LLM Evaluation Course • Session 2

Why LLM Applications Need Multiple Evaluation Pipelines

Detailed English notes covering multiple failure points, component-level evaluation, workflow-level evaluation, application-level evaluation, risk categories, RAG, agents, safety, and operational evaluation.

1. Previous Session Recap

Before starting the current topic, let us quickly recap what was covered in the previous LLM Evaluation session.

01

Why LLM Evals?

We discussed why evaluation is necessary before deploying an LLM-based application into production.

Without proper evaluation, an application may produce incorrect, unsafe, irrelevant, or unreliable results.

02

What Are LLM Evals?

LLM evaluations are systematic and reliable ways of evaluating LLMs and LLM-based applications against clearly defined criteria.

03

How Are Evals Performed?

We introduced the idea of an evaluation pipeline: a step-by-step process used to measure whether a system is behaving correctly.

Model Evaluation vs Application Evaluation

Type What Is Evaluated? Typical Usage
Model Evaluation The underlying LLM itself. Benchmarks are used to measure capabilities such as reasoning, knowledge, coding, mathematics, instruction following, etc.
Application Evaluation An application built using one or more models. Evaluates whether the complete application performs its intended job correctly.
Important:

As an AI Engineer, you will generally spend much more time evaluating applications than evaluating frontier models.

Frontier AI labs typically perform model-level evaluations. Application developers need to understand model evaluations mainly so they can select an appropriate model for their application.

2. Why Do We Need Multiple Evaluation Pipelines?

One LLM-based application can have multiple evaluation pipelines because it can have multiple failure points and multiple categories of risk.

A common misconception is that if we evaluate the complete application once, that should be enough.

In reality, an LLM application is usually composed of multiple components that interact with each other. Each component can fail, the interaction between components can fail, and the complete application can fail to satisfy production requirements.

Reason 1

Multiple Failure Points

Different components and workflows can fail independently.

Reason 2

Multiple Risk Categories

A system can be correct but unsafe, safe but too expensive, or accurate but too slow.

3. RAG Example: Understanding Failure Points

Consider a Retrieval-Augmented Generation (RAG) chatbot built for a company, school, or college.

Basic RAG Architecture

User Query
Retriever
Vector Database
Relevant Documents
Generator / LLM
Answer

How the RAG Flow Works

  1. A user submits a query.
  2. The retriever receives the query.
  3. The retriever searches the vector database.
  4. Relevant documents are retrieved.
  5. The query and retrieved context are passed to the generator.
  6. The generator, usually an LLM, produces the final answer.

Two Obvious Failure Points

Failure Point 1 — Retriever

The retriever may return irrelevant or incorrect documents.

If the wrong documents are retrieved, the generator may receive incorrect context.

Failure Point 2 — Generator

Even when the retriever provides correct context, the generator may ignore the context or hallucinate.

4. Component-Level Evaluation

Because individual components can fail, we need evaluation pipelines for individual components.

Retriever Evaluation

The primary responsibility of a retriever is:

Given a query, retrieve the correct and relevant documents.

Therefore, a retriever evaluation pipeline should check whether the documents returned for a given query are relevant.

Generator Evaluation

The generator receives a query and context and generates an answer.

One important quality dimension is faithfulness, also called groundedness.

Groundedness / Faithfulness

The generated answer should be supported by the provided context rather than introducing unsupported facts.

Example of Groundedness

Suppose the user asks:

What is the duration of the Machine Learning course?

The retrieved document says:

The Machine Learning course duration is 3 weeks.

A grounded answer would be:

The Machine Learning course duration is 3 weeks.

The model should not add unrelated information such as:

It is a great course.
You can also purchase the Python course.
The Python course lasts 4 weeks.
        

Those additional statements are not supported by the provided context.

5. Workflow-Level Evaluation

Now comes the important question:

If the retriever is working correctly and the generator is working correctly, does that guarantee that the RAG application is correct?

No.

The interaction between independently correct components can still produce an incorrect result.

The Key Idea

We therefore need to evaluate not only individual components, but also the workflow formed by those components.

Component-level correctness ≠ Workflow-level correctness

A retriever may work correctly in isolation and a generator may work correctly in isolation, while their combination still produces incorrect answers.

6. RAG Failure Example: K = 5

Assume the retriever uses:

K = 5

Here, K means that the retriever returns the top 5 retrieved documents.

Retrieved Documents

Rank Document Content
D1 First document Some unrelated information.
D2 Second document Some unrelated information.
D3 Third document Some unrelated information.
D4 Fourth document Some unrelated information.
D5 Fifth document The Machine Learning course duration is 8 weeks.

Did the Retriever Do Its Job?

Yes.

The correct document was included within the top-5 results.

The retriever successfully retrieved the required information within its configured K results.

What Happens Next?

The query and all five retrieved documents are passed to the generator.

Suppose the system prompt tells the generator to prioritize higher-ranked documents.

In that case, the generator may focus more heavily on D1, D2, D3, and D4.

Imagine one of those documents says:

The Python course duration is 6 weeks.

