What is so intelligent about Intelligent Document Processing?

Jun 13, 2023


Intelligent Document Processing (IDP) refers to the automated process of analyzing, extracting, and categorizing data from various types of documents. It is a digital transformation technology that revolutionizes the way organizations manage their information. IDP has become an essential tool for businesses of all sizes, providing them with increased efficiency, accuracy, and speed in managing their documents.

When and why did it start?

The concept of IDP started to gain traction in the late 1990s when the need for digitization of paper-based documents became more pressing. With the rise of digital technologies, organizations began to see the need for automated and efficient document processing to manage the increasing volume of data generated by their operations.

How was it before and how is it happening now?

Before the advent of IDP, document processing was a time-consuming and manual process that involved manual data entry and manual categorization of documents. This was a slow and error-prone process that often resulted in data inconsistencies and reduced productivity.

Today, IDP has come a long way. With advancements in artificial intelligence (AI) and machine learning (ML), IDP has become a highly automated and sophisticated technology that can process large volumes of data with increased accuracy and speed.

What problems does it solve?

IDP solves a range of problems faced by organizations in managing their documents, including:

  • Inefficient manual data entry and categorization
  • Inconsistent data quality due to manual errors
  • Time-consuming document processing
  • Increased risk of data loss and security breaches
  • Inability to access important information quickly and easily

Business Architecture

The business architecture of IDP is designed to provide organizations with a centralized repository for their documents, where they can access and manage their information easily and efficiently. IDP solutions typically include features such as document scanning, optical character recognition (OCR), data extraction, and categorization, as well as data analytics and reporting.

Popular Process

The process involved in IDP typically includes the following steps:

  • Document scanning and image recognition
  • Optical character recognition (OCR)
  • Data extraction
  • Categorization of data
  • Data validation and correction
  • Data storage and management


IDP provides organizations with a range of benefits, including:

  • Increased efficiency and productivity
  • Improved data quality and accuracy
  • Quick and easy access to important information
  • Reduced risk of data loss and security breaches
  • Improved compliance with regulatory requirements
  • Increased visibility into organizational data and processes


IDP has been a game-changer for organizations of all sizes, providing them with increased efficiency, accuracy, and speed in managing their documents. According to recent studies, IDP solutions can reduce manual data entry time by up to 80%, and improve data accuracy by up to 99%. These results demonstrate the significant impact that IDP can have on an organization’s bottom line.

Role of AI and ML

AI and machine learning (ML) play a critical role in the development of IDP technology. These technologies enable IDP systems to process and analyze large volumes of data, extract relevant information, and categorize documents based on predefined criteria. AI and ML also provide IDP systems with the ability to learn and improve over time, ensuring that they can keep up with the changing needs of organizations.

Top Companies for IDP

There are many companies that offer IDP solutions, including:

  • DocuContext by Dlytica

Learn more about DocuContext here : https://www.dlytica.com/product/docucontext/

  • AWS Textract
  • Adobe
  • IBM
  • Microsoft
  • OpenText
  • Oracle
  • SAP


Intelligent Document Processing has come a long way since its inception, and today it is an essential tool for businesses of all sizes. With the increasing demand for digital transformation, IDP is poised to become an even more critical technology in the years to come. Whether you’re looking to streamline your document management processes, improve data quality and accuracy, or gain greater visibility into your organizational data and processes, IDP is an investment worth considering.

What’s next?

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