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Delegation Risk

Delegation Risk Calculator

Delegation Risk Calculator

Section titled “Delegation Risk Calculator”

Interactive tool for calculating Delegation Risk for your AI system components.

How to Use

Section titled “How to Use”
  1. Add failure modes for each component
  2. Estimate probability and damage for each
  3. Calculator computes individual and total Delegation Risk
  4. Compare against your budget
Failure ModeP(failure)Damage ($)Risk
Results
Failure ModeProbabilityDamageRisk
Total Delegation Risk$0
Budget$2,000
StatusWithin Budget

Understanding the Results

Section titled “Understanding the Results”

Delegation Risk Formula

Section titled “Delegation Risk Formula”

For each failure mode:

Delegation Risk = P(failure) × Damage

Total system Delegation Risk is the sum across all failure modes.

Probability Guidelines

Section titled “Probability Guidelines”
ProbabilityMeaningExample
0.1 (10%)Common without mitigationUnvalidated user input
0.01 (1%)Occasional, seen in testingEdge case handling
0.001 (0.1%)Rare but plausibleUnusual input combinations
0.0001 (0.01%)Very rare, needs adversaryTargeted attack

What If Over Budget?

Section titled “What If Over Budget?”

If your total Delegation Risk exceeds budget:

  1. Reduce probability: Add verification, redundancy, testing
  2. Reduce damage: Limit permissions, add rollback capability
  3. Split components: Decompose into smaller, lower-risk pieces
  4. Add human gates: Require approval for high-risk actions

Example Calculation

Section titled “Example Calculation”

Scenario: Customer support bot

Failure ModeP(failure)DamageDelegation Risk
Gives wrong answer0.05$500$25
Leaks customer data0.001$50,000$50
Generates harmful content0.01$10,000$100
Infinite loop/crash0.02$1,000$20

Total Delegation Risk: $195/month

With a $500/month budget, this system is well within tolerance.

Next Steps

Section titled “Next Steps”