C846 Chapter 5 Questions

Q: What is an agreement between an IT service provider and another part of the same organization? A Operational level agreement B Operational location action C Operations level activity D Overriding level agreement

A Explanation: Answer option A is correct. An OLA is an operational level agreement that is an agreement between an IT service provider and another part of the same organization. It supports the IT service provider's delivery of IT services to customers and defines the goods or services to be provided and the responsibilities of both parties.

Q: The Service Level manager requires an agreement that describes the responsibilities of each internal support group towards the other support groups, including the process and time-frame for delivery of their services. Which of the following can be used to meet his requirements? A Operational Level Agreement B Underpinning Contract (UC) C Configuration Management Database D Service Level Agreement

A An Operational Level Agreement (OLA) defines the interdependent relationships among the internal support groups of an organization working to support a Service Level Agreement. The agreement describes the responsibilities of each internal support group toward other support groups, including the process and time frame for delivery of their services. The objective of the OLA is to present a clear, concise, and measurable description of the service provider's internal support relationships. OLA is sometimes expanded to other phrases but they all have the same meaning: Organizational Level Agreement Operating Level Agreement Operations Level Agreement Answer option D is incorrect. A Service Level Agreement (SLA) is a part of a service contract where the level of service is formally defined. A Service Level Agreement (SLA) is a negotiated agreement between two parties where one is the customer and the other is the service provider. This can be a legally binding formal or informal "contract". Contracts between the service provider and other third parties are often (incorrectly) called SLAs. As the level of service has been set by the (principal) customer, there can be no "agreement" between third parties (these agreements are simply a "contract"). Answer option C is incorrect. The Configuration Management Database (CMDB) includes a set of one or more related databases and information sources that provide information about a logical model of the IT infrastructure. It contains Configuration Items (CIs) and describes the relationship that exist between the Configuration Items. It is necessary to determine the level to which the information regarding the IT infrastructure will be recorded by the CMDB. Answer option B is incorrect. An Underpinning Contract (UC) is a contract between an IT service provider and a third party. The third party provides services that are used in the delivery of a service to a customer. An Underpinning Contract specifies the targets and responsibilities that are needed to meet agreed Service Level targets in an SLA.

Q: Which process reviews operational-level agreements on a regular basis? A Demand management B Service-level management C Service portfolio management D Supplier management

b Explanation: Answer option B is correct. Service level management ensures that SLA targets are achievable by ensuring that these targets are underpinned by operational agreements and underpinning contracts. An OLA is an agreement between an IT service provider and another part of the same organization, providing a part of the service to the customer.

Q: What is the name given to the document which defines the responsibilities between internal functional areas with respect to supporting in the provision of an IT Service to the Customers? A Operational Level Agreement B Underpinning Contract C Service Level Agreement D Service Level Requirements

A Explanation: Answer option A is correct. An Operational Level Agreement (OLA) defines the interdependent relationships among the internal support groups of an organization working to support a Service Level Agreement. The agreement describes the responsibilities of each internal support group toward other support groups, including the process and time frame for delivery of their services. The objective of the OLA is to present a clear, concise, and measurable description of the service provider's internal support relationships. OLA is sometimes expanded to other phrases but they all have the same meaning: Organizational Level Agreement Operating Level Agreement Operations Level Agreement Answer option C is incorrect. Service Level Agreement (SLA) is a part of a service contract where the level of service is formally defined. In practice, the term SLA is sometimes used to refer to the contracted delivery time (of the service) or performance. Answer option B is incorrect. The Underpinning Contract holds the important data for the regulation of the relationship between Service Level Management (Service recipient) and an external Service Provider, who executes tasks inside the framework of the Service provision. The Underpinning Contract corresponds to the structure of an SLA.

Q: Which of the following is the correct list of the three levels of a multi-level SLA? A Corporate, Customer, and Service B Technology, Customer, and End User C Service, User, and IT D Corporate, Customer, and Technology

A Explanation: Answer option A is correct. The SLA is split into different levels, each addressing different sets of customers for the same services, in the same SLA. Some organizations have implemented a multi layer SLA structure which comprises the following: Corporate Level: It is used to cover all generic SLM issues suitable to every customer throughout the organization. These issues are expected to be less volatile; hence updates are not often necessary. Customer Level: It is used to cover all SLM issues appropriate to a particular customer group, despite the services being used. Service Level: It is used to cover all SLM issues appropriate to a particular service in relation to a particular customer group, i.e., one for every service covered by the SLA.

