Part of Service Delivery Process Lifecycle and one of its crucial steps is Service Level Management

1. Service Level Management
A Customer Perspective
Prepared by Yasir Karam

2. Overview
• SLM at a glance
– Defining Customer Impact
– Example of process interlinks
– Define requirement reporting
• Implementation
– Coaching
– Service Catalog
– OLA’s
– SLA’s
– UC’s
– Reporting & Metrics

3. SLM Shortly
Objective
Maintain and improve IT Service quality, through a constant cycle of agreeing, monitoring and reporting
upon IT Service achievements and instigation of actions to eradicate poor service in line with business or
cost justification. PLAN, DO, CHECK, ACT.
Activities Steps
Identify •Identify business perspectives (Customers,
Products, LOB’s, Value Chain, Goals..etc)
•Evaluate process maturity
Planning • Planning (appoint SLM Process Mgr, mission
statement, objectives and scope, awareness, roles,
tasks and responsibilities)
• Plan monitoring capabilities
• Identification of support tools
• Establish initial perception
• Underpinning contracts review
Implement • Produce a service catalog
• Draft
• Negotiate
• Review UCs and OLAs
• Agree SLA
Ongoing
Process
• Monitor
• Report (service achievement reports)
• Service Review Meetings
• Service Improvement Program
• Maintenance of SLAs, contracts and OLAs
Periodic Review • Review process
• Review SLA, OLAs, UC’s

4. SLM in ITIL
Key ITIL Process Relationships
• Change Management
• Availability
• Reliability
• IT Service Continuity
• Security
• Service Desk
Key KPI’s
• # or % of services
covered/endorsed
• # or % of SLA service
targets met
• Review meetings
held on time
• Document of issues
raised and resolved
• # or % of service
targets severity of
breeches
• SLAs monitored and
regular reports
SLA Structure
• Service-based = SLA
covers one service for all
the customers of the
service.
• Customer Based =
SLA with an individual
Customer group,
covering all the
services they use.
• Multi-level SLAs =
Corporate level,
customer level and
service level
agreements in a three
layer structure.

5. Strategic SLA Structures
Corporate-Based SLA
Generic and Cover Entire Business
Customer-Based SLA
Meets Unique Needs of
Customer
Business
Unit A
Business
Unit B
Business
Unit C
Service X
Service-Based SLA
Meets Unique Needs of a Particular
Service
Service Y
Business Unit A
covered by the corporate
SLA, a Customer-A SLA
and a Service-X SLA
(High Complexity
Difficult to Implement)
Business Unit A
covered by the corporate
SLA, a Customer-A SLA
and a Service-X SLA
(High Complexity
Difficult to Implement)
Business Unit B
covered by the
corporate SLA
and Service-X
SLA
Business Unit B
covered by the
corporate SLA
and Service-X
SLA
Business Unit C
covered by the
corporate SLA only
(Low Complexity
Easy to Implement)
Business Unit C
covered by the
corporate SLA only
(Low Complexity
Easy to Implement)

6. SLM Architecture (chronic order)
ADJD Customer
IT operations
External Providers or Vendors
Service desk
Internal Service Provider ( IT Business Unit )
OLA
Underpinning
Contracts
SLA

7. Customer’s View
• Improvement of service quality
• Reduction in service disruption
• Financial savings
• Less time and effort spent by IT staff in resolving fewer
failures
• ADJD Customers able to perform business functions
without adverse impact
• IT services designed to meet SLR
• Improved relationship with customers
• Higher customer satisfaction
• Manage Customer Expectations – Number One

8. Implementation
• Appoint Service Level Manager
• Assemble Project Team
• Create Service Catalog (Service Brochure)
• Develop Operational Level Agreement
• Develop Service Level
Agreement/Underpinning Contracts
• Develop Reporting
• Develop SLM process for review, audit and
modify

9. Service Level Manager
• Roles and Responsibilities as defined by ITIL
– Create service catalog
– Formulates, agrees and maintains SLM structure
– Negotiates, agrees and maintains SLA with
customer
– Negotiates OLAs with IT provider
– Analyses and reviews service performance
against SLAs and OLAs

10. Project Team
• Core “silo” team (networking, security, application
development, infrastructure, client/server, etc.)
• Each team must provide a senior manager and attend
all sessions for authority to negotiate
• All process owners
• Service Desk Manager
• Customers
– Representative of each ADJD business unit
– Senior level
– End user
• No more than 15 representatives – too many makes
negotiation difficult

