You can certainly use the watchdog to monitor a process using outpost and send an alert based on the defined state transitions. I recommend you to watch the video located here that goes through this whole process - http://softwarecommunity.intel.com/videos/home.aspx?fn=1063. If you still have further questions, please let us know and we can provide additional support. Thanks for using the forum.
Hope this helps and good luck.
Your video is down. I have Intel Nuc too. We are using them in an industrial system, and developing software that will run on it. I cannot find any guidance on how to make use of watchdog timer. Why do you not have documentation on how to use a basic system function, or if you have, it, it's really hard ti find.