What is Agentic AI & Its Role in Next-Gen Technology

What is Agentic AI? Discover its transformative role in next-gen technology, revolutionizing automation and human-machine collaboration.

· 11 min read
man looking happy - What is Agentic AI

Imagine a world where machines can autonomously choose their own goals, devise complex plans to achieve them, and execute them with little to no human intervention. This may sound like science fiction, but this capability already emerges in advanced artificial intelligence systems. Multi-agent AI, where multiple autonomous agents collaborate and interact to solve tasks, is a key component of this advanced technology. Agentic AI (also called autonomous AI) is the latest iteration of intelligent systems, and it can potentially revolutionize nearly every aspect of our lives. In this article, we'll unpack what agentic AI is, how it works, and what it means for the future of technology. You'll learn how agentic AI differs from traditional AI and discover its potential to drive innovation and solve complex challenges in cutting-edge technologies.

Lamatic’s solution, a generative AI tech stack, is a valuable tool to help you understand how agentic AI works and discover its potential to drive innovation and solve complex challenges in cutting-edge technologies. 

What is Agentic AI

women on a laptop - What is Agentic AI

Agentic AI is the technology that powers AI agents to act autonomously without human oversight. By serving as a comprehensive platform, agentic AI facilitates seamless interaction between AI agents and humans, fostering a collaborative environment where both can work together. 

This platform has tools and services to help AI agents quickly learn, adapt, and collaborate to handle complex and dynamic tasks. It’s the next frontier of AI, known for its ability to operate independently by:

  • Making decisions
  • Adapting to dynamic situations
  • Setting goals
  • Reasoning

Agentic AI Simplifies Development and Deployment

One of the standout features of agentic AI is that it can simplify the development and deployment of AI agents, so integrating AI into daily operations is less resource-intensive. With this framework, businesses can customize AI agents to meet their specific needs, whether those needs involve:

  • Automating repetitive tasks
  • Enhancing customer service
  • Driving strategic decision-making

The Rise of Flexible, Adaptable Agentic AI

Where traditional AI systems are rigid and struggle with complex, multistep tasks, agentic AI can be flexible and adaptable. The platform's flexibility and adaptability ensure that AI agents can be tailored to various industries and applications. 

Through natural language processing (NLP), agentic AI systems like Agentforce can mimic human behavior, making them ideally suited to handle a wide range of intricate and ever-changing situations.

The Features That Fuel Agentic AI's Performance 

Three main features contribute to agentic AI: 

  • Autonomy: Agents can perform tasks independently, without human oversight or direction. 
  • Adaptability: They can learn from their interactions, receive feedback, and change their decisions based on their learning. 
  • Goal Orientation: They can take specific tasks and explain how to achieve them. 

Agentic AI and the Dawn of Autonomous Intelligence

Agentic AI has the potential to change how we interact with technology. Though it’s still early, the groundwork being laid today points to a future where AI agents operate with the autonomy and adaptability of their human counterparts. This transformative potential promises to improve efficiency and bring new opportunities for innovation in almost every aspect of our lives.

How Agentic AI Works: The Basics Behind the Technology

Agentic AI operates through a complex network of autonomous software components known as "agents" that draw from massive amounts of data and learn from user behavior to improve over time. 

Teamwork Among AI Agents

Each agent is designed with specific goals and abilities, working harmoniously to tackle complex tasks. This innovative approach to agentic AI relies on advanced technologies such as machine learning, NLP, and knowledge representation that help agents learn, communicate, and reason effectively.

Scalability and Performance

The underlying architecture of agentic AI sits on a distributed systems platform, which ensures scalability and high performance. This platform allows multiple agents (or multi-agents) to operate simultaneously across different servers to enhance the system's efficiency and reliability. Agents can collaborate in real-time by sharing information and coordinating their actions to more intuitively and seamlessly interact with users.

