Definition
Intelligent Document Processing (IDP)
Intelligent document processing (IDP) uses AI to read documents such as invoices, forms and statements, extract the important information and send it to business systems, with people checking uncertain cases.
Basic OCR turns an image of text into text. Intelligent document processing goes further: it understands which number is the invoice total, which date is the due date and which rows belong to a table, even when layouts vary between suppliers.
IDP systems typically combine extraction, validation rules and a human review queue, so routine documents flow through automatically while unclear ones are checked by a person.
Intelligent document processing in practice
An accounting firm receives hundreds of supplier invoices a week in different formats. IDP reads each one, extracts the supplier, amounts and VAT, checks the totals add up and posts them to the accounting system, sending only the unclear ones to staff.
Common questions about intelligent document processing
What's the difference between OCR and IDP?
OCR converts images to text. IDP understands the document, extracting specific fields, validating them and sending them to the right system.
What documents can IDP handle?
Invoices, receipts, bank statements, application forms, shipping documents, contracts and many others.
How accurate is intelligent document processing?
Very accurate on clear, consistent documents. Accuracy should be measured on your own documents, with human review for uncertain cases.
Does IDP replace accountants or admin staff?
It removes manual data entry so staff can focus on checking exceptions, advising and higher-value work.
