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AI, decoded

What should you measure on an AI agent besides accuracy?

Accuracy tells you whether the final answer was right, but it hides how the agent got there. The metrics that predict reliability watch the process: did it pick the right tool, call it correctly, and recover when something failed; how many steps and how much it cost to finish; whether it stayed on the user's intent across a long conversation; and how often it needed a human to step in. An agent can be accurate in a demo and unreliable in production because none of those were measured. Scaled Cognition's Dan Klein told Chain of Thought that a system scoring 80% or 90% can't really ship, while one that gets the same 70% of scenarios right every single time is hugely valuable.

· Updated · Chain of Thought

Level 4: How AI systems are built · 4.4 Evaluation and observability in practice

AI Evaluation & ReliabilityAI Observability

  • 4 episodes
  • 4 guest clips
  • 8 glossary terms
A smooth arc and a tangled line both ending at the same checkmark, beside the question: 3 steps or 30? Same right answer.

In detail

Why accuracy alone misleads

A single accuracy score collapses a multi-step process into one number. It rewards an agent that stumbled into the right answer and punishes one that reasoned well but hit a broken tool. For anything that takes actions rather than producing one response, you need to measure the path, not just the destination. Snorkel AI’s Alex Ratner gives the reason in episode 57 at 6:05: models have crushed math and coding competition problems, yet a coding agent can still struggle with a mundane-seeming task that has messier inputs.

Consistency: does it work every time?

One run can’t tell you whether an agent is reliable, because the same agent can pass a task once and fail it on the next try. The τ-bench benchmark made this measurable. Its authors proposed pass^k, the chance that an agent succeeds on all k independent attempts at the same task, and found that even GPT-4o, then a leading function-calling model, solved under half of the tasks and was quite inconsistent: in the retail domain, pass^8 fell below 25%. That is the measurement behind Dan Klein’s point in episode 54 at 16:41. A system that gets a smaller set of scenarios right every time can be worth more than one with a higher average that varies run to run. Note the contrast with pass@k, which asks whether any one of k attempts succeeds and so rewards a different thing.

Process metrics: how it got there

Watch the steps. Did the agent choose the correct tool, and call it with the right parameters? Did it perform the steps in a sensible order? When a call failed, did it recover or spiral? These catch the failures that an end-result score steps right over. Galileo’s Vikram Chatterji lists them in episode 13 at 15:46: did the agent choose the right tool, and did that tool get called the right way? Chip Huyen’s method in episode 5 at 39:00 starts from the same place: break down how the application is going to fail, then put metrics at each point of failure. For comparing models’ tool calling, the Berkeley Function Calling Leaderboard evaluates call accuracy.

Cost and efficiency

The same task can be done in three steps or thirty. Track steps per task, token and dollar cost, and latency. An agent that gets there but burns ten times the budget is a production problem even when its accuracy looks fine.

Experience and oversight

Over a real conversation, does the agent hold the user’s intent or drift off it? How often does it need a human to take over? Intervention rate and conversation quality are the metrics that tell you whether people can rely on the thing.

Disclosure: Episode 5 was sponsored by Galileo while Conor worked there (read at 20:00). Vikram Chatterji is Galileo’s CEO, and episode 13 was published while Conor worked at Galileo. Episodes 54 and 57 were sponsored by Galileo, the Season 3 presenting sponsor (episode 54 opening read, episode 57 sponsor read).

Same right answer, very different agents: measure the path, not just the destination Two agents take the same task to the same right answer, and both count as accurate. Agent A goes straight there in three steps. Agent B takes thirty: it picks the wrong tool, then calls the right tool with the wrong parameters, hits a failed call and has to recover or spiral, drifts off the user's intent, burns ten times the budget, and needs a human to step in. Accuracy scores only the destination. The metrics that predict reliability watch the path: tool choice and parameters, recovery from failures, steps, cost and latency per task, whether it held the user's intent, and how often a human had to take over. An agent can be accurate in a demo and unreliable in production because none of those were measured. Same right answer, very different agents Accuracy scores the destination. Reliability lives in the path. SAME task right answer AGENT A · 3 STEPS AGENT B · 30 STEPS · 10× THE BUDGET wrong tool right tool, wrong parameters a call fails: recover, or spiral? drifts off the user's intent a human steps in ACCURACY A ✓ B ✓ Measure the path: tool choice and parameters, recovery, steps, cost and latency, intent held, human takeovers.
Accuracy scores the destination; reliability lives in the path. Chip Huyen names the wrong-tool and wrong-parameter failures in episode 5; the two agents are this page’s illustration. Download the image

Hear it from the guest

“Look at how LLMs have crushed math and coding competition problems that most of us would struggle with. And yet, you can ask a coding agent to do a much more mundane-seeming task, but one that has messier inputs and messier outputs and a longer set of steps required, and it might fall down.”
Watch on YouTube
“Whenever I try to evaluate some use case, I would probably try to break down, like, how is this application going to fail. It tries to put in a lot of evaluation metrics around the points of failures.”
“If you have some other system that gets 70% of the scenarios right every single time, no matter how they're approached, well, that's hugely valuable.”
Watch on YouTube
“Like, did it choose the right tool or not? Did the right tool get called in the right way or not?”

Quotes lightly edited to remove filler words.

From the conversation

This explainer is drawn from these episodes — each carries its full transcript.

Concepts in this explainer

AccuracyAgent TrajectoryTask Success RatePass at kAI AgentAI EvaluationGenerative AILarge Language Model