What is an SLA? - A Service Level Agreement Explained
A service level agreement (SLA) is a documented agreement between a service provider and a customer that identifies both the services required and the expected level of service. The agreement varies between vendors, services, and industries.
Who uses an SLA?
Service providers commonly offer service level agreements for Internet services, auto-dealerships, telecommunications services, credit card processing and most cloud based services.
What should be included in an SLA?
A Service Level Agreement (SLA) should define specific and measurable performance metrics which will be used as criteria for measuring the quality of service provided.
The most common SLA metrics
A typical SLA typically outlines the scope of services that are supported and the expected duration for both the initial response time and the expected time for resolution.
SLA scores affect a company's marketing efforts
For businesses that issue SLAs they are an important tool of any business’s branding and marketing strategy. An SLA that delivers excellent scores for the provider ensures that their customers have positive experiences with their brand. Positive interactions are essential to increasing customer loyalty.
A common example of an SLA
Think of an SLA as an extended warranty for your car. The initial response time would be how long would you expect to receive a personalized response after submitting a request for support. The time to resolution would be the duration that you would expect from the customer's initial point of contact until the issue is resolved.
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