How To Write A Service Level Agreement



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Criteria for a service level agreement Version 1.0 March 25, 2005 By Harris Kern Enterprise Computing Institute Introduction Providing the basis for managing relationships between the IT service organization and its customers, service level management deals with how user service requirements are understood and handled. Many benefits can be realized from a well-implemented service level management discipline: Harmony between the user and the IT organization. The most important benefit is that the IT organization gets an accurate picture of what the users need. This may sound trivial, but the lack of wellimplemented service level management disciplines causes most of the rifts between IT and users. A service level agreement (SLA) is a give-and-take relationship between IT and users; users articulate what they need, and IT gains support in getting the resources needed to provide it. Both parties must realize that any requested service may be provided, but none comes free. Efficiency of IT operations. Another advantage of having an SLA is that IT can allocate just enough resources toward what the users really need. The SLA reminds IT of what really matters to the business, so it does not waste resources providing services that are no longer needed or that are too complex and advanced for users. I have seen many IT organizations spend a fortune on technology products that users don t need, simply to create the illusion that IT is on the cutting edge. However, any admiration from users is short-lived if they do not gain any business advantage from those advanced products or services. Improved user satisfaction. Users of any computing resource will be satisfied if their perceived satisfaction level is exceeded. With an SLA, IT has an opportunity to set this expectation level realistically. IT now has a better chance to satisfy its users, since satisfaction is no longer arbitrary or subjective. Table of contents Section I: System Availability...1 Section II: Problem Management...2 Section III: Support Services...3 Attachment A: Problem Severity Definitions...4 Attachment B: Problem Resolution Control table...4 Attachment C: Status Call Contacts...5 Attachment D: Escalation Contacts...5 Critical Problems...5 Major Problems...5

Criteria for a service level agreement Area of Responsibility Signature Date Customer: Customer Functional Mgr: IT Program Mgr: IT ISD Mgr: IT Appl. Support: Section I: System Availability Requirements Description Customer Required Hours of Operation System Server Availability System Availability Locations Network Availability The hours that the system needs to be operational. This includes online availability for End Users and Batch Processing capabilities. The hours that the system server will be available for processing Sites that the system supports; Locations of workstations This refers to the availability of the connectivity from servers to the customer workstation. Specifications End User Online hours: 6 am to 11 pm, Monday through Sunday (EST USA) Batch Processing hours: 2 am 6 am EST Monday through Sunday The system will be operational consistent with Online and Batch Processing hours as noted above (reference Customer Required Hours of Operation). The system server availability target is 99%. The system will not be available for 2 hours daily (7 days a week) for scheduled backups and HW/SW system maintenance. Other scheduled outages if required will not be measured against system server availability percentage. Manufacturing Plant Buildings 100, 200, 300 Network availability must be consistent with Customer Required Hours of Operation referenced above. Target network availability is 99.9%. Page 1

Section II: Problem Management Services Description Specifications Call Management Process HelpDesk Coverage Hours Call Logging Call Acknowledgment Production Support Team This is the process for the recording, diagnosis, tracking, and closure of HelpDesk calls. This includes the flow of information, call severity definitions, and call resolution responsibilities. This covers from initial contact by the user to problem closure. The time the HelpDesk will be available to accept calls. This is the documentation to capture requests, symptoms, priority, contacts, and relevant information. The time for the HelpDesk to contact the call originator, acknowledging that the call was received. Production Support provides the next level of support when the HelpDesk cannot resolve the problem or request. See Attachment A for problem severity definitions. 24 hours X 7 days a week. See Attachment B for call response times. The following groups make up the Production Support Team: IT ISD provides support for UNIX, DBA, and OSA issues. IT Applications Support provides support for application-related support problems. IT Functional Support Team provides assistance for functional and training issues and questions. Production Support Team Response and Callback Status Calls Resolution Target The Response and Callback timeframe is the length of time for Production Support to respond and call back the customer. The callback to the customer may be from the HelpDesk after the Production Support Team responds. Note: The contacts for the Production Support Team must be provided to the HelpDesk. The HelpDesk will provide updates on progress in resolving calls to identified personnel. The target time that it will take to resolve each call depending on priority. The Production Support Team provides staffed coverage during the hours of 8 am to 5 pm Monday through Friday EST USA, except per the division Holiday schedule. For the nonstaffed hours, the response time for Priority 1 Problems is within 2 hours. See Attachment B for call response times. See Attachment B for call response times for the timing of status calls. See Attachment C for status call contacts. See Attachment B for call response times. Page 2

