An Agent Training Program is one of the neural interactive Construct programs used to teach survival techniques to newly freed/recruited operatives. While other such programs (such as the Jump program) focus on teaching superhuman feats, the sole lesson of the Agent training program is that any Bluepill, even one who's innocent and/or harmless, can be overwritten by an armed & dangerous Agent with little or no warning.
Experiencing the Program
On the Nebuchadnezzar, the program immerses the subject in a construct depicting a crowded city street that resembles those found in the Matrix. Its population consists of simulated urban characters who appear to be (among other archetypes) business professionals, nuns, sailors, police, and hipsters. All wear dully colored clothing with the exception of one woman in a vibrant, red dress. They do little other than proceed along a sidewalk in uniform direction and cross a street when signaled.
During Neo's training, Morpheus leads him across the street and through the throng of simulated people. While Morpheus strolls freely along as if unobstructed, many pedestrians rudely collide with Neo before passing.
As Morpheus orates about how almost all people in the Matrix would violently reject the Real World truth if exposed to it, the Woman in Red passes Neo, smiling at him. Morpheus asks if he finds her distracting and suggests a second look. After Neo looks back and forth between the two, he discovers that she's vanished, apparently replaced by an Agent (Interestingly, it looks exactly like Agent Smith although Morpheus seems not to recognize him later).
With Neo's undivided attention, Morpheus states everyone who have engage an Agent in combat have died.
Administering the Program
Morpheus participates in the program as an instructor while remaining in audio contact with the Neb crew. Tank operates, loading and pausing it on command. Mouse claims design credit for the Woman in Red.