Contract vs Service Contract

[Karan Chhabra]

Hi All,

I am working on CSM. Need to know the use cases when to use Contracts vs Service Contracts.

Please explain.

Thanks in advance!

[Rajesh Chopade1]

hi @Karan Chhabra 

Contracts:

Contracts in ServiceNow are typically used to manage 'legal agreements' or 'commercial arrangements' between the customer and the service provider. They focus on the overall relationship rather than specific services provided.

- Contracts are used for purchase agreements, subscription agreements, warranties, or any other legal obligations.

Service Contracts:

Service Contracts are more focused on managing service-level agreements (SLAs) and service delivery. They tie directly into what services will be provided, the expected levels of service, and the management of these services.

- Used when the organization provides specific services to a customer and needs to track performance, quality, and timelines.

i hope my answer helps you to resolve your issue, if yes please mark my answer helpful and correct.

thank you

rajesh

[Satoshi Abe]

Hi @Rajesh Chopade1 

Thanks for the useful information.We face similar challenges.
When a telecommunications carrier contracts between BtoB, will both a Contract and a Service Contract be required?
In this case, I think that the Contract and Service Contract need to be related, but currently they do not appear to be related in ServiceNow.
How should we manage Contract and Service Contract?