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A Service Level Agreement (SLA) is a written contract that specifies the minimum service level expected from a service provider. It includes mechanisms to measure the provider's performance, often through KPIs (Key Performance Indicators). Unlike KPIs, which evaluate performance against targets, SLAs outline the minimum service standards and the actions to be taken if these levels are not met. These actions may involve monetary penalties to compensate clients for losses due to underperformance. SLAs are monitored regularly to ensure compliance and facilitate corrective measures as needed. For more on KPIs, reference another tutorial on the channel.
