learn-ai-evals-with-phoebe / Leader session 4 of 6
Learn Evals with Phoebe · Leader track · Session 4 of 6

The scorecard to demand five numbers, not one gut feeling

When a team tells you an AI system is "working well", you are owed more than a smile. You are owed a scorecard. This session gives you the five numbers a leader should require before trusting or shipping an AI system, what each one means in plain English, and what a bad value on each is quietly telling you. You will not learn to build them - you will learn to read them, and to know when one number is hiding the truth.

🟡 Medium Leaders: C-level · managers · curious minds No code, ever 45 min
0-3 · Welcome 3-20 · Concepts 20-40 · Exercises 40-45 · Q&A
Part 0

Why one number is never enough

Ask most teams "how good is the AI?" and you get one number back - an accuracy, a satisfaction score, a thumbs-up rate. One number is comforting and almost always misleading. A system can be perfectly on-topic and confidently wrong. It can be factually flawless and too slow to use. It can nail every test question and miss the one that mattered. Anthropic's own guidance is direct about this: most real use cases need to be measured along several success criteria at once, not one. This hour hands you the five that matter and teaches you to read them together.

Live - presented in session Self-study - read after class ★ Try it now prompt Sources covered at the end
★ What you walk out with today The five numbers to demand on any AI scorecard, a plain-English reading of what each one means and what a bad value signals, the discipline of setting the ship threshold before you see results, one warning about metrics that can be gamed, and five questions to put to your data team this week.
Part 1 · covers the five numbers to require

The five numbers 10 min live

A trustworthy AI scorecard reports at least five things, because each answers a different way the system can fail. Retrieval finds the facts, faithfulness stops it inventing them, relevancy keeps it on topic, correctness checks it against truth where it counts, and an operational number tells you it is usable. Miss any one and a different failure walks straight through the gap.

The scorecard a leader should demand 1 · Retrieval score hit rate / context recall Did we even find the right information to answer? Bad value = the answer was doomed before the model spoke. 2 · Faithfulness groundedness Is every claim backed by the source, not invented? Bad value = confident hallucination reaching the customer. 3 · Answer relevancy on-topic Did it actually address what was asked? Bad value = true, fluent, and beside the point. 4 · Correctness vs ground truth Where a right answer exists, does it match it? Bad value = wrong on the questions that have a real answer. 5 · Operational latency or cost Is it fast enough and cheap enough to actually use? Bad value = perfect answers nobody waits around for.
🔍 Click to zoom - the five numbers every AI scorecard should carry
LiveNumbers 1 and 2 - did we find it, and did we stick to it3 min

The first two numbers are the foundation, because most business AI systems answer from your documents, not from thin air. If the system cannot find the right document, nothing downstream can save it - and if it can find it but then wanders off and invents details, the retrieval was wasted.

  • Retrieval score (hit rate / context recall). Of the times the answer lived in your knowledge base, how often did the system actually pull the right passage? A low value here means the answer was doomed before the model wrote a word. This is a retrieval metric - it grades the search step, not the writing step.
  • Faithfulness (groundedness). Given what it retrieved, does every claim in the answer trace back to that source, or did the model embellish? This is the direct measure of hallucination. A bad value here is the most dangerous of all: a confident, fluent, invented answer that looks exactly like a real one.
Why they are separate Retrieval and faithfulness fail independently. You can find the perfect document and still hallucinate around it, or ground yourself faithfully in the wrong document. Two numbers, two failures - which is why one blended "accuracy" hides so much.
LiveNumbers 3 and 4 - on topic, and actually right3 min

The next two numbers grade the answer itself. Relevancy asks whether it addressed the question. Correctness asks whether it got the facts right where a right answer genuinely exists.

  • Answer relevancy (on-topic). A model can produce something true, well-sourced, and completely beside the point - answering the question it wished you had asked. Relevancy catches the fluent tangent. A bad value means users have to re-ask to get what they actually wanted.
  • Correctness (vs ground truth). For the subset of questions that have one defensible answer - a policy figure, a due date, a calculation - does the system match the known-good answer? This is where you compare against a curated set of questions with verified answers. A bad value means it is wrong precisely where being wrong is checkable and costly.
Real world

The scorecard that looked green. A team (anonymized) reported 94% "accuracy" and wanted to ship. Split into the five numbers, the picture changed: relevancy and faithfulness were strong, but retrieval was only 71% - one in four hard questions never even surfaced the right document. The single blended number had averaged that failure into invisibility.

