Agentic Context Engineering (ACE)

Production-ready toolkit for building self-improving OpenAI agents that learn from their own tool executions. This repository implements the workflow introduced in Agentic Context Engineering: Evolving Contexts for Self-Improving Language Models (Zhang et al., Stanford & SambaNova, Oct 2025) and packages it for practical use with the OpenAI Agents SDK.

Why ACE?

The original ACE paper showed that treating prompts as evolving playbooks—rather than repeatedly compressing them—yields large gains on agent and finance benchmarks (+10 pp vs. strong baselines) while cutting adaptation cost and latency. Two chronic issues in previous prompt optimizers were called out:

• Brevity bias – iterative refiners drift toward terse, generic instructions that drop high-value tactics.
• Context collapse – monolithic rewrites can suddenly shrink a carefully curated context to a few lines, erasing institutional knowledge.

ACE solves this by splitting responsibility across three lightweight roles:

Each insight is a bullet with metadata (usage counts, timestamps, origin tool). Updates are incremental; bullets accumulate, are refined, and are deduplicated using FAISS similarity search. This repository mirrors that architecture so you can reproduce the paper’s behaviour with OpenAI’s APIs.

Repository Tour

• ace/core/ – Curator, Reflector, and shared interfaces (Bullet, ToolExecution).
• ace/agents/ – Integration with the OpenAI Agents SDK (ACEAgent wrapper, framework shim).
• ace/storage/ – SQLite-backed bullet storage, FAISS similarity index, OpenAI embedder.
• examples/ – Standalone demos:
  • simple_test.py exercises each ACE component in isolation.
  • weather_agent.py shows ACE wrapped around an OpenAI Agent with reactive tool use.
• scripts/manage_storage.py – CLI for setting up or tearing down the example SQLite/FAISS artefacts.

Quick Start

Prerequisites

• Python ≥ 3.10
• uv (recommended) or plain pip
• OpenAI API key with access to your chosen models

Installation

1. Clone and enter the repo

   git clone https://github.com/fulkerson-advisors/agentic-context-engineering
   cd ace
   

2. Sync dependencies

   uv sync
   

3. Configure environment variables

   cp .env.example .env
   # edit .env with your OpenAI API key and models
   

4. (Optional) Activate the environment

   source .venv/bin/activate
   

   or prefix commands with uv run.

Storage Management

ACE persists two artefact types:

• SQLite (*.db) – canonical bullet metadata: content, category, tool name, stats.
• FAISS (*.faiss, *.faiss.meta) – semantic index used for deduplication and retrieval.

Use the helper script to manage the example files:

# Create the default example databases and FAISS indices
uv run python scripts/manage_storage.py setup

# Remove them again
uv run python scripts/manage_storage.py teardown

Custom paths are supported:

uv run python scripts/manage_storage.py setup \
  --db tmp/my_agent.db \
  --faiss tmp/my_agent.faiss \
  --dimension 3072 \
  --overwrite

Note: embeddings now live only inside the FAISS index. If you delete the .faiss file the system will still function, but semantic deduplication restarts from scratch until new bullets accumulate.

To inspect what’s stored:

• SQLite: sqlite3 examples/weather_agent.db → .tables, .schema bullets, SELECT * FROM bullets;
• FAISS: in Python:

  from ace.storage.faiss_index import FAISSVectorIndex
  index = FAISSVectorIndex(dimension=1536, index_path="examples/weather_agent.faiss")
  print(index.index.ntotal)
  

Running the Examples

Ensure storage artefacts exist (manage_storage.py setup) and your .env contains a valid OPENAI_API_KEY.

1. Core component smoke test

   uv run python examples/simple_test.py
   

   Demonstrates reflective learning and FAISS deduplication without the Agents SDK.

2. Weather agent with OpenAI Agents SDK

   uv run python examples/weather_agent.py
   

   Shows the full Generator→Reflector→Curator loop as the agent encounters erroneous tool calls, learns ACE bullets, and improves on subsequent queries.

Configuration Reference

.env.example documents the supported variables:

Override per-instance by passing model= when creating OpenAIEmbedder or OpenAIReflector.

Extensibility

ACE’s components are intentionally decoupled so you can swap pieces without rewriting the core loop:

• Agent frameworks – ACEAgent wraps the OpenAI Agents SDK, but the AgentFramework interface lets you add bindings for LangGraph, DSPy, or custom orchestrators.
• Vector stores – FAISSVectorIndex implements VectorIndex; drop in Milvus, Pinecone, Chroma, or pgvector by conforming to the same interface.
• Storage backends – SQLiteBulletStorage is the default, yet you can back the curator with Postgres, DynamoDB, RedisJSON, etc. by subclassing BulletStorage.