Q: Which of the following processes is responsible for discussing reports with customers showing whether services have met their targets? A Service Level Management B Availability Management C Continual Service Improvement D Customer Relationship Management

A Service Level Management provides for continual identification, monitoring, and reviewing the levels of IT services specified in the service level agreements (SLAs). It ensures that arrangements are in place with internal IT Support Providers and external suppliers in the form of Operational Level Agreements (OLAs) and Underpinning Contracts (UCs). The process involves assessing the impact of change upon service quality and SLAs. The Service Level Management process is in close relation with the operational processes to control their activities. The central role of Service Level Management makes it the natural place for metrics to be established and monitored against a benchmark. Note: Service Level Management is the primary interface with the customer (as opposed to the user, who is serviced by the Service Desk). Answer option B is incorrect. Availability Management allows organizations to sustain the IT service availability to support the business at a justifiable cost. The high-level activities are Realize Availability Requirements, Compile Availability Plan, Monitor Availability, and Monitor Maintenance Obligations. Availability is usually calculated based on a model involving the Availability Ratio and techniques such as Fault Tree Analysis. Availability Management is the ability of an IT component to perform at an agreed level over a period of time. There are certain points that should be considered always: Reliability: How reliable is the service? Ability of an IT component to perform at an agreed level at described conditions. Maintainability: The ability of an IT component to remain in, or be restored to an operational state. Serviceability: The ability of an external supplier to maintain the availability of component or function under a third-party contract. Resilience: A measure of freedom from operational failure and a method of keeping services reliable. One popular method of resilience is redundancy. Security: A service may have associated data. Security refers to the confidentiality, integrity, and availability of that data. Availability gives us the clear overview of the end to end availability of the system. Answer option C is incorrect. Continual Service Improvement (CSI) aligns and realigns IT Services to changing business needs by identifying and implementing improvements to the IT services that support the Business Processes. The perspective of CSI on improvement is the business perspective of service quality, even though CSI aims to improve process effectiveness, efficiency and cost effectiveness of the IT processes through the whole lifecycle. To manage improvement, CSI should clearly define what should be controlled and measured. Assistance is provided for linking improvement efforts and outcomes with Service Strategy, Design, and Transition. A closed-loop feedback system, based on the Plan-Do-Check-Act (PDCA) model specified in ISO/IEC 20000, is established and capable of receiving inputs for change from any planning perspective. CSI needs to be treated just like any other service practice. There needs to be upfront planning, training and awareness, ongoing scheduling, roles created, ownership assigned, and activities identified to be successful. CSI must be planned and scheduled as process with defined activities, inputs, outputs, roles and reporting. Answer option D is incorrect. Customer Relationship Management (CRM) consists of the processes a company uses to track and organize its contacts with its current and prospective customers. CRM software is used to support these processes; information about customers and customer interactions can be entered, stored, and accessed by employees in different company departments. Typical CRM goals are to improve services provided to customers, and to use customer contact information for targeted marketing.

Q: Which of these statements are correct? Service level management acts as the representative of the IT department for the business. Service level management acts as the representative of the business for the IT department. A Neither B Both C 2 only D 1 only

B Explanation: Answer option B is correct. Service level management represents the IT department/service provider in negotiations with the business about the service levels to be provided to meet the business requirement.

Q: Which of the following are the objectives of service level management (SLM)? To negotiate SLAs with the customers and to design services in accordance with the agreed service level targets Defining, documenting, and agreeing the level of IT Services to be provided Identifying possible future markets that the service provider could operate in Monitoring, measuring, and reporting the actual level of services provided Monitoring and improving customer satisfaction A 1, 2, 4, and 5 only B 1, 2, and 3 only C 1 and 2 only D 1, 2, 3, 4, and 5 E 1, 2, 3, and 5 only

A The objectives of Service Level Management (SLM) are: To negotiate service level agreements with the customers and to design services in accordance with the agreed service level targets Service level management is also responsible for ensuring that all operational level agreements and underpinning contracts are appropriate, and to monitor and report on service levels. Defining, documenting, and agreeing the level of IT Services to be provided. Monitoring, measuring, and reporting the actual level of services provided. Monitoring and improving customer satisfaction. Service Level Management provides for continual identification, monitoring, and reviewing the levels of IT services specified in the service level agreements (SLAs). It ensures that arrangements are in place with internal IT Support Providers and external suppliers in the form of Operational Level Agreements (OLAs) and Underpinning Contracts (UCs). The process involves assessing the impact of change upon service quality and SLAs. The Service Level Management process is in close relation with the operational processes to control their activities. The central role of Service Level Management makes it the natural place for metrics to be established and monitored against a benchmark. Note: Service Level Management is the primary interface with the customer (as opposed to the user, who is serviced by the Service Desk). Answer options C, B, E, and D are incorrect. Only the following statement is not part of service level management's objectives: "Identifying possible future markets that the service provider could operate in."

