Service Level Agreement Development and Negotiation

When a Contract is entered into between a client and supplier, the service delivery can be impeded by a poor Service Level Agreement (SLA) and the Key Performance Indicators (KPI’s) which should form the clearly defined elements of the service delivery which is expected of suppliers, against which levels of compliance can be measured.

Common SLA failure points include:

  • Poorly Defined KPI’s: Whereby the client and supplier do not share the same common understanding of what is required.

  • Unrealistic SLA’s: Whereby the success percentages assigned to KPI’s are unreasonable and unachievable.

  • Unspecified SLA’s: Whereby the client doest assign success percentages to KPI’s; i.e. thereby implying that 100% achievement against KPI’s is the requirement and/or there is no mutual understanding of what good looks like.

  • Too Few KPI’s: Too many aspects of the service are not encapsulated by a KPI within the SLA, thereby leaving scope for important elements to go unreported and unmanaged.

  • Too Many KPI’s: The exhaustive inclusion of multiple KPI’s, many of which bear little relevance to the service delivery and/or do not report on anything which either party can affect.

Shorten Management Consulting Ltd will work with you to build a suitable and comprehensive Service Level Agreement which will:

  • Meet the business need;
  • Encapsulate the Specification of Requirement (SoR);
  • Provide for meaningful Management Information (MI) reporting
  • Support effective Service Delivery Management;
  • Be included in the Specification of Requirement (SoR);
  • Be included in the Contract / Service Agreement


Find out how we can assist your company with Service Level Agreement Development and Negotiation by getting in touch with us here>


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