Template Service Level Agreement

SHARED SERVICES TEAM Document Name: Service Level Agreement Template Usage Guidance Toolkit materials should only be used with due consideration to the context and requirements of the programme in question. Materials should not be directly applied ‘off the shelf.’ CATEGORY DESCRIPTION 1. Example material –The tool has been provided by a single public or private sector organisation, or an external forum that has not been moderated by the Shared Services Team. It represents one possible approach to a given shared service activity, and can be used by Toolkit users as an example / reference aid. 2. Co-developed material – The tool has been produced through the collaboration of the Shared Services Team and one or more public sector organisations and / or private sector organisations. This tool Provides a jointly developed approach to a given shared services activity, and can be used by Toolkit users as an example / reference aid. 3. Output Templates – These set out what is typically included in an output of this name. They have been created as part of the development of the toolkit based on experience and best practice from other programmes and project methodologies. However, your organisation may already have a set format and template for you to use. The following information is provided for convenience as part of the service we offer at this website. However, the Cabinet Office cannot accept any liability for its accuracy or content. Visitors who rely on this information do so at their own risk. If the material has been provided by a Private Sector organisation please refer to their Company website for further information. Shared Service Team Template Service Level Agreement [Template : Documented should be reviewed in full and amended as appropriate before use] Please refer to the 'Introduction to 'SLAs and Service Level' guidelines for more information Service Level Agreement Between <> and <> for the provision of <> services 2 TEMPLATE Shared Service Team Template Service Level Agreement Service Level Agreement 200x-200x Service Provider Organisation: <> Name: Position: Signature: <> <> ____________________________ Date: ______/______/______ Customer Organisation: <> Name: Position: Signature: <> <> ____________________________ Date: ______/______/______ 3 TEMPLATE Shared Service Team Template Service Level Agreement Table of Contents 1 1.1 1.2 1.3 1.4 1.5 1.6 2 2.1 2.2 2.3 3 3.1 3.2 4 4.1 4.2 5 5.1 5.2 5.3 5.4 5.5 5.6 6 6.1 6.2 6.3 6.4 6.5 6.6 6.7 7 7.1 7.2 7.3 8 8.1 8.2 9 9.1 9.2 9.3 9.4 9.5 9.6 The Agreement.................................................................................................. 6 Statement of Intent ............................................................................................. 6 Parties to the Agreement .................................................................................... 6 Partnership Principles......................................................................................... 6 Term of Agreement............................................................................................. 6 Obligations.......................................................................................................... 6 Document Sign-Off and Security ........................................................................ 7 Service Overview .............................................................................................. 8 Description.......................................................................................................... 8 Services in Scope ............................................................................................... 8 Monitoring of Agreement .................................................................................... 9 Service Governance ....................................................................................... 10 Governance Structure....................................................................................... 10 Governance Activities ....................................................................................... 10 Performance.................................................................................................... 11 Performance Reporting..................................................................................... 11 Performance Management Responsibilities ..................................................... 11 Issue Management.......................................................................................... 12 Capture Issue ................................................................................................... 13 Review .............................................................................................................. 13 Resolution......................................................................................................... 13 Lessons Learnt / Root Cause Analysis............................................................. 13 Dispute Resolution and Escalation ................................................................... 13 Arbitration ......................................................................................................... 13 Compliance ..................................................................................................... 14 Data .................................................................................................................. 14 Intellectual Property Rights............................................................................... 14 Record Retention.............................................................................................. 14 Business Continuity .......................................................................................... 14 Audit Rights ...................................................................................................... 15 Quality Assurance............................................................................................. 15 Constraints........................................................................................................ 15 Change Control............................................................................................... 16 Types of change ............................................................................................... 16 Change control procedure ................................................................................ 16 Service Development........................................................................................ 16 Termination & Exit .......................................................................................... 17 Termination Rights............................................................................................ 