The Agentic AI Process

Agentic AI uses AI models that autonomously complete tasks and manage workflows using machine learning, algorithms, and predictive analytics to make real-time decisions. It follows a five-step process to solve complex problems:

  • Perceive: AI agents gather and decode information from sensors, databases, and interfaces to turn data into insights. They pinpoint meaningful patterns and extract what’s most relevant in their environment.
  • Reason: A large language model (LLM) guides the reasoning process — understanding tasks, crafting solutions, and coordinating specialized models for jobs like content generation or image analysis.
  • Act: Agents perform tasks by connecting with external systems through APIs. Built-in guardrails ensure safety and compliance, such as limiting insurance claim processing to specific amounts before human review.
  • Learn: Agents evolve through feedback and improve with every interaction to refine decisions and processes. This continuous improvement drives smarter performance and greater efficiency over time.
  • Collaborate: Agent builder tools are designed to make it easy to deploy agents by lowering the barrier to entry for both experienced programmers and newcomers alike. 

Accelerating AI Development with Open-Source Tools

The open-source nature of the agentic builder tools further encourages a dynamic community of contributors who continuously improve the platform. This collaborative effort accelerates the development of new features and ensures that the technology remains at the forefront of AI innovation.Overall, the operational mechanics of agentic AI are designed to foster autonomy, adaptability, and efficiency. Using advanced technologies and a collaborative, open-source approach, agentic AI will change various industries and roles, improving how we interact with technology.

The Benefits of Agentic AI: How It Improves Businesses' AI Performance

Agentic AI represents a leap forward that sets it apart from its predecessor AI systems.

Enhanced Adaptability and Efficiency

One of its standout advantages is that it improves the adaptability and efficiency of AI applications. Agentic AI can significantly speed up development processes by automating tasks and making decisions independently. This autonomy saves time and reduces operational costs. The complex algorithms at the heart of agentic AI ensure improved overall performance, making it an asset in any industry.

Personalization

One of the most compelling advantages of Agentic AI is its potential to create more personalized and engaging user interactions. By mimicking human-like decision-making, agentic AI can offer intuitive and seamless interactions. 

Whether it's in customer service, healthcare, or education, the ability to provide personalized customer support can lead to higher user satisfaction and loyalty.

Informed Decision-making

Autonomous AI agents process vast data streams in real-time, providing actionable insights for more intelligent decisions. They confidently enable faster, data-driven choices by detecting patterns and forecasting outcomes.

Increased Productivity

Agentic AI automates repetitive tasks and streamlines workflows, allowing human teams to focus on strategic, high-value work. With real-time decision-making and continuous learning, these agents complete tasks faster and more accurately, boosting overall efficiency.

  • Types of AI Agents
  • Application Integration Framework
  • Generative AI Tech Stack
  • How to Build an AI app
  • Crewai vs Autogen
  • What is Agentic AI
  • Mobile App Development Frameworks
  • How to Integrate AI Into an App
  • How to Build an AI Agent

What Can Agentic AI Do?

a brain illustration - What is Agentic AI

Agentic AI, also known as an AI agent, is an entity that sits on top of other software tools and operates them. For example, an AI agent in a robotic system might use cameras, sensors, and monitors to collect data about its environment and then run that information alongside software to determine its next step. This is a process known as sensor fusion. 

Meanwhile, agentic AI in a software setting would collect data from other sources, such as:

  • APIs
  • Online searches
  • Text prompts
  • Databases that help the agents create a sense of perception and context.

Let’s dig a little deeper into some of the specialized features of agentic AI:

Agentic AI is Adaptive and Dynamic 

Agentic AI learns from previous patterns and data. This means it can change its strategy based on new or changing information it receives in real-time. While traditional workflows only move forward, agentic workflows can move forward and backward, with the ability to backtrack and mend errors. In other words, agentic AI can proactively anticipate needs and reflect on its work. 

