English

Scaling Causal Mediation for Complex Systems: A Framework for Root Cause Analysis

Methodology 2025-12-18 v1 Artificial Intelligence Econometrics

Abstract

Modern operational systems ranging from logistics and cloud infrastructure to industrial IoT, are governed by complex, interdependent processes. Understanding how interventions propagate through such systems requires causal inference methods that go beyond direct effects to quantify mediated pathways. Traditional mediation analysis, while effective in simple settings, fails to scale to the high-dimensional directed acyclic graphs (DAGs) encountered in practice, particularly when multiple treatments and mediators interact. In this paper, we propose a scalable mediation analysis framework tailored for large causal DAGs involving multiple treatments and mediators. Our approach systematically decomposes total effects into interpretable direct and indirect components. We demonstrate its practical utility through applied case studies in fulfillment center logistics, where complex dependencies and non-controllable factors often obscure root causes.

Keywords

Cite

@article{arxiv.2512.14764,
  title  = {Scaling Causal Mediation for Complex Systems: A Framework for Root Cause Analysis},
  author = {Alessandro Casadei and Sreyoshi Bhaduri and Rohit Malshe and Pavan Mullapudi and Raj Ratan and Ankush Pole and Arkajit Rakshit},
  journal= {arXiv preprint arXiv:2512.14764},
  year   = {2025}
}
R2 v1 2026-07-01T08:27:57.687Z