# MemTool: Optimizing Short-Term Memory Management for Dynamic Tool Calling in LLM Agent Multi-Turn Conversations

arXiv: https://arxiv.org/abs/2507.21428 · HTML: https://mlsanity.com/paper/2507.21428/

## Key facts

- Cited by 21 papers in the map (data through 14 Oct 2026).
- Placed in Tool learning and function calling, one of 16 directions in LLM agents and tool use.
- Builds on 25 of its 49 references that are in the map.
- First posted on arXiv 29 Jul 2025.

## Placed in

- LLM agents and tool use / [Tool learning and function calling](https://mlsanity.com/agents/tool-learning-and-function-calling/)

## Builds on (most cited first, 25 of 25)

- [Generative Agents: Interactive Simulacra of Human Behavior](https://mlsanity.com/paper/2304.03442/) (2023)
- [MemGPT: Towards LLMs as Operating Systems](https://mlsanity.com/paper/2310.08560/) (2023)
- [Gorilla: Large Language Model Connected with Massive APIs](https://mlsanity.com/paper/2305.15334/) (2023)
- [A-MEM: Agentic Memory for LLM Agents](https://mlsanity.com/paper/2502.12110/) (2025)
- [Evaluating Very Long-Term Conversational Memory of LLM Agents](https://mlsanity.com/paper/2402.17753/) (2024)
- [LongMemEval: Benchmarking Chat Assistants on Long-Term Interactive Memory](https://mlsanity.com/paper/2410.10813/) (2024)
- [LLMs Get Lost In Multi-Turn Conversation](https://mlsanity.com/paper/2505.06120/) (2025)
- [Graph Retrieval-Augmented Generation: A Survey](https://mlsanity.com/paper/2408.08921/) (2024)
- [Agentic Retrieval-Augmented Generation: A Survey on Agentic RAG](https://mlsanity.com/paper/2501.09136/) (2025)
- [ToolkenGPT: Augmenting Frozen Language Models with Massive Tools via Tool Embeddings](https://mlsanity.com/paper/2305.11554/) (2023)
- [CRAFT: Customizing LLMs by Creating and Retrieving from Specialized Toolsets](https://mlsanity.com/paper/2309.17428/) (2023)
- [AnyTool: Self-Reflective, Hierarchical Agents for Large-Scale API Calls](https://mlsanity.com/paper/2402.04253/) (2024)
- [From Human Memory to AI Memory: A Survey on Memory Mechanisms in the Era of LLMs](https://mlsanity.com/paper/2504.15965/) (2025)
- [On Memory Construction and Retrieval for Personalized Conversational Agents](https://mlsanity.com/paper/2502.05589/) (2025)
- [Seal-Tools: Self-Instruct Tool Learning Dataset for Agent Tuning and Detailed Benchmark](https://mlsanity.com/paper/2405.08355/) (2024)
- [Re-Invoke: Tool Invocation Rewriting for Zero-Shot Tool Retrieval](https://mlsanity.com/paper/2408.01875/) (2024)
- [ToolRerank: Adaptive and Hierarchy-Aware Reranking for Tool Retrieval](https://mlsanity.com/paper/2403.06551/) (2024)
- [ScaleMCP: Dynamic and Auto-Synchronizing Model Context Protocol Tools for LLM Agents](https://mlsanity.com/paper/2505.06416/) (2025)
- [MCP-Zero: Active Tool Discovery for Autonomous LLM Agents](https://mlsanity.com/paper/2506.01056/) (2025)
- [LongRoPE2: Near-Lossless LLM Context Window Scaling](https://mlsanity.com/paper/2502.20082/) (2025)
- [Toolshed: Scale Tool-Equipped Agents with Advanced RAG-Tool Fusion and Tool Knowledge Bases](https://mlsanity.com/paper/2410.14594/) (2024)
- [Evaluating Personalized Tool-Augmented LLMs from the Perspectives of Personalization and Proactivity](https://mlsanity.com/paper/2503.00771/) (2025)
- [ProTIP: Progressive Tool Retrieval Improves Planning](https://mlsanity.com/paper/2312.10332/) (2023)
- [CITI: Enhancing Tool Utilizing Ability in Large Language Models without Sacrificing General Performance](https://mlsanity.com/paper/2409.13202/) (2024)
- [Hephaestus: Improving Fundamental Agent Capabilities of Large Language Models through Continual Pre-Training](https://mlsanity.com/paper/2502.06589/) (2025)

