Do you know that the global Intelligent Document Processing (IDP) market is snowballing at a robust CAGR of 37.5%? According to a recent study by MarketsandMarkets, IDP is projected to account for $5.2 billion by 2027 from $1.1 billion in 2022.
The prime reason for this surge in IDP growth can be attributed to the critical need for enterprises to deal with substantial volumes of semi-structured and unstructured documents efficiently. Not just storing and accessing them securely but also facilitating the documents for advanced analytics.
The data insights that lie in all these semi and unstructured documents can fetch a lot of value in the form of analytics and insights. No wonder IDP lies at the core of the operational workflow today for the organizations who have adopted it. Businesses utilizing Intelligent Document Processing (IDP) solutions for document processing exemplify how this technology domain is crucial in enabling accelerated operations and innovations and giving a competitive edge. Before we delve into the Intelligent document processing trends 2024 (IDP Trends 2024), let us understand what is driving the growth.
Digital transformation amping up the adoption of IDP
Efficiently managing business processes within specified time and budget constraints is still a challenge for numerous organizations today. In order to keep pace with the current demand and obviate the necessity of paper-intensive and manual procedures, businesses are rapidly embracing modernization and innovation. Incorporating the technological advancements from RPA to AI is reshaping the entire landscape.
Intelligent Document Processing stands as an important component in Digital transformation as it goes beyond document management and automates the extraction, classification, and validation of data.
Thus, we can understand that digital transformation is the key driver of IDP adoption growth. As we know, IDP is a pivotal component in business process automation. This is especially true in sectors and enterprises dealing with massive paperwork, such as BFSI, healthcare, medical sciences, logistics, transportation, manufacturing, retail, legal, etc. Let’s find out about the latest Intelligent document processing trends 2024 (IDP Trends 2024).
How does IDP function?
Accenture’s findings show that 80% of an enterprise’s content is unstructured. It encompasses a wide array of documents, including emails, legal briefs, scribbled notes, contracts, written notes, agreements, resumes, text documents- anything that doesn’t conform to the structured layout of spreadsheets or receipts. So, when there are too many such documents and much fewer managing strategies, the data overload becomes overwhelming and leads to spiraling out of control. Let us understand how IDP handles the situation in four steps.
- Document ingestion: We ingest unstructured documents into the IDP system from diverse sources such as scanned files, email attachments, uploads, and more.
- Data extraction: The documents undergo processing within the IDP system. IDP reads and extracts the data points from the documents following predefined rules and patterns. Machine Learning algorithms scrutinize the content, categorize the documents into distinct groups, and streamline the data management processes.
- Data verification: The extracted data is cross-verified against established criteria to guarantee precision and comprehensiveness. If the validation faces any uncertainties or fails, the system triggers a request for manual inspection and verification.
- Data Management: Since IDP solutions integrate with the existing business applications and current document management platforms, it enables seamless transfer of the processed data into the subsequent systems, reducing human intervention and minimizing errors.
Top 6 Intelligent Document Processing (IDP)Trends 2024
Let us find out the top 6 IDP trends enterprises look forward to implementing in 2024.
Document Automation with cutting-edge Artificial intelligence
Artificial intelligence is a propelling factor that drives advancements in document processing technologies. When coupled with AI, technology such as Optical Character Recognition enhances the document processing function to new levels. Optical Character Recognition (OCR) has the capability to transform IDP into a highly efficient mega-scanner. It allows the solution to absorb and process a broad spectrum of documents that support your operational tasks. This encompasses applications, forms, contracts, and more. But now computer vision technologies such as OCR are complemented by their more advanced counterpart, Intelligent Character Recognition (ICR), which plays a critical role in IDP.
Automate your document processing to accelerate your business operations
Contact UsWhile OCR handles fundamental tasks such as handling images or scans of typed text in typical standard formats such as invoices, receipts, or envelopes, ICR handles the unconventional aspects of documents intelligently. Processing unique fonts, handwritten notes, and even illegible handwriting is easy for ICR, and it is where its proficiency beams.
The Role of IDP in Business Process Automation
AI’s influence extends much beyond document intake. It assumes a key role in channeling the trajectory of documents. AI reads and comprehends digital documents and classifies them. For instance, it can distinguish between a purchase order and a W-4 IRS form. Similarly, AI can categorize similar documents together or direct them to the appropriate manager for review. With AI-enhanced IDP, the information enclosed within your documents becomes accessible for integration into your operational workflows. How these latest Intelligent document processing trends 2024 (IDP Trends 2024) will reshape the industries?
IDP can collaborate with other businesses process automation technologies like Robotic Process Automation (RPA) within business processes. RPA is adept at automating tasks involving clear-cut, well-defined, repetitive sequences of tasks and processes.
