SERVICE-LEVEL AGREEEMENT

By Patrick Mayaki

Service-Level Agreement

DEFINITION

• A Service-level agreement (SLA) is a document that describes the level of service expected by a customer from a supplier

Service-Level Agreement

CONTENTS

SLAs commonly include segments to address the following:

• A Definition of Services• Performance Assessment• Problem management

Service-Level Agreement

DEFINITION OF SERVICES

Several transactions involving the provision of services from supplier to consumer could warrant the use of a Service-level Agreement.They all define their services differently.

EXAMPLES• B2C (Rogers to John Doe)• B2G (Web Designer to Service Ontario)• B2B (PeopleSoft to Sheridan College)

Service-Level Agreement

PERFORMANCE ASSESSMENT

• In order to assess the performance of a supplier, a “level of service” must be defined, with specific details regarding the levels of availability, serviceability, performance, operation, or other attributes of the service.

• The specifications must have measurable metrics in order to reduce the potential for deliberate or inadvertent misinterpretation.

Service-Level Agreement

PERFORMANCE ASSESSMENT

Common Metrics • Service Availability – amount of time service is available for

use, e.g. 99% uptime.• Defect Rates – counts or percentages of errors in major

deliverables, e.g. process errors, missed deadlines, abandonment rate, etc.

• Technical Quality – predetermined specifications regarding quality of service, e.g. first call resolution.

• Security – preventative measures employed to ensure security, e.g. anti-virus updates, secure networks, etc.

Service-Level Agreement

PERFORMANCE ASSESSMENT

Other Metrics

• The number of users that can be served simultaneously

• Whether persons affected by scheduled downtime were notified in advance

• Many more

Service-Level Agreement

PROBLEM MANAGEMENT

• The Metrics help determine the remedies or penalties to be issued in the event of a problem.

• Customers could use an SLA management tool to monitor and assess the metrics, or outsource to a third-party monitoring organization.

Service-Level Agreement

CRITICAL POINTS

• A change in management or obsolescence in technology could affect service.

• Proliferation in Outsourcing and C loud Computing would increase sensitivity to changes in service

• SLAs need to be continuously revised to adapt to changes in scope

Service-Level Agreement

END

Any Questions?