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Commercial & ContractsIn review

Service level agreement

SLA / SLA · Service level schedule

A service level agreement defines measurable service commitments, how performance is measured, exclusions, reporting and the consequences of missing the agreed levels.

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Simply put

What it means in ordinary work

It turns expectations into specific measures. A good SLA says what is measured, from whose perspective, over what period and what happens when performance falls short.

Why it matters

Clear service levels support consistent delivery and give both parties evidence for improvement conversations. Poor measures can reward the wrong behaviour.

A hypothetical in practice

A hypothetical IT support SLA measures the percentage of priority-one incidents restored within four business hours, using the service desk timestamp and excluding agreed maintenance windows. Monthly reports show trends and breaches.

Hypothetical scenario, not a named organisation or real transaction.

Common pitfalls

  • Measuring only speed can encourage rushed fixes and repeat incidents. Balance outcome, quality and availability measures.

  • An SLA is not a substitute for a clear scope. Ambiguous responsibilities make service levels difficult to apply.

Regional lens

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As-of date for date-sensitive regional content: 5 November 2026. Read the review policy.