SLA — Service level agreement

A service level agreement is the written commitment to respond within set deadlines. It fixes maximum times — usually first response and resolution — defines the hours in which they count, and normally states what happens when they are missed.

What is service level agreement?

A service level agreement is the written commitment to respond within set deadlines. It fixes maximum times — usually first response and resolution — defines the hours in which they count, and normally states what happens when they are missed.

Also: SLA · service level

Internal target versus contractual commitment

Plenty of companies call an internal goal an SLA: "we want to reply within two hours". A real SLA sits in a contract, has consequences when breached — usually a credit — and therefore forces you to measure in a specific, auditable way. Confusing the two is how sales promises something support cannot sustain.

Why it matters

What changes in a SaaS

It is what turns support into a measurable obligation. For a SaaS selling to large companies, the SLA comes up in negotiation before the price, and it defines how many people you need: committing to a one-hour response outside office hours means having somebody on call.

Una mano alcanzando un teléfono de disco sobre una mesa

Service level agreement in detail

  • What gets committed

    Nearly always first response time, sometimes resolution time and, in large contracts, service availability. Committing to resolution is risky: it does not depend on you alone, because a case may need information from the customer.

  • The hours are half the agreement

    A four-hour commitment means very different things in business hours versus clock time. It has to be written down, with the time zone and the holidays that apply, or the first argument arrives on the first holiday.

  • Tiers by plan

    The usual approach is a ladder: the entry plan with no commitment, the middle one with a response within one business day, the top one measured in hours. It is a legitimate way to monetise support, as long as what you offer without a commitment stays acceptable.

  • How to meet it without growing the team

    By resolving without a person whatever does not need one, so human capacity is free for exactly what carries a commitment. An agent that closes routine questions in seconds breaches no SLA: it leaves it comfortable.

Questions about service level agreement

What does SLA stand for?

Service Level Agreement. It is the written commitment to respond within set deadlines, usually with contractual consequences when they are missed.

Does an SLA commit to resolution or only to a response?

The usual practice is committing to first response, because it depends on you alone. Committing to resolution is riskier: the deadline may depend on information only the customer can supply.

Does a small SaaS need an SLA?

Only when a customer asks for one, which usually coincides with the first large contract. Before that, a public commitment about your support hours does the same job without the contractual obligation.

Related terms

A term on its own is only half understood. These come up in the same conversation.

Try it without dropping what you use