A multinational company decided to shift its organizational infrastructure and data to the cloud.

Service Level Agreement (SLA): An SLA is a contract between a service provider and the customer that specifies, usually in measurable terms, what services the service provider will furnish1.

Security Standards in SLAs: SLAs often include security standards that the service provider agrees to maintain. This can cover various aspects such as data encryption, access controls, and incident response times1.

Data Compliance: The SLA can also define compliance with relevant regulations and standards, ensuring that the service provider adheres to laws such as GDPR, HIPAA, or industry-specific guidelines2.

Alignment with Business Needs: By clearly stating the security measures and compliance standards, an SLA helps ensure that the cloud services align with the multinational company’s business needs and regulatory requirements1.

Other Options: While service agreements and contracts may contain similar terms, the term “Service Level Agreement” is specifically used in the context of IT services to define performance and quality metrics, making it the most appropriate choice for defining security standards and compliance in cloud services1.

References:

DigitalOcean’s article on Cloud Compliance1.

CrowdStrike’s guide on Cloud Compliance2.