Hosted Application Management: What Measurements Should Be Included In An Sla?

When outsourcing hosted application management

, its critical to develop an appropriate service level agreement, or SLA. An SLA is simply a document that describes in detail the level of service expected by the customer from an outsourcing company. The agreement identifies the metrics to be used for measuring service levels, as well as the remedies and penalties should these levels fall short.

Many items can be monitored, but simplicity is often the best approach. Complex agreements might cause greater confusion and lead to additional costs for both parties. The more complicated the monitoring scheme is, the less effective it might be because few people, if any, will have time to analyze the data.

Selecting SLA Measurements

In selecting the measurement metrics, companies need to look carefully at their operation and consider whats most important. Depending on each unique situation, the following types of metrics may be good to include in a

by: Chuck Vermillion

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