An Organization Level Agreement (OLA) is a binding agreement within an organization that defines the expectations and responsibilities of the different business units, departments, teams, and stakeholders that are involved in delivering a specific service or product. It is a critical component of IT service management and can be used in other areas of the business as well.

When there is a service-level agreement (SLA) in place with a customer, the OLA defines how each internal unit or team will collaborate to meet the SLA. The OLA is an agreement between the different units or teams within an organization, defining a structure for IT operations, and establishing processes for service delivery.

The OLA has three primary functions:

1. It describes the relationship between different teams or units and establishes a shared understanding of how they will work together to deliver a product or service.

2. It defines the roles, expectations, and responsibilities of each team or unit, ensuring that everyone knows their place in the process.

3. It establishes the metrics, targets, and service levels that each team or unit must meet in order to deliver the service or product at the agreed-upon level of quality.

The OLA is an internal agreement, so it does not need to be shared with the customer. However, it is essential for maintaining an efficient and effective IT service management system and ensuring successful service delivery.

For example, if an e-commerce company has an SLA with its customers to provide 24/7 online support, the OLA will detail the responsibilities of the IT Operations team, the Customer Service team, and the Development team. It will define the metrics that they should meet, such as system uptime, response time, and resolution time, and specify how they will collaborate to ensure customer satisfaction.

In summary, the OLA is a critical component of IT service management that facilitates efficient and effective service delivery within an organization. It establishes the relationship between different units or teams, defines their roles and responsibilities, and outlines the metrics, targets, and service levels that they must meet. Having a clear and well-defined OLA can help businesses to align their teams and processes for the delivery of high-quality services and products.