Dear Marizo,
Service providers for ERP services must be providing services to scores of other customers. Therefore, tell him to provide the draft of the agreement. Generally, the following is included in the service agreement:
a) Who will provide the services
b) Where these services will be provided
c) Will the service provider station any staff to provide services, will he install his own equipment, will there be installation charges
d) How to contact and whom to contact in case of a breakdown of services
e) Turnaround time to fix various types of defects
f) How to measure the quality of services, which ratios to be used, what is the formula to calculate these ratios
g) Who will maintain the records of the services and who will verify the records from the purchaser side
h) Penalties and disallowance in case of prolonged breakdown of services
i) Who is the Single Point of Contact (SPOC) from both sides
j) Procedure to raise the invoice
k) What would be the turnaround time to clear the invoice of the service provider
l) Are there any penalties for a delay in the clearance of the invoice from the purchaser of the services
m) General code of conduct of the staff from both sides
n) Security clearance, if any, to the staff of service providers
o) Procedure to escalate the matters related to breakdown of services, financial matters, etc.
I have written the above points in a haphazard manner; however, while drafting the agreement, make a proper sequence.
All the best!
Dinesh Divekar