AI Agent Handbook
Understanding the Full Stack of Autonomous AI Agents—Models, Memory, Tools, Reasoning, Evaluation, and Operations

About This Book
A comprehensive guide to building and deploying intelligent autonomous agents that can reason, act, and learn. This handbook covers the full stack from foundational models to advanced reasoning techniques, memory systems, tool integration, evaluation methods, and operational best practices.
For
AI engineers, researchers, product managers, and anyone interested in building intelligent autonomous agents that can reason, plan, and act in complex environments.
Key Topics
Table of Contents
Part I: Introduction to AI Agents
2 chapters
Part I: Introduction to AI Agents
What Is an AI Agent?
Explains the core idea of an AI agent in clear terms, describing it as a program powered by AI that can perceive instructions, decide on actions, and produce results autonomously.
The Personal Assistant We'll Build
Presents a friendly 'personal assistant' example that will grow throughout the book, giving readers a motivating overview of what this assistant will eventually be able to do.
Part II: Language Models: The Brain of the Agent
3 chapters
Part II: Language Models: The Brain of the Agent
Language Models: The Brain of the Agent
Introduces language models as the foundation of AI agents, explaining how they power every agent's ability to understand language and generate responses.
How Language Models Work (in Plain English)
Describes the basics of large language models in an accessible way, covering how models are trained to predict text and explaining concepts like vocabulary and next word prediction.
Using a Language Model in Code
Walks through a simple, runnable Python snippet that calls a language model to generate text, showing the practical side of connecting to a model.
Part III: Prompting: Communicating with Your AI
3 chapters
Part III: Prompting: Communicating with Your AI
Prompting: Communicating with Your AI
Introduces the fundamental skill of communicating with AI agents through prompts, explaining why clear instructions matter and how to guide model responses effectively.
Crafting Clear Instructions
Teaches the basics of writing good prompts, emphasizing using plain, direct language and giving the AI enough detail about what you want.
Prompting Strategies and Tips
Introduces practical strategies for more effective prompting, including guiding the AI with roles or context and few-shot prompting techniques.
Part IV: Reasoning: Teaching the Agent to Think
3 chapters
Part IV: Reasoning: Teaching the Agent to Think
Reasoning: Teaching the Agent to Think
Shows how to get the AI agent to reason through problems step by step using chain-of-thought prompting and other simple techniques to significantly improve the agent's ability to handle complex questions.
Step-by-Step Problem Solving (Chain-of-Thought)
Introduces chain-of-thought reasoning, showing how we can prompt the model to think in steps and break down complex questions.
Checking and Refining the Agent's Reasoning
Explains how an agent can be guided to check its own work or refine its answers, leading to more accurate and trustworthy outcomes.
Part V: Tool Use: Extending the Agent's Abilities
3 chapters
Part V: Tool Use: Extending the Agent's Abilities
Why Agents Need Tools
Uses everyday scenarios to illustrate the limitations of a stand-alone AI model and why tools are helpful for getting up-to-date information or performing precise calculations.
Designing Simple Tool Interfaces
Explains how we can connect tools to the agent in practice, describing a basic framework where the agent decides when to use a tool and how to invoke it.
Example: Adding a Calculator to Our Agent
Provides a concrete walk-through of extending the personal assistant with a calculator capability, showing how tools can be integrated step by step.
Part VI: Memory and Retrieval: How Agents Remember
3 chapters
Part VI: Memory and Retrieval: How Agents Remember
Short-Term Conversation Memory
Coming SoonDescribes how the agent keeps track of recent dialogue or actions, discussing methods like storing the last N messages or summarizing the conversation.
Long-Term Knowledge Storage and Retrieval
Coming SoonIntroduces the concept of long-term memory for the agent, explaining how it might use a database or vector store to remember facts and retrieve information when needed.
Implementing Memory in Our Agent
Coming SoonWalks through how we can add memory to the personal assistant in code, showing how conversation history and long-term facts can be stored and retrieved.
Part VII: Agent State and Architecture: Putting It All Together
3 chapters
Part VII: Agent State and Architecture: Putting It All Together
Understanding the Agent's State
Coming SoonDefines what state means in the context of an AI agent, including the current user goal, conversation history, intermediate results, and available tools.
Designing the Agent's Brain (Architecture)
Coming SoonDescribes how all the pieces come together in a structured way, introducing a basic architecture that ties together input, state updates, tool use, reasoning, and output.
Managing State Across Interactions
Coming SoonExplains how the agent maintains continuity over multiple turns or tasks, ensuring the agent's state remains consistent and is cleared or updated appropriately.
Part VIII: Environment and Interaction: The Agent's World
3 chapters
Part VIII: Environment and Interaction: The Agent's World
Defining the Agent's Environment
Coming SoonExplains in intuitive terms what an environment means for an AI agent, contrasting different kinds of environments from chatbots to physical robots.
