The Binomial Bookstore

SERVICE LEVEL AGREEMENTS:
A FRAMEWORK ON CD-ROM FOR SERVICE BUSINESSES (2003 EDITION)
plus the companion book,
SERVICE LEVEL AGREEMENTS: WINNING A COMPETITIVE EDGE FOR SUPPLY AND
SUPPORT SERVICES
by Andrew Hiles

***** SPECIAL COMBINATION OFFER! *****

===============================

SPECIAL OFFER: Save $50.00!!!

For a limited time, special pricing is available on SERVICE LEVEL AGREEMENTS:
A FRAMEWORK ON CD-ROM FOR SERVICE BUSINESSES plus the companion book,
SERVICE LEVEL AGREEMENTS: WINNING A COMPETITIVE EDGE FOR SUPPLY AND
SUPPORT SERVICES.

===============================

See DR602A or SL602A for similar savings on the SERVICE LEVEL AGREEMENTS
FRAMEWORK COMBO FOR IT & TECHNOLOGY.

===============================

SERVICE LEVEL AGREEMENTS: A FRAMEWORK ON CD-ROM FOR SERVICE
BUSINESSES brings together the critical elements needed to build a Service Level
Agreement for service or supply businesses (non-technology focused), with extensive
templates, examples and tools.

===============================
Published by Rothstein Associates Inc.
IN STOCK FOR IMMEDIATE SHIPMENT
===============================

For IT and technology environments, see: SERVICE LEVEL AGREEMENT
FRAMEWORK FOR IT AND TECHNOLOGY (order #DR602).

===============================

Previously, the thought of developing a Service Level Agreement was a daunting prospect.
No more.

SERVICE LEVEL AGREEMENTS: A FRAMEWORK ON CD-ROM FOR SERVICE
BUSINESSES brings together the critical elements needed to build a Service Level
Agreement. All you do is choose the plan elements you require, load them into a standard
word processor, edit them to your specifications, and you're done! It's that simple. No
programming experience required. SERVICE LEVEL AGREEMENTS: A FRAMEWORK ON
CD-ROM FOR SERVICE BUSINESSES is easy to operate. It will save you days, weeks,
possibly even months of valuable time. Now every IT Service professional can have effective
SLAs!

SLA FRAMEWORK reflects the combined expertise and SLA development from over 50
man-years of consulting effort.

===============================

Be sure to check out the companion book, (order #DR450), SERVICE LEVEL
AGREEMENTS: WINNING A COMPETITIVE EDGE FOR SUPPLY AND SUPPORT
SERVICES also by Andrew Hiles!

===============================

OVERVIEW OF FILES

Apart from README, you also have the documents SLA Handbook for Supply and Support
Services and Example SLA 1 through 5. The Handbook contains case studies and examples
and, from these and the example SLAs you should be able to adapt a suitable format and
establish appropriate metrics for any service.

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MODELS & TEMPLATES IN SERVICE LEVEL AGREEMENTS: A
FRAMEWORK ON
CD-ROM FOR SERVICE BUSINESSES

1. Model Service Level Agreement
2. Training and Development Service Level Agreement
3. Sample Service Level Agreement Escalation Procedure
4. Service Level Agreement for Reprographics
5. Agreement for Hardware Maintenance Installation and Support
6. Service Level Agreement Template for Shared Services
7. Shared Services Service Level Agreement for Services Provided by the
Purchasing
Department
8. Payroll Services Level Agreement
9. Public Affairs Service Level Agreement
10. Legal and Procurement Service Level Agreement
11. Legal Department Service Level Agreement
12. Invoice Processing and Cashiering Service Level Agreement
13. Human Resources Administration Service Level Agreement
14. Financial Services System Accounting Service Level Agreement
15. Expenses Services Level Agreement
16. Service Level Agreement - Maintenance
17. Internet Access Service level Agreement
18. Call Center Services Service Level Agreement

