This ITIL4F practice question tests your understanding of itil management practices. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
An SLA defines the expected level of service between a service provider and a customer. What is an OLA?
A legal contract with an external customer
Why wrong: That is an SLA or UC.
An agreement between internal teams to support the SLA
Correct. OLA is internal.
An agreement between the service provider and an external supplier
Why wrong: That is an Underpinning Contract (UC).
A plan for service improvement
Why wrong: That is a Continual Improvement Plan.
Answer choices
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
An agreement between internal teams to support the SLA
An OLA (Operational Level Agreement) is an internal agreement between teams within the same organization that defines how they will work together to support the SLA. It specifies the responsibilities, deliverables, and performance targets for each internal group, ensuring that the service provider can meet the SLA commitments to the customer.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
For each option: why learners choose it and why it is or isn't the right answer here.
A legal contract with an external customer
Why it's wrong here
That is an SLA or UC.
An agreement between internal teams to support the SLA
Why this is correct
Correct. OLA is internal.
Related concept
Read the scenario before looking for a memorised answer.
An agreement between the service provider and an external supplier
Why it's wrong here
That is an Underpinning Contract (UC).
A plan for service improvement
Why it's wrong here
That is a Continual Improvement Plan.
Common exam traps
The trap here is that candidates often confuse the OLA with an Underpinning Contract (UC), but the key distinction is that an OLA is internal to the organization, while a UC is with an external supplier.
Detailed technical explanation
In ITIL 4, the OLA is part of the service value system and is used to define internal performance metrics, such as response times for a network team or resolution times for a database team, that directly support the SLA's targets. For example, if an SLA promises a 4-hour resolution for a critical incident, the OLA might require the network team to respond within 30 minutes and the database team within 1 hour. This internal alignment ensures that the SLA is achievable and measurable.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
A practitioner preparing for the ITIL4F exam encounters this exact type of scenario on the job. The correct answer here is not the most general option — it is the best answer for the specific constraint described. Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option. Real exam questions reward reading the full scenario before eliminating options, because the constraint defines which answer fits.
What to study next
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FAQ
ITIL Management Practices — This question tests ITIL Management Practices — Read the scenario before looking for a memorised answer..
The correct answer is: An agreement between internal teams to support the SLA — An OLA (Operational Level Agreement) is an internal agreement between teams within the same organization that defines how they will work together to support the SLA. It specifies the responsibilities, deliverables, and performance targets for each internal group, ensuring that the service provider can meet the SLA commitments to the customer.
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
Read the scenario before looking for a memorised answer.
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Last reviewed: Jun 24, 2026
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