# Do Enterprise Systems Need Learned World Models? The Importance of Context to Infer Dynamics

arXiv: https://arxiv.org/abs/2605.12178 · HTML: https://mlsanity.com/paper/2605.12178/

## Key facts

- Cited by 2 papers in the map (data through 14 Oct 2026).
- Placed in World models for language agents, one of 11 directions in World models.
- Builds on 28 of its 42 references that are in the map.
- First posted on arXiv 12 May 2026.

## Placed in

- World models / [World models for language agents](https://mlsanity.com/wm/world-models-for-language-agents/)

## Builds on (most cited first, 28 of 28)

- [LoRA: Low-Rank Adaptation of Large Language Models](https://mlsanity.com/paper/2106.09685/) (2021)
- [ReAct: Synergizing Reasoning and Acting in Language Models](https://mlsanity.com/paper/2210.03629/) (2022)
- [Toolformer: Language Models Can Teach Themselves to Use Tools](https://mlsanity.com/paper/2302.04761/) (2023)
- [A Survey on Large Language Model based Autonomous Agents](https://mlsanity.com/paper/2308.11432/) (2023)
- [Voyager: An Open-Ended Embodied Agent with Large Language Models](https://mlsanity.com/paper/2305.16291/) (2023)
- [Dream to Control: Learning Behaviors by Latent Imagination](https://mlsanity.com/paper/1912.01603/) (2019)
- [Learning Latent Dynamics for Planning from Pixels](https://mlsanity.com/paper/1811.04551/) (2018)
- [Self-Supervised Learning from Images with a Joint-Embedding Predictive Architecture](https://mlsanity.com/paper/2301.08243/) (2023)
- [OpenAI GPT-5 System Card](https://mlsanity.com/paper/2601.03267/) (2025)
- [Reasoning with Language Model is Planning with World Model](https://mlsanity.com/paper/2305.14992/) (2023)
- [V-JEPA 2: Self-Supervised Video Models Enable Understanding, Prediction and Planning](https://mlsanity.com/paper/2506.09985/) (2025)
- [Recurrent World Models Facilitate Policy Evolution](https://mlsanity.com/paper/1809.01999/) (2018)
- [TD-MPC2: Scalable, Robust World Models for Continuous Control](https://mlsanity.com/paper/2310.16828/) (2023)
- [WorkArena: How Capable Are Web Agents at Solving Common Knowledge Work Tasks?](https://mlsanity.com/paper/2403.07718/) (2024)
- [TheAgentCompany: Benchmarking LLM Agents on Consequential Real World Tasks](https://mlsanity.com/paper/2412.14161/) (2024)
- [Plan-and-Act: Improving Planning of Agents for Long-Horizon Tasks](https://mlsanity.com/paper/2503.09572/) (2025)
- [Is Your LLM Secretly a World Model of the Internet? Model-Based Planning for Web Agents](https://mlsanity.com/paper/2411.06559/) (2024)
- [DISCOVERYWORLD: A Virtual Environment for Developing and Evaluating Automated Scientific Discovery Agents](https://mlsanity.com/paper/2406.06769/) (2024)
- [Context-aware Dynamics Model for Generalization in Model-Based Reinforcement Learning](https://mlsanity.com/paper/2005.06800/) (2020)
- [CWM: An Open-Weights LLM for Research on Code Generation with World Models](https://mlsanity.com/paper/2510.02387/) (2025)
- [WorkArena++: Towards Compositional Planning and Reasoning-based Common Knowledge Work Tasks](https://mlsanity.com/paper/2407.05291/) (2024)
- [CRMArena: Understanding the Capacity of LLM Agents to Perform Professional CRM Tasks in Realistic Environments](https://mlsanity.com/paper/2411.02305/) (2024)
- [Hidden Parameter Markov Decision Processes: A Semiparametric Regression Approach for Discovering Latent Task Parametrizations](https://mlsanity.com/paper/1308.3513/) (2013)
- [WALT: Web Agents that Learn Tools](https://mlsanity.com/paper/2510.01524/) (2025)
- [EnterpriseOps-Gym: Environments and Evaluations for Stateful Agentic Planning and Tool Use in Enterprise Settings](https://mlsanity.com/paper/2603.13594/) (2026)
- [GTM: Simulating the World of Tools for AI Agents](https://mlsanity.com/paper/2512.04535/) (2025)
- [World of Workflows: A Benchmark for Bringing World Models to Enterprise Systems](https://mlsanity.com/paper/2601.22130/) (2026)
- [Terminal Agents Suffice for Enterprise Automation](https://mlsanity.com/paper/2604.00073/) (2026)

## Built on by (most cited first, 2 of 2)

- [Continual Enterprise World Model Discovery in Dynamic Systems](https://mlsanity.com/paper/2609.19551/) (2026)
- [Relational Learning as World Modeling](https://mlsanity.com/paper/2610.16763/) (2026)

## Abstract (arXiv)

World models enable agents to anticipate the effects of their actions by internalizing environment dynamics. In enterprise systems, however, these dynamics are often defined by tenant-specific business logic that varies across deployments and evolves over time, making models trained on historical transitions brittle under deployment shift. We ask a question the world-models literature has not addressed: when the rules can be read at inference time, does an agent still need to learn them? We argue, and demonstrate empirically, that in settings where transition dynamics are configurable and readable, runtime discovery complements offline training by grounding predictions in the active system instance. We propose enterprise discovery agents, which recover relevant transition dynamics at runtime by reading the system's configuration rather than relying solely on internalized representations. We introduce CascadeBench, a reasoning-focused benchmark for enterprise cascade prediction that adopts the evaluation methodology of World of Workflows on diverse synthetic environments, and use it together with deployment-shift evaluation to show that offline-trained world models can perform well in-distribution but degrade as dynamics change, whereas discovery-based agents are more robust under shift by grounding their predictions in the current instance. Our findings suggest that, in configurable enterprise environments, agents should not rely solely on fixed internalized dynamics, but should incorporate mechanisms for discovering relevant transition logic at runtime.