Ground Handling Agreements—AHM 803

AHM 803
SERVICE LEVEL AGREEMENT EXAMPLE

Guidance for the use of the Service Level Agreement

1. INTRODUCTION
AHM 803 provides a guideline for service delivery standards which can be used as a structure for measuring the performance
of ground handling service providers as described in Article 5 of the Main Agreement of the IATA Standard Ground Handling
Agreement (AHM 810). The standards listed in the example below, while not exhaustive, indicate some of the items in the
SGHA which can be measured and how to measure them.
By signing this SLA, both parties confirm that they approve the validity of the agreed method of measurement. Each party
shall inform the other regarding the source and method of data acquisition.
Should any additional costs be incurred for data provision, recording and data analysis, the parties shall agree on how these
costs are to be shared.
Specific flight(s) may be excluded from the measurements by mutual agreement (e.g. force majeure). Regular performance
meetings should be held between the parties to assess the level of performance against the targets set.
The Service Level Agreement may be updated by mutual agreement of both parties on a regular basis (e.g. with a timetable
change), or, in cases such as any changes in the schedule, freight structure, aircraft type or similar, which affect the handling
times. It is however not essential to update the SGHA on every occasion.

2. SPECIFIC MEASUREMENTS
The method of measurement shall be agreed between the parties. It could be any of the following:
• Handling Company's data, provided by IT-system or manual data recording.
• Airline's data, provided by IT-system or manual data recording.
• Third party data (e.g. airport) by IT-system or manual data recording.
• Quality checks.
• Any other method which is agreed upon between the parties and specified herein.

3. CARRIER FEEDBACK
The Carrier should provide regular and representative feedback to the service provider on results of passenger/cargo client
surveys, comments, complaints and compliments relevant to the services provided.

4. SAMPLE SERVICE LEVEL AGREEMENT (SLA)

SERVICE LEVEL AGREEMENT (SLA)
An agreement made between: .............................................................................................................................................................
having its principal office at: .................................................................................................................................................................
hereinafter referred to as ‘the Carrier’
and: .......................................................................................................................................................................................................
having its principal office at: .................................................................................................................................................................
hereinafter referred to as ‘the Handling Company’
The Carrier and/or the Handling Company may hereinafter be referred to as ‘the Party(ies)’
Valid from: .............................................................................................................................................................................................
WHEREBY THE PARTIES AGREE AS FOLLOWS:
The Handling Company agrees to a Service Level Agreement with the Carrier. The Service Level Agreement (SLA) shall form an
integral part of the Standard Ground Handling Agreement (SGHA) and is Appendix number [INSERT............] to Annex B [INSERT
number ........................................ ] dated [INSERT ........................................ ] for the location [INSERT..........................................].
A Line Maintenance Service Level Agreement must only cover the presence of the required personnel for the Line Maintenance
activities to be carried out on the aircraft. The delivery of Service Levels must not compromise Safety and Security of Line
Maintenance Operations.
The agreed Service Levels will be monitored and agreed by [INSERT .. (see 4.4)] for the Carrier and [INSERT .. (see 4.4)] for the
Handling Company. These Parties shall meet at a minimum of [INSERT frequency ], and more often if required, to review the
performance of the parties to the SLA. [INSERT frequency.............] performance reports indicating the successes, failures and the
required actions shall be submitted as directed by the Parties to this agreement.

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The Service Delivery Standards outlined below are subject to the Carrier operating on schedule (+/- [INSERT... ] minutes) and the
factors being within the control of the service provider. Reasonableness will be applied in the application of the standards but the
handler should do its utmost to meet the standards on every occasion.
4.1 On-time Reliability and critical “Zero Tolerance” Service Levels

Target Service definition Target Measuring points Measuring method Measured by

number (on Annex A reference if Measuring period (Handler/Carrier/Other)
applicable)
Target 1 3.7.2 Conduct Post Arrival and Monthly Sampling of reporting INSERT Handler/
Pre Departure check on documentation Carrier/Other
every flight and complete
report
Precondition/preclusion: There is zero tolerance to aircraft damage
Target 2 On-time performance on Monthly MVT Message INSERT Handler/
controllable delays: Maxi- Carrier/Other
mum Station Delays on de-
lay codes [INSERT AS RE-
QUIRED] will be 2%
Precondition/preclusion: All delay codes will be agreed between the Handling Company and the Carrier immediately after departure.
Reasonableness will apply in the event that the early or late arrival of the aircraft and or ramp conditions impacts on the Handling
Company's ability to service the aircraft in a timely manner.
Target 3 The handler shall correctly Per flight Baggage mishandling INSERT Handler/
segregate the baggage on reports Carrier/Other
loading as per the carrier's
requirements.
Precondition/preclusion:

