Service Level Agreement Questions

2021 October 7

CIO/OFT may also ask customers to provide information on estimated significant changes in annual usage for the important services requested. Forecasting future demand forecasts is always a challenge. There are many variations on this subject. Some SLAs only charge credits for service levels that are repeatedly required. Some SLAs allow the vendor to earn service-level credits for future good performance or use higher performance to obtain “Get Out of Jail Free” cards to avoid future service-level credits. Some SLAs have full credit schedules for a single service level, with larger service level credits for major or repeated violations. In a service level agreement (SLA), a vendor commits to achieving defined performance levels and a customer obtains rights and remedies if the vendor fails to achieve those performance levels. .

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