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Service-level agreement

As explained in Cloud Observability in Action

A service level agreement is a contractual commitment by a service provider specifying promised service performance or availability and possible customer remedies for failing to meet it.

A service-level agreement (SLA) is a contractual promise from a service provider to a customer about service performance or availability. It is typically shaped by sales and informed by product and engineering commitments expressed as service-level objectives (SLOs). section 10.1 section 10.1.4

An SLA connects several operational and commercial elements:

  • The customer may be external or internal; internal cost attribution can use chargeback or showback. section 10.1
  • SLOs define internal reliability goals, while service-level indicators (SLIs) measure whether those goals are met. section 10.1 section 10.4
  • Missing an SLA commitment can trigger customer remedies such as refunds, credits, or penalties. section 10.1.4 section 10.2.1

Chat2Much API availability

Engineering estimates that the API can achieve 99.9% availability, while product and sales promise customers 99% over a month. Dashboards and alerts track the underlying SLIs, and customers receive credits if the commitment is missed. section 10.2.1

Figure 10.1 Interaction and dependencies between SLAs, SLOs, and SLIs

Use the relationship diagram to trace how measured SLIs support internal SLOs and ultimately inform contractual SLAs. section 10.1

How Cloud Observability in Action covers it

How deep it goes
Defines contractual scope and remedies, then connects SLAs to SLOs and SLIs without detailing contract drafting.
Examples
Uses a conversational API example with monthly availability, request failures, dashboards, alerts, and customer credits.
What it assumes
Assumes basic service-provider and customer roles, while defining SLOs and SLIs from the distinction between contractual promise and measurement.
What you can do after
Evaluate contractual reliability promises by tracing them to measurable indicators, internal objectives, and explicit customer remedies.
How it connects
Connects service-level agreements with service-level objectives, service-level indicators, availability, reliability, and customer credits.

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This explainer was generated by Manning's knowledge graph from the text of Cloud Observability in Action. The section links point to the parts of the book it draws on.