How to Calculate SLA (Service Level Agreement)

SLA or Serice Level Agreement is one factor that is ussually considered during process of choosing internet service provider or any service that related to continous services.

We can refer SLA as the guarantee. An SLA assures the uptime of service availability match with the agreed standards between the customer and the service provider when the subscription contract is signed.

The basic formula is 24 hours x number of days in 1 month as 100%

If the service provider determine the SLA at 100%, that means they guarantee 24/7 service uptime. It also means if the services interupted only for few seconds, you as a customer has the right to complain or ask for compensation or restitution.

Another example with the SLA determined at 99%. 

1% in a month will be:

24 x 30 = 720 hours * 1 % = 7,2 hours = 7 hours + (0,2 x 60 minutes) = 7 hours 12 minutes.

That means if the downtime duration hasn’t exceeded 7 hours and 12 minutes, you as a customer won't be eligible to receive compensation. And so on for other percentage.