Friday, April 30, 2010

IT Service Level Management

Objectives of Service Level Management

  1. Define business requirements that IT services must meet
  2. Ensure that IT services are at an acceptable cost
  3. Align IT strategy with business needs 


Some of the deliverables for Service Level Management are:
  1. Service Level Requirements (SLR) are detailed definitions of customer requirements written in customer oriented language.
  2. Specification sheets are technical translations of the user requirements. It contains clear descriptions of IT services needed to deliver the required services.
  3. Service Catalog is a 'brochure' of products and services that the IT organization provides to users.
  4. Service Level Agreements (SLA) are written agreements between the user and the IT organization. It is based on the SLRs defined with the customer requirements
  5. Service Quality Plan (SQP) defines how the IT organization will deliver the services to meet the SLA.

Definition of Terms 

  1. Operational Level Agreements (OLA) are agreed service levels between IT units.
  2. Underpinning Contracts (UC) are agreed service levels with external providers.
  3. Key Performance Indicators (KPI) are measurable accomplishments used to determine whether a service level is met.

 Term   AbbreviationShort Description    
 Service Level AgreementSLA Written agreement with users 
 Operational Level AgreementOLA Agreement among IT Departments 
 Underpinning ContractUCAgreement with vendors and external service providers 

Service Level Management Activities

  1. Customer Need triggers the process
  2. Service Level manager identifies the need and produces the SLR
  3. The SLRs are defined in the Spec sheet and Service Quality Plan
  4. Service Level manager negotiates with customers of the costs to provide the required service levels. OLAs and UCs are defined with partner. The Service Catalog, SLA, OLA and UC are produced at this stage.
  5. Once the SLAs are signed, service levels delivered are monitored. Results are reported in the Service Level Accomplishments which are written from the user's perspective.
  6. Service levels are reported based on the defined KPI. Costs associated with delivering the service levels may also be reported. The reports are reviewed and a Service Improvement program (SIP) can be initiated if needed. The SLA may also be renegotiated.