The generator might incorrectly combine information and produce:

The Machine Learning course duration is 6 weeks.

Is the Final Answer Correct?

No.

Did the Generator Necessarily Fail?

Not necessarily.

The generator followed its instructions and used information provided in the retrieved context. It did not necessarily hallucinate the number from nowhere.

The problem was that the correct information was ranked too low, while incorrect or irrelevant information had higher priority.

The retriever was correct independently. The generator was correct independently. Yet the complete RAG workflow produced a wrong answer.

Workflow-Level Evaluation Detects the Problem

A workflow-level evaluator can identify that the final answer is incorrect even though the individual component evaluations passed.

Possible Solution: Reranking

A reranker can reorder the retrieved documents after the initial retrieval step.

Initial Retrieval
Reranker
Better Document Ordering
Generator

In this example, the reranker could recognize that D5 is the most relevant document and move it to the top.

Before Reranking After Reranking
D1 D5
D2 D1
D3 D2
D4 D3
D5 D4
Core lesson:

Evaluating individual components is necessary, but it is not sufficient. The interaction between components must also be evaluated.

7. Application-Level Evaluation

Now suppose we have three successful evaluations:

  1. Retriever evaluation passes.
  2. Generator evaluation passes.
  3. Retriever + Generator workflow evaluation passes.

Does this guarantee that the application is production-ready?

No.

Example: Latency

Suppose the complete RAG pipeline takes:

10 seconds per user query

Technically, the system may produce correct answers.

However, if users have to wait 10 seconds for every response, the application may not provide an acceptable production experience.

Correctness alone does not make an application production-ready.

Production systems must also satisfy operational requirements.

Application-Level Metrics

8. Three Levels Where Failure Can Occur

An LLM-based application can have failure points at three broad levels.

1

Component Level

Individual components can fail.

Examples include:

  • System prompt
  • Retriever
  • Reranker
  • Query rewriter
  • Embedding model
  • Vector database
  • Output parser
  • Agent tool selector
  • Memory
  • Guardrails

Each important component can have its own evaluation pipeline.

2

Workflow Level

Even when individual components work correctly, their interaction may fail.

Examples:

  • Retriever + Generator workflow in RAG
  • Agent planning + tool execution workflow
  • Multi-step agent workflow
  • Multi-turn chatbot workflow
3

Application Level

The complete application may fail to meet production requirements even if its components and workflows are functioning correctly.

Examples include:

  • High latency
  • High cost
  • High error rate
  • Poor performance under load
  • Slow time to first token
  • Poor overall user experience

Component → Workflow → Application

Evaluation must operate at all three levels.

9. Second Reason for Multiple Evals: Risk Categories

Multiple failure points are only one reason for having multiple evaluation pipelines.

The second major reason is:

Different parts of an LLM application have multiple associated risk categories.

For example, consider a RAG chatbot.

A generated answer should not only be correct. It should also be safe and operationally efficient.

Application Quality

Does the application actually perform its intended job?

Safety

Does the application avoid harmful, unsafe, biased, or private information?

Operations

Can the application run quickly, cheaply, reliably, and efficiently?

10. Application Quality Risk Categories

Application quality focuses on whether the application actually performs its intended task well.

Application Quality = Does the application do its actual job well?

General LLM Application

Consider a text summarization application.

The user provides a long piece of text and the system generates a concise summary.

Risk Category What It Checks
Correctness / Accuracy Is the generated output factually correct and accurate?
Relevance Does the answer address the user's actual query?
Completeness Were all important parts of the user's request addressed?
Instruction Following Did the model follow requested format, structure, length, and other instructions?

11. RAG-Specific Risk Categories

RAG systems introduce additional risks because they contain retrieval and context-generation workflows.

Risk Meaning
Context Relevance Are the retrieved documents relevant to the query?
Retriever Recall Did the retriever successfully retrieve the required relevant information?
Groundedness Is the generated answer supported by the retrieved context?
Faithfulness Did the answer remain faithful to the supplied evidence instead of inventing unsupported facts?
Citation Accuracy Are claims correctly supported by the documents cited as their sources?
Important RAG distinction:

Retrieval quality asks whether the right information was retrieved.

Groundedness asks whether the final answer was actually based on the retrieved information.

12. Agent-Specific Risk Categories

Agentic AI systems introduce additional evaluation dimensions because agents must decide what actions to take.

Risk Category Question to Evaluate
Tool Selection Did the agent select the correct tool for the task?
Parameter Correctness Did the agent pass the correct parameters to the selected tool?
Task Completion Did the agent successfully complete the task?
Error Recovery If something went wrong during execution, could the agent recover appropriately?
Agent evaluation is not only about the final answer.

We also need to evaluate the decisions and actions taken during the workflow.

13. Multi-Turn Chatbot Risk Categories

A multi-turn chatbot has additional risks because conversations extend across multiple user interactions.

Context Retention

Can the chatbot correctly remember and use relevant information from previous turns?

Clarification Behavior

If the user's request is ambiguous or unclear, does the chatbot ask an appropriate clarification question instead of making an incorrect assumption?