- Accountant Service Level Agreement Checklist
- Customer Satisfaction Survey

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SLA HANDBOOK CONTENTS

1. INTRODUCTION
1.1 The Quality Improvement Program (QIP)
1.2 ISO 9001
1.3 Handbook Contents
1.4 Cross Linking with other QIP Pilot Projects

2. SERVICE LEVEL MANAGEMENT DISCIPLINES
2.1 Principles of Service Management
2.2 Service Support Characteristics
2.3 Service Management Disciplines
2.4 Availability Management
2.5 Performance Management
2.6 Capacity Management
2.7 Security Management
2.8 Change Management
2.9 Problem Management
2.10 Environment Management
2.11 Quality Management
2.12 Service Ownership
2.13 Point of Delivery

3. SERVICE LEVEL AGREEMENT DEFINITIONS, METRICS AND
MEASUREMENT
3.1 Service Level Agreement - Definition
3.2 Service Quality - Definitions
3.3 Service Quality Definitions and Metrics
3.4 Service Quality Values
3.5 Service Measurement
3.6 Service Quality Dependencies

4. AIMS, PITFALLS AND HINTS ON IMPLEMENTATION OF SERVICE LEVEL
AGREEMENTS

5. SLA DOCUMENTATION

5.1 Introduction
5.2 The Agreement
5.3 The Service Brochure
5.4 Shell, Template, Model and Standard SLAs
5.5 SLA Design
5.6 Reporting

6. SLA ROLES AND RESPONSIBILITIES
6.1 Introduction
6.2 IT Service Sector
6.3 Project Manager
6.4 Quality Assurance (QA)
6.5 QIP Steering Committee

7. AUDIT CHECKLIST
7.1 Service Management
7.2 SLA Documentation
7.3 Development
7.4 Customer Relationships
7.5 Customer Satisfaction Surveys
7.6 Service Review
7.7 Responsibilities
7.8 Problem Management
7.9 Procedures

8. SLA AUTOMATION
8.1 Introduction
8.2 Tools Available
8.3 Problem Management
8.4 Change Control
8.5 Schematic: Automation of Service Level Reporting

9. CONCLUSION
9.1 "Get it Right" - But start now!
9.2 The Pilot Project
9.3 The Way Ahead

APPENDICES
A.A Model SLA

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REQUIREMENTS

SERVICE LEVEL AGREEMENT FRAMEWORK ON CD-ROM FOR SERVICE
BUSINESSES consists primarily of user files that run on standard word processing software
such as Microsoft Word or Corel Wordperfect.

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INSTRUCTIONS FOR USING SERVICE LEVEL AGREEMENT FRAMEWORK
ON
CD-ROM FOR SERVICE BUSINESSES

Getting started with SERVICE LEVEL AGREEMENT FRAMEWORK FOR IT AND
TECHNOLOGY is easy. Simply copy the SERVICE LEVEL AGREEMENT FRAMEWORK
FOR IT AND TECHNOLOGY files onto a subdirectory designated for Service Level
Agreement development. Simply use the files you desire, and customize them to your
specifications using any compatible word processing software.
SERVICE LEVEL AGREEMENT FRAMEWORK FOR IT AND TECHNOLOGY is designed
to be custom tailored to each user's needs for Service Level Agreements. Simply select the
documents you require. Edit them to fit your needs. Assemble them into a logical sequence
that makes the most sense to you.

The most productive way to use SERVICE LEVEL AGREEMENT FRAMEWORK FOR IT
AND TECHNOLOGY is to review the materials in Sections 1 to 9 plus all the other files
before adapting specific elements into a working Service Level Agreement.

The documents are designed for simple amendment. Your organization's name can be
included simply by replacing XXXXXX with your organization's name. You can insert values
that are relevant to your organization by using spell check: this will highlight relevant parts for
you to amend.

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EXCERPT FROM SLA HANDBOOK

2.3 SERVICE MANAGEMENT DISCIPLINES
In order to manage service levels, disciplines have to be in place to manage:
- availability
- performance
- capacity
- security
- change
- problems
- environment
- quality.

2.4 AVAILABILITY MANAGEMENT
Availability Management is the management of the processing paths and the creation of
resilience and alternative routes.

