SLAs (Service Level Agreements) are often neglected when making contractual agreements for software development. But this is a big mistake!
SLAs play a crucial role when creating contracts with any company such as an IT outsourcing firm for custom software development and support. SLAs are notoriously tricky to measure as well as report. In addition, they are documents for further configuration and making changes in certain services. But regardless of the challenges, it is vital to track the project performance across the top objectives. With SLAs, companies can get a chance to deliver better customer satisfaction.
What is SLA (Service Level Agreement)?
For a company, SLA is an agreement between the company and the customer that defines both the parties that agree upon the terms of the service, responsiveness, uptime, and the way custom measures the performance. Besides formalizing the expectations of the service, service level agreements set forth the policies for a redress of the customer requirements if they are breached.
The Importance of SLAs in Custom Software Development
A service-level agreement is considered a foundational software development contract between the service providers and the customers, which is imperative to build trust. They allow management of the customer requirements while helping the IT team to be responsible for handling the project issues. Having SLAs by your side means having a better understanding of service expectations. Considering SLAs in software development projects can benefit you in numerous ways, which include, but are not limited to,
● Improving IT Relationships with the Customers:
One of the major benefits of implementing SLAs in custom software development is that they can eradicate the concern of risks, which ultimately improves the trust between the service provider and the customers. It is easy to define the chances of a breach and what can happen in such an event. Knowing all these factors can significantly reduce uncertainty.
● Structured and Formalized Communication:
Communicating with the stakeholders about IT issues can be daunting. Service-level agreements enable stakeholders to be involved in structured communication with the team based on the software development contract. This way, reducing the number of calls, follow-ups, and emails is easy.
● Streamlined Processes:
Service level agreements offer better alignment of the process and reduce the wastage of time for customers, service providers, and team members to access the same information.
● Enhanced Productivity:
With the urgency of deliverables and deadlines that are explicitly defined, service providers can focus on the prior work commitments and avoid wasting their time on tasks that can be done later. It builds trust between both parties and optimizes morale.
Types of Service-Level Agreements
The Service level agreements are dividends into three categories. They are implemented for the same goals but each one covers different relationships.
● Customer Service Level Agreement
● Internal Service Level Agreement
● Multilevel Service Level Agreement
Do You Need SLA?
Initially, most of the metrics and expectations defined in the service level agreement seem obvious, but documenting them makes it easier to have clarity between both parties. In the event of any failure of service and deliverables, no one can claim negligence about the lack of availability, underperformed metrics, or failed deliverables. Any software development solutions provider can use internal SLAs to avoid miscommunication and misinterpretation.
The Conclusion
SLAs are a critical part of the custom software development projects and it will pay off in the future if the agreement is properly codified and thought-out at the initial phase of software development. It protects both parties while saving considerable time, effort, and money for both the service provider and the customer.
If you are a business and looking to implement the SLA for your custom software development project, then it is important to choose a reputed and trusted firm. It is possible to opt for precise SLA for your business needs and positive project outcome. The main motive of SLA should be achieving performance outsourcing. Many software outsourcing companies out there, can offer the best custom software development services while establishing a SLA and other benchmarking practices. You can consider the firm that can meet all your business needs with top-of-the-line service and work alongside you at every phase of the project.
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