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Compound AI System Reliability: A Failure Taxonomy and Resilience Pattern Catalog from 150 Production Incidents

Source
arxiv.org
Author
Rudrendu Kumar Paul, Sourav Nandy
Date
Why it matters

Gives a failure taxonomy (retrieval, generation, tool, orchestration, integration) and patterns like circuit breakers and quality gates with reported effect sizes, so you can design for silent degradation and cascades.

Key takeaways · AI-distilled
  • The authors built their taxonomy from 150 production incident reports drawn from open-source compound AI projects and anonymized enterprise deployments, yielding 23 failure modes in five categories: retrieval, generation, tool, orchestration and integration failures.
  • Their core argument is that compound AI systems mostly break at component boundaries rather than inside a single model: errors cascade between components, quality degrades silently past standard monitoring, and correct parts can still coordinate into wrong behavior.
  • In the authors' controlled fault-injection experiments, circuit breakers cut cascade propagation by 89%, output quality gates caught 73% of silent degradation before users saw it, and component isolation shrank blast radius by 64%.
  • The paper reports that systems using three or more patterns from its catalog cut mean time to recovery by 71% compared with unstructured monitoring baselines.
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