Insert further clauses as applicable

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4.2 Check-in

Target Service definition Target Measuring points Measuring method Measured by

number (on Annex A reference if Measuring period (Handler/
applicable) Carrier/Other)
Target 1 2.1.8 [INSERT] number of check - Monthly e.g. Airport electronic INSERT Handler/
in desks to be available from desk use records Carrier/Other
STD-[INSERT] to STD-
[INSERT], [INSERT percent
of the time]
Precondition/preclusion: availability of check-in desks by the Airport operator
Target 2 All check-in staff shall wear Per flight Sampling of reporting INSERT Handler/
the [Handler/Carrier] uniform documentation. Carrier/Other
and shall adhere to [Hand-
ler/Carrier] uniform stan-
dards.
Precondition/preclusion: e.g. Local law prevents the identification of staff members so they shall not wear name badges.
Target 3 The departure gate shall be Per flight Sampling of reporting INSERT Handler/
staffed by [INSERT] staff documentation. Carrier/Other
members from STD-
[INSERT] to ATD+ [INSERT]
Precondition/preclusion: the gate can be unstaffed under the following conditions................/subject to gate availability.

Insert further clauses as applicable

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4.3 Ramp Services

Target Service definition Target Measuring points Measuring method Measured by

number (on Annex A reference if Measuring period (Handler/Carrier/Other)
applicable)
Target 1 3.1.3; 3.1.6; 3.1.7; 3.1.9 First bag shall be delivered Per flight e.g. Airport electronic INSERT Handler/
to [INSERT] by ATA + [IN- records. Carrier/Other
SERT] last bag to be de-
livered to [INSERT] by
ATA+ [INSERT]
Precondition/preclusion: published baggage priorities shall be maintained.
Target 2 3.4.1 The provision of manpower Per flight Sampling of reporting INSERT Handler/
and equipment as agreed documentation. Carrier/Other
shall be available at ETA-
[insert] (on arrival) and
ATD+ [INSERT] (on depar-
ture.
Precondition/preclusion:
Target 3 The handler shall not mis- Monthly Baggage mishandling INSERT Handler/
handle more than [IN- reports Carrier/Other
SERT] bags per thousand
bags loaded.
Precondition/preclusion: for reasons within the Handling Company's control only

Insert further clauses as applicable

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4.4 Aircraft Cleaning

Target Service definition Target Measuring points Measuring method Measured by

number (on Annex A reference if Measuring period (Handler/Carrier/Other)
applicable)
Target 1 3.11 Cleaning within the follow- Per flight Sampling of reporting INSERT Handler/
ing maximum time limits in documentation Carrier/Other
order to allow orderly
boarding of the departing
flight:
Turnaround flights
Aircraft type [INSERT]~
[INSERT] minutes
Long stay flights
Cleaning shall be com-
pleted by STD–[INSERT}
Precondition/preclusion: flights where the cleaners are prevented from accessing the aircraft shall be excluded.

Insert further clauses as applicable

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4.5 Cargo Delivery

GENERAL

Target Service definition Target Measuring points, Measured by

number method
Target 1 Training Target for training compliance: Measured quarterly/spot Carrier/Handler
(Should be indicated in more 100% staff to be trained in DG or check during self-assess-
specific terms in accordance with x% of staff trained in ULD Build- ments and regular carrier
ISAGO training requirements) up audits
Target 2 ULDs Correct build-up, serviceability Measured Carrier/Handler
and non-conform ULDs monthly/incident reporting
Target for cargo handler: number
of rejected/corrected cargo ULDs
at aircraft not to exceed x%
based on all built ULDs
Target 3 Shipper or Forwarder Built ULDs Number of rejected/corrected Measured Carrier/Handler
cargo ULDs at ready for carriage monthly/incident reporting
acceptance not to exceed x%
based on all BUP ULDs
Target 4 Unmanifested Cargo All unmanifested Cargo to be [insert] Carrier
reported/Found Cargo
Target 5 Dangerous Goods All non-compliances to be [insert] Carrier
reported to Carrier and Auth-
orities as required

