An architecture is incomplete if the team cannot tell whether it works, why it failed, or when it should stop. Evaluation measures expected behavior; observability explains actual runs; governance defines ownership and acceptable operation. The three must connect.
| Level | Example question | Example measure |
|---|---|---|
| Business | Does the workflow create worthwhile value? | resolution rate, avoided loss, adoption |
| User task | Can people complete the task safely? | task success, correction rate, escalation rate |
| Retrieval | Did the system find permitted supporting evidence? | recall at k, relevance, permission violations |
| Generation | Is the answer supported and useful? | groundedness, factuality, format adherence |
| Tool or action | Was the right operation executed correctly? | valid-call rate, unauthorized attempts, reversals |
| Operations | Is the service sustainable and reliable? | latency, availability, token use, cost per task |
| Risk and equity | Who is harmed or underserved? | safety incidents, subgroup failures, privacy events |
One aggregate score hides trade-offs. A support assistant can improve average response time while increasing unsupported promises. Pair outcome metrics with guardrails and inspect important cohorts separately.
A small evaluation set should include:
Version the dataset, prompts, retrieval configuration, model, tool contracts, and graders. Otherwise a score cannot be reproduced or compared fairly.

Source: Microsoft Learn and Azure Databricks, Evaluate and monitor AI agents. This is one platform example; the transferable principle is to reuse explicit quality criteria across development and production while incorporating domain-expert feedback.
flowchart LR
A[Request ID] --> B[Input and identity]
B --> C[Retrieved context]
C --> D[Model and prompt version]
D --> E[Tool calls and results]
E --> F[Output and validation]
F --> G[Latency, cost, feedback, outcome]
Collect only what is necessary and permitted. Raw prompts, retrieved passages, and model outputs may contain personal or confidential data. Define access, redaction, retention, and deletion policies for telemetry itself.

Source: NIST, AI Risk Management Framework Core.
The NIST AI RMF organizes risk work around four connected functions:
Governance is not a final approval meeting. It changes system design: which data is available, who can act, which traces exist, when a human intervenes, and how the product degrades or rolls back.
Before launch or remediation, state:
Question: A team monitors thumbs-up rate and average latency. Can it diagnose an increase in unsupported answers?