The difference between a Service Level Agreement (SLA) and an Operional Level Agreement
(OLA) is that:
A.
An SLA is legally binding, an OLA is a best efforts agreement
B.
An SLA defines the service to be provided, an OLA defines internal support needed to deliver
the service
C.
An SLA defines Service Level Requirements, an OLA defines Service Level Targets
D.
An SLA is with an external customer, an OLA is with an internal customer
SLAs are not legally binding unless it is part of a contract. However they tend to be included in the contract so A is the most correct
Page 167 of ITIL3 Service Design
Underpinning agreements
In ITIL an SLA is defined as a ‘written agreement between
a service provider and the customer(s) that documents
agreed service levels for a service’. Service providers
should be aware that SLAs are widely used to formalize
service-based relationships, both internally and externally,
and that while conforming to the definition above, these
agreements vary considerably in the detail covered.
Key message
The views of some organizations, such as the
Chartered Institute of Purchase and Supply (CIPS) and
various specialist lawyers, are that SLAs ought not to
be used to manage external relationships unless they
form part of an underlying contract. The Complete
Guide to Preparing and Implementing Service Level
Agreements (2001) emphasizes that a stand-alone SLA
may not be legally enforceable but instead ‘represents
the goodwill and faith of the parties signing it’.
Therefore it is in service providers’ and suppliers’
interests to ensure that SLAs are incorporated into an
appropriate contractual framework that meets the ITIL
objective that SLAs are binding agreements.
SLAs, underpinning agreements and contracts should be
reviewed on a regular basis to ensure performance
conforms to the service levels that have been agreed.
The organization is likely to be dependent on its own
internal support groups to some extent. To be able to
achieve SLA targets, it is advisable to have formal
arrangements in place with these groups. Operational
Level Agreements (OLAs) ensure that underpinning
services support the business/IT SLA targets. OLAs focus on
the operational requirements that the services need to
meet. This is a non-contractual, service-oriented document
describing services and service standards, with
responsibilities and obligations where appropriate.
Just as with SLAs, it is important that OLAs are monitored
to highlight potential problems. The Service Level
Manager has the overall responsibility to review
performance against targets so that action can be taken to
remedy, and prevent future recurrence of, any OLA
breaches. Depending on the size of the organization and
variety of services, e.g. SLAs and OLAs, a Service Level
Manager should take responsibility for their service or set
of services.
OLA vs SLA
OLA, or Operational Level Agreement, and SLA, or Service Level Agreement, are agreements that are widely used in the Information Technology sector. Well, the names itself show that they are different in their characteristics.
When taking about the two, OLA refers to the operational level of agreement, and SLA refers to the service level of agreement. SLA focuses on the service part of agreement, like the uptime of services and performance. On the other hand, OLA is an agreement in respect to maintenance and other services.
Let us first see what SLA stands for. The Service Level Agreement is basically a contract between a service provider and a customer. The agreement ensures that all the computer equipment will be well maintained.
When talking about OLA, it is an agreement between the internal support groups of an institution that supports SLA. According to the Operational Level Agreement, each internal support group has certain responsibilities to the other group. The OLA clearly depicts the performance and relationship of the internal service groups. The main objective of OLA is to ensure that all the support groups provide the intended Service Level Agreement.
Unlike the Operational Level Agreement, the Service Level Agreement connects the service providers with the customers.
The Service Level Agreement is applied to the overall ticket resolution process. It is also based on the service contract with the customer. On the other hand, Operational Level Agreements are not applied to the overall ticket resolution process. It is specified only for the support group to which the ticket is assigned.
When comparing the target groups, the OLAs have shorter target groups than the SLAs. Another difference that can be seen is that the Operational Level Agreement is more technical than the Service Level Agreement.
Summary:
1. Service Level Agreement focuses on the service part of the agreement, like uptime of services and performance. On the other hand, Operational Level Agreement is an agreement in respect to maintenance and other services.
2. The Service Level Agreement is basically a contract between a service provider and a customer. OLA is an agreement between the internal support groups of an institution that supports SLA.
3. When comparing the target groups, the OLA has smaller target group than the SLA.
4. Unlike the OLA, the SLA connects the service providers to the customers.
5. The Operational Level Agreement is more technical than the Service Level Agreement.
Read more: Difference Between OLA and SLA | Difference Between | OLA vs SLA http://www.differencebetween.net/miscellaneous/difference-between-ola-and-sla/#ixzz333FHOKAT
I would think D is a better answer….