The 34 Concepts That Separate Prompt Tweaking from Building Real Agents
The jump from prompting a chatbot to fielding an autonomous agent in production is gated by a dense set of interconnected concepts—Token, RAG, ReAct, MCP, Harness—that most developers encounter piecemeal. A single map that ties them into one thread, with explicit cost and failure-mode notes for each, turns months of scattered reading into a weekend of orientation.
LLMs are pure text-in, text-out functions. Every capability that looks like memory, tool use, or web access is a shell built around that function. This guide arranges 34 core concepts along that insight: Token economics, Context Windows and Lost in the Middle, the Agent loop (LLM + Actions + Loop), ReAct and Self-Refine patterns, RAG and the chunking/hybrid-search/reranking pipeline, Reflexion's cross-trial memory, MCP as the USB interface for tools, A2A for agent-to-agent communication, and the three-layer engineering stack of Prompt, Context, and Harness Engineering.
Production concerns get equal weight. Eval sets are non-negotiable—an Agent without them is code without tests. Observability means logging every LLM call and tool invocation so bugs can be replayed, not guessed at. Prompt Caching cuts costs up to 90% in long-context, repeated-query scenarios. On security, the Lethal Trifecta (access to private data, exposure to untrusted content, ability to communicate externally) is the framework for spotting dangerous architectures before they ship.
The guide closes with a verified learning path: write Skills in Claude Code, build a ReAct Agent, add RAG, then layer on Eval and observability before attempting multi-agent systems.
Framing the LLM as a pure function upfront is a pedagogical power move: it makes every subsequent concept—RAG, Memory, Tool Use—read as an engineering workaround rather than magic, which is the correct mental model for debugging production failures.
The guide's emphasis on Context Engineering over Prompt Engineering reflects a 2026 consensus that is still underappreciated by beginners, who tend to obsess over prompt wording while ignoring the quality of retrieved chunks and memory.
Calling out that ReAct is a pattern, not the definition of Agent, pushes back against a common conflation in tutorials that treat the two as synonymous.
The Lethal Trifecta from Simon Willison is a compact, actionable threat model that every developer wiring an Agent to email or Slack should internalize before shipping.
Placing Eval and Observability as the first production steps—not afterthoughts—correctly frames them as prerequisites to iteration, not polish for mature systems.
The three-layer engineering stack (Prompt, Context, Harness) gives teams a shared vocabulary for dividing work and identifying where their quality problems actually live.