Synthesis Through Simulation: Generating Coherent Enterprise Data via Scalable Agent-System Interaction
Yipeng Li, Ashutosh Hathidara, Jane Lo, Harshavardhan Abichandani, Gunraj Singh, Atin Ghosh
SAP Labs
Published September 24, 2026 · on the feed October 9, 2026 · ▲ 7 · arXiv 2610.10549
The abstract
Tool-calling agents have become central to enterprise AI, yet training and evaluating them at scale remains severely constrained due to business and legal restrictions on enterprise systems, data, and database schemas. Tabular data synthesis offers a natural alternative, but its effectiveness is fundamentally limited by structural validity and schema availability, while procedure-based approaches yield the opposite weakness, typically lacking distributional fidelity without per-domain authoring. We introduce **Synthesis Through Simulation** (STS), a **schema--free** data synthesis paradigm in which an LLM agent generates data by executing operations against policy-enforcing APIs within simulated enterprise environments. Because data is generated through the same environment that defines what is valid, STS guarantees structural validity by construction while decoupling validity enforcement from distribution modeling, allowing each to be addressed independently. The **Generalist Populator** (GP), STS's domain-agnostic agent, addresses the remaining challenges of distributional fidelity and synthesis scalability: GP achieves **0.88** average marginal fidelity and **100\% constraint satisfaction** across all ten environments *without access to DB schemas*, while statistical synthesizers are inapplicable to seven due to necessary seed data requirements, and schema-privileged agents fail 82\% of trajectories on airline environment's tightly coupled workflows due to brittle task composition. We open-source the full framework, all ten environments, and generated datasets at https://github.com/SAP/synthesis-through-simulation.
The Brief
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Transcript
Synthesis Through Simulation. Generating Coherent Enterprise Data via Scalable Agent-System Interaction. By Yipeng Li and five others, from SAP Labs. Published on the twenty-fourth of September.
Tool-calling agents have become central to enterprise AI, but training and evaluating them at scale is severely constrained. Business and legal restrictions limit access to enterprise systems, their data, and their database schemas. The two existing alternatives fail in opposite directions. Tabular data synthesis is a natural substitute, but it is fundamentally limited by structural validity and by whether a schema is available. Procedure-based approaches have the reverse weakness: they typically lack distributional fidelity unless someone authors them domain by domain.
Synthesis Through Simulation, or STS, is a schema-free way of producing data. An LLM agent generates the data by executing operations against APIs that enforce policy, inside simulated enterprise environments. Since the data comes out of the same environment that defines what counts as valid, structural validity is guaranteed by construction. That also separates enforcing validity from modelling the distribution, so each can be handled on its own.
The remaining problems, distributional fidelity and scaling up synthesis, fall to the Generalist Populator, or GP, the domain-agnostic agent within STS. It operates without access to database schemas. Validity is the environment's job, so the agent's job narrows to the other two: making the data look like the real distribution, and producing enough of it across many environments without per-domain authoring.
Across all ten environments, GP achieves an average marginal fidelity of zero point eight eight, and one hundred percent constraint satisfaction, without seeing a schema. The baselines struggle in two different ways. Statistical synthesizers cannot be applied to seven of the ten environments, because they need seed data. Agents given privileged access to schemas fail eighty-two percent of trajectories on the airline environment, whose workflows are tightly coupled, and the stated cause is brittle task composition. The full framework, all ten environments and the generated datasets are open-sourced, under the SAP organisation on GitHub.
The central move is to let validity come from the system rather than from a schema. An agent that can only act through rule-enforcing interfaces cannot produce invalid records, which leaves fidelity as the one problem to solve, and it frees the approach from needing the very schemas that enterprises are least able to share.
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