What exactly is an AI Agent?

Imagine a fully functional autonomous system that can carry out complex tasks, continuously improve by learning while doing said tasks and initiate actions to make their work more efficient, all without any human interference. As hard as it is to imagine, these systems called AI agents already exist and in increasingly complex forms. This could be an AI agent at a call center that is able to analyze customer queries and internal documents to independently provide the best solution or a fraud detection system at a financial institution that can shut down fraudulent transactions in real time independently.

AI agents are the results of decades of research into AI, producing systems that are able to perform complex tasks all on their own without relying on external intervention. These AI agents can analyze data or available information to offer insights and independently take action to streamline business processes and improve customer interactions. This is a game changer for many companies that are now able to work hand in hand with AI agents to improve their businesses.

What is an AI agent?

AI agents are essentially systems that are able to make decisions by analyzing available information and data and so perform multiple complex tasks. AI agents are given objectives and with these, devise strategies to perform tasks that will bring them closer to achieving their objectives. Like humans, AI agents learn on the job and use feedback and other communication to learn how to perform their tasks more efficiently. Some of them are also able to work together with other AI agents and, in the case of chatbot agents, communicate with customers in a human-like manner. As with any other type of AI technology, goals and objectives are set by humans but AI agents are unique in their ability to independently choose the best course of action to achieve these goals.

AI agents range from simple to complex. By its definition, a simple thermostat that senses the temperature of a room and takes steps to maintain the desired temperature can be classified as an AI agent. As is an AI agent that is able to represent an individual by mimicking human interactions and carrying out tasks that they would normally do. While this type of AI agent is still in the works, we have come a long way from the thermostat. Today, there are AI agents for all kinds of applications including e-commerce AI agents that are able to place orders, give personalized recommendations to customers and carry out various tasks to make the entire process more efficient. There are also customer support agents that are able to take action on behalf of customers including managing account details and changing passwords.

How AI agents work

AI agents function by combining various technologies and algorithms. This helps them to interpret and simplify complex tasks in order to carry them out. Some of their core components are,

• Perception: AI agents rely on sensors or other input mechanisms to detect their surroundings. This usually involves collecting data from various sources like cameras, microphones etc. 

• Reasoning: This follows the perception process and involves the agent processing the information obtained to make informed decisions. This involves interpreting the data using reasoning and logical rules. An example is a personalization system that suggests actions based on data gotten from previous interactions.

• Action: The AI agent can then take actions to achieve its goals based on the reasoning obtained.

• Learning: After the cycle, AI agents improve their performance by learning from their experiences, adjusting their process and actions to create a more efficient process. This is done using reinforcement learning and supervised or unsupervised learning depending on the task.

With these components, AI agents are able to follow a specific workflow when performing a task. This is usually like this:

• Receive data: The first step for an AI agent is receiving the specific objective from the user. Once gotten, the AI agent can break down the objective into smaller actionable tasks that it can perform to achieve the desired goal.

• Analyze data: The next step is to process the data available in order to be able to act on tasks. This can include information obtained from internal data such as customer logs in the case of a call center AI agent or external data obtained by scouring the internet.

• Decide on action: Using the analyzed data, the AI agent is able to decide on the best course of action that will help achieve the overall objective.

• Act: Finally, the AI agent will begin to implement the plan, moving on to the next task as soon as it accomplishes a task. The AI agent will also analyze tasks, learning from them in order to adjust the plan if necessary.

Types of AI agents

There are different types of AI agents depending on their role and the environment in which they are in. Companies use different types of AI agents determined by the purpose of the agents. These are the  types of agents:

Simple reflex agents

Simple reflex agents are the simplest type of AI agents, workly strictly with the information and rules that they are given with no regard for anything else. They have very limited intelligence and don’t adapt to changes in the environment. Because of this, these agents are usually used for simple tasks that occur in a fully observable environment. An example of a simple reflex agent is the thermostat that was mentioned earlier.

Model-based reflex agents

Model based reflex agents are similar to simple reflex agents but are slightly more advanced. Unlike simple reflex agent, it is able to analyze the possible outcomes of their tasks before performing them. This allows it to build an internal model of its current state based on the data available and make decisions based on them.

Goal-based agents 

These type of AI agents, also known as rule-based agents, are a lot more advanced than the first two. Goal-based reflex agents require additional data including environmental data and desirable outcomes. Using these, it is able to compare different approaches before deciding on the most feasible and efficient approach. Because of this, it is often used in more complex situations where specific goals need to be achieved. A virtual assistant that schedules tasks for optimal efficiency would be built using a goal-based agent.

Utility-based agents

Utility-based agents are very similar to goal-based utility agents but are able to provide an extra layer of utility measurement. This means that it is able to measure the utility of different actions to choose the action that is best for every scenario. This way, it considers not only the goal itself but also the best way to achieve that goal. An example of utility-based agents is a booking system that considers pricing as well as quality.

Learning agent

Like its name implies, this type of AI agent is able to learn continuously from its environment and experiences and use them to improve its performance over time. This type of agent is able to start with basic knowledge and adapt automatically using feedback mechanisms and sensory input. It is also able to create new tasks for Itself using past experiences to improve itself. A recommendation system that provides personalized suggestions using a customer’s feedback is a learning agent.

Benefits of AI agents

AI agents are one of the most versatile and as such valuable technologies there are today. Companies can deploy AI agents to various areas of their business, improving productivity and efficiency and lowering costs for the company. Without the need for human intervention, AI agents can tackle repetitive tasks in the background thereby freeing up time for business teams who are able to tackle more urgent tasks. This allows companies to be more productive and run more efficiently while increasing their output. With AI agents, they are also able to reduce costs that might have emerged as a result of human error or inefficient processes.

With AI agents, companies are also able to make better decisions as a result of their ability to analyze large amounts of data to extract trends and patterns that are useful in decision making. With this advantage, companies are better equipped to predict sales forecasts and adjust their processes accordingly. AI agents also allow companies to provide their customers with a more engaging and interactive service experience. Tools like personalized product recommendations allow companies to stay ahead of the competition and inspire brand loyalty among customers. Some companies also use AI agents to analyze potential risks and brainstorm solutions and preventative measures.

Conclusion 

AI agents are a developing technology that will have a lot of potential to completely transform the way that we do business. With AI agents, companies are able to outsource a large part of their menial tasks, freeing up their employees to do more construction and creative work. Since AI agents are autonomous and can learn on their own, companies can rest assured that tasks will be completed without any human supervision. Although there are some challenges withAI agents including data privacy concerns and technical limitations, with more research and ethical safeguards, the sky's the limit.