Evidence-first production review

Production LLM cost-optimization checklist

Find what makes a production workload expensive, choose one bounded change, and verify the result without treating lower token spend as proof of better economics.

Published September 7, 202611 minute read

Before changing the system

Optimization starts with attribution, not a tactic.

Caching, batching, smaller models, shorter prompts, and routing can all reduce a line item. None is automatically the right first change. The useful sequence is to define the workload and outcome, establish a comparable baseline, locate the mechanism creating cost, test one bounded alternative, and verify the result against the same operating constraints.

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This checklist is a review method, not a savings estimate. A finding identifies evidence to gather or an experiment to run; it does not establish production impact by itself.

01 / Checklist

Baseline one production workload

Look for
Eligible workflows, model attempts, input and output token categories, provider charges, review labor, fixed operating cost, successful outcomes, latency, errors, and the observation period.
Decision
Choose the workload with a material bill or decision. Do not optimize a blended account total that hides products, customers, or task types.
Evidence needed
A period total tied to one workload and a defined cost-per-request, cost-per-workflow, or cost-per-successful-outcome denominator.

02 / Checklist

Map the complete call path

Look for
Direct SDK calls, shared wrappers, gateways, agent steps, tool loops, regenerations, evaluators, fallbacks, background jobs, and calls triggered by one user action.
Decision
Draw the path from business event to final outcome. Mark intentional fan-out separately from retries and accidental duplicate work.
Evidence needed
Source locations plus runtime traces or request identifiers that show how many model attempts one workflow actually creates.

03 / Checklist

Measure input and context growth

Look for
Repeated system prompts, tool definitions, retrieved passages, conversation history, examples, boilerplate, and context that grows on each agent step.
Decision
Remove content only after checking why it is present. Change retrieval count, history policy, tool exposure, or prompt structure one mechanism at a time.
Evidence needed
Input-token distributions by workload and call site, not one account-wide average. Keep cached input identified as a subset of total input.

04 / Checklist

Bound outputs and reasoning effort

Look for
Loose maximum-token settings, verbose formats, unused explanation, repeated structured fields, reasoning-token behavior, and generations discarded by downstream validation.
Decision
Set the shortest output contract that still satisfies the task. Prefer explicit schemas and stop conditions where the model and provider support them.
Evidence needed
Output and separately reported reasoning-token distributions, truncation rate, schema failures, task success, and downstream review time.

05 / Checklist

Control retries, fallbacks, and loops

Look for
Unbounded retries, retries for permanent errors, whole-workflow restarts, nested library retries, fallback cascades, agent iteration limits, and repeated calls after client timeouts.
Decision
Give transient failures bounded backoff and permanent failures a terminal path. Preserve the reason for each extra attempt so retry cost can be separated from intentional fan-out.
Evidence needed
Attempts per planned call, retry reasons, error classes, fallback transitions, terminal outcomes, latency, and cost per successful workflow.

06 / Checklist

Test caching against the traffic shape

Look for
Stable prompt prefixes eligible for provider prompt caching and exact or safely reusable responses eligible for application caching.
Decision
Model prompt caching and full-response caching separately. Include lookup, write, storage, invalidation, privacy, staleness, and miss costs before implementation.
Evidence needed
Eligible traffic, observed hit rate, token discount or avoided calls, added latency, invalidations, correctness checks, and total net operating change.

07 / Checklist

Batch or move work off the synchronous path

Look for
Offline classification, enrichment, evaluation, embeddings, summarization, or other work that does not require an immediate user response.
Decision
Batch only where waiting, failure recovery, ordering, and data-handling requirements permit it. Do not trade away an actual latency requirement for a nominal unit-price discount.
Evidence needed
Queue delay, completion time, batch utilization, failure recovery, throughput, provider charge, and the same task-level quality measure.

08 / Checklist

Route only with a representative evaluation

Look for
Task classes where a smaller model, constrained prompt, local model, or cascade might meet the existing quality and reliability floor.
Decision
Reserve expensive paths for requests that need them. Include router calls, misroutes, fallbacks, retries, operating labor, and infrastructure when calculating the alternative.
Evidence needed
A representative evaluation set, per-segment quality, latency, route share, fallback rate, full cost per successful outcome, and rollback criteria.

09 / Checklist

Verify savings against a normalized baseline

Look for
Changes in traffic volume, provider price, workload mix, task difficulty, quality, reliability, latency, review effort, and fixed commitments during the comparison window.
Decision
Report measured spending, modeled savings, implementation expense, cost avoidance, and verified savings as different quantities. Keep the current system when the evidence does not justify a change.
Evidence needed
A stated baseline and observation window, comparable workload segments, constraint results, implementation and recurring costs, and an owner for ongoing monitoring.

Review boundary

What source code cannot prove.

A repository can show configured models, retry branches, prompt assembly, cache calls, output limits, and instrumentation gaps. It cannot establish live traffic, actual provider charges, realized cache hits, customer outcomes, representative quality, or verified savings. Treat source findings as observations about implementation and as hypotheses about production impact until runtime evidence confirms them.

Run the source review locally

Use the open Production AI Cost Review skill.

It maps call paths and evidence gaps without claiming savings from code alone.

Get the review skill

After the review

Put a number next to the bounded change.

Compare the current path and alternative using full operating cost and the same successful-outcome definition. If the evidence spans multiple private systems, start with a free 30-minute fit conversation.