Estimate team stochastic frontier

Estimate a Cobb-Douglas team production frontier with half-normal inefficiency, symmetric noise, conditional efficiency, and bootstrap uncertainty.

What it's for

Adds role-appropriate team efficiency visibility that separates random shocks from modeled production gaps instead of ranking raw output totals.

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.

Field Type Role Required
bootstrap_draws integer ≥ 200, ≤ 20000 Numerical control Optional
confidence_level number ≥ 0.8, ≤ 0.999 Your calibration Optional
input_names array of string ≥ 1 item Evidence Yes
minimum_unit_size integer ≥ 2 Your calibration Optional
ridge number ≥ 0, ≤ 100 Your calibration Optional
seed integer Numerical control Optional
units array of objects (4 fields) Evidence Yes

Each units record

Field Type Required
id string (non-empty) Yes
inputs object Yes
output number (> 0) Yes
unit_size integer (≥ 2) Yes
Example input
{
  "bootstrap_draws": 200,
  "input_names": [
    "capacity"
  ],
  "seed": 2,
  "units": [
    {
      "id": "team-0",
      "inputs": {
        "capacity": 10
      },
      "output": 15.035617008818166,
      "unit_size": 8
    },
    {
      "id": "team-1",
      "inputs": {
        "capacity": 11
      },
      "output": 14.78713240777615,
      "unit_size": 8
    },
    {
      "id": "team-2",
      "inputs": {
        "capacity": 12
      },
      "output": 14.349190886140974,
      "unit_size": 8
    },
    {
      "id": "team-3",
      "inputs": {
        "capacity": 13
      },
      "output": 13.730779521040883,
      "unit_size": 8
    },
    {
      "id": "team-4",
      "inputs": {
        "capacity": 14
      },

Truncated for display — the full payload is 329 lines.

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.

Example output
{
  "assumptions": [
    "The production function is Cobb-Douglas in the supplied positive inputs and output, with comparable team-level measurement.",
    "Random noise is symmetric normal while nonnegative technical inefficiency follows a half-normal distribution independent of inputs.",
    "Unit scores describe modeled team production efficiency, not individual performance, effort, intent, or a staffing decision.",
    "Frontier gaps require local investigation of omitted inputs, quality, work mix, and measurement before any management action."
  ],
  "bootstrap": {
    "confidence_level": 0.95,
    "draws": 200
  },
  "composed_error": {
    "centered_residual_third_moment": -0.000101,
    "inefficiency_sigma": 0.0774,
    "inefficiency_sigma_interval": {
      "high": 0.1293,
      "low": 0
    },
    "lambda_inefficiency_to_noise": 0.8537,
    "noise_sigma": 0.0907
  },
  "decision": "inefficiency_not_separable_from_noise",
  "frontier": {
    "input_elasticities": {
      "capacity": 0.6599
    },
    "intercept": 1.1337,
    "returns_to_scale": 0.6599
  },
  "method": "cobb_douglas_half_normal_stochastic_frontier_v1",
  "portfolio": {
    "mean_technical_efficiency": 0.941,
    "median_technical_efficiency": 0.9449
  },
  "units": [
    {
      "efficiency_interval": {
        "high": 1,
        "low": 0.954
      },
      "frontier_gap_fraction": 0.0355,
      "technical_efficiency": 0.9645,
      "unit_id": "team-28"
    },

Truncated for display — the full payload is 397 lines.

How it works

Statistical audit & measurement — Check whether a number is fit to decide on: coverage, timing, reconciliation, and the gaps a dashboard hides.

  1. 1 Estimate a Cobb-Douglas team production frontier with half-normal inefficiency, symmetric noise, conditional efficiency, and bootstrap uncertainty.
  2. 2 Evaluate the method-specific diagnostics and gates returned by the function, then abstain unless the declared decision clears them under locally governed thresholds.

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.

Assumptions & guardrails

  • Metric definitions, weights, aggregate grain, sampling, missingness, dependence, and comparison windows correspond to the management claim being audited.
  • Association, instability, or measurement quality is not a causal effect and must not be converted directly into an individual employment decision.

Minimum evidence

  • units: required and organization-defined
  • input_names: at least 1 rows/items

How to validate it

Validate on future periods or held-out aggregate units, compare with a simple baseline, and require stability across plausible metric definitions and decision thresholds.

Calibrating it to your org

Same for everyone

The mathematical kernel, validation rules, method version, and JSON output semantics are organization-independent; no tenant-trained coefficients or company benchmark is embedded in the function.

Specific to you

  • metric/outcome definitions, entity grain, observation window, costs, thresholds, priors, and constraints represented by the function inputs

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": "estimate a cobbdouglas team production frontier" }
  → finds "estimate_team_stochastic_frontier"

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

gitrevio_capability_run
  { "capability_id": "estimate_team_stochastic_frontier", "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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