2.5 PERFORMANCE MANAGEMENT
Performance Management is the optimization of throughput, response and accuracy for a
given resource.

2.6 CAPACITY MANAGEMENT
Capacity Management involves balancing performance against resource provision and
ensuring that adequate capacity exists to meet the required service levels.

2.7 SECURITY MANAGEMENT
Security Management underwrites the integrity and availability of systems to specified
minimum requirements. It embraces physical and logical access control, data and systems
integrity, and contingency planning.

2.8 CHANGE MANAGEMENT
Change Management is the process of assessment of the impact of proposed changes to
Configuration Items - whether resulting from problems or enhancement requirements - and
the controlled implementation of agreed changes to ensure that prerequisites, corequisites
and follow-up actions are implemented to protect the integrity of the systems and to minimize
adverse impact on the users.

2.9 PROBLEM MANAGEMENT
Problem Management involves preempting problems; taking proactive preventative
measures; diagnosing and analysing the problems or faults and pursuing problems to
resolution, taking escalation action where necessary.

2.10 ENVIRONMENT MANAGEMENT
Environment Management involves the creation and maintenance of a physical environment
within the hardware operating specifications with resilient plant, power and (where
necessary) water supplies.

2.11 QUALITY MANAGEMENT
Quality Management, among other things, should ensure that every aspect of a development
project or live service adheres to quality procedures and can be audited within a quality
program.

2.12 SERVICE OWNERSHIP
SLAs cannot be effective unless 'ownership' of the components of the service is clearly
defined and inter-related responsibilities are clearly established. A customer-supplier
relationship needs to be established in to define responsibilities for all intermediate services.

2.13 POINT OF DELIVERY
The point of delivery of the service has to be defined (e.g. to the network or on the customer's
desk). The service provider can reasonably only deliver services to a specific service level
across areas within its control or where intermediate responsibilities and quality have been
defined.

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EXCERPT FROM 14: FINANCIAL SERVICES SYSTEM ACCOUNTING
SERVICE
LEVEL AGREEMENT

2.2 TBD will:

(a) Provide an IT environment within which the services/applications and associated
software can successfully run to given agreed timetables meeting service availability targets

(b) Support and maintain the application(s) software

(c) Support and maintain operating and any subsidiary software required ensuring the
applications run successfully (e.g. EFT)

(d) Provide support and maintenance for all associated hardware required to deliver
the
service to the end user (e.g. communications network, printers EFT equipment etc.)

(e) Provide bespoke applications and other bespoke software (e.g. interfaces etc.
maintenance, developments and support)

(f) Have prime responsibility for TBD developments and maintenance of the
Business
Objectives universe(s)

(g) Ensure that all aspects of the service provision and delivery that are the
responsibility of
the TBD are free from major audit findings

(h) Provide a problem logging, monitoring, resolution and information service for all
ervices/application(s) problems which require third party software vendor action, hardware
vendor action or were developed 'in-house'

(i) Provide management information to TBD indicating clearly machine and hardware
high
water marks and usage trends, process timings, incident report for major failures and other
information as requested on an ad hoc basis this must enable proactive action to be taken
prior to failures occurring due to monitorable causes (e.g. disk space full due to trend growth)

(j) Provide monitoring and system support outside of normal office hours for all
services/application(s) including the overnight batch, scheduled weekend and bank holiday
working and the local high-speed printers. It should be noted that Saturday working is
generally required to complete the Friday night batch and in certain exceptional
circumstances this can extend to the Sunday

(k) Provide support for unscheduled work (see Section 3 for definitions) on a best
endeavor
basis

(l) Provide consulting/assistance to TBD as required

(m) Ensure that appropriate hardware and software maintenance contracts are in
place

(n) Ensure that suitable and appropriate disaster recovery/contingency policies are in
place
and can be implemented if and when required

(o) Control, and provide, operating system(s) access and security as per user request
which
have been authorized by TBD

(p) Provide systems monitoring, advice and system support throughout the online day

(q) Provide advice on hardware upgrade requirements and performance planning

(r) Support the network infrastructure.