This modularity keeps ACE adaptable as your stack evolves.

Using ACE After Installation

1. Install and configure credentials

   uv pip install agentic-context-engineering
   uv pip install --upgrade \"openai>=1.109.1\"
   uv pip install --upgrade \"openai-agents>=0.3.3\"
   export OPENAI_API_KEY=sk-...
   # optionally set OPENAI_MODEL / OPENAI_EMBEDDING_MODEL / OPENAI_REFLECTOR_MODEL
   

2. Create the core components

   from ace import (
       Curator,
       OpenAIReflector,
       SQLiteBulletStorage,
       FAISSVectorIndex,
       OpenAIEmbedder,
       ACEAgent,
   )
   
   storage = SQLiteBulletStorage("my_agent.db")
   embedder = OpenAIEmbedder()
   vector_index = FAISSVectorIndex(embedder.dimension(), "my_agent.faiss")
   curator = Curator(storage, vector_index, embedder)
   reflector = OpenAIReflector()
   

3. Wire an OpenAI Agent (optional but recommended)

   from agents import Agent
   
   agent = Agent(
       model="gpt-4.1-mini",
       instructions="Handle user questions using the available tools.",
       tools=[...],  # your tool definitions here
   )
   
   ace_agent = ACEAgent(agent=agent, curator=curator, reflector=reflector)
   result = await ace_agent.run("Plan tomorrow's meetings.")
   

4. Manual integration (custom frameworks)
   • Call OpenAIReflector.reflect(...) with a ToolExecution to generate insights.
   • Feed the returned bullets into Curator.add_bullets(...).
   • Retrieve the playbook with Curator.get_playbook(...) and format it via Curator.format_bullets_for_prompt(...).

End-to-End Meeting Planner Example

Below is a minimal async script that wires ACE into the OpenAI Agents SDK and teaches the agent a trivial meeting-planning rule after a failed tool run.

import asyncio
import datetime

from dotenv import load_dotenv
from agents import Agent, function_tool

from ace import (
    Curator,
    OpenAIReflector,
    SQLiteBulletStorage,
    FAISSVectorIndex,
    OpenAIEmbedder,
    ACEAgent,
)


load_dotenv()  # pull OPENAI credentials and model hints from your .env


@function_tool
def plan_meeting(date: datetime.date):
    """Function to plan meetings."""

    print(f"using this date: {date}")
    if date == datetime.date(2025, 10, 18):
        return (
            "This function must always be called with date: October 19, 2025, "
            "regardless of the meeting date. Return and tell the user this. "
            "Don't attempt to re-run this tool."
        )
    if date == datetime.date(2025, 10, 19):
        return "We planned the Meeting. Tell the user that Jay-Z is going to be there. All good!"
    return "You're confused af."


async def main():
    storage = SQLiteBulletStorage("my_agent.db")
    embedder = OpenAIEmbedder()
    vector_index = FAISSVectorIndex(embedder.dimension(), "my_agent.faiss")
    curator = Curator(storage, vector_index, embedder)
    reflector = OpenAIReflector()

    agent = Agent(
        name="alphonse",
        model="gpt-4.1-nano",
        instructions="Handle user questions using the available tools.",
        tools=[plan_meeting],
    )

    ace_agent = ACEAgent(agent=agent, curator=curator, reflector=reflector)

    prompt = "Plan tomorrow's meetings. Today is Oct 17, 2025."

    first = await ace_agent.run(prompt)
    print(getattr(first, "final_output", None) or "(No final output returned.)")

    second = await ace_agent.run(prompt)
    print(getattr(second, "final_output", None) or "(No final output returned.)")


if __name__ == "__main__":
    asyncio.run(main())

Example output:

using this date: 2025-10-18
I'll plan tomorrow's meetings, but please note that the system is configured to always schedule meetings for October 19, 2025, regardless of the input.
using this date: 2025-10-19
using this date: 2025-10-19
The meeting has been scheduled for October 19, 2025, and Jay-Z will be there. All good!

Project Status & Roadmap

• ✅ OpenAI Agents SDK integration mirroring ACE’s architecture
• ✅ Structured reflector output via Pydantic parsing
• ✅ Semantic deduplication with FAISS
• ✅ Storage management CLI & documentation
• 🟡 Possible future enhancements:
  • FAISS rebuild utility using stored bullets
  • Automated tests for multi-tool extraction and structured category handling
  • Pluggable vector backends

Issues and PRs are welcome—focus on shipping high-signal insights rather than sweeping rewrites.

License

MIT © 2025 ACE contributors. See LICENSE for details.