17 Termination Process and Responsibilities........................................................ 17 Charging and Commercials ........................................................................... 18 Charging Mechanism........................................................................................ 18 Charging Schedule ........................................................................................... 18 Payment Frequency & Window ........................................................................ 18 Currency and Medium ...................................................................................... 18 Forecast / Actual Variance................................................................................ 18 Credits and Penalties (if applicable) ................................................................. 18 4 TEMPLATE Shared Service Team Template Service Level Agreement 9.7 10 10.1 10.2 10.3 10.4 10.5 10.6 10.7 Guarantees and Limitation of Liability (if applicable) ........................................ 18 PART B – Detailed Schedules ....................................................................... 19 Service Level Schedule .................................................................................... 20 Responsibility Matrix Schedule......................................................................... 21 Technology Specifications Schedule ................................................................ 22 Terms and Definitions Schedule....................................................................... 23 Authorisations Schedule ................................................................................... 24 Charges Schedules .......................................................................................... 25 Volumetrics Schedule ....................................................................................... 26 5 TEMPLATE Shared Service Team Template Service Level Agreement 1 The Agreement 1.1 Statement of Intent This document (“the Agreement”) is an operating level agreement between <> (“the Provider”) and <> (“the Customer”) in relation to the provision of <> services by the Provider to the Customer. While the Agreement is not legally binding it represents the intention of both parties to enter into an agreement for services. This intent is embodied in the Partnership Principles outlined below. 1.2 Parties to the Agreement <> 1.3 Partnership Principles In the spirit of partnering, the parties will work to develop an environment of cooperation and trust, using the following Partnership Principles: • • • • Be accountable – to the joint responsibilities set out in this Agreement Collaborate and co-operate – establish and adhere to the governance structure to ensure that service activities are delivered and actions taken on a joint basis Be open – communicate openly about major concerns, issues or opportunities relating to the services provided Learn, develop and achieve potential – share information, experience and skills to learn from each other and develop new ways of working. Work collaboratively to identify business improvements, eliminate inefficiencies and reduce the cost of service provision Adopt a positive outlook – demonstrate a positive, “can do” attitude, looking at ways to improve services Focus on excellent customer and public service – support this Agreement through a detailed service plan, which will show how delivery will be targeted and managed • • 1.4 Term of Agreement The term of the Agreement, which covers the services <>, will commence on <> and extend to <>. The Agreement will be reviewed annually by the parties. This Agreement will continue to operate beyond the specified period until it is formally superseded by another Agreement. 1.5 Obligations The Provider will deliver the agreed services within the agreed timeframes, standards and costs, and in accordance with the policies and corporate commitments of the 6 TEMPLATE Shared Service Team Template Service Level Agreement Customer and government. The Customer will not duplicate services provided under this Agreement. Both parties agree to act in good faith and in a reasonable and timely manner with regard to the operation of the Agreement. The parties agree to meet the costs, where material, of rework required as a result of their respective actions/errors following senior level consultation where appropriate 1.6 Document Sign-Off and Security The Agreement is to be signed by delegated officers in duplicate and retained by both parties in a secure format. Electronic versions of the Agreement held by either party must also be kept in a secure format. 7 TEMPLATE Shared Service Team Template Service Level Agreement 2 Service Overview 2.1 Description <> 2.2 Services in Scope <> 8 TEMPLATE Shared Service Team Template Service Level Agreement 2.3 Monitoring of Agreement <> Monitoring to facilitate the effective operation of the Agreement is the responsibility of both parties and at a minimum is to include: • Quarterly management meetings between the corporate purchaser, Executive Directors and other relevant managers to discuss performance issues for the Agreement; Monthly service meetings between the account manager and Customer representative/s to discuss whole of agreement service delivery issues, improvement processes, performance and costs; Monthly service meetings between the service manager and the Customer functional manager for each service to discuss service delivery issues and demand forecasting; and Quarterly customer forums with representatives of the Provider and Customer customers to discuss customer specific service issues, improvements and • • • 9 TEMPLATE Shared Service Team Template Service Level Agreement 3 Service Governance 3.1 Governance Structure Both parties to this Agreement will seek to ensure that the Shared Service Operation continues to meet the needs of its Customers. To assist this process, at least two Governance Board meetings a year shall be convened with Customers. Customers can discuss current issues with the Service Relationship Manager, as and when they arise. In the spirit of partnership working, Shared Service Operation will provide easy access for Customers to: • • • • Discuss audit reports; Provide information as requested by auditor and Government bodies promptly; Review benchmarking data and results; and Review management accounts in line with the “open-book” accounting principle. 