Which internal agreement describes how different departments coordinate to support business functions?

Which internal agreement describes how different departments coordinate to support business functions?

• A. Operational Level Agreement (OLA)
• B. Service-Level Agreement (SLA)
• C. Memorandum of Understanding (MOU)
• D. Inter-Departmental Contract

Answer: (C)

This is about documenting how different parts of the organization will work together to support business activities. A Memorandum of Understanding is a document that captures mutual understanding between departments about who will do what, when, and how they will coordinate to achieve shared objectives. It’s typically non-binding and focuses on cooperation, roles, responsibilities, and communication channels, making it well suited to describing cross‑department collaboration to support business functions. In contrast, a service-level agreement sets external or customer-facing expectations and metrics for a service; an operational level agreement describes internal teams and the performance targets for delivering a specific IT service; and a term like inter-departmental contract isn’t a standard ITSM term and wouldn’t reliably convey the coordination framework.

This is about documenting how different parts of the organization will work together to support business activities. A Memorandum of Understanding is a document that captures mutual understanding between departments about who will do what, when, and how they will coordinate to achieve shared objectives. It’s typically non-binding and focuses on cooperation, roles, responsibilities, and communication channels, making it well suited to describing cross‑department collaboration to support business functions.

In contrast, a service-level agreement sets external or customer-facing expectations and metrics for a service; an operational level agreement describes internal teams and the performance targets for delivering a specific IT service; and a term like inter-departmental contract isn’t a standard ITSM term and wouldn’t reliably convey the coordination framework.