Short definition
AI AgentAn AI agent is software that uses a large language model to understand a goal, decide on steps, use tools — such as a CRM, calendar, database or search — and take actions to complete a task, within limits set by its designers. Business examples include lead-qualification, support and scheduling agents.
AI agent vs chatbot vs automation
A rule-based chatbot follows scripts. A workflow automation runs fixed steps when triggered. An AI agent decides which steps to take based on the conversation or goal, and can use tools to act. In practice, good business systems combine all three.
What makes an AI agent reliable
- A narrow, well-defined job
- Answers grounded in approved knowledge sources
- A limited set of allowed actions
- Clear handover to a human
- Logging and regular review of conversations
| Rule-based chatbot | Workflow automation | AI agent | |
|---|---|---|---|
| Understands free text | Limited | No | Yes |
| Decides next step | No (scripted) | No (fixed) | Yes, within limits |
| Uses tools / takes actions | Rarely | Yes | Yes |
| Best for | Simple menus | Repeatable processes | Conversations and judgement tasks |