SERVICE LEVEL AGREEMENT

Version 1.0 1. PARTIES INVOLVED (Definitions of the two parties to the agreement) Service provider: Service user: 2. SERVICE DEFINITION To 3. SERVICES (The precise nature of each function or service provided.) SERVICE DESCRIPTION 1. 2. 3. 4. 5. 6. 4. SERVICE STANDARDS INPUT REQUIRED FROM WHOM Drafted 8 March 2004

(The volumes and quality to be achieved for each of these services. Where applicable, the response times to be achieved by the provider when receiving requests for assistance. Suitable performance measures need to be: specific relevant (linked to the agreement) measurable) SERVICE 1. 2. 3. 4. 5. 6. 5. DURATION OF THE AGREEMENT Subject to duration and content of overall contract STANDARD MEASURE

6. MONITORING AND REVIEW ARRANGEMENT (What procedure should be followed if it becomes necessary to vary the agreement or specification) ? Monthly monitoring for initial period of six months then change to quarterly monitoring. Annual review or as required. 7. SETTLING DISPUTE PROCEDURE According to the dispute resolution clause in the main contract. 8. DEFINITIONS, RESOURCES, INFORMATION OR OTHER HELP PROVIDED BY USER

Annexure A: 9. CONTACT POINTS FOR BOTH PARTIES COMMUNICATION 1. 2. 3. 4. 5. 6. 7. 10. BASIS OF ANY CHARGES According to the applicable clause in the main contract. 11. APPOINTED SLA MANAGERS On behalf of the service provider: On behalf of the service user: 12. SIGNATORIES AND DATE On behalf of the service provider: On behalf of the service user: _________________ _________________ Date: ___________ Date: ___________ HOW WHEN

DETAILS ON SLA PERFORMANCE MEASURES Although performance measures are specific to the particular SLA, there are some general questions, which may help you design the best performance measures for your need: what is to be measured (e.g. the particular service aspect?) why is it to be measured (e.g. what use is the information to be put to?) where is it to be measured? when is measuring to take place? what is the basis of measurement (% error free, judgement e.g. up to professional standards?) what source data is to be used (how easy is this to get hold of/generate?) what software/other tools are to be used (have we got access to software?) what procedures are to be adopted? what assumptions are made (need to agree these clearly with supplier to avoid disputes?) what reports will be produced what method to whom what format how often? when are reports to be produced (at what time of year?). THE RESPONSIBILITIES OF AN SLA MANAGER Although not legally binding a SLA is, to all intents and purposes, a contract. As such it will need to be managed. It is sensible to appoint named individuals to manage the SLA from both sides. It is the job of the two managers, representing those providing and those receiving the service, to work closely together to ensure the best possible service provision. In general terms SLA managers should: know and understand the responsibilities of an SLA manager know and understand user requirements establish the next periods requirements with users and inform the service provider review and agree the draft SLA produced by the service provider (or draft the SLA if providing a service) communicate to users what the agreed SLA service is and how it is being monitored maintain regular contact with the service provider and with the service users operate effective monitoring arrangements operate agreed escalation procedures where necessary provide quarterly or regular reports to the appropriate body(ies) make suggestions for changes/improvements work together to resolve problems. MONITORING ARRANGEMENTS One of the key components of a good SLA is effective monitoring arrangements. Users need to be able to demonstrate that they are getting the specified service to the quality and at the cost agreed. Monitoring can also be an effective tool in improving performance and the delivery of services. To identify improvements needed to a SLA you could ask the following questions: has the agreed level of service been provided? is the service being delivered in the correct way, to the agreed standards? is the service achieving the intended outcomes within the resources allocated? is the service continuing to take into account the expectations and preferences of the user?

SLA IMPLEMENTATION PROGRAMME One vital area is the people involved in bringing the contract to life the suppliers and the users. Putting a SLA into place often changes traditional working arrangements and relationships. Colleagues who have previously had little, if any, understanding of how their work impacts on others are suddenly contracted to work in certain ways and offer certain standards. At the worst, colleagues who have little liking or respect for other colleagues can feel they are being forced to provide a service which they see as unreasonable or unrealistic. Staff attitudes towards SLAs can be resistant and negative where the individuals involved have not been involved in the development of the SLA or properly informed of the reason(s) for it and the requirements it makes. Some sections or departments such as Finance or IT can view themselves as driving forces rather than as service departments and resentments can run high. At the best, willing colleagues may not understand the reasons for the SLA and may suspect implied criticism.

To make sure that a SLA runs effectively and that the people concerned honour their responsibilities a planned implementation programme of information and training will be necessary.