Q: The objective of Service Level Management is to define, agree, record, and manage levels of service. Which of the following are the benefits of Service Level Management? Each correct answer represents a complete solution. Choose all that apply. A IT services are designed in order to meet the expectations, which are specified in the Service Level Requirements. B Measurement of service performance is possible. C Improved customer relationships and customer satisfaction is achieved. D Minimizes disruption in IT services when it follows a major interruption or disaster.

A B C Explanation: Answer options C, B, and A are correct. Following are the benefits of Service Level Management: IT services are designed in order to meet the expectations, which are specified in the Service Level Requirements. Measurement of service performance is possible. A balance between the required service quality and the corresponding costs can be drawn by the customer if they are charged by the IT organization for using the IT services. It can take better control of resource management, and the cost could be decreased for the long term since the IT organization can define the services and components required. Improved customer relationships and customer satisfaction is achieved. There will be less misunderstandings or omissions since the customer and the IT organization know their responsibilities. Answer option D is incorrect. This is the benefit of IT Service Continuity Management.

Q: Which of the following are Service Level Agreement (SLA) structures as defined by ITIL? Each correct answer represents a complete solution. Choose all that apply. A Multi-Level B Component Based C Segment Based D Service Based E Customer Based

A D E Explanation: Answer options E, D, and A are correct. ITIL defines 3 types of Service Level Agreement (SLA) structures, which are as follows: Customer Based: It covers all services used by an individual customer group. Service Based: It is one service for all customers. Multi-Level: Some examples of Multi-Level SLA are 3 Tier SLA encompassing Corporate and Customer & Service Layers. Answer options C and B are incorrect. There are no such SLA structures as Segment Based and Component Based.

Q: Which of the following outsourcings defines the performance objectives reached by negotiation between the user and the provider of a service, or between an outsourcer and an organization? A Contract B Service level agreement C Proposal D Outsource

B Explanation: Answer option B is correct. A Service Level Agreement (SLA) is a part of a service contract where the level of service is formally defined. It is a negotiated agreement between two parties where one is the customer and the other is the service provider. This can be a legally binding formal or informal "contract". Contracts between the service provider and other third parties are often called SLAs as the level of service has been set by the customer, there can be no "agreement" between third parties. Answer option C is incorrect. A proposal is a formal report of the creation, modification, or termination of a contract. It serves as the information flow model for future agreements and can be accepted or discarded by the unit that receives it. Answer option A is incorrect. Contract is an exchange of promises of action between two or more parties. The obligations defined by this legal agreement are enforceable in a court of law and mutually bind seller (to provide a specified product, service, or result) and buyer (to pay for it). Answer option D is incorrect. Outsource is used to achieve goods or services from an outside third party.

Q: In which of the following documents will you see an outline of actual service achievements against targets? A Operational Level Agreement (OLA) B SLA Monitoring Chart (SLAM) C Underpinning Contract (UC) D Service Level Agreement (SLA)

B Explanation: Answer option B is correct. SLA Monitoring Chart (SLAM) is used to see an outline of actual service achievements against targets. It monitors existing agreements. It is usually used to monitor the following: Quality of service All other contract aspects Agreement for end of service Answer option D is incorrect. Service Level Agreement (frequently abbreviated as SLA) is a part of a service contract where the level of service is formally defined. In practice, the term SLA is sometimes used to refer to the contracted delivery time (of the service) or performance. Answer option C is incorrect. Underpinning contract (UC) is one between an IT service provider and a third party. In other words, it's an agreement between the IT organization and an external provider regarding delivery of one or more services. The third party provides services that support their delivery to a customer. The underpinning contract defines targets and responsibilities required to meet agreed service-level targets in an SLA (service-level agreement). Answer option A is incorrect. An Operational Level Agreement (OLA) defines the interdependent relationships among the internal support groups of an organization working to support a Service Level Agreement. The agreement describes the responsibilities of each internal support group toward other support groups, including the process and time frame for delivery of their services. The objective of the OLA is to present a clear, concise, and measurable description of the service provider's internal support relationships. OLA is sometimes expanded to other phrases but they all have the same meaning: Organizational Level Agreement Operating Level Agreement Operations Level Agreement Reference: ITIL v3 Study Guide, Published with the permission of the Office of Government Commerce (OGC)

