The vocabulary of modern AI agent systems — harnesses, hooks, graphs, and everything else that turns a model into something that acts — with the shape it makes on paper.
What an agent actually is, structurally — the model, the loop wrapped around it, and what goes into that first message.
| Term | What it is | Shape |
|---|---|---|
| AgentLLM in a loop, with tools | A model wrapped in a loop that can call tools, observe the results, and decide its next action — not one prompt-to-text call, but a running process that decides what to do next. The line between "agent" and "workflow" is how much the model itself decides the next step. |
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| HarnessAgent runtime, scaffold | The program running the loop around the model: it sends the prompt, parses tool calls out of the response, executes them, feeds results back, and decides when to stop. Claude Code, an IDE plugin, a CLI — all harnesses. The model provides judgment; the harness provides the loop, the tools, and the guardrails around both. |
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| System promptInstructions, preamble | The instructions the harness prepends before the conversation starts — persona, rules, available tools, output format. Set once per session, invisible to the end user, and treated by the model as higher-authority than user turns. Not a magic override — a strong user instruction can still contradict it in the model's eyes. |
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| Tool useFunction calling | The model outputs a structured request — a function name and arguments — instead of prose, and the harness executes it and returns the result as a new message. This is what turns a text generator into something that can act. The model never runs the tool itself; it only ever asks for it to be run. |
How control actually flows through a system, from a flat pipeline to a full graph with branches and cycles.
| Term | What it is | Shape |
|---|---|---|
| Agentic loopThink–act–observe loop | The core control structure: the model reasons about what to do, calls a tool, sees the result, and repeats — with no fixed number of steps — until it decides the task is done or a stop condition is hit. Unbounded by design. Real harnesses cap it with a max-iterations or budget guard. |
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| GraphState graph, workflow graph | A control flow expressed as nodes (a call to the model, a tool, a check) and edges (which node runs next), often with conditional branches and cycles. LangGraph and similar frameworks compile agents this way instead of a single implicit loop. Trades the loop's flexibility for explicit, inspectable, resumable control flow. |
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| ChainPipeline | A fixed sequence of steps — prompt A, then prompt B on its output, then a parser — with no branching and no loop. The simplest control flow, and often all a task needs. If you're not sure whether you need an agent, you probably need a chain. |
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| Planner–executorPlan-and-execute | One call produces a multi-step plan up front; a separate loop — often a simpler, cheaper one — executes each step and only calls back to the planner if a step fails or the plan needs revising. Cuts planning cost: you pay for one expensive reasoning pass, not one per step. |
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| RouterIntent classifier, dispatcher | A cheap first step that classifies the incoming request and sends it to the right specialized prompt, tool set, or sub-agent — instead of one generalist prompt handling everything. Usually the highest-leverage place to put a small, fast, cheap model. |
What the model can actually see at any given moment, and how that changes across turns and sessions.
| Term | What it is | Shape |
|---|---|---|
| Context windowContext length | The total tokens the model can attend to in one call — system prompt, conversation history, tool results, everything — all competing for the same fixed budget. Bigger isn't free: relevant information buried in a huge context is still easy for the model to under-weight. |
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| Context engineeringWhat goes in the window | Deliberately deciding what to put into the context window and in what order — which files, which past turns, which tool results, summarized or verbatim — since the model can only act on what's actually there. The successor to "prompt engineering" once the hard part became curation, not phrasing. |
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| RAGRetrieval-Augmented Generation | Fetching relevant documents from an external store — usually by vector or keyword search — and inserting them into the context before generating an answer, grounding the model in facts it wasn't trained on. Only as good as the retrieval step: a great model on bad search results still answers wrong. |
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| MemoryShort-term vs long-term | Short-term memory is just the current context window. Long-term memory is state written to external storage — a file, a database row, a vector store — deliberately saved and re-loaded across sessions. A model has no memory of its own; every "memory" is something the harness chose to persist and re-inject. |
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| Prompt cachingKV cache reuse | Reusing the model's internal computation for a prefix of the input that hasn't changed since the last call, so a long, stable system prompt or tool schema doesn't get reprocessed — and re-paid for — on every turn. Put stable content (system prompt, tool defs) first and volatile content (the latest user turn) last, so the prefix actually stays stable. |
How an agent reaches out of the conversation and into the world — and how that reach gets contained.
| Term | What it is | Shape |
|---|---|---|
| ToolFunction | A named capability the harness exposes to the model with a schema — a description and typed parameters — that the model can invoke by name. Search the web, read a file, run SQL: each is one tool. The description in the schema matters as much as the code — it's the model's only way of knowing when to reach for it. |
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| MCPModel Context Protocol | An open standard for exposing tools, data sources and prompts to any compatible agent over a common protocol, so a server built once — a database connector, a search API — plugs into many different harnesses without custom glue code. Think of it as a USB-C port for tools: one interface, many devices on either side. |
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| HooksLifecycle callbacks | Code the harness runs at fixed points in the loop — before a tool executes, after the model responds, when a session starts — independent of the model's own reasoning. Used to enforce policy, log, or block an action outright. Deterministic where the model is not: a hook always runs, whether or not the model "remembers" the rule. |
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| SandboxIsolated execution environment | A restricted environment — a container, a VM, a scoped filesystem — where an agent's actions (running code, writing files) are contained, so a mistaken or adversarial action can't reach the host system. The blast-radius question to ask before granting any tool: what's the worst this can do inside the box? |
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| Computer useGUI agent | An agent that operates a real user interface — moving a cursor, clicking, typing, reading the screen — instead of calling structured APIs, for the many tasks that only exist as a GUI. Slower and less reliable than an API call; reach for it only when no API exists. |
Patterns for splitting one big task across several agents instead of asking one to do everything.