Perception and Action
Coming SoonDiscusses how the agent perceives its environment and how it takes actions, reinforcing the idea that the environment is interactive and changes based on the agent's actions.
Environment Boundaries and Constraints
Coming SoonHighlights the importance of defining what the agent can and cannot do in its world, introducing the idea of constraints for safety and practicality.
Part IX: Planning: Agents with a Plan
3 chapters
Part IX: Planning: Agents with a Plan
Breaking Down Tasks (Task Decomposition)
Coming SoonIntroduces task decomposition, explaining that when given a big goal, an agent should first split it into smaller, manageable pieces.
Plan and Execute
Coming SoonDescribes how the agent uses the plan it made to actually do the work step by step, discussing sequential execution and handling failures gracefully.
Example: Planning with Our Assistant
Coming SoonGives a concrete walkthrough of the personal assistant doing a planned task, showing how planning enables the agent to handle complex, multi-step tasks reliably.
Part X: Multi-Agent Systems: Teamwork Among AIs
3 chapters
Part X: Multi-Agent Systems: Teamwork Among AIs
Agents Working Together
Coming SoonDescribes what it means for AI agents to cooperate, presenting simple collaborative scenarios where agents work together to achieve goals more effectively.
Communication Between Agents
Coming SoonExplains how multiple agents might talk to each other and coordinate their actions, introducing the idea of messages and common protocols for agent communication.
Benefits and Challenges of Multi-Agent Systems
Coming SoonDiscusses why one might use multiple agents and what difficulties can arise, covering specialization, parallelism, robustness, and the need for careful design.
Part XI: Evaluation: Measuring Your Agent's Performance
3 chapters
Part XI: Evaluation: Measuring Your Agent's Performance
Setting Goals and Success Criteria
Coming SoonTeaches how to define what a 'successful' outcome looks like for an agent, encouraging clear, measurable goals like accuracy, task completion rate, or user satisfaction.
Testing the Agent with Examples
Coming SoonCovers creating and using test cases to evaluate the agent, showing how to build scenario tests and track performance over time.
Continuous Feedback and Improvement
Coming SoonEmphasizes that evaluation is an ongoing process, introducing the concept of a feedback loop: build → test → learn → improve.
Part XII: Observability and Debugging: Peering Inside the Agent
3 chapters
Part XII: Observability and Debugging: Peering Inside the Agent
Adding Logs to the Agent
Coming SoonShows how to instrument the agent with logging at key points, providing a snippet of code illustrating how to add logging to track the agent's decisions.
Understanding and Debugging Agent Behavior
Coming SoonTeaches how to interpret logs and use them to find problems, outlining a straightforward debugging approach for tracing the agent's line of thought.
Refining the Agent Using Observability
Coming SoonShows that observability isn't only for finding bugs but also for continuously refining the agent, discovering patterns and making improvements based on observations.
Part XIII: Safety and Governance: Keeping the Agent Aligned
3 chapters
Part XIII: Safety and Governance: Keeping the Agent Aligned
Content Safety and Moderation
Coming SoonFocuses on keeping the agent's outputs safe and benign, describing strategies like filtering responses and training the agent to politely refuse inappropriate requests.
Action Restrictions and Permissions
Coming SoonDeals with controlling what the agent is allowed to do, especially when tools and environment come into play, emphasizing the importance of constraints and sandboxing.
Ethical Guidelines and Human Oversight
Coming SoonBroadens the discussion to governance, explaining how to set ethical guidelines and incorporate human oversight, especially for high-stakes deployments.
Part XIV: Deployment and Operations: From Prototype to Production
3 chapters
Part XIV: Deployment and Operations: From Prototype to Production
Deploying Your AI Agent
Coming SoonExplains the steps to deploy the agent, outlining what deployment means: packaging the code, choosing where it runs, and how users will interact with it.
Monitoring and Reliability
Coming SoonEmphasizes the importance of keeping the agent running and trustworthy, discussing health checks, error handling, and scaling to handle more load.
Maintenance and Updates
Coming SoonDiscusses what happens after deployment, giving tips on how to safely update the agent and maintain it over time, including monitoring costs and optimizing the system.
Part XV: Performance and Cost Optimization: Doing More with Less
3 chapters
Part XV: Performance and Cost Optimization: Doing More with Less
Speeding Up the Agent
Coming SoonCovers techniques to make the agent respond faster, including using smaller models, limiting response length, and parallelizing operations.
Managing and Reducing Costs
Coming SoonFocuses on the cost aspect, providing tips on batching requests, using caching, and choosing the most cost-effective approach for each part of the agent's workload.
Scaling Up without Breaking the Bank
Coming SoonTalks about maintaining performance and cost-efficiency as usage grows, discussing horizontal scaling, cost control, and optimizing prompts and responses.
Coming Soon
This comprehensive handbook is currently in development. Each chapter will be published as it's completed, covering the full stack of autonomous AI agents from models and memory to tools, reasoning, evaluation, and operations.
Reference
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