The AI Agent Stack
Target audience: Those who want to make sense of AI agent terminology (RAG, MCP, Memory, Skills, Hooks, and more), those who want to see where each technology fits in practice
Prerequisites: Basic understanding of Prompt Engineering, Context Engineering, Harness Engineering, and Loop Engineering
The AI agent stack is the set of representative building blocks (layers) needed to turn a generative AI model into an AI agent that works in practice. Terms like RAG, Memory, Tools, MCP, Skills, and Hooks show up constantly across AI agent articles — this page organizes them into a single map.
Why an Overview Matters
There are many terms related to AI agents. Learning each one in isolation, without understanding what problem it solves, makes it easy to lose the overall picture. The four-layer structure covered in Prompt Engineering, Context Engineering, Harness Engineering, and Loop Engineering — instructions, information, execution environment, and repeat structure — can be broken down further into twelve elements commonly used in practice.
The 12 Elements of the AI Agent Stack
| # | Element | Role | Details |
|---|---|---|---|
| 1 | RAG | Pulls in outside knowledge before answering | What Is RAG? |
| 2 | Context | Everything the model can see right now | Context Engineering |
| 3 | Memory | What’s remembered across turns and sessions | What Is Memory |
| 4 | Agent | An AI that acts, not just answers | What Is an AI Agent? |
| 5 | Agentic AI | Systems that plan, decide, and self-correct | What Is Agentic AI |
| 6 | Tools | External functions the agent can call | What Is Tool Use |
| 7 | MCP | One open standard to connect tools and data | What Is MCP? |
| 8 | Skills | Reusable know-how loaded on demand | What Are Skills |
| 9 | Hooks | Triggers that run logic at set points | What Are Hooks |
| 10 | Subagents | Helpers the main agent hands work to | What Are Subagents |
| 11 | Orchestration | Coordinates the whole multi-step workflow | What Is Orchestration |
| 12 | Eval | Measures whether the system actually works | What Is AI Evaluation? |
How the Layers Relate
graph TD
RAG["RAG\nPull in outside knowledge"] --> Context["Context\nWhat's visible right now"]
Memory["Memory\nPersists across sessions"] --> Context
Context --> Agent["Agent / Agentic AI\nDecide and act"]
Skills["Skills\nReusable procedures"] --> Agent
Agent --> Tools["Tools\nCall external functions"]
Tools --> MCP["MCP\nStandard connection"]
Agent --> Subagents["Subagents"]
Subagents --> Orchestration["Orchestration\nCoordinate the workflow"]
Hooks["Hooks\nAutomatic triggers"] -.-> Agent
Orchestration --> Eval["Eval\nMeasure the outcome"]- RAG, Context, and Memory are input-side layers that determine what the agent knows
- Agent, Agentic AI, Tools, MCP, and Skills are execution-side layers that determine what the agent can do
- Hooks insert automatic processing at key points in execution
- Subagents and Orchestration handle how work is divided and coordinated across multiple units
- Eval verifies whether all of the above is actually working
Summary
- The AI agent stack maps out the twelve representative layers that make up an AI agent
- It breaks down into input (RAG, Context, Memory), execution (Agent, Tools, MCP, Skills), control (Hooks, Subagents, Orchestration), and verification (Eval)
- No single element works in isolation — together they form one AI agent
Quiz