Agent Memory Distillation: Empowering Small LLM Agents with Hierarchical Teacher Memory

Modern large language model (LLM) agents can use external tools to help users solve complex tasks. However, for problems that require learning from long-term historical events or from previous agent-environment interactions, LLM agents are required to use memory mechanisms to store and retrieve experiences. While sophisticated memory systems exist for dialogue agents, few studies have empirically examined how to improve agents' tool-using capabilities through past user-agent conversations. We propose MemToolAgent, a framework that improves tool use through memory management. Our approach contains a memory extraction module that processes past experiences into structured memory entries, and a retrieval module that dynamically selects a subset of the stored memory entries. This enables more personalized and accurate responses aligned with user preferences and feedback without requiring LLM fine-tuning. In summary, this work has three main contributions: (1) a unified memory entry format that improves both general-purpose and personalized tool use without LLM fine-tuning, (2) a reflection-based memory extraction that uses environment and user feedback to distill wrong executions into critiques to store, and (3) a retrieval module that chooses how many past experiences to use based on the memory similarity distribution. MemToolAgent achieves 29%, 80%, and 17% relative improvements compared to strong baselines on the WorkBench, NESTFUL, and PEToolBench benchmarks, respectively.

Large Language Model (LLM)-based agents can solve complex procedural tasks by interacting with environments over multiple turns, but this ability typically depends on large models, long contexts, and repeated inference calls. This makes advanced memory-augmented agents difficult to deploy on resource-constrained devices. We introduce DuoMem, a dual-space distillation framework that transfers procedural problem-solving ability from a large teacher model to compact student models. DuoMem distils in two complementary spaces: (1)context-space distillation, which replaces student-generated memories with higher-quality teacher-generated procedural memories prepended to the student's input, and (2)parameter-space distillation, which fine-tunes lightweight LoRA adapters on successful teacher trajectories. Evaluated on ALFWorld, a challenging embodied decision-making benchmark, DuoMem boosts a 4B-parameter model from 4.3% to 77.9% task success rate, closing most of the gap to a 72B teacher model (87.1%), while adding fewer than 10M trainable parameters and only a few megabytes of pre-computed teacher memories. Moreover, the DuoMem-enhanced 4B model completes tasks over 3x faster than the 72B teacher in wall-clock time, making it viable for real-time edge deployment, which would be challenging for the teacher.Extensive ablations across eight models spanning 2B-72B parameters reveal that both distillation axes contribute complementary

Large Language Model (LLM) agents increasingly rely on external memory systems to accumulate experience across tasks. Yet nearly all existing approaches, from graph-structured memories to reflective insight stores, access memory through fixed, hand-designed heuristics. We argue that this static view of memory is a core bottleneck for agentic learning because optimal memory behavior is fundamentally context-dependent. The early stages of the tasks, benefit from minimal retrieval because memory is sparse; recurring goal types benefit from plan reuse rather than generic nearest-neighbor lookup; stuck agents benefit from re-retrieval with alternative queries; and across long task streams, the memory store itself must be consolidated and pruned to remain useful. We present Memory as a Controlled Process (MemCon), a framework that models memory operations as a Markov Decision Process and learns an online policy that adaptively decides when, what, and how much to retrieve, when to inject a distilled plan, and when to consolidate or forget. MemCon is backend-agnostic: it wraps any existing memory implementation, learns from task-by-task binary feedback with no pretraining and no additional LLM calls, and uses a lightweight tabular contextual bandit with UCB exploration that converges within tens of tasks. Across 6 benchmarks, 3 agent frameworks, and 3 LLM backbones, MemCon consistently outperforms multiple memory baselines by up to 15.2 points in task success while reducing token consumption by 5--20%.