## Built on by (most cited first, 21 of 21)

- [Memory in the Age of AI Agents](https://mlsanity.com/paper/2512.13564/) (2025)
- [ReasoningBank: Scaling Agent Self-Evolving with Reasoning Memory](https://mlsanity.com/paper/2509.25140/) (2025)
- [A Survey of Agent Memory in the Second Half: Towards Self-Evolving and Long-Horizon Agents](https://mlsanity.com/paper/2602.06052/) (2026)
- [A Survey on Agentic Multimodal Large Language Models](https://mlsanity.com/paper/2510.10991/) (2025)
- [Is Grep All You Need? How Agent Harnesses Reshape Agentic Search](https://mlsanity.com/paper/2605.15184/) (2026)
- [Self-Improvements in Modern Agentic Systems: A Survey](https://mlsanity.com/paper/2607.13104/) (2026)
- [Mem-T: Densifying Rewards for Long-Horizon Memory Agents](https://mlsanity.com/paper/2601.23014/) (2026)
- [Tool-to-Agent Retrieval: Bridging Tools and Agents for Scalable LLM Multi-Agent Systems](https://mlsanity.com/paper/2511.01854/) (2025)
- [AI Meets Brain: Memory Systems from Cognitive Neuroscience to Autonomous Agents](https://mlsanity.com/paper/2512.23343/) (2025)
- [Cited but Not Verified: Parsing and Evaluating Source Attribution in LLM Deep Research Agents](https://mlsanity.com/paper/2605.06635/) (2026)
- [LMEB: Long-horizon Memory Embedding Benchmark](https://mlsanity.com/paper/2603.12572/) (2026)
- [How Many Tools Should an LLM Agent See? A Chance-Corrected Answer](https://mlsanity.com/paper/2605.24660/) (2026)
- [Comparison of Text-Based and Image-Based Retrieval in Multimodal Retrieval Augmented Generation Large Language Model Systems](https://mlsanity.com/paper/2511.16654/) (2025)
- [SwiftMem: Fast Agentic Memory via Query-aware Indexing](https://mlsanity.com/paper/2601.08160/) (2026)
- [Agent-as-a-Graph: Knowledge Graph-Based Tool and Agent Retrieval for LLM Multi-Agent Systems](https://mlsanity.com/paper/2511.18194/) (2025)
- [Beyond Rows to Reasoning: Agentic Retrieval for Multimodal Spreadsheet Understanding and Editing](https://mlsanity.com/paper/2603.06503/) (2026)
- [Ask Early, Ask Late, Ask Right: When Does Clarification Timing Matter for Long-Horizon Agents?](https://mlsanity.com/paper/2605.07937/) (2026)
- [Memory-Induced Tool-Drift in LLM Agents](https://mlsanity.com/paper/2605.24941/) (2026)
- [Rethinking Retrieval: From Traditional Retrieval Augmented Generation to Agentic and Non-Vector Reasoning Systems in the Financial Domain for Large Language Models](https://mlsanity.com/paper/2511.18177/) (2025)
- [Agentic Jackal: Live Execution and Semantic Value Grounding for Text-to-JQL](https://mlsanity.com/paper/2604.09470/) (2026)
- [DADL: A Declarative Description Language for Enterprise Tool Libraries in LLM Agent Systems](https://mlsanity.com/paper/2605.05247/) (2026)

## Abstract (arXiv)

Large Language Model (LLM) agents have shown significant autonomous capabilities in dynamically searching and incorporating relevant tools or Model Context Protocol (MCP) servers for individual queries. However, fixed context windows limit effectiveness in multi-turn interactions requiring repeated, independent tool usage. We introduce MemTool, a short-term memory framework enabling LLM agents to dynamically manage tools or MCP server contexts across multi-turn conversations. MemTool offers three agentic architectures: 1) Autonomous Agent Mode, granting full tool management autonomy, 2) Workflow Mode, providing deterministic control without autonomy, and 3) Hybrid Mode, combining autonomous and deterministic control. Evaluating each MemTool mode across 13+ LLMs on the ScaleMCP benchmark, we conducted experiments over 100 consecutive user interactions, measuring tool removal ratios (short-term memory efficiency) and task completion accuracy. In Autonomous Agent Mode, reasoning LLMs achieve high tool-removal efficiency (90-94% over a 3-window average), while medium-sized models exhibit significantly lower efficiency (0-60%). Workflow and Hybrid modes consistently manage tool removal effectively, whereas Autonomous and Hybrid modes excel at task completion. We present trade-offs and recommendations for each MemTool mode based on task accuracy, agency, and model capabilities.