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What is the difference between AI Agents & AI Automation

AI has two similar yet distinct forms: AI agents and AI automation. AI agents can think, adapt, and provide strategic insights, while AI automation is fast and efficient but operates under strict rules. The optimal approach is a hybrid model that balances efficiency with intelligent decision-making.

What is the difference between AI Agents & AI Automation Preview
Daniel Welsh

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Daniel Welsh

Wed, 12 Feb 2025

9 min read

AI Agents vs. AI Automation: An Educational Overview

In today's digital age, legal professionals are increasingly using technology to simplify daily tasks. Two common types of artificial intelligence (AI) in legal practice are AI agents and AI automation. Although they share the goal of boosting productivity, they work in different ways. This guide explains these two approaches in straightforward language, so even those without a deep tech background can understand them.


What Are AI Agents?

AI agents are like smart assistants that can interact much like a human would. They use advanced language models and special tools to have conversations and learn from feedback. Here’s how they work:

  • Interactive Conversations:
    AI agents can carry on back-and-forth dialogues. For example, if you ask them to help draft a legal memo, they can ask clarifying questions and refine their suggestions based on your responses.

  • Adaptive Responses:
    These agents are not limited to a fixed set of answers. They adjust their responses based on the context of the conversation, making them flexible and capable of handling more complex tasks.

  • Complex Task Support:
    Beyond routine tasks, AI agents can assist with activities that require planning and reasoning. They help with tasks such as summarising lengthy documents, brainstorming legal strategies, or drafting detailed reports.

In simpler terms, think of an AI agent as a digital colleague who listens, learns, and provides thoughtful suggestions much like a well-informed assistant would.


What Is AI Automation?

AI automation is designed to handle specific, repetitive tasks with high speed and accuracy. It follows a set of pre-defined rules to complete work without much variation. Here’s what it does:

  • Rule-Based Processes:
    AI automation tools perform tasks by following clear instructions. For example, they can automatically review documents, manage contracts, or conduct e-discovery (finding relevant documents in a large collection) without deviation.

  • Speed and Consistency:
    Because these tools work by following strict rules, they can complete repetitive tasks quickly and consistently, reducing the chance for human error.

  • Integration with Existing Systems:
    AI automation is often built into current software systems, such as document management or legal research platforms. This integration means that routine tasks can be completed without changing the way the existing systems operate.

To put it simply, AI automation is like a very efficient machine that performs one specific job repeatedly, ensuring that each task is completed the same way every time.


How Do They Compare?

Flexibility and Interaction:

  • AI Agents:

    • Flexible and Interactive: They adapt to different situations and provide customised responses based on the conversation.
    • Best For: Tasks that need human-like interaction, such as drafting complex documents or brainstorming ideas.
  • AI Automation:

    • Efficient and Consistent: They follow a set pattern and execute tasks quickly without deviation.
    • Best For: Routine tasks where consistency is key, like document review or managing contracts.

Real-World Examples:

  • AI Agents Examples:

    • Harvey / Lawme: These tools act as interactive assistants in legal settings, engaging in conversation and providing tailored support.
    • ChatGPT with Legal Tools: Some legal professionals integrate ChatGPT with specialised tools to generate memos and conduct research interactively.
  • AI Automation Examples:

    • DoNotPay: This platform automates simple legal tasks, such as contesting parking tickets, showing how automation can handle repetitive work.
    • Automated Document Management Systems: These systems automatically review and manage documents, ensuring that tasks are completed quickly and consistently.

Why Does It Matter?

Understanding the difference between AI agents and AI automation helps legal professionals decide which tool to use based on the task at hand. For instance, if a task requires thoughtful analysis and interaction, an AI agent might be more suitable. Conversely, for high-volume, repetitive tasks, AI automation can offer significant efficiency gains.

Both approaches have their place in modern legal practice, and many experts believe that combining the two can create a more balanced and effective workflow. By integrating AI tools thoughtfully, law firms can enhance their operations while still maintaining the critical human element in decision-making.


In Summary

  • AI Agents are like interactive digital assistants that adapt to conversations and help with complex, thoughtful tasks.
  • AI Automation is designed for specific, repetitive tasks, following fixed rules to ensure consistency and speed.

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