7.35 min to read

Why agentic adoption must become every organisation’s AI-first strategy

Nicholas Waxmann
Nicholas WaxmanVP Microsoft Alliances and Programmes
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Monday’s announcement by Microsoft of the first Frontier Suite, including Microsoft 365 E7, Agent 365, and Wave 3 of Microsoft 365 Copilot, represents a defining moment in enterprise AI. It marks Microsoft’s clearest signal yet: the future of work is not just AI enhanced, it is agentic.

Agentic AI refers to autonomous, goaldriven digital agents that understand context, coordinate across systems, and execute work without human interaction. With the latest Copilot and Agent 365 capabilities, Microsoft is now preparing organisations to operate as agentic-first enterprises.

More than a mere upgrade, the forthcoming release on May 1 signals a shift toward agentic systems that understand context, coordinate across applications, and take meaningful action inside the flow of work.

Frontier Suite highlights

Microsoft’s framing is explicit: real differentiation comes from Intelligence + Trust. With Work IQ, Copilot and agents tap into organisational context, from how people collaborate and which content matters, to how work actually gets done to deliver outputs that are more relevant and reliable than model only solutions. The aim is AI that understands work, embedded in the tools that employees use every day.  

Wave 3 moves beyond chat and content generation to agentic execution in the flow of work. Copilot is model diverse by design, selecting from leading models including OpenAI and Anthropic to get the job done without binding customers to a single ecosystem. Building on that flexibility, Microsoft introduced Copilot Cowork in research preview, developed in close collaboration with Anthropic. This brings the same technology that powers Claude Cowork into Microsoft 365 so long-running, multistep work can unfold over time across Outlook, Teams, Excel, and more. The result is a practical shift from ‘talking to’ AI to ‘working with’ AI. 

How Copilot closes the gap in agentic readiness

Companies must rethink AI from the ground up. However, a larger truth is inescapable: most enterprises are not yet agentic ready. 

While the technology is accelerating, enterprise capability remains embryonic to earlystage. Data foundations, cross-functional preparedness, operating models, and the cultural will for AI-led transformation still require some uplift, the kind that only experienced partners can help accelerate. 

Many organisations are already confronting difficult questions: 

  • How do we track what agents are doing? 
  • Do they have appropriate access? 
  • Could they leak sensitive information? 
  • How do we manage and secure these agents at scale? 

Although these concerns are on the increase as agentic adoption rises. IT, security, and business leaders need unified visibility, governance, and control gaps. Here’s where Frontier Suite can make impact:  

1. Agent 365 changes the equation over control and governance

Agentic AI requires identity-aware digital entities, endtoend observability, and the ability to govern agent behaviour. Most organisations are only beginning to build these foundations. In this release, Microsoft introduces Agent 365 specifically to fill this need giving IT, security, and business teams full visibility into agent behaviour, access, performance, and risk. It governs all agents (including third-party ones) across the environment. This means IT, security, and business leaders can see which agents exist, what they do, who can access them, and the risks they could introduce –closing gaps that previously made agent sprawl and shadow automation hard to detect. 

This is why consolidating agentic intelligence and governance inside the Frontier Suite provides a meaningful advantage. It is a coherent, integrated system (rather than forcing organisations to stitch together multiple tools) making governance more consistent, sustainable, and operationally achievable. By bringing Work IQ, Copilot, Agent 365, and enterprisegrade security into a single framework, Microsoft enables organisations to enforce consistent policies, monitor behaviours in one place, and manage agentic AI with the same discipline as any other core enterprise system. 

2. Skills gaps persist but Copilot accelerates capability building

Enterprises are still developing skills in prompt engineering, workflow design, automation mapping, and data readiness. Copilot’s design helps close gaps by making agentic work accessible inside the tools employees already use such as Word, Excel, PowerPoint, Outlook, and Teams with intuitive grounding and context.  

3. Organisational willingness to transform varies greatly

Agentic AI changes how work is executed. It challenges existing processes, reshapes roles, and requires executive sponsorship and cultural readiness. Microsoft’s agentic approach is designed for staged, manageable transformation enabling teams to adopt AI in ways that match readiness and appetite.   

