{"id":158,"date":"2019-06-16T11:10:44","date_gmt":"2019-06-16T05:40:44","guid":{"rendered":"https:\/\/aktassociates.com\/blog\/?p=158"},"modified":"2019-08-21T12:23:04","modified_gmt":"2019-08-21T06:53:04","slug":"service-level-agreement","status":"publish","type":"post","link":"https:\/\/aktassociates.com\/blog\/service-level-agreement\/","title":{"rendered":"The Ultimate Guide to Service level agreement (SLA)"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_66_1 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >In this article, we will discuss about...<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #1e73be;color:#1e73be\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #1e73be;color:#1e73be\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/aktassociates.com\/blog\/service-level-agreement\/#What_is_a_service_level_agreement\" title=\"What is a service level agreement?\">What is a service level agreement?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/aktassociates.com\/blog\/service-level-agreement\/#Why_are_service_level_agreements_important\" title=\"Why are service level agreements important?\u00a0\">Why are service level agreements important?\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/aktassociates.com\/blog\/service-level-agreement\/#Reason_for_getting_into_Service_Level_Agreement\" title=\"Reason for getting into Service Level Agreement:-\">Reason for getting into Service Level Agreement:-<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/aktassociates.com\/blog\/service-level-agreement\/#Who_should_get_a_Service_Level_Agreement_done\" title=\"Who should get a Service Level Agreement done?\">Who should get a Service Level Agreement done?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/aktassociates.com\/blog\/service-level-agreement\/#The_process_of_making_a_Service_Level_Agreement\" title=\"The process of making a Service Level Agreement:-\">The process of making a Service Level Agreement:-<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/aktassociates.com\/blog\/service-level-agreement\/#General_Clauses_of_Service_Level_Agreement\" title=\"General Clauses of Service Level Agreement:-\">General Clauses of Service Level Agreement:-<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/aktassociates.com\/blog\/service-level-agreement\/#_Key_Components_of_a_Service_Level_Agreement_SLA\" title=\"\u00a0Key Components of a Service Level Agreement (SLA)\">\u00a0Key Components of a Service Level Agreement (SLA)<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/aktassociates.com\/blog\/service-level-agreement\/#Service_level_agreement_metrics\" title=\"Service level agreement metrics\">Service level agreement metrics<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/aktassociates.com\/blog\/service-level-agreement\/#Service_level_agreement_example\" title=\"Service level agreement example\">Service level agreement example<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"What_is_a_service_level_agreement\"><\/span><b>What is a service level agreement?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">A\u00a0service-level agreement is an agreement generally between a network service provider and a customer who specify the terms, that exactly what were the services that the network service provider will deliver. A huge number of Internet service providers facilitate their customers with a Service Level Agreement. Lately, Internet service departments of the major enterprises have opted for writing a service level agreement so that services for their customers can be counted, justified, and also compare with those of outsourcing network providers.<\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-546 aligncenter\" src=\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/06\/Service-Level-Agreement.jpg\" alt=\"Service Level Agreement\" width=\"700\" height=\"400\" srcset=\"https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/06\/Service-Level-Agreement.jpg 700w, https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/06\/Service-Level-Agreement-300x171.jpg 300w, https:\/\/aktassociates.com\/blog\/wp-content\/uploads\/2019\/06\/Service-Level-Agreement-20x11.jpg 20w\" sizes=\"(max-width: 700px) 100vw, 700px\" \/><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Why_are_service_level_agreements_important\"><\/span><b>Why are service level agreements important?<\/b><b>\u00a0<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li style=\"font-weight: 400;\"><b>Improves Communication:-<\/b><span style=\"font-weight: 400;\">\u00a0A properly drafted service level agreement improves the communication between the parties. It helps the parties in understanding the needs, priorities, and concerns of each other.<\/span><\/li>\n<li style=\"font-weight: 400;\"><b>Helps in managing Expectations: \u2013<\/b><span style=\"font-weight: 400;\">The expectation of each party about the service and service delivery can be clearly stated with the help of service level agreement.<\/span><\/li>\n<li style=\"font-weight: 400;\"><b>Reduces conflicts:-<\/b><span style=\"font-weight: 400;\">\u00a0If the needs and priorities of the parties are not clear then it will certainly leave scope for the conflicts to arise. It helps in clarifying the same and reduction of conflicts it also helps in resolving the conflicts.<\/span><\/li>\n<li style=\"font-weight: 400;\"><b>It\u2019s a Living Document:-<\/b><span style=\"font-weight: 400;\">\u00a0It gives you a chance to stay updated and adopt the changes as per the convenience of the parties. It also provides the option of continuously reviewing the agreement.<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Reason_for_getting_into_Service_Level_Agreement\"><\/span><b>Reason for getting into Service Level Agreement:-<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It improves service by defining and focusing on the key services required to meet business requirements;<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">To regulate the service provider and to review their ability to meet these requirements;<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">To regulate the customer and examine their requirements for key services;<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">To agree on levels of expectation in all parties as to the levels of service that can be provided on economic rates;<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">It develops a better understanding and working relationships.<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Who_should_get_a_Service_Level_Agreement_done\"><\/span><b>Who should get a Service Level Agreement done?