SLA (Service Level Agreement)

Definition: Service Level Agreement (SLA) is a formal contract between a service provider and a customer that defines the expected level of service, including performance metrics, responsibilities, and remedies in case of service failures.

Context/Example: A cloud hosting company may include an SLA guaranteeing 99.9% uptime for its servers. If the service falls below this threshold, the SLA may require the provider to offer credits or compensation to affected customers.

Related Concepts: Contract Management, Performance Metrics, Service Quality, Availability, IT Service Management (ITSM), Accountability, Business Continuity