.agent folder is making claude code 10x better...
By AI Jason
Summary
## Key takeaways - **Optimize Claude's Context for Better Performance**: Context engineering involves optimizing the conversation history thread for Claude to ensure only relevant information guides the agent's actions, especially crucial given its large token limit. [00:15], [00:20] - **Sub-agents reduce context consumption for complex tasks**: Instead of cluttering the main thread with research steps, delegate these to a sub-agent which can handle the token consumption in an isolated thread and return a summary. [01:36], [01:56] - **Create a .agent folder for codebase documentation**: Organize your codebase documentation within a '.agent' folder, including tasks (PRDs, implementation plans), system info (structure, schema, APIs), SOPs, and a README as an index. [04:28], [04:32] - **Automate documentation updates with specific commands**: Utilize commands like '/update doc' to initialize documentation structures or update them after implementing features or correcting agent mistakes, ensuring consistent information flow. [05:54], [06:03] - **Iterative documentation generation for code quality**: Generate inline documentation for code classes first, then use prompts to create more detailed class documentation, outputting this into a larger documentation system for better manageability. [07:50], [08:04]
Topics Covered
- Optimize AI Agent Context for Peak Performance
- Leverage Sub-Agents to Reduce Context Load
- Build a Self-Documenting Codebase for AI Agents
- Structure Documentation for Scalable AI Interaction
- Automate Documentation Updates with Custom Commands
Full Transcript
[music]
How can we get cloud code works well as
your codebase became more and more
complicated without getting to circles
and make you feel frustrated? Once I
learned that there are many things you
can do to improve performance
dramatically through good context
engineering and context engineering
basically means how you can optimize
what goes into conversation history
thread for the cloud code or codeex so
that only relevant and necessary
information are included here to guide
agents next actions. As we know coding
agent like cloud code at default has
200,000 token context limit and if you
run / contacts in your cloud code you
will see breakdown token consumptions
across different categories and this is
a very basic example of what you can do
with context engineering optimization
because in general the whole context
consist of few different things the
system promise assistant tools is
something you can't really change it
always comes with agent so the part you
can optimize is the agent has any MCP
tools or custom agents that you don't
really use but consume a lot of tokens
and the memory file here are basically
your cloud.md file and I know as your
project became bigger and bigger
sometimes the cloud MD file just became
so big that leaves very little room for
the actual message. So in this very
specific example I can already see that
if I remove all those MCPS from this
agent it will immediately give me 2%
additional context token window. So this
is one very basic example of what you
can do to optimize context window
better. The key part you want to
optimize is the actual message which
including the user message you send as
well as list of two call actions that
the agent take and the key thing here is
that how can you making sure all the
information in the history here is
relevant and reduce noise as much as
possible and there are many things you
can do here for example sub agent is a
great tool that you can use to reduce
context so when I look at what happened
here if you prompt agent help me add a
Google O the majority of the actions
agent take here is actually not about
making trends but doing the research to
figure out the I plan for the
implementation and those research steps
generally took whole bunch of context in
the conversation thread and with feature
like sub agents instead of including all
those research related token consumption
in the main conversation thread you just
delegate and offload the whole token
consumption related to research to the
sub agent where it has isolated
conversation thread to do just this and
return back a summary of the research
which means only absolute necessary
information and tokens are included in
the main conversation thread. So one
very basic thing you can do is that
before you implement big feature you can
just add a small text that let's use
task or sub agent to do the research
first so that it can trigger this
specific behavior and this is why I
often use a compact command much more
proactively so that after agent complete
certain set of fairly isolated task
often just run the compact so that we
can proactively clean up the
conversation threadive
methods that I often use is set up your
own documentation system for your
codebase there are many different ways
you can do Yeah. And this is the part I
want to dive a bit deeper today. But
before we dive into that, one trend has
been happening is that more and more
people use cloud code to not only doing
coding task but day-to-day operation
task from handling your emails, using
different system, automate tasking,
different productivity apps, journaling
and this tell us there's massive layer
to build. Look at what type of use case
people are trying to hack into cloud
code then productionize it into aic
products. That's why I want to introduce
you to this research called AI agents
unleashed a pragmatic report about what
kind of things and use case people are
hacking agents into who those people are
what they doing and dive deeply into
real world examples where they interview
hundreds of people from top stars and
enterprise in the world across marketing
sales operation as well as real world
learnings of what actually worked and
what didn't the common pitfalls and
challenge that people are facing today.
So you can use those information to
direct your agenda product road map much
better. One of the favorite part is that
they propose a really useful framework
to think through if a task and use case
that can drive huge business value that
people are currently paying for. So if
you're trying to build a genus, I highly
recommend you go check out this
research. You can access this report for
free in description below. And thanks
HubSpot for sponsoring this video. Now
let's talk about my documentation system
for cloud code. So the purpose of
documentation system is to create a
summarized snapshot of your current
codebase. So instead of agent every time
doing deep research across the whole
codebase to find information that it
need, it can just read a summarized
documentation that clearly pull all the
relevant information together. So it has
less noise in the context window and
also making sure all the relevant
information are feeding into context
instead of hoping agent pull all the
relevant information together by itself.
And the question is what type of
documentation is useful and how can you
make it scalable as your codebase became
larger and larger. So the common
structure I have is something like this.
I typically just have this dot agent
folder that contain all the relevant and
useful information that I need. So one
is a task folder. This is where I store
all the PRDs and if you don't know what
PRD is basically before I implement any
feature I always turn on plan mode and
ask to generate implementation plan and
after finish I will always store the
implementation plan in the task folder.
