This video provides a step-by-step guide to building effective AI evaluations (evals) for production-ready AI applications, emphasizing the critical role of product managers. It demonstrates a practical error analysis process using a real-world AI agent, Nurture Boss, showcasing how to identify nuanced failures through trace analysis, categorize them using 'open' and 'axial' coding, and prioritize fixes. The speakers also detail how to construct and validate LLM-as-a-judge evals, stressing the importance of binary scoring and appropriate metrics like True Positive Rate and True Negative Rate over simple agreement, while cautioning against common mistakes like skipping or outsourcing error analysis.