For example, an autonomous vehicle may use agentic AI to improve its ability to distinguish between a piece of trash on the road and a squirrel. As it continuously monitors and analyzes its behavior, it can improve the outcome of its actions.

Agentic AI Can Independently Manage and Complete Tasks 

Agentic AI is sometimes referred to as autonomous AI. This is because it can communicate and collaborate with other AI systems and digital infrastructures on behalf of a human user or another AI agent. For example, you can tell an AI agent that you want to make spaghetti for dinner. 

The AI agent could then complete the steps necessary to find a recipe, make a list of ingredients, and order those ingredients to be delivered to your home from a local grocery store. 

Agentic AI Has a “Chaining” Ability 

This means the AI system can perform a sequence of actions in response to a single request. For example, if you ask an AI agent to “create a website,” it can perform all the steps needed to complete that task. This means that from 1 prompt, the AI agent can write the code for the structure, populate the pages with content, design the visuals, and test responsiveness. 

What is an Agentic Workflow? 

Agentic AI brings us closer to creating intelligent systems that can operate independently, collaborate effectively, and learn from their interactions with data. Agentic AI works because of a process known as an agentic workflow. An agentic workflow is a structured series of actions managed and completed by AI agents. 

From Goals to Action

When an AI agent is given a goal to complete, it begins the workflow by breaking down a task into smaller individual steps and then performing those steps. To carry out this series of steps, an AI agent spins up more versions of itself, creating a multi-agent system (MAS). In this workflow, the principal agent (a meta agent, orchestrator, or supervisor) delegates tasks to other agents, assigning values and interacting with memory in a feedback loop. 

Parallel Processing

The committee of agents works in parallel until the overall goal is complete. Within this MAS, each agent has an internal structure that allows it to function independently and collaboratively within its system. This collaboration depends on shared memory stores, which provide context regarding individual knowledge, past experiences, and belief states. 

Agentic AI and Generative AI 

If generative AI focuses on creating, agentic AI focuses on doing. Generative AI creates new content using predictive modeling and linear regression. Agentic AI uses mathematical systems to make decisions based on predictive modeling. Still, it goes a step further by carrying out an action–or a series of actions–on behalf of the user. 

Generative AI creates output based on prompts we input. Agentic AI differs from traditional AI in that it can initiate action. For example, an AI agent can create additional prompts and outputs based on the information it accesses.

What is Agentic RAG? 

Retrieval-augmented generation (RAG) is a method for getting better answers from a generative AI application by linking an LLM to an alternate instructed prompt or an external resource. Agentic RAG takes traditional RAG further by enabling the LLM to investigate rather than simply retrieve actively. 

Limitations of Traditional RAG

While RAG can retrieve answers and provide some context from documentation and datasets it can access, it relies on manual prompt engineering. Traditional RAG also has limited contextual awareness and relies exclusively on the initial query to retrieve relevant information. Agentic RAG is comparatively more sophisticated and dynamic. 

Enhanced Capabilities

It can create its questions, create context from its memory, and carry out additional tasks without being explicitly asked. This step beyond traditional RAG grants agentic RAG the ability to make more informed decisions on your behalf, independently of your manual intervention. For example, with conventional RAG, you can query a chatbot to show you a company’s return policy. 

Agentic RAG in Action

With agentic RAG, your query could serve you the return policy and then prompt you with the option of initiating a return. Upon this, the AI agents could complete the logistics of filling out the return form with your order number, verifying your credit card information for reimbursement, and completing the transaction on your behalf.

  • Crewai vs Langchain
  • AutoGPT vs AutoGen
  • LLM Agents
  • AI Development Tools
  • GPT vs LLM
  • LangChain vs LangSmith
  • Rapid Application Development Tools
  • Llamaindex vs Langchain
  • Langsmith Alternatives
  • LangChain vs RAG

Limitations and Considerations for Agentic AI

man looking confused - What is Agentic AI

Agentic AI promises innovation and speed to many of our systems. Nevertheless, ethical and technical issues are still being addressed. For instance, how can we ensure that agentic systems align with our values? Who is responsible for when an agentic AI makes a mistake? 

