Gain insights into the term operational and the concept of operational definition through a set of commonly asked questions. Learn about the elements, key terms, purposes, and characteristics associated with operational definitions.
OLAs, also known as Operational Level Agreement, are referred to as internal agreements that are defined by the service providers for the internal users so as to meet the SLAs (Service Level Agreements). OLAs may have one or more than one objective or service targets. The OLAs can be used for monitoring service commitments within the organization like the below-mentioned service targets:
- Response time for the incidents or issues which have been assigned to the IT groups
- Server availability to support different applications
It is very crucial for the OLA to lay down everything that the functional IT groups will have to do with respect to each other for supporting the SLA. This may include what should be done by the server team to patch the servers, what should be done by the desktop team for patching the desktop systems, what the DBA team needs to do for database optimization, etc.
However, before proceeding further, we should first understand the basic difference between OLA and SLA. The basic difference between an OLA and an SLA is that they signify different commitments. The SLA highlights the commitments made to the client, whereas an OLA lays down the commitments made to the internal groups within the organization. Also, the target group for OLA is usually smaller compared to an SLA. Moreover, an OLA highlights more details on the technical parts of the problem.
Let’s get into the details of OLAs, their components, and the best ways to write Operational Level Agreements.
The Various Components of OLA
An Operational Level Agreement consists of various components. And in order to better understand OLAs, it is prudent to be aware of their components. They include the following:
- An Introduction: It does three crucial things: it reaffirms the need for the agreement made between parties; lays down the objective of the agreement; gives highlights of the document’s objective.
- Parties Involved: This part of an gives a list of all the stakeholders who are involved, including their names, their titles, and their responsibilities.
- Service and other Charges: This part of an Operational Level Agreement comprises the Scope of Work which has been agreed upon, requirements of the customers, terms of general service, hours of service and hours of operation.
- Roles and Responsibilities of Service Provider: This part of an OLA identifies all the involved internal or external service providers and gives an in-depth description of their responsibilities.
- Coverage Hours, Response Times as well as Escalations: In this part, the operating hours and the escalation policies are covered in great detail. Some of the major topics covered in this part include requests for work, requests for service, management of incidents, management of problems, maintenance of service/change management, and exceptions of service.
- Reporting, Reviewing as well as Auditing: This part of an OLA relates to the terms of OLA and also provides a timeline for conducting audits, doing reviews as well as reporting.
- SLA Directives for OLAs: An SLA’s body mandates certain things with respect to an OLA like rules for doing any changes in the OLA, how to submit requests for making changes in OLA, OLA termination rules, and intervals for OLA review. However, it should be remembered that these mandates exclude how the structuring of SLAs is done.
The Right Way to Write an Operational Level Agreement
There are certain points which should be remembered or taken into consideration while developing or writing an OLA to make it more transparent and easier to understand. In this regard, some of the best practices which should be followed for writing an Operational Level Agreement are listed below. Let’s get straight into them –
- While writing the Operational Level Agreement, one should write about the objective/s of the document in one or two short paragraphs;
- All the people and entities who are involved in service management, as well as fulfilment of the SLAs, should be clearly stated;
- It is mandatory for an OLA to include a compliance target and a minimum of one service target. Else, one can also describe targets as milestones and then write down the actions involved in facilitating these milestones. Anyway, whichever option you choose, complete information about the option you choose should be given;
- Also, one should provide in-depth information about the present challenges and how the OLA will help in resolving these challenges;
- Also, the communication method/s, which must be strictly followed by all the parties involved throughout the term of the OLA for achieving the objectives, goals and targets in an effective and efficient manner, should be mentioned in an OLA. This is because there are lot many ways for different teams to communicate among themselves, namely, in-person, via Telegram, through email, etc.;
- Also, an Operational Level Agreement should contain details of service operations, including operating hours and hours of service;
- An OLA should also contain terms and conditions. Also, each of those terms and conditions should be properly mentioned in the agreement without any deviation;
- One should mention the authority of every signer;
- Last but not the least, appendices should be attached as required with further information.
FAQs on Operational Level Agreement
What is the best definition of operational?
Operational typically refers to anything related to the practical or functional aspects of an organization, process, or system. It pertains to the day-to-day functioning and activities that keep something running effectively.
What are the three elements of an operational definition?
An operational definition typically consists of three elements: a precise description of the concept or variable being defined, the measurement process or criteria used to assess it, and the units or scale of measurement.
What are the key terms in an operational definition?
Key terms in an operational definition include the concept being defined, the measurement method, and the specific conditions or criteria for measurement.
What are the four purposes of an operational definition?
The primary purposes of an operational definition are to provide clarity, precision, objectivity, and replicability in the measurement of a concept or variable.
What are the characteristics of an operational definition?
Characteristics of an operational definition include specificity, clarity, objectivity, reliability, and the ability to be applied consistently by different individuals or in various situations.
What is a synonym for operational?
Synonyms for operational include functional, practical, working, active, and effective, depending on the context in which it is used.
Conclusion
Unlike in the yesteryear, today, the entire world is driven by technology. Hence, to stay relevant in this highly competitive technology-driven world, one must manage its IT services in a very efficient manner. It is very important to look at important infrastructure performance indicators as well as business services as part of SLAs, Operational Level Agreement, and other contracts. However, these should be done in such a way that it helps to keep costs low and at the same time, maximizes the productivity of IT. So now, become an expert and get ready to start writing OLAs for your organization! And we hope that this blog will help you understand the processes better.
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