EXPORT

Target Service definition Target Measuring points Measuring method Measured by

number (on Annex A reference if Measuring period (Handler/Carrier/Other)
applicable)
Target 1 5.3.1(f) FFM Flight Manifest to be FFM Carrier
sent latest … [insert
mins/hours] after ATD
Precondition:
Target 2 5.4.1 Export Reception Waiting Time period between Queue system to INSERT Handler/
times not more than … [in- arrival at export re- monitor waiting time Carrier/Other
sert mins/hours] ception office and in export reception
service at the export
counter
Precondition: Dependent on customs clearance and clearance from authorities
Target 3 5.4.1 Export Truck Waiting time Time elapsed be- Truck queue system/ INSERT Handler/
no more than … [insert tween documentation FOH Carrier/Other
mins/hours] handover at cargo
acceptance and ac-
ceptance of first
piece unloaded from
truck
Precondition: Correct and complete documentation. Truck is operating on schedule or within an agreed slot time. Includes time for
unloading of truck which might be beyond the control of the Handling Company.
Target 4 5.4.1 Latest acceptance times: Arrival of truck driver IT system/FOH/ Handler
at acceptance before complete by LAT
General cargo
STD
Shipper-built units

…% of tonnage
…[min/hours] before STD RCS

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Precondition: FWB receipt by GHA from Agent OR Receipt by Airline from Agent OR Receipt by GHA & Airline from Agent “version
last” latest …before STD
Target 5 5.4.1 FOH Freight on hand in Last piece FOH IT-system to accept/ Handler
Handling Company's ware- generate
house

…[insert mins/hours] be-

fore STD
Precondition: Validates ready for carriage, dependency delivery by shipper/agent
Target 6 5.4.1 Full freight acceptance Last piece RCS IT-system to accept/ Handler
complete generate
… [insert mins/hours] be-
fore STD
Precondition: Validates ready for carriage, dependency delivery by shipper/agent
Target 7 5.4.3 FBL sent by the Carrier FBL sent IT-system to gener- Handler
latest … [insert mins/hours] ate
Precondition:
Target 8 5.4.3 Build-up instruction sent by Final build-up instruc- Handler
the Carrier to the Handling tion sent
Company latest …[insert
mins/hours] before STD
Precondition:
Target 9 5.4.3 Final load information sent Sending of final on- IT-system to gener- Carrier
to load control unit latest … load-message ate
[insert mins/hours] before
STD
Precondition:
Target 10 5.4.5, 3.6.5(a)2 and Export cargo ready for Transportation order IT-system to gener- INSERT Handler/Carrier
3.6.5(a)3 loading for ramp transpor- ate
tation unit
Cargo positioned on stand
ready for loading … [insert
mins/hours] before STD
Precondition: Offload beyond the Handling Company’s control
Target 11 FAP Flown as planned Final manifest versus IT-system to gener- Carrier
DEP…% compliance with booking list ate
load plan
Offload beyond the Handling Company's control

Insert further clauses as applicable

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IMPORT

Target Service definition Target Measuring points Measuring method Measured by

number (on Annex A reference if Measuring period (Handler/Carrier/Other)
applicable)
Target 1 5.3.2 Documents ready for deliv- Documents ready for IT-system Handler
ery to consignee/agent … delivery
[insert mins/hours] after …
[insert ATA/arrival at ware-
house]
Precondition:
Target 2 5.4.6 All import freight checked- Arrival of freight at IT-system Handler
in at warehouse … [insert warehouse (CRC) Shipment RCF based
mins/hours] after arrival at until checked-in on ATA
the warehouse (RCF)
Precondition:
Target 3 5.7.3 DIS Number of irregu- [insert] Carrier
Missing cargo/AWB larities compared to
total number of AWBs
Found cargo/AWB handled per … [insert
Damage month/flight]

UTL (unable to locate)

Max … % of AWBs
handled
(Shipments missing from
warehouse under trace
from RCF/RCS)
Irregularities after RCF re-
ported via FSU
Precondition:
Target 4 5.4.6 (d.) NFD Cargo ready for col- IT system NFD Carrier
lection
Cargo ready for collection
[insert mins/hours] after …
[insert ATA/arrival at ware-
house]
Differentiation for special
cargo/priority cargo accord-
ing to mutual agreement

