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ITIL4F ITIL Management Practices Practice Question

A service provider uses a third-party data center. They want to ensure the data center's availability meets their requirements. Which document should they use to define these requirements?

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

Underpinning Contract (UC)

An Underpinning Contract (UC) is a formal contract between a service provider and an external supplier, such as a third-party data center, that defines the requirements and responsibilities, including availability targets. Option B is correct. Option A (OLA) is incorrect because an Operational Level Agreement is an internal agreement between departments within the same organization. Option C (SLA) is incorrect because a Service Level Agreement is between the service provider and its customers, not with external suppliers. Option D (SIP) is incorrect because a Service Improvement Plan is used to plan improvements, not to define initial requirements.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Operational Level Agreement (OLA)

    Why it's wrong here

    An Operational Level Agreement (OLA) is an internal document between different departments or teams within the same service provider organization. Its primary purpose is to define the responsibilities and performance targets necessary for internal groups to support the delivery of a service to a customer, as outlined in an SLA. Since the question involves a third-party data center, an external entity, an OLA is inappropriate for establishing those external contractual requirements.

  • Underpinning Contract (UC)

    Why this is correct

    An Underpinning Contract (UC) is a formal agreement between the service provider and a third-party supplier, such as a data centre operator, that specifies required availability levels, performance targets, and remedies for non-compliance. This document directly satisfies the stem’s constraint of defining measurable availability requirements for an externally hosted facility, ensuring the provider can enforce service levels contractually rather than relying on informal expectations.

  • Service Level Agreement (SLA)

    Why it's wrong here

    A Service Level Agreement (SLA) is a formal contract between a service provider and its customer, defining the service to be provided, the agreed-upon service levels, and the responsibilities of both parties. While critical for customer satisfaction, an SLA focuses on the output delivered to the customer, not on the inputs or components sourced from external suppliers. Therefore, it does not directly define the requirements for a third-party data center that the provider uses to deliver its service.

  • Service Improvement Plan (SIP)

    Why it's wrong here

    A Service Improvement Plan (SIP) is a structured document outlining specific initiatives and actions designed to enhance the quality, efficiency, or effectiveness of an existing service or process. It typically emerges from service reviews, problem management, or continual improvement activities, focusing on addressing identified weaknesses or opportunities. A SIP is not a contractual agreement for establishing initial service requirements with a third-party supplier, but rather a plan for evolving and improving what is already in place.

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Written by Johnson Ajibi, MSc IT Security

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