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Service Level Agreement and Service Management

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1 SERVICE LEVEL AGREEMENT(SLA) AND SERVICE MANAGEMENT
1.1 DEFINITION
A service is a ready-to-use deliverable that is of value to the customer. Services allow customers to do business without worrying about underlying technology or IT infrastructure.
Service management is a business strategy that aims to upgrade the services that a company provides, by synchronizing service parts and resources forecasting, service partners, workforce technicians, and service pricing. In order for a service to continous meet customers needs it must be managed this is because technology is always changing so as business environment due to this fact customers need will always vary time to time.
The service level agreement can be defined as the contract between the service provider and customer that specifies number of measurable terms describing the quality, perfomance, Availability of the service, priorities,obligation of invloved parties,type of the service provided and mode of provision, The schedule for notification in advance of network changes that may affect users. Most common companies uses Service Level Agreement are in :-
 Telecommunication companies
 IT service providers
 Internet Service Providers (ISP)
 outsourcing.
Most recently,Information System departments in organization has adopted the idea of writing a service level agreement so that services for their customers (users in other departments within the organization) can be measured and justified. The service level agreement it is clearly described by using simple language so that each user can understand it to avoid confussion later.
The service level agreement (SLA) can be informal or formal contract between parties. A formal contract can be defined as a contract where the parties have signed under seal,where as Informal contact is the one not signed under seal. The seal can be any impression made upon the document by the parties to the contract. The impression can be intension of the parties to be bound by the contract. Only parties to a sealed documents are the people who have the rights under it.
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1.2 LEVEL OF SERVICE LEVEL AGREEMENT
 Customer-based SLA: An agreement with an individual customer group, covering all the services they use. For example, an SLA between a supplier (Network provider) and the human resource department of a large company for the services such as provision of local area network(LAN) with in there department for sharing of printers and files etc.
 Service-based SLA: An agreement for all customers using the services being delivered by the service provider. For example:
 A mobile service provider offers a routine service to all the customers and offers
 Multilevel SLA: The SLA is divided into the different levels, each provide different set of customers for the same services, in the same SLA.
 Corporate-level SLA: Covering all the generic service level management (often abbreviated as SLM) issues appropriate to every customer throughout the organization.
 Customer-level SLA: covering all SLM issues specifically to the particular customer group, regardless of the services being used.
 Service-level SLA: covering all SLM issue to the specific services, in relation to this specific customer group.
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1.3 ROLES OF SERVICE LEVEL AGREEMENTS
I. Defines the quality of the service. The SLA must contain detail description of the quality of the service intended to be delivered to the customer so as to enable the customer to be confident and satisfied with services provided by the provider and also makes customers to be aware of any problems or changes that encoutered when they use the service. Example Internet service providers(ISP) may have agreement with there customers on the bandwidth provided to them which is 50mbps, if the bandwidth changes the user will notified and they will report immedietly to there providers.
II. Defines the obligation of each party. One among the role of the service level agreement is to describe the responsibilities of each party such obligation might be payments that the user of the service provide to there providers, period for using the service,interfaces that are going to use the service and consequences that each party will face if fail to complete there respective reponsibilities.
III. Defines the methods of reporting problems.SLA must cleary defines ways on how there clients reports problems that they encountered while using the service for example a web hosting company may have a contract with its client and suddenly the web site may not be available due variety of reasons,hence customers must have methods or ways to communicate to there providers.
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2 E-SERVICE
2.1 DEFINITION
Electronic service(E-service) can be defined as the use of technology in the provision of services.The term e-service has many variety of application and can be found in many area.The most common area that e-service is being applied are:-
 E-business.This can be defined as the provision of business services by using the internet example of such services are purchasing online,viewing product online,order for product online and online help deskand shopping online.
 E-learning.This is the use of electronic educational technology in learning and teaching, students from different location can chatwith the lectures online where they can share ideas,ask question and learn.
 E-banking.Electronic banking, also known as electronic funds transfer (EFT), is simply the use of electronic means to transfer funds directly from one account to another, rather than by check or cash. You can use electronic funds transfer to:
 have your paycheck deposited directly into your bank or credit union checking account.
 withdraw money from your checking account from an ATM machine with a personal identification number (PIN), at your convenience, day or night.
 instruct your bank or credit union to automatically pay certain monthly bills from your account, such as your auto loan or your mortgage payment.
 have the bank or credit union transfer funds each month from your checking account to your mutual fund account.
 have your government social security benefits check or your tax refund deposited directly into your checking account.
 buy groceries, gasoline and other purchases at the point-of-sale, using a check card rather than cash, credit or a personal check.
 use a smart card with a prepaid amount of money embedded in it for use instead of cash at a pay phone, expressway road toll, or on college campuses at the library's
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2.2 ATTRIBUTES OF E-SERVICE
 Reliability.Correct technical functioning of the site and the accurateness of service promises, billing, and product information,all information provided must be true
 Responsiveness. Immediate response to user request and the capability to provide help if there is a problem or question.
 Access. Ability to get on the site fast and to get in touch with the company when required.The E-service must available all the time.
 Flexibility.Selection of ways to pay, ship, buys, search for, and return items.User must have variety of options on the mode of payment in case they buy something.
 Ease of navigation.Site contains functions that help customer find what they need with no difficulty, has goodsearch functionality, and let the customer to maneuver easily and quickly back and forththroughout pages
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2.3 BENEFITS OF E-SERVICES
 Expanding market reach. Due to the existence of internet the company located in USA can use a website to advertise its product in Tanzania and gain more customers than using traditional methods of advertising its products which will inturn gain competitive advantege well as its profit.
 Alternative communication channel to customers. Enable customers to have variety of method or ways to use while communicating to their e-service providers example telephones and electronic mail(E-mail)
 Increasing services to customers. E-services increase variety of services provided to customers forexample before the advent of electronic banks customers were required to physicaly collect there accounts statement each month at bank,but due the use electronic banking customers can view there account statement at any time by just login to bank account by using username and password.
 Enhancing perceived company image. Customer may enhance the image of the company because the company provide its services electronicaly compare to other companies that use traditionaly ways to provide there services forexample bank that provide its customers with the service to pay online different bills such as electricity bills and water bills, this will save a lot of time to customers hence company image enhanced.
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2.4 CHALLENGES OF E-SERVICES
 Penetration of the internet. Since the speed and the availability of the internet is limited hence customers failed to visit website which in turn force the companies to use their tradition ways of conducting business so as to sustain the relationship with the customer and create value to the business.
 Privacy. Due to both spyware and security holes in operating systems, Customers’ transaction conducted online are more likely being exposed to the intruders hence internet utilization decreases.
 Reduction of location and time barriers. Since companies can use phone to communicate to there customers at any time and place hence this may became annoying behaviour to the customer and eventualy force the customer to exit from e-servise platform.
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3 DISCUSSION AND CONCLUSION
Most of the companies in Tanzania still use traditional ways on conducting there daily activities and provision of there services ,due that fact Tanzanians’ companies will not be able to advertise its services globally and will not have a chance to compete with other companies in the same indusry
I suggest that african companies should change from traditional ways of providing there services to e-service to enable it expand market share,gain more customers and compete with other companies world wide
Though they will face may challenges such us technology dynamism,very high skilled employess and large amount of capital to invest, but I believe that they will gradually overcome those challenges and become world wide known companies.

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