Precondition: Dependency on customs or other governmental authorities

Target 5 5.4.6 (d.) Import reception waiting Average Waiting time Queue System Carrier
time
Served at the counter
within … mins of arrival at
reception

Precondition:
Target 6 5.4.6 (d.) Import truck waiting Time elapsed be- Truck queue system Handler
tween service at re- (monitored from time
ception and pos- of docs processing)
itioning onto Truck
Dock
No more than … mins
Precondition:

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4.6 GHA Competency and Culture

Service definition Target Measurement points, Measured by Pre-condition

method
Compliance with Standard Compliance with the Car- Audits, briefing, checklist Carrier Carrier provides all relevant
Manuals/IGOM and SOP's rier's Standard Manuals/ Count of observations/ documents every [insert] to
IGOM and SOPs as agreed findings per audit the Handler's contact [in-
sert contact
details]
Training Standards Handling Company's staff Training certificates, audits Carrier
is trained according to mini-
mum training standards as
agreed, e.g. for General,
AVSEC, Safety and HSE,
Human Factors, DGR,
LAR, Cool Chain, ULDR
Communications of Car- Compliance with the Car- Audits, briefing, checklist Carrier Carrier provides all relevant
rier's policies, procedures rier's policies, procedures Count of observations/ documents every [insert] to
findings per audit the Handler's contact [in-
sert contact
details]
Handling Correct equipment, infra- Calibration records Carrier
structure maintenance, Maintenance records &
ULD handling as agreed schedule

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4.7 Line Maintenance Service Level Agreement

Provision of Staff

Target Service definition (on Target Measurement Measuring method Measured by

number Annex A reference if points, Measure- (Handler/Carrier)
applicable) ment period
Target 1 1.3.6 Meet aircraft upon arrival XX minutes before Sampling of re- [INSERT Handler or Carrier]
and liaise with crew and arrival porting documen-
remain at the aircraft until. XX minutes after tation.
departure
Monthly
Target 2 8.1.5 Provide personnel to assist XX minutes of Report from the [INSERT Handler or Carrier]
the flight crew or ground request Crew
staff in the performance of Each Event
their tasks

4.8 General Safety

Target Activity Target Measuring points, Measuring method Measured by

number period
Target 1 Training Target for training com- Measured [insert Spot check during self- Carrier/Handler
(Should be indicated in pliance: period] assessments or regular
more specific terms in ac- [..%] staff to be trained in carrier audits or ISAGO
cordance with Chapter 11 [xx] or x% of staff trained in audit
training requirements) [xx]
Target 2 Self-assessment on Hand- [..%] Safety Audits per [in- Measured [insert Internal audit report Handler
ling Company safety pro- sert period] considering period]
cesses flight frequencies
Target 3 Reporting on arrival/ Monitor the trend versus [insert period] Internal reporting Handler
departure damages or near previous period
misses

Signed on (date) Signed on (Date)

At At
For and on behalf of Carrier For and on behalf of Handler

5. Guidance for completion of the sample SLA

5.1 The SLA document above has a number of areas that should be completed in order that the parties understand what will be
measured, by whom and over what time period. These are indicated by [INSERT]
5.2 The SLA is not intended to replicate the GOM or service standards of the carrier and is a tool for the measurement of
successful application of the GOM and service standards.
5.3 It is not expected that there will be an SLA standard for every service item in the Annex B and the most successful SLA's will
be simple and relevant to the local conditions.
5.4 This should be the details of the people/supervisory organization responsible for monitoring the application of the SLA in an
operational environment.
5.5 Definitions
• Target number ~ a numbering system for the targets.
• Service definition ~ the SGHA Annex “A” reference (if applicable)
• Target ~ the minimum standard to be achieved and description of the service to be measured.
• Measuring point ~ the time the service is supposed to take place.
• Measuring period ~ the time period over which the service is measured e.g. per flight/weekly/monthly.
• Method of measurement ~ the way the measurements will be taken.
• Measured by ~ who will do the measurement.
• Precondition/preclusion ~ something that is required to perform the service or something that may exclude the measurement
from being included in the statistical summary.

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