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Outsourcing of work by companies who want to maintain a level of quality of service from the outsourced vendor<\/span><\/li>\n<li style=\"font-weight: 400;\"><b>Companies in Outsourcing activities:-<\/b><span style=\"font-weight: 400;\">\u00a0Who take outsourcing work and want to assure their client to a level of services<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"The_process_of_making_a_Service_Level_Agreement\"><\/span><b>The process of making a Service Level Agreement:-<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><b>1) \u00a0Awareness &amp; Negotiation:-<\/b><span style=\"font-weight: 400;\">\u00a0Generally a \u201cbroker\u201d is supposed to sit down with both parties and discuss the business requirements and service capabilities. This may not be essential with small services or if the service is only between two areas. A Systems or Business Account Manager is preferably placed to deal with this function \u2013 external Facilitators are also very useful. It is suggested that the initial discussion should take place with each party individually. Later, the meeting shall be required.<\/span><\/p>\n<p><b>2) \u00a0Documentation:-<\/b><span style=\"font-weight: 400;\">\u00a0The negotiation shall lead to the production of the documents of service level agreement<\/span><\/p>\n<p><b>3) \u00a0List of services and quality levels:-<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Description<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Delivery Point<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Accessibility<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Quality Levels<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Measurement Procedures<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Escalation Procedures<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">These are mostly self-explanatory, although care should be observed while distinguishing between a service which is a Mainframe service that may need to be broken down into Application availability, and desktop availability, as it may be tricky to measure the whole service on the basis of both the components. Availability and Quality levels are ought to be clearly described how and when\u00a0Service Level Agreement\u00a0breaches and is to be measured.<\/span><\/p>\n<p><b>4) Reports:\u2013<\/b><span style=\"font-weight: 400;\">\u00a0Service Level Agreements should only be drawn up where measurement of the performance against the target levels can be precisely and impartially measured. Hence it is necessary to put mechanisms in place to achieve data that will identify any the breach of the Service Level Agreement, such that reports can be produced and used as the basis for discussions involving both the parties.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">It is essential to note that the process of capturing and retrieving this data should be recognized from a resource point of view in advance of the process taking effect, in order to identify if this process itself reasonable. Reports should contain information like the reasons why a particular\u00a0Service Level Agreement was not met, though not essentially the solution to the problem. Where possible the production of these reports should be self-descriptive.<\/span><\/p>\n<p><b>Contents of Report:-<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Problem management exception reports<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Systems availability stats<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">User questionnaires (to identify subjective views of the service)<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">System generated response times<\/span><\/li>\n<\/ul>\n<p><b>5) Reviewing:-<\/b><span style=\"font-weight: 400;\">\u00a0Reports should, in general, be produced on a monthly basis and passed to all the parties-providers and customers. They should provide the grounds for discussion and be used to explain why a particular Service Level Agreement was not met. In case the breaches are of recurring then the\u00a0Service Level Agreement\u00a0should be altered, or apposite resource re-allocation considered.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"General_Clauses_of_Service_Level_Agreement\"><\/span><b>General Clauses of Service Level Agreement:-<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Services<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Payment<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Relationship<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Confidential Information<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Ownership of Work Product<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Representations and Warranties<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Indemnification<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Liability Limit<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Termination and Term<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Insurance<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Force Majeure<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Non-Solicitation<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"_Key_Components_of_a_Service_Level_Agreement_SLA\"><\/span><b>\u00a0<\/b><b>Key Components of a Service Level Agreement (SLA)<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Agreement Overview. It comprises of details such as the persons involved, date of effective\/expiry, etc.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Aims and Goals<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Shareholders<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Review at regular intervals of time<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Agreement for service<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Management of Service<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Service_level_agreement_metrics\"><\/span><b>Service level agreement metrics<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">SLA metrics are criteria which are negotiated between a customer and their service provider which defines a numeric goal that has to be attained for the service provided.\u00a0<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Service_level_agreement_example\"><\/span><b>Service level agreement example<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">For\u00a0<\/span><b>example, <\/b><span style=\"font-weight: 400;\">maintenance services are provided by the facility manager for various customers. There is a service<\/span><b> level agreement<\/b><span style=\"font-weight: 400;\">\u00a0between you and an internal customer (such as another organization, site, or department<\/span><span style=\"font-weight: 400;\">).<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>What is a service level agreement? A\u00a0service-level agreement is an agreement generally between a network service provider and a customer &#8230; <\/p>\n<p class=\"read-more-container\"><a title=\"The Ultimate Guide to Service level agreement (SLA)\" class=\"read-more button\" href=\"https:\/\/aktassociates.com\/blog\/service-level-agreement\/#more-158\">Read more<span class=\"screen-reader-text\">The Ultimate Guide to Service level agreement (SLA)<\/span><\/a><\/p>\n","protected":false},"author":4,"featured_media":330,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.8 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Service Level Agreement (SLA): What it is? &amp; Best Practices for it.<\/title>\n<meta name=\"description\" content=\"Learn in detail what a service-level agreement (SLA) is and how you can utilize it to align your sales and marketing teams around common objectives. 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