Cloud Computing SLA versus Outsourcing SLA Jurian Burgers

08 Fall  

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Seven topics in cloud computing SLA's versus regular outsourcing SLA's: Seven Topics for Cloud Computing Service Level Agreements (SLA) versus Regular Outsourcing: 1. Chain Liability The provider may very likely be part of a cloud supply chain itself, it would, therefore, be useful to add extra exoneration chapters to service level agreements. This is to limit or prohibit the level of responsibility over data, if and/or when, the cloud service provider (CSP) subcontracts parts of the contract out to a subcontractor. 2. Contract Duration Since cloud service level agreements are much more flexible in terms of contract duration, the terms and conditions of doing so must be defined and agreed upon. 3. Exit Strategy Make sure that an extra service level agreement paragraph is added to the cloud SLAs in regards to the exit strategy. Make sure that your provider can assure you that your content/data is delivered back to you in every circumstance. 4. Security Require high or appropriate levels of proof (evidence) from your service provider that security regulations are applied, for example, as in ISO-27000. This includes topics such as entry and physical access, back up and disaster recovery plans, and integrity guarantee measures. Remember the C, I and A aspects of IT security? 5. Sharing Resources Sharing resources is one of the characteristics of cloud computing. Make sure that you ask your CSP which processes are in place to prevent multi-tenant users from disturbing your business. 6. Internet Dependability Be aware that cloud services rely on proper internet connections. Make sure that you know exactly who takes responsibility over which part of the supply chain. Ask for insight into their third party agreements if necessary. 7. Financial Model Since cloud services are usage-charge-based, be sure that the KPIs are well defined in terms of content, quantity discounts, etc. In Europe, certain rules are already in place for CSPs to guarantee the delivery of services in the event of financial problems. This means that if a company is in financial trouble and cannot fulfill its payment obligations, the continuation of service delivery has to be guaranteed at all times. The curator simply has to make reservations for paying subcontractors, even when the provider goes bankrupt. This is only for a limited and agreed period of time of course. For these reasons, among others, it is advisable to have the contracts reviewed by (external) lawyers before signing off. I am sure these points will help you in defining SLAs. If not, do not hesitate to contact me. Best regards,

Jurian Burgers – Instructor @ ITpreneurs ITIL Expert (Tripple!) ITIL Instructor Cloud Instructor Visit: www.sla-services.nl