SLA Penalties and Contract Terms
DigitalCore stores the performance terms in your contract and detects when an actual value misses one. It can also post the penalty as a finance entry.
Step 1: Add the term
Open a contract and go to Performance Terms.
For each term:
- Pick the KPI from the catalogue (for example, “First response time”).
- Set the threshold and the operator (less than, greater than, equal).
- Set the penalty (fixed amount, percentage of contract value, or tiered).
- Decide whether a penalty creates a finance entry automatically.
Step 2: Record actuals
When you enter an actual on the Performance tab during a check-in, DigitalCore checks each term.
If the actual misses the threshold:
- A penalty event is recorded for the activity log.
- The penalty amount is calculated.
- If you opted in, a finance entry is added.
Step 3: Review missed terms
Go to Pulse to see open missed terms across the portfolio.
Open the engagement to see the detail and act on it (for example, by opening a Decision).
Tips
- Use the catalogue. It keeps KPI names consistent across engagements.
- Set thresholds at the level your contract specifies.
- For tiered penalties, list the tiers in order from smallest miss to largest.