Navigating the Balance: Performance vs SLA in Shared Services

Navigating the Balance: Performance vs SLA in Shared Services

Ever feel like you’re juggling flaming torches while riding a unicycle, trying to keep performance high while sticking to those pesky SLAs? You’re not alone. Many folks in shared services are caught in this whirlwind. The pressure’s on to meet service level agreements (SLAs) while delivering top-notch performance. It’s a balancing act, and sometimes it feels impossible. So, how do we navigate these choppy waters?

The Heart of the Matter: Understanding SLAs

SLAs are your roadmap for service delivery. They outline what’s expected—response times, resolution times, and quality metrics. But here’s the kicker: they can often curb innovation and team morale because everyone’s scrambling just to meet the minimum instead of aiming for excellence.

Performance: The True North

Performance isn’t just about checks on a dashboard; it’s about the real impact on the customer’s experience. When teams focus solely on SLAs, they risk losing sight of what really counts. Here’s a thought: What if we shifted the focus from just ticking boxes to delivering real value?

For instance, I once worked with a team that was so bogged down by SLAs that they missed a real opportunity to improve customer satisfaction. Once we started measuring customer experience alongside SLAs, things transformed. The team started finding creative solutions that truly mattered. Balancing both is the key.

Finding that Sweet Spot

The magic happens when you blend SLAs with performance goals. Here’s how:

  • Align Goals with Customer Needs: Regularly check in with your customers. What do they actually care about? If your SLAs have little to do with what they value, it’s time for a rethink.
  • Embrace Flexibility: Life isn’t static, right? Be open to adjusting SLAs based on changing circumstances or customer feedback. This keeps everyone involved and committed.
  • Empower Teams: Give your team some wiggle room to innovate. Encourage them to find better ways to achieve goals without just chasing numbers. Let creativity flow.

Measure What Matters

Numbers are great, but not if they don’t tell the whole story. Instead of just tracking SLA compliance, focus on value-added metrics. Customer satisfaction, employee engagement, and process efficiency should be at the forefront.

Real Stories, Real Insights

Let’s dig into real-life scenarios. A client of mine faced high turnover because their teams were constantly under pressure to meet SLAs, often sacrificing quality. We revamped their approach. Instead of strict adherence to SLAs, they started measuring the outcomes they delivered. Guess what? Turnover dropped, and morale surged. Performance improved, and SLAs became a supportive framework rather than a straitjacket.

Communication is Key

If you’re leading teams, you know communication can make or break your efforts. Keep dialogues open regarding SLAs and performance goals. Foster an environment where team members feel safe discussing challenges. This openness breeds innovation and collaboration.

Let Data Drive Decisions

Data is your best friend in the shared services space. Analyze performance trends over time to spot opportunities for improvement. Use your findings to adjust SLAs, ultimately aligning them closer to what’s genuinely valuable to the customer.

Training and Development

Continual development is crucial. Ensure that your team has the skills they need to adapt and innovate. Provide them with regular training that goes beyond the basics. Think about customer experience workshops, negotiation training, or problem-solving boot camps.

The Role of Leadership

As leaders, it’s essential we model this balance ourselves. If you’re just chasing SLAs, that’s what your team will do. Show them that performance is about creating value. Celebrate successes that come from innovative solutions rather than just those that meet SLAs.

A Call to Action

So, ready to find your balance? Start asking the tough questions. What do your customers truly value? How can you shift your focus from merely achieving SLAs to amplifying performance? The journey might be complex, but the results can be transformative.

Wrap Up

This isn’t just a discussion about SLAs and performance; it’s about evolving the shared services landscape itself. Businesses that thrive today do so because they understand the importance of harmonizing these goals. You can do this too.

Let’s keep the conversation going. Read more about how to combine innovation, strategy, and leadership at THEGBSEDGE blog—it’s where shared services experts and practitioners exchange insights and stories that matter.

So, what steps will you take today to enhance your shared services function? The answers are out there, and they’re waiting for you.

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