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ASHISH GHADIGAONKAR
ASHISH GHADIGAONKAR

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Overfitting & Underfitting — Beyond Textbook Definitions (Part 5)

Part 5 of The Hidden Failure Point of ML Models Series

Most ML beginners think they understand overfitting and underfitting.

But in real production ML systems, overfitting is not just “high variance”

and underfitting is not just “high bias.”

They are system-level failures that silently destroy model performance

after deployment — especially when data drifts, pipelines change, or

features misbehave.

This article goes deeper than standard definitions and explains the real engineering meaning behind these problems.


❌ The Textbook Definitions (Too Shallow)

You’ve seen these before:

  • Overfitting: Model performs well on training data but poorly on unseen data
  • Underfitting: Model performs poorly on both training and test data

These definitions are correct — but too simple.

Real production systems face operational overfitting and underfitting that textbooks don’t cover.

Let’s break them down properly.


🎭 What Overfitting Really Means in the Real World

Overfitting is not simply “memorization.”

Overfitting happens when a model:

  • Learns noise instead of patterns
  • Depends on features that are unstable
  • Relies on correlations that won’t exist in production
  • Fails because training conditions ≠ real-world conditions

Example (Real ML Case)

A churn prediction model learns:

"last_3_days_support_tickets" > 0  → user will churn
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But this feature:

  • Is NOT available at inference time
  • Is often missing
  • Behaves differently month to month

The model collapses in production.

Operational overfitting = relying on features/patterns that break when the environment changes.


🧠 What Underfitting Really Means in the Real World

Underfitting is not simply “too simple model.”

Real underfitting happens when:

  • Data quality is bad
  • Features don’t represent the true signal
  • Wrong sampling hides real patterns
  • Domain understanding is missing
  • Feature interactions are ignored

Example

A fraud model predicts:

fraud = 0  (almost always)
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Why?
Because:

  • Training data was mostly clean
  • Model never saw rare fraud patterns
  • Sampling wasn't stratified

This is data underfitting, not algorithm failure.


🔥 4 Types of Overfitting You Never Learned in Tutorials

1) Feature Leakage Overfitting

Model depends on future or hidden variables.

2) Pipeline Overfitting

Training pipeline ≠ production pipeline.

3) Temporal Overfitting

Model learns patterns that only existed in one time period.

4) Segment Overfitting

Model overfits to specific user groups or regions.


⚙️ Real Causes of Underfitting in Production ML

  • Weak/noisy features
  • Wrong preprocessing
  • Wrong loss function
  • Underrepresented classes
  • Low model capacity
  • Poor domain encoding

📈 How to Detect Overfitting

  • Large train–val gap
  • Sudden performance drop after deployment
  • Time-based performance decay
  • Over-reliance on a few unstable features
  • Drift detection triggered frequently

📉 How to Detect Underfitting

  • Poor metrics on all datasets
  • No improvement with more data
  • High bias
  • Flat learning curves

🛠 How to Fix Overfitting

  • Remove noisy/unstable features
  • Fix leakage
  • Add regularization
  • Use dropout
  • Time-based validation
  • Align training & production pipelines

🛠 How to Fix Underfitting

  • Add richer domain-driven features
  • Increase model capacity
  • Oversample rare classes
  • Tune hyperparameters
  • Use more expressive models

🧠 Key Takeaways

Insight Meaning
Overfitting ≠ memorization It’s operational fragility
Underfitting ≠ small model It’s missing signal
Pipeline alignment matters Most failures come from mismatch
Evaluation must be real-world aware Time-split, segment-split
Monitoring is essential Models decay over time

🔮 Coming Next — Part 6

Bias–Variance Tradeoff — Visually and Practically Explained


🔔 Call to Action

💬 Comment “Part 6” to continue the series.

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