Calculate engineering unit economics

What it's for

Lets CEOs and investors see what engineering spend produces per adopted business outcome, with quality and ongoing cost included rather than celebrating throughput alone.

What you give it

Inputs split into evidence read from your connected systems, calibration your team owns, and numerical controls that affect precision but never the result's meaning.

{
  "scenario_probabilities": [
    0.2,
    0.5,
    0.3
  ],
  "units": [
    {
      "adopted_outcomes": [
        80,
        110,
        140
      ],
      "engineering_costs": [
        400,
        450,
        500
      ],
      "id": "product-line-a",
      "incremental_contribution_values": [
        350,
        750,
        1200
      ],
      "quality_costs": [
        20,
        40,
        90
      ],
      "run_costs": [
        80,
        90,
        100
      ]
    },
    {
      "adopted_outcomes": [
        50,
        70,
        90
      ],
      "engineering_costs": [
        250,
        300,

What you get back

This is the actual output of running the example above — computed by the same function the platform calls, not an illustration.

{
  "assumptions": [
    "Adopted outcomes use one governed product or business denominator and are not commits, pull requests, story points, or lines of code.",
    "Contribution value is incremental and finance-attributed at the same horizon/currency/basis as all costs.",
    "Joint scenario columns remain aligned across every unit and economic input."
  ],
  "configuration": {
    "maximum_negative_margin_probability": 0.2,
    "minimum_adopted_outcomes": 1,
    "scenario_count": 3,
    "tail_probability": 0.1
  },
  "decision": "engineering_unit_economics_supported",
  "method": "scenario_engineering_unit_economics_v1",
  "summary": {
    "cost_per_adopted_outcome": 5.3351,
    "expected_adopted_outcomes": 185,
    "expected_incremental_contribution": 1380,
    "expected_net_contribution": 393,
    "expected_total_cost": 987,
    "probability_negative_portfolio_margin": 0.2,
    "supported_unit_count": 2,
    "unit_count": 2
  },
  "truncated_detail_count": 0,
  "unit_diagnostics": [
    {
      "cost_per_adopted_outcome": 5.2832,
      "cvar_net_loss": 150,
      "economics_supported": true,
      "expected_adopted_outcomes": 113,
      "expected_incremental_contribution": 805,
      "expected_net_contribution": 208,
      "expected_total_cost": 597,
      "net_contribution_per_adopted_outcome": 1.8407,
      "probability_negative_margin": 0.2,
      "unit_id": "product-line-a"
    },
    {
      "cost_per_adopted_outcome": 5.4167,
      "cvar_net_loss": 10,
      "economics_supported": true,
      "expected_adopted_outcomes": 72,
      "expected_incremental_contribution": 575,

How it works

Decision analysis — Turn uncertainty, cost and risk appetite into a defensible choice, with the reasoning left inspectable.

1. 1 Freeze one meaningful adopted product/business outcome denominator, scope, horizon, currency, attribution policy, and aligned joint scenarios.
2. 2 Combine engineering, run, and quality cost per scenario; divide only by adopted outcomes; and compare finance-attributed incremental contribution with total economic cost.
3. 3 Report expected portfolio/unit economics, negative-margin probability and tail loss, suppressing unsupported or zero-denominator comparisons.

Before you trust it

Every tool in the catalog ships with the conditions under which its answer is meaningful — and the conditions under which it should abstain instead of guessing.

Calibrating it to your org

Calibration workflow

1. 1 Define the management decision, target outcome, aggregate unit, privacy boundary, cadence, and prediction/intervention horizon for this organization.
2. 2 Build a tenant-scoped historical cohort using only information available before each prediction or decision; preserve zero periods, censoring, assignment probabilities, and unresolved outcomes when the method requires them.
3. 3 Estimate statistical parameters on training history, but obtain costs, utilities, risk tolerance, practical-effect thresholds, capacity, and policy constraints from accountable decision owners.
4. 4 Validate on later time windows or held-out aggregate units at the deployment grain, against a simple baseline and the function-specific validation strategy.
5. 5 Deploy only if the returned decision clears evidence, overlap, calibration, robustness, and guardrail checks; warning, unsupported, schema-gap, and fallback decisions are abstentions.
6. 6 Monitor realized outcomes, data drift, coverage, and decision regret; recalibrate at a governed cadence or after a detected regime/definition change, never merely because a stakeholder dislikes the result.

Call it from your AI

You don't wire up 388 tools in your MCP client. The GitRevio MCP server exposes 18 tools, three of which let an agent search the catalog, read a tool's schema, and run it — so the assistant finds this one on its own.

gitrevio_capabilities_search
  { "q": "calculate uncertaintyaware engineering cost and net" }
  → finds "calculate_engineering_unit_economics"

gitrevio_capability_describe
  { "capability_id": "calculate_engineering_unit_economics" }
  → returns the input schema and agent guidance shown on this page

gitrevio_capability_run
  { "capability_id": "calculate_engineering_unit_economics", "arguments": { ... } }
  → returns the result shown above

Works in Claude Desktop, Claude Code, Cursor, Cline, Continue.dev, Goose and Aider. See the MCP server.

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