The current configurations used include a production machine and a test/development
machine, which will act as the disaster recovery machine in the near future. All of the above
will generally apply to both configurations with the test machine supported in the same
manner as production during critical testing periods.

===============================
===============================

SERVICE LEVEL AGREEMENTS:
WINNING A COMPETITIVE EDGE FOR SUPPORT & SUPPLY SERVICES
By Andrew Hiles

"Service level agreements are an essential element in the provision of an appropriate and
timely service to business. Andrew Hiles' approach is easy to understand and of practical
use to both users and providers." - Graham F. Roulstone, Services Manager, Blue Circle
Industries, PLC, UK

===================================

"An ever-increasing number of companies are becoming aware of the need to maximize
customer satisfaction, and the consequent need to quantify and measure service functions.
This book demonstrates how this can be achieved." - W. Adrian Smyth, Director and General
Manager, COTEC Computer Services, UK

===================================

"The concept of service level agreements for all businesses is a topic whose time has come.
This book is a complete blueprint on the subject." - Paul F. Kirvan, Management Consultant,
Paul F. Kirvan Associates, USA.

===================================

This book holds the key to creating enduring, satisfying and profitable relationships between
customer and supplier. It shows how both internal and external services and supply can be
aligned to meet business vision, mission, goals, critical success factors and key
performance indicators.

The techniques described will help you balance service cost against quality, leading to
competitive advantage and business success. They can be applied to any industry, to any
supply or support service. They have been used by leading companies internationally - and
they work!

===================================

EXCERPT FROM THE PREFACE TO SERVICE LEVEL AGREEMENTS:
WINNING A COMPETITIVE EDGE FOR SUPPORT & SUPPLY SERVICES

“Frequently new technologies demand new, creative, methods of management. Occasionally
these new management models have the potential to enhance the effectiveness of business
areas never envisaged when the management method was originally devised: they are
transferable.

“One of the classic cases is the transfer of engineering management disciplines, for instance
quality assurance and quality control (and more recently total quality management - TQM).
Quality disciplines have permeated from the factory floor into virtually every area of corporate
operations and been universally embraced by world class organizations.

“Those first to seize such opportunities gain efficiency, effectiveness and, frequently,
competitive edge. But all too often, organizations simply react when they see more alert
competitors gaining advantage and the new techniques are implemented merely out of
defence. They are used as a band-aid when the cure is a transplant.

“The opportunity is rare - to identify and adopt such new concepts for competitive edge. The
dynamic world of information services, combining explosive growth with corporate
dependence, has had to create new methodologies to contain costs and manage service.
One of the key methods employed by the leaders in information services management is the
use of service level agreements.

“While a contract will govern the legal and commercial aspects of service provision it cannot
effectively govern the day-to-day delivery of the service quality - and contracts are irrelevant to
in-house service providers.

“Many corporate services are overheads - not profit earners, but profit dissipators. How can
their cost be controlled - or better, reduced - while preserving acceptable quality?

“A service level agreement is the tool which ensures delivery of consistent, appropriate and
timely service quality to meet the business need at the right price.

“Using case studies and examples, this book explains how service level agreements, born to
meet the challenges of a new industry, can be translated as a practical management tool in
any service environment, and provides a blueprint for their implementation.”

===================================

EXCERPT FROM SERVICE LEVEL AGREEMENTS: WINNING A
COMPETITIVE
EDGE FOR SUPPORT & SUPPLY SERVICES

“SLAs force the support service to orient itself to providing cost-effective service solutions to
business needs and to support the business plan. They impel management decisions on the
appropriate quality of service to be provided. They correct ivory tower astigmatism, directing
the vision away from technological or professional issues of the service provider and into a
business perspective.

“SLAs may sound like a universal panacea - but there are a number of things a SLA cannot
do. An SLA cannot compensate for inadequate definition of business objectives, nor can it
compensate for lack of standards. SLAs cannot substitute for poor customer management or
poor support service management. They do not obviate the need for other service
management disciplines and tools. They cannot be implemented without cost, nor be
implemented without resource. Most importantly, they cannot be effective without
commitment
from both customer and service provider.

