Task-oriented conversational agents remain fragile under realistic conditions, especially when users exhibit non-cooperative behavior. Existing function-calling benchmarks underrepresent adversarial conversation trajectories, thereby limiting the training resources available for developing robust agents. We present MADS (Multi-Agent Dialog Simulation), a synthetic data generation pipeline that produces structured, diverse dialogue trajectories. We inject adversarial conversation, producing validated conversation trajectories that capture realistic, unhappy paths. Using MADS, we construct MADS-Bench: a benchmark spanning six domains, 55 personas, and 1095 conversations, with approximately 66% of conversations containing failure-prone conversation scenarios. We evaluate the robustness of the trained models using a two-stage training approach that combines supervised fine-tuning (SFT) and reinforcement learning with verifiable rewards (RLVR).
Figures & tables
Figure 1: Illustration of an impossible scenario. Success requires explaining the unsuitability and proposing an alternative date, not scheduling the event.
Figure 2: Illustration of an unhappy-path scenario. The injected behavior is partial information: the user cannot provide a service ID or confirmation code. The agent must recover by invoking find_service before rescheduling.
Figure 3: Multi-Agent Dialog Simulation (MADS) pipeline for generating validated tool-augmented dialogue trajectories. Scenario configurations specifying task objectives, user personas, tool definitions, and injected adversarial behaviors are used to initialize a three-agent simulation consisting of a user agent, assistant agent, and tool agent.
Split
Turns
Conversations
Scenarios
Avg Turns
Train
574
106
46
5.42
Test
521
83
54
6.28
Total
1095
189
87
—
Table 1: MADS-Bench dataset summary
Figure 4: MADS-Bench training split distribution by domain (left) and scenario complexity (right). Banking dominates the training set (62.3%), while unhappy-path scenarios account for 42.5% of training conversations, reflecting the dataset’s emphasis on non-cooperative user behaviors.
Figure 5: MADS-Bench test split distribution by domain (left) and scenario complexity (right). Home Services appears exclusively in the test set, serving as a held-out domain for cross-domain generalization evaluation. The test set is predominantly composed of normal scenarios (71.1%), with unhappy-path and impossible scenarios comprising the remaining 28.9%.
Model
Approach
Dataset
Action Recall
Tool F1
Param Match
Response F1
Response Sim.
Qwen2.5-7B
Pre-Act
Base
0.22
0.38
0.38
0.07
0.14
Pre-Act
SFT-APIGen
0.32
0.50
0.38
0.1
0.15
Pre-Act
SFT
0.60
0.70
0.44
0.25
0.51
ReAct
Base
0.51
0.68
0.43
0.12
0.29
ReAct
SFT-APIGen
0.42
0.51
0.43
0.17
0.21
ReAct
SFT
0.54
0.54
0.44
0.15
0.35
Table 2: L1 (turn-level) evaluation on the MADS test set comparing supervision sources . Approach denotes the inference-time prompting format (Pre-Act vs. ReAct). Supervision indicates the dataset used for SFT (APIGen vs. MADS). All models are trained with a Pre-Act system prompt; ReAct is applied only at inference time.
Model
Approach
Stage
Action Recall
Tool F1
Param Match
Response F1
Response Sim.
Qwen2.5-7B
Pre-Act
SFT
0.60
0.70
0.44
0.25
0.51
Pre-Act
SFT+RLVR
0.67
0.77
0.51
0.21
0.46
ReAct
SFT
0.54
0.54
0.44
0.15
0.35
ReAct
SFT+RLVR
0.67
0.80
0.48
0.23
0.50
Qwen2.5-32B
Pre-Act
SFT
0.66
0.70
0.66
0.32
0.57
Pre-Act
SFT+RLVR
0.70
0.82
0.67
0.32
0.57
Table 3: L1 (turn-level) evaluation on the MADS test set comparing training stages on MADS . Stage denotes the optimization stage (SFT → SFT+RLVR). Approach denotes the inference-time prompting format (Pre-Act vs. ReAct). All models are trained with a Pre-Act system prompt; ReAct is applied only at inference time.
Model
Training Stage
Task Success(%)
Qwen2.5-7B
SFT
24.49
SFT+RLVR
39.78
Qwen2.5-32B
SFT
44.08
SFT+RLVR
53.96
Table 4: L2 (trajectory-level) task success on the MADS-bench test set. Training Stage denotes optimization on MADS (SFT vs. RLVR).
