Model Policy Framework on Vendor Sanctions

  • Part of: Strategic Vendor Management Sub-Working Group, HLCM Supply Chain Network
  • Chairs: ILO

OVERVIEW

The Model Policy Framework on Vendor Sanctions (MPF) is a suite of policies and guidelines related to the sanctioning of vendors that have been found to have been involved in proscribed practices (fraud, corruption, collusion, coercion, unethical practices and obstruction). The MPF also provides Agencies with the procedures to disclose, through the UNGM, the names of entities and individuals that may have committed, through their actions or omissions, proscribed practices. One of the main goals of the MPF is the creation of strong agency-specific systems that meet each agency’s needs, that respond to its policies and capabilities and that is able to harmonize with similar efforts throughout the UN System. To this end, it is expected that the MPF is incorporated into Agency procedures and that, in due course, it will establish clear guidelines for their boards or committees to interpret and implement them.

The Project on Vendor Sanction was funded in 2009-2010 by the UN High Level Committee on Management (HLCM). The project was led by UNDP and the Framework was mainly inspired by the World Bank model. The MPF was approved by the HLCM on March 9, 2011 (CEB/2011/3). In June 2020, the MPF Governance Group decided to create a Task Force, led by the ILO, to focus on the revision of the text of the 2011 Model Policy Framework on Vendor Sanctions, ensuring it reflects current practices and lessons learned.

The revised MPF was unanimously endorsed by the HLCM Procurement Network at its Thirty-Eighth Session (Budapest, 7 October 2025) and approved by the HLCM in February 2026.

STRUCTURE OF THE MPF

The MPF is composed of three parts:

  1. Guiding Principles: outlines the principles that govern the continuous development, revision, adaptation, implementation and interpretation of the MPF.
  2. Mandate and Rules of Procedure of the Sanctions Board:  constitutes a suggested model of administrative procedures to be followed in the review of allegations of Proscribed Practices and where applicable, in the imposition of Vendor Sanctions.
  3. Additional Important Matters (IM) to be addressed by each UN System Organization:  identifies additional concerns that, due to their nature, shall be addressed individually by each UN System Organization according to their own needs and regulatory framework, including regulations, rules, policies, procedures and administrative practices.

References