ITIL Question #299: Real Exam Question with Answer & Explanation

The correct answer is A: An SLA is legally binding, an OLA is a best efforts agreement. An SLA is a formal, legally binding agreement with a customer, while an OLA is an internal best-efforts agreement between teams within the same organization.

Question

The difference between a Service Level Agreement (SLA) and an Operional Level Agreement (OLA) is that:

Options

AAn SLA is legally binding, an OLA is a best efforts agreement
BAn SLA defines the service to be provided, an OLA defines internal support needed to deliver the
CAn SLA defines Service Level Requirements, an OLA defines Service Level Targets
DAn SLA is with an external customer, an OLA is with an internal customer

Explanation

An SLA is a formal, legally binding agreement with a customer, while an OLA is an internal best-efforts agreement between teams within the same organization.

Common mistakes.

B. While an SLA defines the service to be provided and an OLA covers internal support requirements, this describes their scope rather than the key distinguishing characteristic - the legal enforceability - between the two agreement types.
C. Service Level Requirements and Service Level Targets are components that can appear within either an SLA or an OLA; they do not define the difference between the two agreement types themselves.
D. This choice is imprecise because OLAs are agreements with internal support groups and teams, not with internal customers - conflating internal support groups with internal customers misrepresents the ITIL definition of an OLA.

Concept tested. Distinction between SLA and OLA in ITIL Service Level Management

Reference. https://www.axelos.com/certifications/itil-service-management/itil-foundation

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