SLAs & KPIs That Drive Outsourcing Success

20+ Years Fixing Underperforming IT Vendors

Enhanced Performance Management (SLAs & KPIs) can result in:

30-50% fewer Severity 1-2 incidents
20-40% reduction in repeat incidents
2-5% contract cost savings (rework eliminated)
20-40% faster MTTR via optimized resolution
10-20% reduction in backlog volume
15-30% reduction in post release defects

Service Offerings - Performance Management (SLA & KPI)

Free SLA & KPI Assessment:

We will perform a rapid assessment of your current SLA and KPI framework. We will evaluate: the SLAs and KPIs being tracked, the monthly reporting process, delivery performance against established targets and minimums. We will report our findings and recommendations in an executive summary and review the results with leadership.

SLA and KPI Optimization:

Based on the findings of the SLA and KPI assessment, we will work with IT leadership to create a roadmap to address shortcomings in the Performance Management Framework and/or Service Delivery Performance. We will organize the client IT and Vendors teams to address the areas that need enhancement. We utilize an Objectives and Key Results Framework (OKR) focusing on delivering outcomes instead of execution of tasks. We will introduce Critical Thinking best practices into the organizations to drive strategic problem solving.

Monthly Reporting Enhancements:

There are significant complexities in the production and evaluation of performance metrics in a managed service environment. Once data has been collected, it needs to be evaluated for exclusions and exceptions, penalties need to be determined, earn backs considered and vendor responses reviewed. We will review the current processes, make recommendations for changes including automation, and advance the teams skills regarding performance management best practices.

Balanced Scorecard Implementation:

Traditional IT Measures do not meet the needs of the business for understanding the true impact of IT on business outcomes. Progressive CIOs go beyond the tradition measures and implement Balanced Scorecards to clearly demonstrate the value driven by IT.

See the description below for more details.

Balanced Scorecard Implementation

What is the difference between SLAs and a Balanced Scorecard?

An IT Balanced Scorecard is a strategic management tool used to align IT activities with business goals. It measures performance across multiple dimensions such as Customer Satisfaction, Value, Innovation, Financial Impact—not just operational metrics. It provides a holistic view of IT’s value to the organization.

In contrast, SLAs (Service Level Agreements) are contractual commitments that define specific, measurable performance targets (e.g., response times, system uptime) for IT services. SLAs are typically tactical and operational, focused on day-to-day service delivery rather than broader strategic outcomes. These measures are provider specific and reflect performance of services of which an individual provider can be held solely accountable.

Balanced Scorecard Creation:

Step 1 - Strategic Vision: We will work with leadership to define the dimensions to be included within the scorecard, such as: Customer Satisfaction, Value & Innovation, Service Delivery, Financial. A group of executive sponsors and working group will be identified and included in communications.

Step 2 - Project Initiation: The working group will propose measures / indicators for each dimension for review and approval of the executive sponsors. Once approved, the working group will identify the method of quantification and the current performance measure. Targets for outcomes will be proposed to be delivered at short - medium - long term intervals. Upon agreement from the executive sponsors, reporting mechanisms will be established and initiatives that support each objective will be planned and launched.

Step 3 - Execution: The working group will meet weekly to review progress against outcomes, issues and risks and identify items for management attention. Additional support will be provided as needed on an ongoing basis.

Step 4 - Turn Over: Once the execution of the roadmap is underway and the working group is comfortable that they can continue the effort, we will move to a support position and consult with the team on an as required basis.

To learn more or to schedule an introductory assessment, please reach out to us, .....