“Both parties need to deliver their parts of the SLA - the quality of service can only be as
good as the accuracy of the customer's forecast usage and the customer's adherence to their
part of the Agreement.”

===================================

TABLE OF CONTENTS

ACKNOWLEDGMENTS

1. AN OVERVIEW OF SERVICE LEVEL AGREEMENTS: WHAT THEY CAN DO
AND
CANNOT DO
1.1 Introduction
1.2 Service Level Agreements : Definition
Figure 1: Pyramid Model of Service
1.3 Serving the Business
1.5 Outsourcing & Facilities Management
1.6 In-company vs Outsourcing SLAs: Crucial Differences
1.7 the Role of the SLA in Invitations to Tender, Proposals and Contracts
1.8 SLAs in Market Testing, Outsourcing and Supply / Support Contracts
1.9 Avoiding Hidden Costs - and Identifying Real Needs
1.10 Can SLAs Work in Strategic Partnerships?
1.11 Quality Standards ISO 9004 Part 2
1.12 Availability
1.13 Performance: Speed, Response and Accuracy
1.14 Security
1.15 Quality: Process Control
1.16 Service Products
1.17 Points of Delivery and Delivery Mechanisms
1.18 Service Culture
1.19 but Why SLAS?
Checklist #1: Service Orientation

2. THE MEASUREMENT OF THE SERVICE AVAILABILITY AND QUALITY: KEY
METRICS AND TECHNIQUES WHICH MAY BE USED
2.1 Introduction
2.2 Service Availability
Figure 3: Service Management Methodologies & Service Reporting
2.3 Change Management
2.4 Problem Management
2.5 Critical Component Analysis
2.6 Relationship with Security and Contingency Planning
2.7 Scope of Service
2.8 Service Hours
2.9 Real Time Services
2.10 Background Services
2.11 Administrative Services
2.12 Remote Services
2.13 Subcontracts
2.14 Help Desk and Customer Support
2.15 Security Services
2.16 Special Requirements
2.17 Standardization
2.18 Customer Self Help
2.19 Training
2.20 Customer Satisfaction Survey

3. HOW SERVICE LEVEL AGREEMENTS APPLY IN DEVELOPMENT OR
CREATIVE
ENVIRONMENTS
3.1 Creative and Development Functions
Figure 4: Embedding Service Level Capability in Development
3.3 Feasibility Study
3.4 Analysis/specification
3.5 Design
3.6 Invitation to Tender/contract
3.7 Implementation
3.8 Post-implementation Review
3.9 Service Orientation

4. KEYS TO MEASURING AND MONITORING SERVICE; DESIGNING AND
IMPLEMENTING AN SLA
4.1 Measuring Performance and Availability
4.2 Balancing Detail with Practicality
4.3 What to Include in a SLA
4.4 Shell, Template, Model and Standard SLAs
4.5 SLAs and Their Key Role in the Balanced Scorecard
4.5 the Service Handbook
4.6 the One-page SLA
Figure 7: Example Service Definition
4.7 the One-page SLA
Figure 8: a One-page SLA Format
Figure 9: Service Level Management Components
4.8 Charging for Services
Figure 10: a Charging Methodology
4.9 Infinite Capacity and 100% Availability?
4.10 Realistic Limits to Service
4.11 Procurement
4.12 Organisational Issues
4.13 Pilot Implementation
4.14 Negotiating with the Customer
4.15 Reward and Punishment - Sticks and Carrots
4.16 Reporting Actual Performance Against SLA
Figure 15: Global Service Report - Schematic
Figure 16a: Sample SLA Report
Figure 16b: Background (Production Type)
Figure 17: Measuring Service Components
4.17 Service Review Meetings
4.18 the Customer Review Meeting
4.19 Service Motivation
4.20 Extending SLAs
Service Level Survey
Service Level Survey
Terms of Reference for Marketing and Sales Manager
Terms of Reference for Customer Account Managers

