Understand ASL Precedence

Commodity level ASLs exist primarily for the buyer to be able to exercise control over a supplier’s ability to source. In other words, the buyer can with very little effort block a supplier for an entire commodity. In this exercise, you will learn to understand ASL precedence.

Understand ASL can be defined at different levels and can be have different status at each level.

Below are the levels at which ASL can be defined. (Item Level and Commodity Level)

Below are the status available for Supplier in ASL.

Consider the following scenarios:

Scenario 1

Note: In this scenario IBM and Stargate may supply 17" Flat Panel Monitors. AND can supply all supplies in the Computer.Supplies category. For approvals, as long as there are item level approved suppliers on the list, the category level suppliers are ignored.

Scenario 2

Note: Assuming that the Debarred status is set up to prevent PO approval and sourcing, in this scenario only AND can approve POs for the monitor. IBM and Stargate are still on the ASL, they just can't approve POs or source.

Scenario 3

Note: IBM and Stargate are no longer on the ASL since they are disabled. Status is irrelevant in this situation. AND can approve purchase orders.

Scenario 4

Note: In this scenario no one may approve purchase orders for the monitor. If a supplier is debarred for a category of items,. AND is prevented from approving purchase orders or sourcing for the entire category of items.

Purchasing uses commodity this way to debar suppliers.