AI GlossaryClosed-loop agent

What is a closed-loop agent?

An agent that repeatedly observes the environment, chooses an action, executes it, evaluates the result against a goal, and uses feedback to decide the next step.

What is a closed-loop agent?

An agent that repeatedly observes the environment, chooses an action, executes it, evaluates the result against a goal, and uses feedback to decide the next step.

Why is this important?

The feedback loop lets an agent recover from errors and adapt to real outcomes. Without observation and evaluation, automation remains open loop.

How it works

Observe, plan, act, verify, update state, then stop or repeat. Production loops add budgets, permissions, retries, idempotency, escalation, and termination conditions.

Technical example

A collections agent sends a reminder, observes delivery and reply events, updates the account, chooses a follow-up, and escalates disputed invoices.

Implementation notes

Define success metrics, maximum iterations, timeout, tool scope, irreversible actions, confidence thresholds, and required completion evidence.

Sources

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