Humans in the loop with IDP
Unmonitored AI can potentially unleash a lot of undesired consequences. Hence, humans must be looped in, establish handrails, and ensure AI alignment with human objectives. This is why leading IDP service providers incorporate a pivotal element- the human-in-the-loop observation layer in the solution.
How can this collaboration happen?
Initial training: An initial training dataset that humans contribute upfront fosters a collaborative environment for humans and AI to validate the accuracy of outcomes jointly.
Periodic review– A subset of outcomes routed to humans for manual reviewing intermittently.
Accuracy threshold: Humans set a defined threshold for acceptable accuracy. If the AI is uncertain about its judgment, it sends it to a human reviewer for a comprehensive double-check.
In all these circumstances, the AI keeps learning and getting trained. It continuously takes human feedback to enhance its performance and become better.
Cloud computing in IDP
Cloud-based IDP solutions offer substantial advantages that significantly enhance your document management capabilities:
Scalable
With large enterprises dealing with millions of documents weekly, cloud-based IDP facilitates rapid, dependable, and ultimately possible document processing. It involves leveraging computing power beyond the in-house IT infrastructure. With cloud-based IDP, organizations can navigate peak activity periods, accommodate business growth, and efficiently manage document processing demands.
Accessible
The present landscape comprises remote and hybrid work. However, seamless access to critical documents from anywhere in the world is also necessary. With cloud-based IDP, team members can effortlessly retrieve information and data from anywhere across the globe, at any time, provided an internet connection. The ability for multiple users to collaboratively work on documents in real-time enhances overall productivity and teamwork.
Security and Compliance
Cloud providers implement stringent security measures to safeguard your data. Shielding your data with top-tier data encryption, robust access controls, and regular security updates is vital and ensures security.
The advent of cloud computing has revolutionized diverse industries, and the domain of IDP is no exception.
Advanced analytical capabilities in IDP
The landscape of IDP is progressing towards predictive and prescriptive analysis, effectively disrupting conventional reporting methodologies. Where traditional approaches might reveal opportunities or pitfalls after months of exhaustive data scrutiny, advanced analytics focus on the future, effectively transforming your data repository into a form of foresight.
Predictive analytics:
Predictive analytics harnesses the power of machine learning algorithms and artificial intelligence to discern patterns, trends, and correlations within your data ecosystem. IDP systems utilize these insights to enhance document categorization, refine accuracy, and notify themselves of potential anomalies.
Prescriptive analytics:
A step ahead of predictive analytics, prescriptive analytics suggestions are grounded in the insights derived from data. ML algorithms optimize workflows and contribute to informed decision-making processes. For instance, an IDP system enriched with advanced analytics might prescribe a more streamlined workflow for processing specific document types, exemplifying the practical application of these insights. One of the important Intelligent document processing trends 2024 (IDP Trends 2024) is prescriptive analytics.
The power of IDP amplifies with the integration of advanced analytics, as it can extract meaningful insights from your data. The trend is increasing, with organizations increasingly harnessing this capability to understand customer sentiments, analyze invoice data, detect fraudulent activity in financial documents, and much more.
Generative AI and IDP
With the upsurge in generative AI and large language models, incorporating this technology in IDP can emerge as a game-changer. Generative AI adds the conversational angle by helping IDP providers develop innovative conversational tools in their solutions. As a result, the capability to engage in dialogues with your network of documents is steadily gaining prominence. One can now inquire about documents containing specific terms or selectively extract particular data points.
For instance, Microsoft, leveraging its Azure Open AI service, empowers businesses to harness the power of generative AI within their enterprise apps. By seamlessly integrating the Open AI Service with Azure Cognitive Search, you can elevate your enterprise search functionality by infusing it with generative AI capabilities. Likewise, through the integration with Azure Form Recognizer, Open AI Service enables the enhancement of intelligent document processing with generative AI-powered features.
Amidst these six prevailing trends, numerous others are poised to emerge. The Internet of Things (IoT) is a prolific source of information, amassing data from sources as diverse as smartwatches, refrigerators, and more.
How can we help?
As we delved into the latest IDP trends and offerings above, it is evident that these advances in IDP are reshaping the path to effective document processing, bringing along analytics, automation integration, and enhanced AI capabilities. Identifying which trends align with your enterprise’s goals and objectives is essential to unlock a new era of accuracy and optimized workflows. Regarding document processing, Saxon AI stands as a beacon of expertise. Its advanced Intelligent Document Processing (IDP) solution is poised to not only solve your document situation but also empower your organization with the right tools and techniques. Get in touch to find out more.
