Service Level Management

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What is Service Level Management?

  • An ITIL process in Service Design
  • Talks with customers to agree on delivery
  • Produces an agreement (Service Level Agreement) that both customers and providers can sign
  • Produces internal Service Level Agreements but these are called Operational Level Agreements
  • Produces Contracts with suppliers to ensure delivery of the Service Level Agreement but these are called Underpinning Contracts

The three types of SLA (Service Level Agreements)

  • Service Based: SLA covers one service for all customers of that service
  • Customer Based: SLA covers all services used by a specific customer group
  • Multi-Level: SLA containing both Service based and customer based SLAs.

What does good look like?

  • SLAs in place for all customers
  • OLAs in place as necessary internal in the same organisation
  • Underpinning Contracts in place with suppliers, vendors and third parties to ensure delivery of services required for the successful delivery of SLAs.
  • Regular enough Service Review meetings with the customer. Regular enough can be defined by the customer.
  • Updated SLAs

Video of ITIL Service Level Management

Orientation workshop for your organisation

  • Who is the Service Level Manager? Several?
  • Where are our customer-signed Service Level Agreements?
  • How/Where am I involved in this area of work?
  • How does Service Level Management relate to my area of work?
  • How well does Service Level Management work with Service Catalog Management?

Simple as possible work description for a Service Portfolio Manager

  • Keep up-to-date:
    • SLA
    • OLA
    • UC
  • Meet with customers to discuss requirements and issues

Bonus material

This is an extract taken from the ITIL wizard blog where a user writes in with a question, enjoy :)

Hi Mr Wizard,

I have a confusion between a SLA & an Under Pinning Contract, In a production enviroment suppose if a Telecom Circuit goes down, If we engage the service provider for Incident management/RCA, we speak about the SLA there. But we actually agree an Under pinning Contract with the Service Provider during provision of the telecom circuit. How are under pinning contract & SLA related and what is the difference ? Can you please Clear my doubt.



Dear Lamar

Simple! An SLA is not a contract whereas an Underpinning Contract is, (there's no space in "underpinning" LAmar, else we'd have to call it a UPC) except in the case whether an SLA is the provider's view of the Underpinning Contract they provide to their customer in which case the SLA is of course a contract because a Underpinning Contract is a contract or else we wouldn't call it that. Some folks prefer to just call the Underpinning Contract a contract when viewed from the provider's perspective and not an SLA unless there is an SLA and that SLA is an addendum to the contract, which is an underpinning contract. In that case it is not clear whether to refer to it as a contract or an SLA from the provide viewpoint although it is clearly a contract from the customer's point of view because it is an underpinning contract to their own SLA to the customer which may or may not be a contract in exactly the same way depending on whether the customer sees them as an external service provider providing a SLA to their own SLA, in which the SLA to the customer, the first one that is not this new one we just mentioned, is clearly a Underpinning Contract to the customer, the new one that is not the one we started out about.

Really it is very simple. I have to admit it gets a bit frustrating explaining it over and over when ITIL lays it all out so clearly

Good Luck
the ITIL Wizard