In some cases, there are transparency challenges in that we don’t know how the agent concluded that it is offering as an output (also known as the “black box” problem). 

Privacy and Security Challenges With Agentic AI

From a privacy and security standpoint, we must treat any AI model we build or use carefully and carefully. That is, ensuring the architecture is built with security parameters to protect the data flow. 

It’s also worth noting that agentic AI requires substantial computing resources, including processing power and storage needs. The environmental impact of which is essential to be mindful of. 

Autonomy and Accountability

One of the primary concerns with agentic AI is the level of autonomy granted to these systems. As AI agents become capable of making decisions independently, questions arise regarding accountability when those decisions lead to unintended consequences. 

For instance, if an AI system autonomously approves a loan application that results in significant financial loss for an individual or organization, it becomes challenging to determine who is accountable:

  • AI developer
  • Organization using the AI
  • AI itself

Establishing clear lines of accountability is essential to mitigating the risks associated with autonomous decision-making. 

Risks of Over-reliance on Autonomous Decision-making

Over-reliance on autonomous decision-making can lead to a lack of human involvement in decisions, which may result in negative consequences. Depending solely on AI to make operational decisions creates the risk of overlooking nuances and context that could substantially impact decisions. 

Balancing AI Autonomy and Human Judgment

Removing human judgment can lead to poor decision-making, especially in complex ethical considerations. The bottom line is that it remains essential for organizations to maintain a balance between AI autonomy and human oversight, ensuring that critical decisions are subject to human review when necessary. 

Regular audits and real-time monitoring help identify issues before they escalate while integrating feedback loops allows for continuous optimization of AI systems. 

Ethical Governance and Transparency

Organizations should establish clear guidelines for developing and deploying agentic AI systems, ensuring that ethical considerations are integrated into every stage of the AI lifecycle. This includes defining the roles and responsibilities of AI agents and the expectations for transparency in their decision-making processes. 

Responsible Practices

To mitigate risks associated with agentic AI, organizations should adopt responsible practices such as:

Monitoring

Continuous monitoring ensures AI agents operate within predefined parameters, aligning actions with organizational goals and ethical standards. Real-time monitoring tools can track outputs and flag anomalies, enabling swift intervention when necessary. 

Regular Audits

Conducting regular audits evaluates AI performance and compliance with regulations. By analyzing data from applications, organizations can optimize workflows and address vulnerabilities. Periodic reviews fine-tune algorithms to ensure AI handles complex tasks while minimizing risks. 

Transparent Decision-Making Frameworks

Clear documentation of how agentic AI interprets context and makes decisions fosters trust and facilitates oversight. Implementing explainable AI models demystifies the logic behind AI actions, enabling human intervention when necessary. 

Responsible AI Development

By combining robust security measures, ethical governance, and transparency, organizations can harness the potential of agentic AI while safeguarding privacy and addressing ethical concerns. Successful adoption hinges on prioritizing accountability, protecting data privacy, and maintaining transparency to leverage agentic AI's capabilities responsibly.

Start Building GenAI Apps for Free Today with Our Managed Generative AI Tech Stack

The Lamatic Generative AI Tech Stack is a complete solution that allows teams to implement GenAI solutions quickly while avoiding tech debt. The platform automates workflows and manages the complexities of deploying GenAI applications so teams can focus on building valuable GenAI applications. 

The fully managed middleware handles the heavy lifting of integrating GenAI into products so teams can rapidly build production-ready applications. 

  • LLM vs Generative AI
  • Langgraph vs Langchain
  • Semantic Kernel vs Langchain
  • Langflow vs Flowise
  • Best No Code App Builders
  • UiPath Competitors
  • Langchain Alternatives
  • SLM vs LLM
  • Haystack vs Langchain
  • Autogen vs Langchain