14. Safety Risk Categories

Correctness and helpfulness are not enough.

An LLM application must also be safe.

A correct answer can still be an unacceptable answer if it violates safety or privacy requirements.

Example: Private Information Leakage

Imagine a chatbot gives a user another user's phone number, email address, credit-card information, or other private data.

Even if the information is factually correct, the application has failed its safety requirements.

Safety Risk What It Checks
Toxicity Does the model produce toxic or abusive content?
Harmful Content Does it generate dangerous or prohibited information?
Bias Does the system behave unfairly or differently toward different groups or users?
Privacy / PII Leakage Does the application expose personal or confidential information?
Prompt Injection Resistance Can malicious instructions manipulate the application into violating its intended behavior?
Jailbreak Resistance Can users bypass the model's safety restrictions using adversarial prompts?

Examples of Harmful Content Categories

15. Operational Risk Categories

Operational evaluation focuses on whether the system can run effectively in production.

Production systems should be fast, cheap, reliable, and efficient.
Operational Metric What It Measures
Latency How long does the system take to produce a response?
Time to First Token How quickly does the first generated token appear?
Cost per Request How much does it cost to answer a user query?
Token Efficiency How efficiently does the application use tokens?
Error / Failure Rate How frequently does the system fail?
Latency Under Load Does performance remain acceptable when many users send requests simultaneously?

16. Overall Evaluation Framework

We can now combine the entire discussion into one framework.

Level 1 — Components

Evaluate individual components.

Retriever
Reranker
Query Rewriter
Embedding Model
Vector Database
Generator
Output Parser
Tool Selector
Memory
Guardrails
System Prompt
        

Level 2 — Workflows

Evaluate how multiple components interact.

RAG Workflow
Retriever → Reranker → Generator

Agent Workflow
Planner → Tool Selection → Tool Execution → Observation → Next Action

Multi-Turn Workflow
User Turn → Memory → Model → Response → Next Turn
        

Level 3 — Complete Application

Evaluate the entire product from a production perspective.

User Request
      ↓
Complete Application
      ↓
Final Response
      ↓
Quality + Safety + Operations
        

Risk Categories Across the System

Evaluation Level Quality Safety Operations
Component Retriever relevance, generator faithfulness, tool selection Prompt injection, unsafe tool usage Component latency, resource usage
Workflow End-to-end correctness, groundedness, task completion Safety throughout multi-step execution Workflow latency, workflow cost
Application Correctness, relevance, completeness, instruction following Toxicity, harmful content, bias, privacy, jailbreak resistance Latency, cost, reliability, error rate, scalability

The Evaluation Pipeline Concept

LLM Application
Identify Failure Points
Identify Risk Categories
Build Evaluation Pipelines
Measure & Improve

Example: One RAG Application Can Have Multiple Evals

The same application can therefore have many evaluation pipelines, each measuring a different dimension of system quality or risk.

17. Final Summary

The central idea of this session is:

An LLM application usually requires multiple evaluation pipelines because it contains multiple failure points and multiple risk categories.

The Two Main Reasons

01

Multiple Failure Points

Failure can happen at:

  • Component level
  • Workflow level
  • Application level
02

Multiple Risk Categories

Each part of the system can have different risks:

  • Application quality
  • Safety
  • Operations

Most Important Concept

Passing component-level evaluations does NOT guarantee that the workflow will work correctly.

Passing workflow-level evaluations does NOT guarantee that the complete application is production-ready.

Think in Three Layers

┌─────────────────────────────────────────────┐
│             APPLICATION LEVEL               │
│                                             │
│ Quality + Safety + Operations               │
│                                             │
├─────────────────────────────────────────────┤
│              WORKFLOW LEVEL                 │
│                                             │
│ Component Interaction & End-to-End Behavior │
│                                             │
├─────────────────────────────────────────────┤
│             COMPONENT LEVEL                 │
│                                             │
│ Retriever / LLM / Tool / Memory / Parser   │
│                                             │
└─────────────────────────────────────────────┘
        

Think in Three Risk Categories

APPLICATION QUALITY
        ↓
Correctness
Accuracy
Relevance
Completeness
Instruction Following

SAFETY
        ↓
Toxicity
Harmful Content
Bias
Privacy / PII
Prompt Injection
Jailbreak Resistance

OPERATIONS
        ↓
Latency
Cost
Token Efficiency
Error Rate
Reliability
Performance Under Load
        

RAG Example in One Sentence

A retriever can retrieve the correct document and a generator can correctly follow its instructions, yet the complete RAG system can still generate the wrong answer because the interaction between the components is flawed.

Final Mental Model

  1. Find the failure points.
  2. Identify the risk categories.
  3. Create evaluations for individual components.
  4. Evaluate the interaction between components.
  5. Evaluate the complete application.
  6. Continuously monitor quality, safety, and operations.

99.99% of the time, a serious LLM application will require more than one evaluation pipeline.

The goal is not to create evaluations just for the sake of having more evaluations. Each evaluation should correspond to a meaningful failure point or risk that matters to the application.