5. THE DOWNSIDE RISK; ALTERNATIVES TO SERVICE LEVEL AGREEMENTS;
THE
SLA PAYOFF
5.1 SLAs: Reasons for Failure
5.2 Alternatives to SLAs
5.3 Performance Indicators
5.4 Availability and Response Targets
5.5 Benchmark Checks
5.7 the SLA Payoff : Success Stories
5.8 Where Next?
5.9 Conclusion

6. CASE STUDIES: SERVICE LEVEL AGREEMENTS
6.1 Introduction
6.2 Payroll and Benefits
6.3 Procurement (Service and Spares)
6.4 Logistics / Transport
6.5 Livestock Handling
6.7 Training
Detailed SLA Examples

7. CASE STUDY: SERVICE LEVEL AGREEMENT IN CONSTRUCTION
MANAGEMENT
7.1 Introduction
7.2 Background
7.3 Construction Management - Typical Approach
7.4 Construction Management - Service Oriented Approach
7.5 Service Levels in Construction Management
7.6 Identifying Metrics for Management Services

APPENDIX A: SERVICE LEVEL AGREEMENT CHECKLIST

APPENDIX B: SAMPLE SLA - ESCALATION PROCEDURE

APPENDIX C: STANDARD SLA FORMAT

BIBLIOGRAPHY

ABOUT THE AUTHOR

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ABOUT THE AUTHOR:

“ANDREW HILES is a founding Director of the Kingswell Partnership. Having commenced
his management career with the Royal Air Force, he pioneered IT systems before leaving to
take up a position within the Finance Department of London Transport. Subsequently in their
Central Productivity Unit, he was a Senior Projects Manager and later became responsible
for the business re-engineering function, implementing new services and several major
technical projects. He left to take up a position with the Post Office as their first Business
Systems Consultant with a rolling projects portfolio in excess of ten million pounds. Andrew
then joined the AEA at the Harwell Laboratories where he managed the supercomputing,
mainframe and other bureau and facilities management services. Andrew is a pragmatic
consultant and trainer in the areas of Business Continuity Planning and Service Management,
including Outsourcing and Facilities Management. He presents workshops and seminars on
these topics for Frost & Sullivan (Europe), AIC (South Africa), CEL (Hong Kong), UPOM
(Middle East) and other companies having also lectured at Ashridge, Cranfield, GEC
Dunchurch and Henley Management Colleges in the UK

Andrew has over 15 years experience of business continuity planning. He is an international
speaker on business continuity and contingency planning and has featured on conference
programs in the USA, Europe and the Pacific Rim. He has broadcast on radio and TV. He
has over 300 published articles on business continuity and edited the IBM GUIDE Disaster
Recovery Manual. He is founder and Chairman of Survive!, the international user group for
business continuity planning and was a founding Director of the Business Continuity Institute,
the international body for certification of business continuity professionals.

Andrew has delivered service orientation and service management projects for blue chip
companies and public bodies. He was a pioneer in the development and application of
Service Level Agreements for IT and non-IT services.

Andrew is a Fellow of the Business Continuity Institute and a Member of the British Computer
Society and of the Institute for the Management of Information Systems.”

===============================

Licensed for in-house use only by the initial purchaser, for ONE company.

Developer, Multi-site and Enterprise licensing is available; contact Rothstein Associates Inc.
(info@rothstein.com) for details.

===============================

Published by Rothstein Associates Inc.
2003, CD-ROM plus BOOK
Order #DR603A
IN STOCK FOR IMMEDIATE SHIPMENT

===============================

SPECIAL, LIMITED OFFER: Save $50.00!!!

For a limited time, special pricing is available on SERVICE LEVEL AGREEMENTS:
A FRAMEWORK ON CD-ROM FOR SERVICE BUSINESSES plus the companion book,
SERVICE LEVEL AGREEMENTS: WINNING A COMPETITIVE EDGE FOR SUPPLY AND
SUPPORT SERVICES by Andrew Hiles

================================
Order #SL603A
(Retail sales only; Prepaid orders only)
================================

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