Self-studyNumber 5 - the operational reality2 min read

The fifth number is the one technical teams sometimes forget to put in front of leaders, and the one leaders feel first: is it fast enough and affordable enough to be worth using? An answer that is correct, grounded, relevant, and well-retrieved is still a failure if it takes twelve seconds or costs more per query than the task is worth. Anthropic explicitly lists latency and cost among the success criteria a real deployment must weigh, alongside quality. Track at least one operational number - typical response time or cost per answer - so that "it works" always means "it works, at a speed and price we can live with". A bad value here is quiet: the answers are fine, but adoption stalls because using the thing is a chore.

Part 2 · covers reading a scorecard well

Reading it without a data-science degree 8 min live

You do not need to compute these numbers to read them well. You need three habits: look at all of them together, insist the ship line was drawn before the results came in, and stay alert to the number that can be gamed. Here is a healthy scorecard next to a worrying one that a single blended score would have called identical.

Healthy - ship it Concerning - do not ship Retrieval 92% ✓ Retrieval 68% ✕ Faithfulness 96% ✓ Faithfulness 74% ✕ Relevancy 93% ✓ Relevancy 97% ✓ Correctness 90% ✓ Correctness 95% ✓ Latency 1.2s ✓ Latency 1.4s ✓ Averaged, both score about 90%. Read as five numbers, only one is safe to ship.
🔍 Click to zoom - the same average, two very different systems
LiveHabit one - it is always multidimensional3 min

The single most useful instinct you can build is to distrust a single number. Anthropic frames it plainly: most use cases need to be evaluated along several success criteria at once - task fidelity, consistency, relevance, tone, privacy, latency, cost. A blend of these into one figure will always let a serious failure hide inside a healthy average, exactly as in the picture above.

  • One number lies by averaging. A great relevancy score can mask a poor retrieval score. Insist on seeing them broken out.
  • Good criteria are specific and measurable. "High quality" is not a criterion. "Cites the correct policy at least 95% of the time" is. If you cannot picture the measurement, the criterion is not done.
  • Different jobs weight them differently. A drafting assistant may forgive a weak correctness number; an automated payout tool may not forgive anything but a near-perfect one. You decide the weighting on purpose.
LiveHabit two - the ship line was drawn first3 min

The most quietly corrosive move in evaluation is setting the passing threshold after seeing the scores. It always drifts toward whatever the system happened to achieve. The discipline is to decide - before you run the eval - what number counts as good enough to ship for this use case, and to write it down. Then the result either clears the bar you set or it does not.

  • Ask when the threshold was set. "We decided 90% correctness was the bar before we tested" is a healthy answer. "It scored 88%, and we think that is fine" set after the fact is a red flag.
  • The threshold belongs to the business, not the model. It comes from the cost of a wrong answer you priced in session a1 - not from what the model can conveniently hit.
The one-line test Ask: "What number did we agree, in advance, that this had to hit - and who agreed it?" A crisp answer means a real gate. A pause means the bar is being drawn around the arrow after it landed.
Self-studyHabit three - ask what the metric misses2 min read

Every metric is a proxy for something you actually care about, and any proxy can be gamed. This is Goodhart's law: when a measure becomes a target, it stops being a good measure. A team optimizing hard for one number will, without meaning to, teach the system to win that number in ways that hurt the real goal - answers that get longer to please a length-loving judge, or narrower to protect a correctness score. The leader's job is not to compute the metrics but to keep asking what they might be quietly missing, and to insist the scorecard has enough different numbers that gaming one shows up as damage in another. A healthy scorecard is partly a set of mutual checks.

Real world

Chasing one number. A team (anonymized) pushed a faithfulness score upward by making the assistant refuse more often - if it says less, it invents less. Faithfulness climbed beautifully. Relevancy and user satisfaction fell off a cliff, because the thing had learned to dodge questions. The second and third numbers caught what optimizing the first had broken.

Exercise 1 of 2

Build your acceptance scorecard ★ 12 min · pen and paper

Pick one real use case you own or are weighing. You are going to specify the five numbers you would demand before trusting it - and set a threshold for each, in advance.

Name the use case in one line. Note whether it answers from your documents (retrieval matters a lot) or reasons on its own (retrieval matters less).

For each of the five - retrieval, faithfulness, relevancy, correctness, and one operational number - write in plain English what "good" looks like for this use case.