Q: With which of the following activities are the Service Improvement Plan (SIP) costs associated? Staff resources trained in the right skill sets to support ITSM processes Tools for monitoring, gathering, processing, analyzing, and presenting data Application Development and Customization Constant internal assessments studies Service improvements either to services or service management process Training and development on CSI activities Each correct answer represents a complete solution. Choose all that apply. A 3, 4, 5, and 6 only B 1 and 2 C 1, 2, 4, 5, and 6 only D 2, 4, and 6 only E 1, 3, 5, and 6 only

B C Explanation: Answer options B and C are correct. A Service Improvement Plan (SIP) has costs associated with executing the following activities: Staff resources trained in the right skill sets to support ITSM processes Tools for monitoring, gathering, processing, analyzing, and presenting data Constant internal/external assessments studies Service improvements either to services or service management process Management time to review, recommend, and monitor CSI progress Communication and understanding campaigns to change behaviors and ultimately culture Training and development on CSI activities Answer options A, D, and E are incorrect. Application Development and Customization is used to make available applications and systems which provide the required functionality for IT services. It includes the development and maintenance of custom applications as well as the customization of products from software vendors. It is part of Service Transition and the owner of Application Development and Customization is the Application Developer. Note: ITIL does not provide a detailed explanation of all aspects of Application Development. Rather, it highlights the most important activities and assists in identifying interfaces with other Service Management processes.

Q: Which of the following are the features of Service Level Agreement (SLA)? Each correct answer represents a complete solution. Choose all that apply. A SLA is used as a legal document for imposing penalties. B Information included within an SLA is measurable. C The language used in an SLA should be clear and concise. D SLA provides one service for all customers of that service.

B C D Explanation: Answer options B, C, and D are correct. Service based Service Level Agreement is used when the requirements of the IT service differ little between customers. Service Level Agreement (SLA) provides one service for all customers of that service. SLAs include the following contents: Introduction Service description Mutual responsibilities Scope Service hours Service availability Reliability Customer support Contact points & escalation Service performance Batch turnaround times Security Charging Information included within an SLA is measurable. The language used should be clear and concise to provide better understanding. When SLAs are used as legal documents for imposing penalties, they conflict with the goal of improving relationships between customers and the IT Service provider. Therefore, SLAs are not used as legal documents for imposing penalties.

Q: Which of the following specifies targets and responsibilities that are needed to meet agreed Service Level targets in an SLA? A Configuration Management Database (CMDB) B Supplier and Contract Database (SCD) C Underpinning Contract (UC) D Operational Level Agreement (OLA)

C Explanation: Answer option C is correct. An Underpinning Contract (UC) is a contract between an IT service provider and a third party. The third party provides services that are used in the delivery of a service to a customer. An Underpinning Contract specifies targets and responsibilities that are needed to meet agreed Service Level targets in an SLA. Answer option B is incorrect. A Supplier and Contract Database (SCD) is a database or structured document that is used to manage supplier contracts throughout their lifecycle. It includes key attributes of all contracts and suppliers. It should be part of the Service Knowledge Management System. Answer option A is incorrect. The Configuration Management Database (CMDB) includes a set of one or more related databases and information sources that provide information about a logical model of the IT infrastructure. It contains Configuration Items (CIs) and describes the relationship that exist between the Configuration Items. It is necessary to determine the level to which the information regarding the IT infrastructure will be recorded by the CMDB. Answer option D is incorrect. An Operational Level Agreement (OLA) defines the interdependent relationships among the internal support groups of an organization working to support a Service Level Agreement. The agreement describes the responsibilities of each internal support group toward other support groups, including the process and time frame for delivery of their services. The objective of the OLA is to present a clear, concise, and measurable description of the service provider's internal support relationships. OLA is sometimes expanded to other phrases but they all have the same meaning: Organizational Level Agreement Operating Level Agreement Operations Level Agreement

