Service Level Management
An SLA is only as strong as the internal agreements and supplier contracts behind it. I design the whole chain – from the promise you make to your customer down to the last subcontractor.
The chain behind every SLA
- SLA Customer and provider what is promised
- OLA Internal teams who delivers it
- UC External suppliers who backs it up
Service availability
- Definition
- Percentage of time the service is available during the service window
- Service window
- e.g. weekdays 07:00–19:00
- Target
- Agreed percentage per calendar month
- Data source
- Monitoring and incident records
- Exclusions
- Planned maintenance announced in advance
- Consequence
- Service credit under the contract
Every indicator needs a definition, a data source and a consequence. Without them, it can’t be managed.
Green outside, red inside.
The so-called watermelon SLA: the report says every SLA was met, yet users are unhappy. That usually means you’re measuring something other than what actually matters to the customer. See how it looks from both sides.
Illustrative example, not client data.
Monthly report
99.9%
Availability – met
- Incidents resolved on time
- Service desk response
- Changes without downtime
What it covers
- Service catalogue
- What’s included, who it’s for and when it’s available.
- Priorities and response times
- Priority matrix, response and resolution times, and escalation rules.
- KPIs and service credits
- Indicators with a clear definition and data source, backed by a fair service credit mechanism.
- OLAs and supplier contracts
- Internal agreements and subcontracts aligned with what the customer has actually been promised.
- Reporting and service reviews
- Reports that drive decisions, and a regular review cadence.
- SLA reviews
- Keeping targets and terms in line with how the service actually runs, not with the original assumptions.
Frequently asked questions
What is the difference between an SLA, an OLA and a UC?
An SLA (Service Level Agreement) is the agreement between the provider and the customer on the level of service. An OLA (Operational Level Agreement) is an internal agreement between the provider’s own teams that deliver the service. A UC (Underpinning Contract) is the provider’s contract with an external supplier. OLA and UC targets have to be aligned with the SLA – otherwise the provider is promising something it cannot guarantee.
What does a well-defined KPI contain?
A precise definition and calculation method, its scope (which services, which hours), the data source, the target, the reporting period, an owner, any exclusions and what happens when the target is missed. Leave any of these out and the indicator becomes an endless argument.
How do you make service credits fair?
Credits should be proportionate to the impact on the customer, easy to calculate and verify, and capped at a sensible level. They are no substitute for managing the service: their job is to drive improvement, not to become a revenue stream or a source of disputes.
Do you help with IT service tenders?
Yes. I prepare SLA schedules, service catalogues and KPIs for tender documents, so that bids can be compared like for like and the terms stay enforceable for the life of the contract.