| Term | What it is | Shape |
|---|---|---|
| Orchestrator+ sub-agents | One agent (the orchestrator) breaks a task apart and delegates pieces to other agents (sub-agents), each with a narrower scope, then assembles their results. The orchestrator never does the work itself. Give sub-agents fresh, minimal context — don't just hand them the orchestrator's whole history. |
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| Multi-agent systemAgent swarm | Several agents working on the same problem, each with its own context, role and sometimes its own model, communicating through messages, a shared document, or a coordinator — instead of one agent doing everything. Adds coordination overhead and cost; only worth it when the roles genuinely benefit from separate context. |
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| HandoffAgent transfer | One agent explicitly passes control of the conversation to another, along with enough context to continue, instead of calling it as a sub-routine and waiting for a return value. The receiving agent takes over fully. Different from delegation: a handoff doesn't come back to the first agent unless handed off again. |
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| Blackboard patternShared workspace | Multiple agents read and write to one shared piece of state — a document, a scratchpad — instead of messaging each other directly, each contributing when it has something relevant to add. Simpler to add new agents to than a fixed message-passing topology; harder to reason about who changed what. |
Where a system checks its own work, and what it looks like when checking is skipped or a claim goes unverified.
| Term | What it is | Shape |
|---|---|---|
| GuardrailsInput/output checks | Checks that run on what goes into the model or comes out of it — a content filter, a schema validator, a policy check — that can block or rewrite a step before it takes effect. Distinct from a hook: guardrails specifically judge content, not just fire at a point in time. Put the expensive check on the output, the cheap one on the input — most bad inputs never reach the model at all. |
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| Human-in-the-loopHITL | A required pause for human approval before a consequential action executes — sending an email, deleting data, spending money — instead of letting the agent act fully autonomously. Scale the approval to the blast radius: read-only actions rarely need it, irreversible ones almost always should. |
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| EvalsEvaluations | A test suite for a model or an agent's behaviour: a fixed set of inputs with a way to score the outputs, run before shipping a prompt or model change to see whether it actually made things better. Without evals, every prompt tweak is a guess — you're optimizing on vibes, not a number that can regress. |
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| GroundingFact anchoring | Tying a model's output to a verifiable external source — a retrieved document, a tool result, a citation — so a claim can be checked, instead of relying purely on what the model recalls from training. RAG is one way to ground; a calculator tool grounding an arithmetic answer is another. |
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| HallucinationConfabulation | The model producing a confident, fluent, and wrong statement — a fabricated citation, an API that doesn't exist — with no signal to the reader that it's unsupported. A generation-quality problem, not a bug in the traditional sense. Grounding reduces it; nothing eliminates it — always treat unverified model output as a claim, not a fact. |
How a model's behaviour gets shaped — permanently through training, or temporarily through what's in the prompt.
| Term | What it is | Shape |
|---|---|---|
| Fine-tuningPost-training | Continuing to train an already-trained model on a smaller, task-specific dataset, adjusting its weights so the behaviour shifts permanently — unlike a prompt, which only steers that one call. Expensive and slow to iterate on compared to a prompt; reach for it only after prompting has hit a real ceiling. |
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| RLHFReinforcement Learning from Human Feedback | Training a model to prefer outputs that humans rate as better — humans rank candidate responses, a reward model learns from those rankings, and the model is optimized against that reward signal. What turns a raw text predictor into something that behaves like an assistant. |
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| In-context learningFew-shot prompting | The model picking up a pattern from examples placed directly in the prompt — no weight updates, no training run — and applying it to a new input in the same call. Cheaper than fine-tuning and reversible; costs context-window space on every single call instead. |
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| DistillationKnowledge distillation | Training a smaller, cheaper model to imitate a larger one's outputs, so most of the capability survives at a fraction of the size and inference cost. The usual path from "we prototyped with the biggest model" to "we ship with a small one". |
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| Chain-of-thoughtReasoning trace | Prompting or training a model to write out intermediate reasoning steps before its final answer, which measurably improves accuracy on multi-step problems — and gives a human something to inspect for where the reasoning went wrong. Modern reasoning models generate long internal chains of thought automatically, often hidden from the final output. |
The mechanics underneath every call: what gets counted, what gets tuned, and what determines how it feels to use.
| Term | What it is | Shape |
|---|---|---|
| InferenceServing | Running a trained model forward to produce an output — as opposed to training, which adjusts its weights. Everything an agent does at runtime is inference; training already happened, long before, somewhere else. |
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| TokenSub-word unit | The unit the model actually reads and writes — usually a few characters, not a whole word. Cost, context-window limits and rate limits are all measured in tokens, not words or characters. Rough rule of thumb: about 4 characters of English per token. |
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| TemperatureSampling, randomness control | A parameter controlling how much randomness goes into picking the next token. Low (near 0) is nearly deterministic and repetitive; high pushes toward more varied, sometimes less coherent, output. Use low temperature for tool calls and structured output, higher only where creative variety is actually wanted. |
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| StreamingToken-by-token output | Sending each token to the client as soon as it's generated, instead of waiting for the full response, so a user sees words appear progressively rather than staring at a blank screen until it's all done. |
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| LatencyTTFT, tokens/sec | Time-to-first-token (TTFT) is the delay before the first token appears; tokens-per-second is the speed once it starts. Together they determine how an agent actually feels to wait on — a slow TTFT feels broken even if throughput is fine. |