When it comes to what should be in your service level contract, there is one last piece: regularly check these metrics to monitor your progress and ensure that distribution and marketing have access to reports for both parts of ALS. Proactive (or preventative) work would be the installation inspection we mentioned in our first example, in which the service provider knows that they need to conduct a regular audit. Reactive work is the type of emergency in which the supplier must insert an appointment into its schedule within a specified time frame. Most service providers provide statistics, often through an online portal. There, customers can check whether ALS is being met and whether they are entitled to service credits or other penalties under ALS. IT outsourcing agreements, in which the remuneration of service providers is linked to the results obtained, have gained popularity, with companies developing from time and pure materials or full-time price models. IT service organizations that manage multiple service providers may wish to enter into Operational Level Agreements (OLA) that explain how some parties involved in the IT service delivery process interact with each other to maintain performance. Because applications are moved from dedicated hardware to the cloud, they must reach the same level of service, or even more sophisticated than conventional installations. SLAs for cloud services focus on data center features and more recently include network features (see Carrier`s Cloud) to support end-to-end SLAs.  Before we continue, we define what a service level contract is.
Most SLAs have clauses that dictate “asset downtime,” which means how long an asset cannot function. Imagine that your IT provider did not comply with its service level agreement and did nothing to solve your Internet security problem for a week or more. The same goes for a fire detection system. The consequences of ALA-related offences can be serious for both parties. The main point is to create a new level for the grid, cloud or SOA middleware, capable of creating a trading mechanism between service providers and consumers.