Building Agents with OpenAI’s Agents SDK and LM Studio’s Local Inference Server

Getting started with local agentic workflows

Image created by me using ChatGPT

Starting with local agentic workflow development is actually pretty straightforward. But as I dove in, I noticed a big gap. Most of the documentation and tutorials out there are scattered, incomplete, or overly complex. It takes a lot of time just to figure out what’s actually important.

Another challenge is that LLMs often fall short in this space. The tools and frameworks are so new and evolving so fast that even AI struggles to keep up or give accurate help.

That’s why I decided to document everything in one place. This guide is meant to be a simple, no-fluff walkthrough to help you get up and running quickly, without getting lost in the noise.

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Our goal for this article:

1. Understand how to configure Agents via the Agents SDK to use your locally running LM Studio’s inference server.
2. Understand how to use Pydantic in our workflows.
3. Understand how to use function calling and tools with our agent.