3.1.1 Executive Board (including customer) 3.1.2 Management Board (including Shared Service Managers) 3.1.3 Programme Board 3.2 Governance Activities 3.2.1 Decision Making 3.2.2 Reporting / Reviews 3.2.3 Risk Management 3.2.4 Problems / exceptional responsibilities 3.2.5 Relationship Management 10 TEMPLATE Shared Service Team Template Service Level Agreement 4 Performance 4.1 Performance Reporting Insert details on the objectives, format and frequency of performance reporting. Main types of reporting to include: • • • • Service Level Performance Reporting Benchmarking Customer Satisfaction Continuous Improvement 4.2 Performance Management Responsibilities Insert details on the main responsibilities for managing and measuring performance 11 TEMPLATE Shared Service Team Template Service Level Agreement 5 Issue Management Mechanisms for issue resolution must be developed and agreed upon by the Provider and Customer with regard to their particular organisational structures and identified service management roles. <> Parties are to notify the other party promptly of any issues, concerns or complaints regarding any matter under or in the Agreement. The parties will use every endeavour to resolve, by a process of consultation, any differences or issues arising between them. However in order to provide a formal mechanism for the resolution of issues that may arise in relation to the provision of services, the following escalation procedure will be used. If the issue is not resolved at the initiating level, it will proceed to the next level. This escalation process will continue until the issue is resolved. <> 12 TEMPLATE Shared Service Team Template Service Level Agreement 5.1 Capture Issue 5.1.1 Issue 5.1.2 Critical Issue 5.1.3 Complaint 5.2 5.3 Review Resolution 5.3.1 Resolution Process 5.3.2 Points of Contacts / Responsibilities Register 5.3.3 Escalation Process 5.4 5.5 5.6 Lessons Learnt / Root Cause Analysis Dispute Resolution and Escalation Arbitration 13 TEMPLATE Shared Service Team Template Service Level Agreement 6 Compliance The parties and their representatives must comply with all statutory requirements and Government policies as they apply to all services required and delivered under the Agreement. The parties note in particular, but not exclusively, the following areas: 6.1 Data 6.1.1 Privacy and Confidentiality Subject to statutory provisions and government standards, both parties to the Agreement must keep all records relating to the other party confidential. Both parties must also ensure safeguards are in place to protect information. The Customer has the right to access the Customer’s information from the Provider. This access must be in accordance with the Provider’s information security standards. Information, including this Agreement, will not be used or disclosed to third parties except for the purposes stated in the Agreement or when written consent is received from the other party to the Agreement. Access to premises, systems and information is to be provided to appropriate and approved third parties subject to the written consent of the parties to the Agreement. Any potential disclosure of information contrary to this Agreement must be reported immediately to a nominated officer of the Provider or Customer. Employees and contractors hired by either party must observe the Customer’s code of conduct, particularly those aspects relating to confidentiality, conflict of interest and privacy. 6.1.2 Personal Data 6.1.3 Loss of Data 6.1.4 Ownership of Data 6.2 6.3 6.4 Intellectual Property Rights Record Retention Business Continuity 14 TEMPLATE Shared Service Team Template Service Level Agreement 6.5 6.6 6.7 Audit Rights Quality Assurance Constraints <> 15 TEMPLATE Shared Service Team Template Service Level Agreement 7 Change Control 7.1 Types of change This Agreement is be a living document, capable of being updated and amended over time with the agreement of both parties. All changes should be made through the change control procedure. Potential updates will fall into a number of types. a. Routine changes – through discussion and agreement between the Provider management team and the Customer (s), changes can be made to the service agreement at any time, to meet the changing requirements and constraints of the organisation. b. Periodic review – in addition to changes outlined above, the Service Level Agreement would be reviewed on a periodic basis to ensure it remains appropriate for the service it provides and the requirements it places on the wider organisation. c. Service Development - Enhancements as further Cluster activities are incorporated into the Service Centre – in the pre-go live phase of additional cluster activity being added to the Service Centre, the Service Level Agreement would be re-visited to ensure it is remains appropriate for the activities being undertaken. 7.2 Change control procedure <> Once agreed, all updates and amendments will be formally documented and signed off, with the amended Service Level Agreement issued to all parties highlighting the changes. 7.3 Service Development <> 7.3.1 New Service Lines / Processes 7.3.2 New Customers 16 TEMPLATE Shared Service Team Template Service Level Agreement 8 Termination & Exit 8.1 Termination Rights <> Termination of the Agreement before the agreed term duration is possible under the following circumstances: 8.1.1 By Agreement 8.1.2 Non Performance / Step In Rights 8.1.3 Giving Notice 8.1.4 Change in Circumstances 8.2 Termination Process and Responsibilities <> 8.2.1 Penalties and Stranded Costs 8.2.2 Terminations Assistance 8.2.3 Exit Plan Formulation 8.2.4 Exit Management Meeting 8.2.5 Exit Meetings 8.2.6 Transfer Date 17 TEMPLATE Shared Service Team Template Service Level Agreement 9 Charging and Commercials << Different types of charging arrangement will be possible for different organisations. For details, please refer to the separate ‘Charging Guidelines’ and ‘Charging Rules’ tools. Key headings for documentation in the SLA include:>> 9.1 9.2 9.3 9.4 9.5 9.6 9.7 Charging Mechanism Charging Schedule Payment Frequency & Window Currency and Medium Forecast / Actual Variance Credits and Penalties (if applicable) Guarantees and Limitation of Liability (if applicable) 18 TEMPLATE Shared Service Team Template Service Level Agreement 10 PART B – Detailed Schedules 19 TEMPLATE Shared Service Team Template Service Level Agreement 10.1 Service Level Schedule <> 20 TEMPLATE Shared Service Team Template Service Level Agreement 10.2 Responsibility Matrix Schedule <> 21 TEMPLATE Shared Service Team Template Service Level Agreement 10.3 Technology Specifications Schedule <> 22 TEMPLATE Shared Service Team Template Service Level Agreement 10.4 Terms and Definitions Schedule <> 23 TEMPLATE Shared Service Team Template Service Level Agreement 10.5 Authorisations Schedule <> 24 TEMPLATE Shared Service Team Template Service Level Agreement 10.6 Charges Schedules << Different types of charging arrangement will be possible for different organisations. For details, please refer to the separate ‘Charging Guidelines’ and ‘Charging Rules’ tools. Key headings for documentation in the SLA include:>> 25 TEMPLATE Shared Service Team Template Service Level Agreement 10.7 Volumetrics Schedule <> 26 TEMPLATE