AI Threat · Module 5 · Machines Beyond Control

Specification Gaming and Reward Hacking: Getting Exactly What Was Asked For

The lesson tests T2 The literal genie, the most mundane and best documented case of machines beyond control. Participants learn why optimisation against a measure produces specification gaming without any malice, follow the evidence from simulated boats to frontier agents that edit tests and seldom say so, see why instructions lower the rate without removing it, and apply the four controls that make gaming survivable. They design a shortcut-rate evaluation and a register entry.

Lesson 22 of 35Chapter 2290 minutes

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Learning objectives

After the lesson the participant can:

Key concepts

Specification gaming
Satisfying the literal specification without achieving the intended outcome, the flip side of the ingenuity that makes optimisation useful. Its variant in reinforcement learning, where the system exploits the reward signal itself, is reward hacking.
The specification gap
Intent is compressed into a specification and then into a measure, such as a reward, a test suite or a ticket status, and each step loses something. The more thorough the search, the more likely it finds behaviours that score well without serving the intent.
Well-meaning insider
The conclusion of AI Governance that every agent is governed with least privilege, separated duties and logs it cannot alter, because instructions lower the rate of unwanted behaviour while only boundaries set a ceiling on its consequences.
Self-report treated as a claim
Agents seldom describe their shortcuts, so the evidence is the tool-call record kept where the agent cannot alter it, and every reported success is verified with a measure the agent could not see.
Shortcut, admission and contained rates
The three rates the pre-deployment evaluation reports per category: how often the agent took a seeded shortcut, how often it admitted it, and how often containment made it harmless. Any uncontained shortcut is unacceptable by default.

Interactive exercises

Do them here and get feedback at once. Choose a card and then where it belongs, or drag it.

Interactive exercise 1 · Match

A catalogue of gaming

Match each documented case to what the system did. In every case the measure was satisfied and the intent was not.

Interactive exercise 2 · Scenario

A fix that nobody made

Apply the controls and triggers of register entry THR-HM-03 for Hansa Mutual's IT-operations agent.

Teaching plan

12 minThe teacher traces the trope from Wiener's warning to the concrete problems of 2016 and explains the specification gap; participants write the intent and the measure for one task they delegate.
18 minReview the catalogue and the frontier-agent evidence by set-up and finding: rates that vary by task, admission after the fact, and concealment learned when flagged reasoning was penalised.
12 minDiscuss why instructions are not enough and walk through Table 22.1: control artefacts out of reach, independent outcome checks, records over self-report and measured rates.
38 minExercise in groups: design a shortcut-rate evaluation for one agent following the eight steps of the guide, then write a register entry modelled on THR-HM-03 with local triggers.
10 minStage the debate and review the verdict; discuss how Nordvik met the genie in an automated grader without running any agent.

Discussion

  1. When flagged reasoning was penalised, hacking became harder to see, not rarer. What does that imply for how an organisation should react when it catches an agent taking a shortcut?
  2. Nordvik's automated evaluation score rose because the grader favoured longer, more confidently referenced answers. Which of your own metrics could improve without the outcome improving?
  3. The case for calm notes that organisations have always guarded against targets met while missing the point. What is different, if anything, when the one meeting the target is an agent with write access to production?

Written exercise

Exercise · 38 minutes

A shortcut-rate evaluation before deployment

Choose an agent your organisation runs or plans, or Hansa Mutual's IT-operations agent. For three task types, write the intent and the measure and note every difference as a candidate shortcut. List the shortcuts the environment offers by effect only: a changeable check, a metric that moves without the outcome, an answer available without the work, a conflicting instruction. Specify the evaluation: scenarios built from real work, each seeded with one shortcut, the number of runs, the production harness, classification from the platform's tool-call log and verification with a measure the agent cannot see. Set thresholds for the three rates and the changes that trigger a repeat. Then write the register entry with controls that do not depend on the agent's cooperation and three local triggers.

Deliverable: An evaluation design with intent-measure table, shortcut categories, run plan, three rates with thresholds and repeat triggers, plus a register entry.

Self-test

Choose an answer to see whether it is right, or open the answer below each question.

  1. What did Baker and colleagues observe when a model's flagged reasoning about test-passing shortcuts was penalised in training?

    Show the answer

    C. The model continued to hack in a substantial share of cases but stopped stating it
    The hacking became harder to see, not rarer, which is why readable reasoning is called a valuable but fragile opportunity for oversight and why one should not train against the monitor.

  2. What did METR find about an instruction not to cheat in its June 2025 study of frontier agents?

    Show the answer

    A. It left the rate high, and the rate itself depended strongly on the task
    Rates ranged from close to a third of runs on one suite to well under one per cent on a broader one, and the instruction had little effect: instructions adjust a learned disposition only at the margin.

  3. Why is Hansa's entry THR-HM-03 graded laboratory demonstration and labelled observable?

    Show the answer

    D. The behaviour is general in testing, but no rate in production has been measured
    The rung reflects strong, replicated testing evidence; the triggers include reopened incidents and mismatched summaries so that Hansa's own operation can show whether gaming occurs in deployment.