Forecast customer facing service interruption loss

Forecast customer-facing outage frequency, duration, SLA credits, interrupted revenue, churn exposure and total financial VaR/CVaR using local zero-inclusive service history, compound log-normal severity and coherent shared-dependency events.

What it's for

Turns service reliability into board-ready customer and cash exposure while preserving contract economics, shared dependency concentration and severe tails.

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
current_service_exposures array of objects (17 fields) Evidence Yes
historical_service_classes array of objects (12 fields) Evidence Yes
max_detail_rows integer ≥ 1, ≤ 500 Numerical control Optional
minimum_history_periods integer ≥ 1, ≤ 10000 Your calibration Optional
minimum_loss_observations integer ≥ 1, ≤ 100000 Your calibration Optional
minimum_recovery_observations integer ≥ 1, ≤ 100000 Your calibration Optional
random_seed integer ≥ 0, ≤ 4294967295 Your calibration Optional
scenarios array of objects (7 fields) Evidence Yes
shared_dependency_groups array of objects (6 fields) Evidence Yes
simulation_count integer ≥ 1000, ≤ 200000 Your calibration Optional
tail_probability number > 0, < 1 Your calibration Optional

Each current_service_exposures record

Field Type Required
customer_churn_loss_per_outage number (≥ 0) Yes
evidence_verified boolean Yes
forecast_service_hours number (≥ 0) Yes
id string (non-empty) Yes
loss_prior_log_mean number Yes
loss_prior_log_sd number (> 0, ≤ 5) Yes
loss_prior_strength number (> 0) Yes
outage_rate_prior_rate number (> 0) Yes
outage_rate_prior_shape number (> 0) Yes
preventive_control_effectiveness number (≥ 0, ≤ 1) Yes
recovery_prior_log_mean_minutes number Yes
recovery_prior_log_sd number (> 0, ≤ 5) Yes
recovery_prior_strength number (> 0) Yes
revenue_loss_per_outage_minute number (≥ 0) Yes
service_class string (non-empty) Yes
shared_dependency_group_id string (non-empty) Yes
sla_credit_per_outage_minute number (≥ 0) Yes
Example input
{
  "current_service_exposures": [
    {
      "customer_churn_loss_per_outage": 20000,
      "evidence_verified": true,
      "forecast_service_hours": 720,
      "id": "payments",
      "loss_prior_log_mean": 10.819778284410283,
      "loss_prior_log_sd": 0.5,
      "loss_prior_strength": 5,
      "outage_rate_prior_rate": 720,
      "outage_rate_prior_shape": 1,
      "preventive_control_effectiveness": 0.3,
      "recovery_prior_log_mean_minutes": 3.8066624897703196,
      "recovery_prior_log_sd": 0.4,
      "recovery_prior_strength": 5,
      "revenue_loss_per_outage_minute": 500,
      "service_class": "tier-one",
      "shared_dependency_group_id": "cloud-region",
      "sla_credit_per_outage_minute": 100
    }
  ],
  "historical_service_classes": [
    {
      "evidence_verified": true,
      "exposure_service_hours": 720,
      "financial_loss_log_squared_sum": 117.06760212379633,
      "financial_loss_log_sum": 10.819778284410283,
      "financial_loss_observation_count": 1,
      "id": "tier-one-history-0",
      "period": 0,
      "recovery_log_minutes_squared_sum": 14.490679311024369,
      "recovery_log_minutes_sum": 3.8066624897703196,
      "recovery_observation_count": 1,
      "service_class": "tier-one",
      "verified_outage_count": 1
    }
  ],
  "minimum_history_periods": 1,
  "minimum_loss_observations": 1,
  "minimum_recovery_observations": 1,
  "random_seed": 43,
  "scenarios": [
    {