Q: There can be either customer-based SLA or service-based SLA. In which of the following conditions is the customer-based SLA used? A When a clear, concise, and measurable description of the service provider's internal support relationships is required B When a document including all management information is required to manage the IT organization C When individual customers hold different needs and requirements D When the adverse impact of incidents and problems on the business that occur due to errors in the IT infrastructure is to be reduced

C Explanation: Answer option C is correct. Customer-based SLA is a separate SLA used for each customer and includes multiple services. This can be used when individual customers holds different needs and requirements. Answer option D is incorrect. Problem Management is used when the adverse impact of incidents and problems on the business that occur due to errors in the IT infrastructure is to be reduced. Answer option B is incorrect. Service Quality Plan (SQP) is used when a document including all management information is required to manage the IT organization. Answer option A is incorrect. Operational Level Agreement is used when a clear, concise, and measurable description of the service provider's internal support relationships is required.

Q: Which of the following processes reviews Underpinning Contracts on a regular basis? A Supplier Management and Demand Management B Demand Management and Service Level Management C Supplier Management and Service Level Management D Supplier Management, Demand Management, and Service Level Management

C Explanation: Answer option C is correct. Supplier Management is used to ensure that all contracts with suppliers support the needs of the business, and that all suppliers meet their contractual commitments. It is part of the Service Design. The owner of Supplier Management is the Supplier Manager. In ITIL V3, Supplier Management is part of the Service Design process to allow for a better integration into the Service Lifecycle. The sub-processes of Supplier Management are as follows: Providing the Supplier Management Framework Evaluation of New Suppliers and Contracts Establishing New Suppliers and Contracts Processing of Standard Orders Supplier and Contract Review Contract Renewal or Termination Service Level Management provides for continual identification, monitoring, and reviewing the levels of IT services specified in the service level agreements (SLAs). It ensures that arrangements are in place with internal IT Support Providers and external suppliers in the form of Operational Level Agreements (OLAs) and Underpinning Contracts (UCs). The process involves assessing the impact of change upon service quality and SLAs. The Service Level Management process is in close relation with the operational processes to control their activities. The central role of Service Level Management makes it the natural place for metrics to be established and monitored against a benchmark. Note: Service Level Management is the primary interface with the customer (as opposed to the user, who is serviced by the Service Desk). Service management is faced with the task of discovering a continual balance between utilization and delivery of services. Demand management is used to calculate the demands for the service capacity in good times and thus, it controls the necessary capacity with the anticipated flexibility. Demand management is a significant process inside the service strategy lifecycle stage. The lack of demand management can become a hazard for the service provider as it cannot timely regulate the service demand. Answer options B, D, and A are incorrect. Only Supplier Management and Service Level Management processes reviews Underpinning Contracts on a regular basis.

Q: Which document refers to the steps that must be taken if there is a major gap in the projected delivery quality of a service and the actual delivery? A Service level agreement B Business service catalog C Service improvement plan D Service quality plan

C Explanation: Answer option C is correct. The Service Improvement Plan (SIP) refers to the steps that must be taken, if there is a major gap in the projected delivery quality of a service and the actual delivery. SIP is a model that belongs to the Service Level Management (SLM) process. SLM is mainly defined in the Service Design of ITIL v3, but like many processes in v3, SLM is also documented in other volumes. SIP is particularly documented in Continual Service Improvement (CSI). SIP is also referred to when capital budgeting is being discussed with reference to preference decisions. Answer option D is incorrect because the service quality plan contains all management information for the measurement of the IT Service quality upon the basis of performance indicators and the contribution by internal and external suppliers for the provision of IT Services. Answer option A is incorrect because service level agreement (SLA) is a part of a service contract where the level of service is formally defined. In practice, the term SLA is sometimes used to refer to the contracted delivery time (of the service) or performance. Answer option B is incorrect. The Business Service Catalog includes details of all of the IT services delivered to customers. It also includes the IT services together with relationships to the business units and the business processes that rely on the IT services. Business Service Catalog is the customers' perspective of the Service Catalog.

