The Service Level Agreement Pricing document is essential for businesses operating in Malaysia that need to establish clear, legally-binding service commitments with associated pricing mechanisms. This document type is particularly crucial when service providers need to define specific performance metrics, establish pricing structures, and outline service credit mechanisms. It combines elements of traditional service level agreements with detailed pricing provisions, ensuring compliance with Malaysian commercial law, including the Contracts Act 1950 and Consumer Protection Act 1999. The agreement is commonly used in technology services, outsourcing arrangements, and professional services, where service quality and pricing are closely linked to measurable performance indicators.
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1. Parties: Identification and details of the service provider and customer, including registration numbers and registered addresses
2. Background: Context of the agreement, business relationship, and purpose of the SLA
3. Definitions: Detailed definitions of technical terms, service metrics, and key concepts used throughout the agreement
4. Service Description: Comprehensive description of services covered under the agreement
5. Service Levels and Performance Metrics: Specific, measurable performance standards and metrics that the service provider commits to maintain
6. Base Pricing Structure: Core pricing model, including base rates, calculation methods, and standard charges
7. Payment Terms: Payment schedules, methods, currencies, and related financial terms
8. Service Credits and Penalties: Compensation mechanism for service level failures and performance shortfalls
9. Reporting and Monitoring: Requirements for service performance monitoring, reporting frequency, and format
10. Term and Termination: Duration of the agreement, renewal terms, and termination conditions
11. Governing Law and Jurisdiction: Specification of Malaysian law as governing law and jurisdiction for dispute resolution
1. Volume Discounts: Pricing adjustments based on service volume or usage thresholds, included when offering tiered pricing
2. Currency Fluctuation Mechanism: Provisions for handling exchange rate variations, relevant for international service agreements
3. Change Management Process: Procedures for modifying service levels or pricing, included for long-term or complex service arrangements
4. Disaster Recovery: Special pricing and service level modifications during disaster recovery scenarios
5. Data Protection and Privacy: Specific provisions for handling personal data, required when services involve data processing
6. Multi-location Service Delivery: Special terms for services delivered across multiple locations or jurisdictions
7. Innovation and Continuous Improvement: Framework for service and pricing evolution over time, relevant for technology-based services
1. Schedule A - Detailed Service Specifications: Technical specifications and detailed service descriptions
2. Schedule B - Service Level Metrics and Calculations: Detailed formulas and methods for calculating service level performance
3. Schedule C - Price List and Rate Card: Comprehensive pricing details, rates, and charging mechanisms
4. Schedule D - Service Credit Calculation Matrix: Detailed calculations for service credits and penalties
5. Schedule E - Reporting Templates: Standard formats for performance and financial reporting
6. Appendix 1 - Escalation Matrix: Contact details and procedures for issue escalation
7. Appendix 2 - Service Location Details: Specific details of service delivery locations and associated pricing variations
Authors
Relevant legal definitions
Clauses
Relevant Industries
Information Technology
Telecommunications
Cloud Services
Business Process Outsourcing
Professional Services
Financial Services
Healthcare
Manufacturing
Logistics and Supply Chain
Facilities Management
Relevant Teams
Legal
Commercial
Finance
Operations
Procurement
Service Delivery
Account Management
Risk and Compliance
Business Development
Contract Administration
Relevant Roles
Commercial Director
Head of Legal
Procurement Manager
Service Delivery Manager
Contract Manager
Chief Financial Officer
Operations Director
Account Manager
Pricing Analyst
Legal Counsel
Service Level Manager
Business Development Director
Risk Manager
Compliance Officer
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