11. Changing the IT Culture
Task 1
Task 3
Task 2 Task 4
Task n
Processes
Silos

12. Service Catalog
• Initiate with a site survey
– All applications, services and products (CIs)
– Number of users
– Business impact and value chain
• Develop a standard list of products and services provided
• Determine the level of support to be provided at the
service desk
• Define the internal support provide responsible for
functional escalation and problem management
• Modified later to contain cost information
• Subsection creates the customer brochure
• Finalize list with project team
• Becomes part of the change management process

13. Operational Level Agreements
• Establish current baseline
• Although ITIL allows for multiple OLAs, we will
recommend that only one to be negotiated and
implemented
• Simplistic SLM scheme easier to negotiate,
implement, manage and change
– Establish corporate level OLA
– Corporate level SLA
– UC’s
– Through monitoring and review create more
complexity as it is required

14. Service Level Agreement
Contents
• Introduction
• Service Hours
• Availability
• Reliability
• Support
• Throughput
• Transactional response times
• Batch turnaround times
• Change
• IT Service Continuity and Security
• Charging
• Service reporting and reviewing
• Performance incentives/penalties
• It’s easier to negotiate a
corporate level SLA initially
• Some core business units have
special requirements based
upon service/customer
requirements
• To avoid making multiple SLAs
with conflicting and vastly
different objectives

15. Reporting – Key Metrics
• Sources
– ACD
– KM
– Incident/Problem Management System
– Email
• Types of Reports
– Service Level
• Average speed of answer
• First Contact Resolution
• MTTR
• Response and Resolution service breeches
• Response and Resolution attainment (SLM compliance)
• Availability, Reliability, Capacity (when part of SLA/OLA, UC)
– Trending
• Recurring Incidents
• Customer Satisfaction

16. Reporting – cont.
• Reporting must provide information to
management on the attainment of service
level commitments.
• Must not be a punitive process but
perceived as one in which the organization
makes business decisions on resources and
cost of service based upon attainment
• Weekly reports on service breeches
• Monthly reporting on trends
• Monthly meetings with project team to
make strategic decisions
• Based upon SLA/OLA and defined
measurement points in process diagrams

17. Roadmap
OCT09 NOV09 DEC09 JAN10 FEB10 MAR10 APR10 MAY10 JUN10
Service Provisioning, Delivery, Support Service Charging & Enhancement
Baselining
Check process
maturity
assessment
Check services
maturity
assessment
Check process
automation tools
Check available
policies and
procedures
Check available
source
documents (IT
Strategy,
Corporate
Strategy, IT
Initiatives)
Identify role
players;
customers,
process owners,
products,
processes
Identify services
Planning
Develop project
plan including
resources,
activities,
communication,
budgeting
Team Assembly
Team structuring
and role
assignment
Service Catalog
Service design strategy
Service provisioning
Identify opportunities
Create service packages
Create service offering
Create service levels and
targets
Create service catalog processes
Develop service catalog portal
(order, basket)
Metrics and KPI’s
Explore measurement
opportunities or services
Identify metrics list
Develop automation and toolset
strategy
UC’s
Explore sourcing strategy
Identify suppliers
Map suppliers to services
Review UC’s
OLA’s
Identify service providers
Meet, negotiate and agree
on services, metrics and
service levels
Define, communicate and
agree on OLA structures
Communicate and agree on
OLA templates, forms,
procedures
Branding and marketing
of services
Create branding guide
Create promotion plans
Create service brochure
Create market probing
plans
SLA’s
Strategic SLA structure
Agree service levels and
targets
Agree SLA templates
Develop articulation
plans
Execute plans
Monitor and control
execution
Operation
Monitoring and reporting
Review SLA’s, OLA’s
Review and optimize processes
Plan for performance management
Execute enhancement plan

18. Suggested Roadmap
Publish 1st
version of service catalogue
Finalize vendor OLA’s for
outsourcing of service, licenses
and warranties
Endorse and sign
formal OLA’s
with IT service
owners
OCT09 NOV09 DEC09 JAN10 FEB10 MAR10 APR10 MAY10 JUN10
Endorse and
sign formal
SLA’s with
ADJD users