Domain
APIGen
MADS-Bench
SFT
SFT
SFT+RLVR
7B
7B
32B
7B
32B
Banking
33.33
44.44
16.67
33.33
66.67
Calendar
45.51
35.00
46.15
57.44
69.23
Home Services (Held Out)
40.92
28.87
49.95
42.50
53.87
Online Shopping
37.64
19.44
39.17
37.64
43.10
Table 5: L2 task success rate (%) by domain. Models are evaluated on the MADS-Bench test set. APIGen models are trained with SFT only. MADS-Bench models are trained with SFT and further refined with RLVR. The Home Services domain was excluded from training to evaluate cross-domain generalization. Travel contains a single test instance.
Complexity
APIGen
MADS-Bench
SFT
SFT
SFT+RLVR
7B
7B
32B
7B
32B
Normal
35.82
23.57
38.06
40.28
48.94
Unhappy Path
29.04
23.25
57.72
39.04
68.86
Impossible
40.0
40.00
63.33
36.67
56.67
Table 6: Task success (%) by scenario complexity for different model configurations (training data and objective). Unhappy-path scenarios involve non-cooperative user behaviors, such as goal changes and tool failures. Impossible scenarios require the agent to recognize task infeasibility and respond gracefully. APIGen models are trained only with SFT. MADS models are trained with SFT and further refined with RLVR. All models are evaluated on the MADS-Bench test set.
Task-oriented conversational agents remain fragile under real world conversation scenarios as they rarely follow a predictable script, especially when users exhibit non-cooperative behavior. Existing function-calling benchmarks often emphasize successful, cooperative interactions and underrepresent adversarial conversation trajectories, thereby limiting the training resources available for developing robust agents. We present ToolRACER, a synthetic data generation pipeline that coordinates user, assistant and tool emulation models to generate and validated multi-turn interactions between a user and an agent. Using ToolRACER, we construct ToolRACERBench a robust multi-turn conversation benchmark spanning six domains, ranging over 55 varied personas, generating a validated corpus of 5.6K conversation trajectories, with approximately 66% of conversations containing failure-prone conversation scenarios. We inject adversarial behaviors, producing validated conversational interaction trajectories that capture realistic, robust scenarios. We evaluate models trained on ToolRACERBench against internal benchmarks, as well as on function calling benchmarks such as τ2-bench, BFCLv3 and ACEBench to evaluate agentic accuracy and robustness. Models trained on ToolRACERBench improve end to end agentic accuracy across τ2-bench and ACEBench, demonstrating significant gains when mixed with in-domain dataset in small language models for agent capability tasks.
We propose MADS (Multi-Agent Dialogue Simulation), a scalable framework for generating persuasive multi-turn dialogues via agent self-play. MADS employs three coordinated agents: User Agents designed to simulate diverse persona-driven behaviors by leveraging personality signifiers such as Zodiac Signs and MBTI types, a Dialog Agent executing task-oriented persuasion strategies and an Optimization Agent evaluating and refining dialogue outcomes. We further validate its effectiveness through users' Chain-of-Attitude (CoA) modeling and dedicated LLMs' persuasion assessment. This approach enables low-cost generation of training data without human annotation, addressing key industry challenges such as lack of user data, cold-start evaluation difficulties, and prompt inefficiency. Applied to a real-world marketing scenario, MADS significantly improved the persuasion capacity of small LLMs, increasing the organic traffic conversion rate by 22.4% (from 1.83% to 2.24%) , demonstrating clear business value.
Task-oriented conversational agents are evaluated using curated or automatically generated benchmarks, yet benchmark quality is rarely assessed. Poor benchmarks may contain inconsistent tasks, simplistic scenarios, or limited policy coverage, leading to unreliable evaluations. We introduce a reference-free framework that uses LLM judges to assess benchmark consistency, complexity, and policy coverage, while providing actionable diagnostics of weaknesses. We validate the framework by demonstrating agreement with independent human annotations and by evaluating benchmarks generated by LLMs of varying capabilities, as well as benchmarks subjected to controlled quality-degrading perturbations. Across domains and judge models, the proposed metrics consistently distinguish between benchmark quality levels. We further demonstrate the framework's applicability to manually curated benchmarks. Our framework offers a practical approach for evaluating synthetic and manually curated conversational-agent benchmarks.