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15 · Agent Development

How Are AI Agents Built?

An AI agent is not one model or one tool. It is a system that combines model intelligence with instructions, tools, state, and an execution loop.

Main architecture

From a user goal to a result

User goal
↓

Agent System

ModelInstructionsPlanningState / MemoryAgent Loop
↓
TOOLS / MCP / APIsApproved actions the system can call
↓
EXTERNAL SYSTEMSBrowser · Database · Files · Business Apps
↓
Result
HUMAN APPROVALReview or confirm sensitive actions.
CONTROLPermissions, limits, logs, and stop conditions.
The core building blocks

Six pieces working together

THINK

Model

Generates or reasons about the next useful step.

DIRECT

Instructions / System Prompt

Sets the role, rules, context, and boundaries.

ACT

Tools

Lets the system take approved actions in the world.

REMEMBER

State / Memory

Keeps task context, history, and useful information.

CONNECT

API / MCP

Provides a structured bridge to external capabilities.

CONTROL

Permissions / Human Approval

Defines what can happen automatically and what needs review.

The agent loop

Action happens in a cycle

GOAL
→
OBSERVE
→
PLAN / DECIDE
→
ACT
→
OBSERVE RESULT
→
UPDATE STATE ↺
Goal completedBlockedApproval requiredFailure / stop condition

The loop continues until one of these conditions is reached.

One simple example

“Check order 123 and draft an update email.”

01User Goal
→
02Agent reads order ID
→
03Tool call: get_order("123")
→
04System returns status
→
05Agent updates state
→
06Agent drafts email
→
07Human reviews → send if approved
Common agent patterns

Four common shapes

SINGLE AGENT + TOOLS

One agent uses a set of tools to complete a task.

AGENT + RAG

An agent retrieves relevant knowledge before acting.

AGENT + HUMAN APPROVAL

The agent proposes actions while a person controls sensitive steps.

MULTI-AGENT

Several specialized agents coordinate on one larger task.

Where frameworks fit

Frameworks assemble the pieces

BUILDING BLOCKSModel · tools · state · loop
→
FRAMEWORKOrchestration and reusable patterns
→
APPLICATIONA useful experience for people

Frameworks help developers assemble and manage these pieces. Explore Agent Frameworks →

Agent vs model

Capability vs system

MODEL

Generates and reasons.

+

AGENT SYSTEM

Uses model capability inside an action loop.

Model + Tools + State + Loop = Agent System
Agent vs workflow

Dynamic vs predefined

AGENT

Can dynamically decide the next steps.

↔

WORKFLOW

Often follows predefined steps.

Real systems can combine both.

Remember this

An agent is a system

An AI agent is built by combining a model with instructions, tools, state, and a loop that lets it act toward a goal.

Acceptance check

HOW AGENTS ARE BUILT PAGE PASS / FAIL

PASS when you can explain what an Agent is made of, Model vs Agent, the Agent Loop, Tools / State / MCP, and Agent vs Workflow.

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