Q: The Business has submitted requirements for a new ERP system. Which authority is responsible for documenting the Service Level Requirements (SLRs) with the Business delegate? A Project Management B Service Level Manager C Service Level Management D Service Owner

C Explanation: Answer option C is correct. The Service Level Management will work with the Business delegate (Business Owner) to document the Service Level Requirements. Service Level Management provides for continual identification, monitoring, and reviewing the levels of IT services specified in the service level agreements (SLAs). It ensures that arrangements are in place with internal IT Support Providers and external suppliers in the form of Operational Level Agreements (OLAs) and Underpinning Contracts (UCs). The process involves assessing the impact of change upon service quality and SLAs. The Service Level Management process is in close relation with the operational processes to control their activities. The central role of Service Level Management makes it the natural place for metrics to be established and monitored against a benchmark. Note: Service Level Management is the primary interface with the customer (as opposed to the user, who is serviced by the Service Desk). Answer option B is incorrect. The Service Level Manager is responsible for negotiating Service Level Agreements and ensuring that these are met. He makes sure that all IT Service Management processes, Operational Level Agreements, and Underpinning Contracts are appropriate for the agreed service level targets. The Service Level Manager also monitors and reports on service levels. Answer option A is incorrect. Project management is the discipline of planning, organizing, and managing resources to bring about the successful completion of specific project goals and objectives. It is often closely related to and sometimes conflated with program management. A project is a temporary endeavor, having a defined beginning and end, undertaken to meet particular goals and objectives, usually to bring about beneficial change or added value. In practice, the management of these two systems is often found to be quite different, and as such requires the development of distinct technical skills and the adoption of separate management. The primary challenge of project management is to achieve all of the project goals and objectives while honoring the preconceived project constraints. Typical constraints are scope, time, and budget. The secondary and more ambitious challenge is to optimize the allocation and integration of inputs necessary to meet pre-defined objectives. Answer option D is incorrect. The Service Owner is responsible for a specific service such as infrastructure, application, or professional service in an organization, despite the location of its underpinning technology components, processes, or professional capabilities . However, to ensure that a service is managed with a business focus, defining a single point of responsibility is absolutely necessary to give a level of attention and focus required for its delivery. Service ownership is as critical to service management as establishing ownership is to processes that cross multiple vertical silos or departments. Thus, the service owner is responsible for continuous improvement and management of change affecting these services. He's a prime stakeholder in all IT processes that enable or support them.

Q: A service provider guarantees for end-to-end network traffic performance to a customer. Which of the following types of agreement is this? A NDA B LA C SLA D VPN

C Explanation: Answer option C is correct. This is a type of service-level agreement. An Service-Level Agreement (SLA) is a negotiated agreement between two parties where one is the customer and the other is the service provider. It records a common understanding about services, priorities, responsibilities, guarantees, and warranties. Each area of service scope should have the 'level of service' defined. SLA may specify the levels of availability, serviceability, performance, operation, or other attributes of the service, such as billing. Answer option A is incorrect. Non-Disclosure Agreements (NDAs) are often used to protect the confidentiality of an invention as it is being evaluated by potential licensees. Answer option B is incorrect. License Agreements (LA) describe the rights and responsibilities of a party related to the use and exploitation of intellectual property. Answer option D is incorrect. There is no such type of agreement as VPN.

Q: Which of the following develops an understanding of the responsibilities of the service provider and the customers through negotiations and Service Level Agreements (SLAs)? A Problem Management B Information Security Management C Service Level Management D Release Management

C Service Level Management defines, agrees, records, and manages levels of service. It manages the services depending on the tangible records of services, service level targets, and the characteristics of the workload. This process supports in achieving a balance between the service cost, quality, and workloads. Service Level Management develops an understanding of the responsibilities of the service provider and the customers through negotiation and Service Level Agreements (SLAs). Answer option D is incorrect. Release Management is used for delivering, distributing, and tracking one or more changes in a release into the live environment. It is used to implement a group of related and compatible Configuration Items into a batch, which is called a release. Change Management administers each release via a request for change to ensure that there is authorizing, scheduling, and correct implementing of the group of changes in a release. Answer option A is incorrect. Problem Management reduces the adverse impact of incidents and problems on the business that occur due to errors in the IT infrastructure. It keeps the interface with the change management process in order to manage the changes. Reactive and Proactive are the two sub-processes in Problem Management. Answer option B is incorrect. Information Security Management has the objective to manage information security effectively within all service providers. Information Security is a system of policies and procedures. It is designed to recognize, control, and protect information and any equipment that is used in connection with its storage, transmission, and processing. The following perspectives are considered to ensure the confidentiality, integrity, and availability of an organization's assets, information, data, and IT services: Organizational Procedural Physical Technical

Q: Which of the following statements is the best description of an Operational Level Agreement (OLA)? A It is a document that describes business services to operational staff. B It is an agreement between the service provider and an external organization. C It is a document that describes to a customer how services will be operated on a day-to-day basis. D It is an agreement between the service provider and another part of the same organization.

