁Ben ef its ▁and ▁draw back s ▁There ▁are ▁various ▁benefits ▁associated ▁with ▁an ▁effective ▁supp lier ▁evaluation ▁process ▁such ▁as ▁mit ig ation ▁against ▁poor ▁supp lier ▁performance ▁or ▁performance ▁fail ures . ▁The ▁benefits ▁typically ▁include ▁s our cing ▁from ▁supp liers ▁that ▁provide ▁high ▁standards ▁of ▁product ▁and ▁service ▁levels ▁whilst ▁offering ▁sufficient ▁capacity ▁and ▁business ▁stability . ▁Supp lier ▁evaluation ▁can ▁help ▁customers ▁and ▁supp liers ▁identify ▁and ▁remove ▁hidden ▁cost ▁drivers