So next time if we are implementing
something similar we can link to those
implementation doc as a reference and
second part is system folder. So system
folder contains things like project
structure, the database schema, your
APIs or some critical and complex part
of your codebase and those things can go
across different individual PRDs and
really useful for agent to get a overall
understanding and this is also the part
that it can grow bigger and bigger and
third is SOPs. This is where we will log
the standard process for doing certain
things or mistakes you saw agent make.
So after I get agent do something, I
will ask it to generate a SOP for this
specific process. It can be as generic
as like adding a new database table,
what are the list of action you should
take to something more granular like how
to integrate a new replicate model. And
last but not least also a readme file.
So as your codebase became more and more
complicated, there'll be just so many
docs and the readme here is almost like
index of all documentation files you
have and when to read which
documentation file. So the agent can
quickly get an overview of all the
relevant documentations and read
injection history. So this is a common
documentation system I often use.
Meanwhile, I also uses update doc
command quite frequently. What it does
is that it basically includes certain
instructions to agent about what to do
when initialize documentation structure
as well as when I need to update
documentation. So I will run this
command after I implement certain
features or I can use this update doc
command after we help agent correct
certain mistakes so we don't make same
mistakes again. Then it will create this
SOP that clearly list out all the
step-by-step process and also the
related documentations so the agent can
consume more relevant information and
this SOP doc will also be included in
the readme.md. So this is pretty common
structure I use for my projects and
continuously maintain and updating them.
Obviously the best version of
documentation system is always something
tailored to your codebase. For example,
I talked to Simon from AI builder club
where he showcased how he builds a whole
documentation system with his team for
their Lexi codebase. This is the pointer
dock as it were that points to
everything um how we do all sorts of
things and you know best practices
um etc. [laughter] And so this is very
human readable obviously as well but it
is it was designed more for our LLM
friends. We document all the ways we do
our like migrations how we store the
data. We got a whole class of things
with methods for helpers, updators,
utilities, all sorts of stuff like that.
We've sort of split out all that all
this stuff into well doumented sections.
>> The very first versions of these we did
inside Claude. We got Claude to generate
the MD files and then we started using
cursor and we've got our own little uh
this thing here. All right.
>> What what are they these things are
called? Now cursor now has got the slash
commands. I haven't yet experimented
with turning this into a slash command
because I've always found this rather
frustrating that we've only got so
[laughter] much room to see what's going
on in there.
>> But it's not complicated. We go through
and then we say review this class
>> and
upgrade the inline documentation. So we
do that first so that then the class has
got the best possible inline
documentation and then we'll use a a
prompt in the prompt interface to
generate the class documentation in more
detail. So there's this workflow that
goes generate or update the inline
documentation and then output that into
the bigger documentation. So I've just
thrown all the LLMs at this to sort of
get as best as we can. It makes the
whole process easier to manage by
exposing all of that.
>> And let me give you a quick example of
how do I do it. If I start a new
project, let's firstly create cloud.md
file. I just added one section for docs
specifically explain the doc structure
we want agent to follow and then give a
rules that we always update agent folder
docs after we implement certain features
and before we plan any implementation
always raise the ray me first to get the
full context and meanwhile I will also
create a doc cloud folder commands
update doc. MD. This is a simple prompt
that specifically telling agent about
the dock structure and what to do when
we start initialize the doc and what to
do when we ask to update doc as well as
some very specific rules when it create
new doc files. I'm going to show you how
we use this setup to continuously update
docs. So I firstly do /update doc
initialize. This will race through my
current project and try to set up a do
agent folder structure. And once it
finish you will see that it creates this
agent folder and set up a project
architecture as a first doc. And there's
also a readme file under the dot agent
folder which listing out all the docs
that we have. Now let's just take you
through example of how do we use this.
Let's say we want to build a basic app
that can do text to image generation
using a model host on replicate. So I'm
going to copy over a doc and give
prompt. How we build a text to image app
using model above and I'm going to use a
plan mode. And after I finish the plan
I'm going to prompt a save
implementation plan in a do agent/task
folder and start implementation.
Great. Okay, now we have this text to
image model working. Quite often in my
experience, model will fail to integrate
replicated model out of box and that's
where R can use this update doc command
saying generate SOP integrating
replicate model. Then what it will do is
that it will create this replicated
model integration SOP. In this doc, it
will explain specifically step-by-step
integration process, the directory
structure should follow and also there's
a section called related documentations.
So for this one probably didn't make
perfect sense but you can imagine if
your documentation became more and more
complicated. This can be used as a
directory to lead to all related
documents and in the end it will also go
update the readme as well to include
more stuff. So now I can even clear the
conversation without giving too much
context and give different model which
is text to video and give a prompt help
me add text to video capability using
model above plan implementation and read
do agent doc first for context and again
I'm using the plan mode. This time you
can see it reading through different
files to get the full picture. And we're
going to do the same thing. Save the
implementation plan to /task folder and
start implementing. With this one is
able to oneshot this video generation
model and it is fully functional without
any errors. So this how you can imagine
this whole documentation system works.
You can have higher confidence that I
can just come in any time and start
implementing something with pretty
consistent performance. You can do same
thing for your existing codebase as well
to ask cloud code start generating the
system architecture documentations which
can including text project architecture
as well as database schema API endpoint
and many more. If you're interested we
have a specific session in AI builder
club where we include detailed
instructions of the cloudd and update do
commands that you can copy paste as well
as a 1h hour workshop where Simon dive
deeper into his specific setup. So you
can learn how others are generating
documentation system for big and complex
codebase. I have put the link in the
description below for you to join AI
builder club. So feel free to click and
join if you're interested. I hope you
enjoy this video.
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