D Explanation: Answer option D is correct. An Operational Level Agreement (OLA) defines the interdependent relationships among the internal support groups of an organization working to support a Service Level Agreement. The agreement describes the responsibilities of each internal support group toward other support groups, including the process and time frame for delivery of their services. The objective of the OLA is to present a clear, concise, and measurable description of the service provider's internal support relationships. OLA is sometimes expanded to other phrases but they all have the same meaning: Organizational Level Agreement Operating Level Agreement Operations Level Agreement Answer options B, A, and C are incorrect. It is important to recognize that OLA(s) are not a substitute for an SLA (Service Level Agreement). The purpose of the OLA is very much to help ensure that the underpinning activities that are performed by a number of support team components are clearly aligned to provide the intended SLA. If the underpinning OLA(s) are not in place, it is often very difficult for organizations to go back and engineer agreements between the support teams to deliver the SLA. OLA(s) have to be seen as the foundation of good practice and common agreement, the sum of which may contribute to an SLA. Reference: ITIL v3 Study Guide, Published with the permission of the Office of Government Commerce (OGC)

Q: As a strategic tool to evaluate the value of IT services, Financial Management pertains to which service provider types? An internal service provider embedded inside a business unit. An internal service provider providing shared IT services. An external service provider. A 1 and 2 only B 2 and 3 only C 1 and 3 only D 1, 2, and 3

D Explanation: Answer option D is correct. Business and service units are the two primary parties in the service management environment. Business units expose the service receiver side, which is in-charge for the implementation of business processes, whereas the service units are the service providers. These two units do not essentially have to be part of the matching organization or the identical legal unit. ITIL draws a distinction between the following three types of business models for service providers: Type 1: Internal Service Provider Type 2: Shared Service Provider Type 3: External Service Provider Even though most aspects of service management apply for all types, it is essential to distinguish between them. The domains of contracts, customers, competition, income, market, and strategy have a little different meaning for the different types. IT Financial Management is the discipline of ensuring that the IT infrastructure is obtained at the most effective price (which does not necessarily mean cheapest) and calculating the cost of providing IT services so that an organization can understand the costs of its IT services. Costs are divided into costing units: Equipment; Software; Organization (staff, overtime; accommodation; transfer costs (costs of 3rd party service providers)). These costs are divided into Direct and Indirect costs and may be Capital or Ongoing. These costs may then be recovered from the customer of the service.

Q: The agreement between an IT service provider and their customers regarding the services provided is called what? A Service targets B Service charter C Service contract D Service-level agreement

D Explanation: Answer option D is correct. The service-level agreement contains information about the service to be provided, the targets that need to be met, and the responsibilities of both customer and IT provider. More information regarding this can be found in Lesson 5.

Q: In a report, a consultant has made three proposals to you, which are as follows: Include legal terminology in your Service Level Agreements. It is not necessary to measure all targets in an SLA. It is not necessary to meet the targets in an SLA. Which of the proposals does not conform to Service Level Management good practice? A 1 only B 2 only C 1 and 2 only D 1 and 3 only E 1, 2, and 3

E Explanation: Answer option E is correct. Service Level Management provides for continual identification, monitoring, and reviewing the levels of IT services specified in the service level agreements (SLAs). It ensures that arrangements are in place with internal IT Support Providers and external suppliers in the form of Operational Level Agreements (OLAs) and Underpinning Contracts (UCs). The process involves assessing the impact of change upon service quality and SLAs. The Service Level Management process is in close relation with the operational processes to control their activities. The central role of Service Level Management makes it the natural place for metrics to be established and monitored against a benchmark. Note: Service Level Management is the primary interface with the customer (as opposed to the user, who is serviced by the Service Desk). The responsibilities of Service Level Management are as follows: Ensuring that the agreed IT services are delivered when and where they are supposed to be. Liaising with Availability Management, Capacity Management, Incident Management, and Problem Management to ensure that the required levels and quality of service are achieved within the resources agreed with the Financial Management. Producing and maintaining a Service Catalog (a list of standard IT service options and agreements made available to customers). Ensuring that appropriate IT Service Continuity plans have been made to support the business and its continuity requirements. The Service Level Manager relies on other areas of the Service Delivery process to provide the necessary support, which ensures that the agreed services are provided in a cost effective, secure and efficient manner.