Reference Number Critical Service Level 1

Service Level Name: Key Personnel Retention

Overview This Critical Service Level provides incentive for VENDOR to retain
named Key Personnel in the SOW for their committed duration as
specified in the SOW. Key Personnel shall be an individual(s)
identified by CLIENT and not the sum of certain individuals named
in the SOW.
The intention is that Key Personnel shall be >50% billable to CLIENT
and no more than 10% of the billable VENDOR headcount under the
SOW, during the term of the SOW.

Service Level 100% of VENDOR Key Personnel named in the SOW retained for their
Requirement: contracted duration and not removed without CLIENT’s consent, which
cannot be unreasonably withheld.
Key Personnel for Testing Practice:
 Practice Lead: Mathieu
 Delivery Lead (regardless of location): Leticia Galoso (to be
confirmed by CLIENT’s QA Senior Delivery Manager during
mobilization phase)
 Offshore Delivery Lead: TBD (to be confirmed by CLIENT’s QA
Senior Delivery Manager during mobilization phase)

Penalty Calculation Removal of Key Personnel without CLIENTs consent prior to the
for Failure to Meet committed period specified in the SOW results in:
Service Level: Penalty equivalent to four (4) weeks free of charge to CLIENT regardless if
it is Onshore/Offshore. For the sake of clarity, VENDOR will pay the
penalty to CLIENT even if the Key Personnel is replaced to CLIENT’s
satisfaction, unless otherwise agreed to by CLIENT.
Note that removal of Key Personnel due to resource becoming unavailable
due to cause beyond VENDOR’s reasonable control (illness, disability,
death, resignation, termination of employment, relocation or other
humanitarian consideration) shall not result in any SLA penalty owed.

Bonus Calculation for Not applicable for this SLA

Meeting or Exceeding
Service Level:

Measurement Interval Each Key Personnel roll-off date

Reporting Interval N/A

Reference Number Critical Service Level 2

Service Level Name: On-Time Staffing

Overview This critical service level allows the Testing Practice to meet its
delivery objectives in a timely and high-quality manner.
This critical service level measures the number of forecasted resource
requests met by the required date.

Service Level 1. All requests for an VENDOR Project Personnel must be requested
Requirement: via email and staffed by the start date outlined in the Initial Target
Forecast or Ongoing Forecast.
2. For all other ad-hoc requests (requests with a three (3) week notice
or less from):
Onshore Resource requests fulfilled within twenty (20) Business
Days of notification
Offshore Resource requests fulfilled within ten (10) Business Days of
notification

Penalty Calculation Equivalent to three (3) days of work if the start date is not met, 10
for Failure to Meet days if more than two (2) weeks delay
Service Level:

Dead band for Service There is no service level bonus or credit applicable for staffing
Level: resources one (1) business day early or late.

Bonus Calculation for Not applicable for this SLA

Meeting or Exceeding
Service Level:

Measurement Interval At each new Staffing Request from CLIENT

Reporting Interval N/A

Reference Number Critical Service Level 3

Service Level Name: Adherence to Estimate (cost)

Overview This Critical Service Level ensures that testing execution per project is
performed according to the estimating guidelines of the Testing Practice
(completed within the effort budget). By doing so, the performance of
the estimating process as well as productivity of the assigned team are
measured.

Service Level % of individual estimates in target variance = (number of individual

Requirement: projects delivered within +/- 5% of original budget effort estimate) /
(number of individual projects) X 100
6 months baseline period
Target 1: variance should be +/- 5% of estimate
Target 2: 95% of individual estimates in range

Penalty Calculation for Target < 95% will result in a penalty equivalent to 2%
Failure to Meet
Service Level:

Dead band for Service Target = 95% will result in no bonus/penalty

Level

Bonus Calculation for Target > 95% will result in a bonus equivalent to 2%
Meeting or Exceeding
Service Level:

Example TBD

Measurement Interval Quarterly

Reporting Interval Monthly

Comments or limitation - Adherence to estimates is calculated in hours.

- Actual hours should be stored in PWA with the possibility to exclude idle
time through a dedicated Network Code.
- The definition of “Test Cycle” will be developed during Mobilization Phase.
- Any scope change may be taken into account into this SLA Calculation.
- During mobilization phase, parties will define the Services for which
adherence to estimates applies.
Reference Number Critical Service Level 4

Service Level Name: Schedule Variance (time)

Overview This Critical Service Level measures on-time and on-scope delivery
of test activities.

Service Level % of on-time and on-scope test activities = (Number of Test Projects
Requirement: completed on time and on-scope / Total number of Test Projects
completed for the period X 100

6 months baseline period

Target: 95% success rate of all test activities

Penalty Calculation Target < 95% will result in a penalty equivalent to 1%

for Failure to Meet
Service Level:

Dead band for Service Target = 95% will result in no bonus/penalty

Level

Bonus Calculation for Target > 95% will result in a bonus equivalent to 1%
Meeting or Exceeding
Service Level:

Example TBD

Measurement Interval Quarterly

Reporting Interval Monthly

Comments or limitation - Test Plan should be in HP-ALM (or any new tool selected by
CLIENT) and should be defined for each project. The SLA
Calculation should be automatic.
- As all testing scenarios do not represent the same effort, the
combination of Scenarios/Steps may be taken into account in
this SLA Calculation.

- Any scope change may be taken into account into this SLA
Calculation.
Reference Number Critical Service Level 5

Service Level Name: DRE – Defect Removal Efficiency

Overview This critical service level measures the quality of the testing
performed by comparing the number of defects identified during the
testing cycles vs. the number of defects detected after release to
production

Service Level DRE % = (Total number of pre-production defects - Total number of

Requirement: production defects) / Total number of pre-production defects X 100
6 months baseline period
Target to be determined during baseline period

Penalty Calculation
for Failure to Meet Target < X %: Penalty of 2%
Service Level:

Dead band for Service Between X % and X %: Within the range. No penalty / bonus
Level:

Service Level Bonus Target > X %: Bonus of 2%

Calculation for
Meeting or Exceeding
Service Level:

Example TBD

Measurement Interval Quarterly

Reporting Interval Monthly

Comments or limitation - A Defect Management function needs to be established to

confirm:
o That the Defect is “Valid”.
o That the Defect was detectable by Testing Team
during Testing phases.
- Warranty period should be defined during Mobilization phase.
- A checklist / Tool will be defined during Mobilization phase
to support this categorization exercise.