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Why Have A Service Level Agreement

Since the late 1980s, SLAs have been used by fixed telecommunications operators. SLAs are so common these days that large organizations have many different SLAs within the company itself. Two different units in an organization write an SLA, one unit being the customer and another being the service provider. This approach makes it possible to maintain the same quality of service between the different units of the organization and also on several sites of the organization. This internal SLA script also makes it possible to compare the quality of service between an internal department and an external service provider. [4] However, there are several elements of an SLA that are consistent across all sectors and particularly in the customer service sector. Another concrete example of an SLA is a service level agreement from an ISP. This SLA includes an uptime guarantee, but also sets package delivery expectations and latency. Packet delivery refers to the percentage of data packets received in relation to the total number of data packets sent. Latency is the time it takes to transfer a packet between clients and servers.

Service level credits, or simply service credits, should be the only recourse available to customers to compensate for service level outages. A service credit deducts an amount of money from the total amount payable under the contract if the service provider does not meet service delivery and performance standards. If you`re a business-to-business (B2B) business and don`t have service level agreements (SLAs) with your customers, you`re missing out on an important opportunity to improve customer retention and satisfaction. SLAs are contractually agreed terms between a company and its customers that ensure that the services provided meet certain thresholds (e.B availability, responsiveness, etc.). This may mean that servers have 99.9% availability for your product or that all customer service requests are answered within a 24-hour window. A service level agreement (SLA) is an agreement or contract between an organization and its service provider that sets out the obligations and expectations of the relationship. Working with a provider has many benefits, but to get the most out of this relationship, an SLA should be put in place. .


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