Truncated for display — the full payload is 80 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": [
    "History is consecutive and zero-inclusive; verified outage, recovery and finance-loss maturity remain comparable inside each aggregate service class, and only information known at forecast origin enters the cohort.",
    "One coherent scenario drives frequency, duration, loss and common dependency events; customer credits, revenue interruption, churn exposure and unique shared-group loss are finance/contract-owner inputs and common loss is counted once."
  ],
  "counts": {
    "current_service_exposures": 1,
    "history_periods": 1,
    "scenarios": 2,
    "service_classes": 1,
    "shared_dependency_groups": 1,
    "simulations": 1000
  },
  "decision": "review_customer_facing_interruption_and_cash_tail",
  "limitations": [
    "This forecasts aggregate represented service/customer exposure, not a service-level promise, customer-specific legal conclusion, vendor fault, incident cause or guaranteed recovery time.",
    "Unreported incidents, changing detection, contract enforceability, nonstationary architecture, insurance/recovery and losses outside the submitted perimeter can make the tail incomplete."
  ],
  "method": "gamma_poisson_compound_lognormal_common_dependency_customer_loss_v1",
  "portfolio_forecast": {
    "expected_customer_contract_loss": 60957.8814,
    "expected_outage_minutes": 58.1031,
    "expected_outages": 0.82,
    "expected_shared_dependency_loss": 13132.6155,
    "expected_total_financial_loss": 122080.4334,
    "financial_loss_conditional_value_at_risk": 795250.925,
    "financial_loss_value_at_risk": 545142.5295,
    "probability_any_outage": 0.49,
    "tail_probability": 0.05
  },
  "reproducibility": {
    "random_seed": 43,
    "scenario_ids": [
      "base",
      "stress"
    ]
  },
  "service_forecasts": [
    {
      "expected_customer_contract_loss": 47825.2659,
      "expected_direct_financial_loss": 61122.552,
      "expected_outage_minutes": 52.3754,
      "expected_outages": 0.82,
      "history_periods": 1,

Truncated for display — the full payload is 53 lines.

How it works

Forecasting & survival — Estimate when something completes or fails, with censoring and unresolved work handled honestly rather than dropped.

  1. 1 Fit Gamma-Poisson verified-outage rates by stable aggregate service class from consecutive zero-inclusive service-hour histories.
  2. 2 Pool local positive recovery-duration and finance-loss log moments, simulate compound individual incidents, and translate outage minutes through contract-owner SLA credit, revenue interruption and churn inputs.
  3. 3 Share one scenario across frequency, duration and loss, simulate one common event per dependency group, count unique shared loss once, and report expected loss, VaR/CVaR and support abstention.

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

  • Training examples precede their outcomes, censoring and unresolved work are represented, and deployment populations remain comparable to validation cohorts.
  • Incident detection, recovery maturity, financial perimeter, service classes and forecast exposure remain comparable; contract/customer values are enforceable owner-supplied inputs rather than inferred from engineering activity.
  • A predictive interval or risk estimate is not a deadline promise, causal explanation, or individual-performance judgment.
  • The forecast is aggregate scenario-conditioned exposure—not an SLA promise, customer-specific legal advice, vendor blame, incident-cause inference or guaranteed recovery time.

Minimum evidence

  • historical_service_classes: required and organization-defined
  • current_service_exposures: required and organization-defined
  • shared_dependency_groups: required and organization-defined
  • scenarios: required and organization-defined

How to validate it

Use chronological train/calibration/test windows, compare proper scores and decision value with a simple baseline, and recalibrate only from outcomes resolved after prediction time.

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

  • calendar/class service-hour spine left-joined to complete verified incidents, mature recovery and finance outcomes, then joined to current services, canonical shared dependencies and effective customer-contract economics
  • service-class/incident/recovery/maturity rules, exposure clock, priors, forecast horizon, SLA-credit enforceability, revenue/churn perimeter, shared-loss uniqueness, preventive effect, scenarios and tail appetite

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": "forecast customerfacing outage frequency duration sla" }
  → finds "forecast_customer_facing_service_interruption_loss"

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

gitrevio_capability_run
  { "capability_id": "forecast_customer_facing_service_interruption_loss", "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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