Now set a number on each: the threshold you would require to ship. Do it before imagining what the system might score. Let the cost of a wrong answer, not the model's convenience, set the bar.

Circle the one number that matters most for this use case, and the one you would most fear being gamed. Those two deserve the closest reading.

★ Your scorecard partner (paste into any chat AI)Help me build an acceptance scorecard for an AI use case. I will describe it. For each of these five - retrieval / hit rate, faithfulness / groundedness, answer relevancy, correctness vs ground truth, and one operational number (latency or cost) - ask me what "good enough to ship" should mean for my case, and help me write a specific, measurable threshold for each before I see any results. Then flag which single number I should worry could be gamed, and why. My use case is: [describe it]
Exercise 2 of 2

Ship or do-not-ship ★ 8 min · read the card

You are handed the scorecard below for a customer-facing policy assistant. Your job is to make the call and justify it in one sentence - the way you would in a go-live meeting.

NumberResultThreshold set in advance
Retrieval (hit rate)70%90%
Faithfulness97%95%
Answer relevancy95%90%
Correctness vs ground truth92%95%
Latency1.3sunder 2s

Which numbers clear the bar that was set in advance, and which miss? Mark each pass or fail against its own threshold - not against a gut feeling.

The overall average looks strong. Explain in one sentence why that average is misleading here, and which single failure decides the call.

Make the decision: ship, or do not ship? Justify it in one sentence a non-technical board member would understand.

If you would not ship, name the one number the team must move, and by how much, to earn a yes.

The intended read Faithfulness, relevancy and latency all pass, but retrieval misses badly (70 vs 90) and correctness misses (92 vs 95). A customer-facing policy tool that fails to find the right policy one time in three is a do-not-ship, no matter how good the average looks. The number to move first is retrieval.
Homework

Before session a5 ◐ 30 min total

★ Questions to ask your data team this week
  1. Can I see our AI quality broken into separate numbers - retrieval, faithfulness, relevancy, correctness, and speed or cost - rather than one blended score?
  2. What ship threshold did we set for each, and were those set before we saw the results?
  3. Where does our system score lowest, and what is that low number letting through to users?
  4. Which of these numbers could be gamed, and what other number would catch it if it were?
  5. What is our operational number - typical response time or cost per answer - and is it good enough for people to actually adopt this?
Source material

Official sources covered

The leader track teaches from published engineering guidance and course curricula - no vendor marketing. This page covers:

Anthropic · Define your success criteriaPart 1-2 · criteria are specific, measurable, and multidimensional - one number misleads
The RAG Triad (context relevance, groundedness, answer relevance)Part 1 · the retrieval and generation numbers on the scorecard
RAGAS (retrieval vs generation metrics)Part 1 · hit rate / context recall vs faithfulness / answer relevancy
Check yourself

Three questions before you go 🎯 ◐ 90 seconds

1 · A team reports a single "94% accuracy" for an AI system. The best leadership response is...

Most use cases are multidimensional. A high average can conceal a poor retrieval or faithfulness score. Demand the numbers broken out - the same average can describe a safe system and a dangerous one.

2 · Faithfulness (groundedness) on a scorecard measures...

Faithfulness asks whether the answer stuck to its sources. A bad value is the most dangerous failure: a confident, fluent, invented answer that looks identical to a correct one.

3 · The ship threshold on a scorecard should be...

A threshold set after the fact always drifts toward what the system happened to score. Decide the bar in advance, driven by the business cost of being wrong, then see if the system clears it.

Leader session 4 cheat sheet · pin this

Number 1 · RetrievalHit rate / context recall. Did we find the right info at all? Bad value = doomed before the model spoke.
Number 2 · FaithfulnessGroundedness. Every claim backed by the source? Bad value = confident hallucination.
Number 3 · RelevancyOn-topic. Did it answer what was asked? Bad value = true but beside the point.
Number 4 · CorrectnessVs ground truth where an answer exists. Bad value = wrong on the checkable questions.
Number 5 · OperationalLatency or cost. Fast and cheap enough to use? Bad value = right answers nobody waits for.
One number liesAlways multidimensional. A blend hides failures in the average - demand them broken out.
Threshold firstSet the ship bar before you see results, from the cost of a wrong answer - not the model's convenience.
Mind the gamingGoodhart: a measure that becomes a target stops being a good measure. Ask what each metric misses.