Escalation Procedures The escalation process is a management notification procedure that is invoked when a problem persists after the Problem Resolution Target timeframe is exceeded. See Attachment D for escalation contacts. Section III: Support Services Services Description Specifications System Backups Capacity Planning System Change Management The frequency and timing of SW and Data Backups. Identification and development of future capacity requirements to meet system business requirements and budgeting cycles. The process to manage and track system change requests to the servers and applications. System SW and Data will be backed up daily between the hours of 11pm and 2am and stored offsite. Capacity planning requirements will be identified and reviewed at least twice annually as part of an overall resource optimization and budgetary planning process. All systems change requests are to be submitted to the HelpDesk. This functions as the control and tracking point for all changes. Change notification request periods are based on the type of change: Major Projects: Two (2) weeks prior to change date. Nonemergency: Five (5) days prior to change date. Emergency Fix: Submitted within 24 hours after the fix has been implemented. SLA Reporting SLA Document Management Reporting of key metrics to provide server availability and incident tracking. SLA Change Control Tracking. Reporting will be provided monthly. Please follow your internal change control process. Page 3

Attachment A: Problem Severity Definitions Description All calls will be classified into the following severity levels: Priority 1 Priority 2 Major Ordinary Requests Note 1: Priority 1 Problems will be worked on a 24 X 7 basis until resolved. A Customer contact must be assigned and be available on a 24 X 7 basis to assess alternative solutions and finalize problem resolution verification. Note 2: Priority 2 Problems will be worked during regular local business hours by production support groups. Definitions Priority 1: The ability to conduct business or service the customer has stopped. Examples: Server down, network down, database down, application down, concurrent mgrs. down. Priority 2:: Service is seriously degraded but can continue its operation via a workaround or incremental resource for a short period of time before business stops. Examples: Extremely slow system performance, a piece of application functionality is down or has a bug. Major: Service is lost by a single user or small number of users, affecting significant business functionality. Problems or incidents where a workaround exists or can be developed with a small amount of incremental resources. Ordinary: Problem or incident where single users can operate some of the system activities normally, but a definite problem is identified. Requests: Any call from single users or site groups that are requesting a new service or some clarification. Examples: Requesting a new user logon, a new printer setup, or the meaning of a system message. Attachment B: Problem Resolution Control table Severity Call Ack Production Support Team Response Onsite/Pager Support Target Resolution Status Call Priority 1 15 min 15 min / 15 min 24 hours Every 2 hrs Priority 2 15 min 15 min / 60 min 1 2 business days Every 4 hrs Major 15 min 15 min / Next business day 5 10 business days Every 4 hrs Ordinary 15 min 1 day / Next business day Per agreed-to plan Upon closure Service Request 15 min 1 day / Next business day 2 5 business days Upon closure These times are cumulative for incidents that are routed to the HelpDesk. Page 4

Attachment C: Status Call Contacts Problem Severity Critical 1 Critical 2 Major Ordinary People to Contact Call Originator: Customer Functional Manager: IT Functional Support: IT Applications Development Manager: IT ISD Manager: Call Originator: Customer Functional Manager: IT Functional Support: IT Applications Development Manager: IT ISD Manager: Call Originator: IT Applications Development Manager: Call Originator Attachment D: Escalation Contacts The following people are contacted when the Problem Resolution Targets are exceeded: Critical Problems Problem Severity Customer Management IT Senior Management Customer IT Functional Support IT Applications Dev. Mgr. IT ISD Manager IT ISD HelpDesk Mgr. People to Contact Major Problems Problem Severity IT Functional Support IT Applications Dev. Mgr. IT ISD Manager IT ISD HelpDesk Mgr. People to Contact Page 5

Criteria for a service level agreement Additional resources Sign up for TechRepublic's CIO Issues newsletter, delivered Wednesdays Sign up for TechRepublic's CIO Exchange newsletter, delivered Tuesdays and Thursdays Check out all of TechRepublic's newsletter offerings "Measuring for service level management" (TechRepublic) "Members offer tips, advice on improving SLAs" (TechRepublic) "Want to derail your SLA? Make these five mistakes" (TechRepublic) Version history Version: 1.0 Published: March 25, 2005 Tell us what you think TechRepublic downloads are designed to help you get your job done as painlessly and effectively as possible. Because we're continually looking for ways to improve the usefulness of these tools, we need your feedback. Please take a minute to drop us a line and tell us how well this download worked for you and offer your suggestions for improvement. Thanks! The TechRepublic Downloads Team