How we help you to be agentic-ready

SoftwareOne is your critical enabler and pragmatic advisor. As one of the first partners to earn Microsoft’s Frontier Partner Badge, a distinction awarded to organisations that place AI at the centre of their operations and deliver advanced AI value to customers, SoftwareOne helps organisations translate intent into action, guiding them through practical, staged adoption of Copilot and agentic capabilities, building confidence, readiness, and tangible value at every step. 

What we experience is that although most enterprises want to adopt Copilot and agentic AI they just don’t yet have the readiness, controls, skills, or transformation mindset required. SoftwareOne’s Copilot Advisory Service is built specifically to close these gaps. We can help you:  

Establish governance, controls, and AI readiness

SoftwareOne ensures organisations have the right data foundations, identity posture, risk controls, and observability structures needed for agentic AI. 

Implement Microsoft 365 Copilot 

We help deploy Copilot across Word, Excel, Outlook, PowerPoint, Teams, and more ensuring grounding, governance, and workflow integration deliver real value.  

Develop the skills enterprises need

SoftwareOne supports capability building in the skills most enterprises lack today, in:  

  • AI governance 
  • Automation design 
  • Agent lifecycle management 
  • Adoption and change enablement. 

Navigate AI and Copilot licencing complexity

With Microsoft’s AI licencing portfolio expanding rapidly, the risk of overspend is real. SoftwareOne helps organisations purchase precisely what they need and optimise cost.  

Designing and scaling agentic workflows

We guide organisations in identifying high-value agentic use cases and building execution roadmaps toward a fully agentic enterprise. 

Considerations for your agentic future

While Microsoft 365 E7 introduces a powerful, unified agentic stack, it is not the right economic choice for every organisation. E7 is priced at $99 per user per month, or $90.45 without Teams, consolidating M365 E5-level security, Microsoft 365 Copilot, Agent 365, and additional governance capabilities into a single licence.  

For some organisations, this all‑in model simplifies procurement, reduces the administrative burden of managing multiple SKUs, and can be more cost‑effective than buying separate add‑ons especially for enterprises already investing heavily in agentic workflows or running substantial volumes of pay‑as‑you‑go agents in Copilot Chat, where usage‑based costs can accumulate quickly.  

However, not every business needs the full Frontier Suite to realise value. Organisations with mature E3 or E5 foundations, but without broad agentic demand, may find that sticking with their existing licences and purchasing Agent 365 as an add‑on is a more financially efficient path. This is particularly relevant for companies piloting Copilot with limited user groups, those with lower automation needs, or those whose AI adoption strategy focuses on specific functions rather than enterprise‑wide deployment. 

Conversely, companies likely to gain the most value from E7 include: 

  • Large enterprises deploying Copilot at scale, where consolidated licencing streamlines governance and reduces fragmented spend. 
  • Organisations expecting significant agentic workflow volume, where paying à la carte for Copilot, Agent 365, Entra, and security add‑ons would exceed the E7 price point. 
  • Enterprises seeking one contract, one SKU, one compliance boundary, simplifying audits, forecasting, and budget management. 

In short, E7 offers the greatest economic benefit to organisations that plan to operationalise agentic AI at scale while others may find that a strategically combined E3/E5 + Copilot + Agent 365 approach provides better value and more flexibility. 

Our view: Agentic-first is the next operating model

The evolution toward agentic AI isn’t a theoretical horizon, it’s an operational shift already unfolding with Microsoft’s Frontier Suite. The question for most organisations is no longer whether to adopt agentic capabilities, but how quickly can they reshape their environment to take advantage of them. 

Those that make these investments now will be best positioned to unlock exponential gains in productivity, innovation, and competitive advantage as agentic AI becomes the new standard for how work gets done. SoftwareOne is ready to help organisations navigate this transition with clarity, confidence, and control ensuring they can move from early exploration to meaningful, enterprise-scale impact.

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Discover What It Takes to Be Agentic-First

Contact our experts today to learn how your organisation can adopt Copilot and agentic AI to transform the way work gets done.

Discover What It Takes to Be Agentic-First

Contact our experts today to learn how your organisation can adopt Copilot and agentic AI to transform the way work gets done.

Author

Nicholas Waxmann

Nicholas Waxman
VP Microsoft Alliances and Programmes