The Revenue-Impact Incident Classifier
Some incidents matter more than others to the business. The classifier that maps incident impact to revenue, and the conversations it enables.
The model
Per service: estimated revenue per minute. Based on traffic, conversion rate, average order value.
Per failure mode: percentage of revenue affected. Total outage = 100%; partial degradation = 30-60%.
Cross the two: dollars per minute of incident.
How to apply
Each incident gets a revenue impact figure post-resolution. 'This 45-minute outage cost ~$120k.'
The figure is in the postmortem. Stakeholders see the cost; investment decisions become rational.
Aggregated quarterly. Total incident cost vs reliability investment. The ROI is visible.
Avoid
False precision. The figures are estimates; treat them as ranges, not exact numbers.
Optimising for the metric rather than reliability. The metric is a proxy; not a target.
Public shaming. Revenue impact is a leadership conversation, not a team-shaming tool.