3 Facts To Keep in Mind Before Getting Started with IDP

Many businesses globally are leveraging IDP to process documents more efficiently, which makes IDP one of the most developing markets in the tech world. Keeping up with the IDP trend can not only help businesses to optimize operations and save resources, but also open up various career opportunities for IT students and tech savvy. The blog collects key info in the playbook ““Document Processing in The Digital Age: OCR, IDP, or Are You Still Typewriting?” ” to provide you with 3 key fundamentals about IDP.

Potential of IDP

Data is a valuable asset for every business in the digital age. However, according to studies by Soquel Group, 85% of business databases are unstructured or semi-structured. Processing complex data requires smarter processes, which necessitates the use of new technology rather than manual processing as in the past.

IDP applications have been a growing trend all over the world since 2021.

According to Market Research Future – a global market research company, IDP applications have been a growing trend all over the world since 2021, because this technology delivers remarkable benefits such as optimizing resources, increasing accuracy, and promoting flexibility. IDP is enabling Vietnamese businesses to process large volumes of documents and keep up with global technology trends. Hence, IT students and young people with a passion for technology should explore and learn about this potential technology solution to expand their future career opportunities.

The key fundamentals of Intelligent Document Processing

Before starting intelligent document processing, individuals and businesses need to know some important knowledge about IDP:

IDP can process documents in different formats.

IDP is able to convert various files to extract and process data from different document formats, including unstructured (word files, excel, images, videos,… ) and semi-structured data (compressed files, emails, web pages,…).

Data processed by IDP is returned in numeric and structured formats, making it easy to store and integrate as input data for many different technological systems. Computer tools and software will work effectively with structured data, enabling humans to do their tasks with better precision, speed, and productivity.

IDP converts unstructured data within documents into structured data for further use.

OCR and IDP are different technologies

Many people wrongly assume that IDP and OCR are the same things since both technologies focus on data processing and extraction. However, they are two entirely different solutions, with the following differences:

  • OCR can only extract data (simple, structured, and template-based data) from the input document. As a result, humans will be required to intervene manually or undertake additional programming steps for the bot to classify information about the fields. OCR tends to have difficulty processing enormous amounts of complex data.
  • IPD outperforms traditional OCR in terms of its capacity to analyze, classify, extract and evaluate data. IPD can also understand data in context and return data that has been extracted by fields. For example, IDP can understand the number 2022 as time data and put it in the “year” field, whereas OCR simply extracts the number 2022.  Furthermore,  IDP does not require complex deployment infrastructure and high deployment costs like OCR.

Discover the difference between IDP and OCR here.

IDP is not just about data extraction

Data extraction is just one part of document processing to obtain diverse information about the business.  In addition, IDP can address data processing requirements ranging from extraction to classification, validation, and integration with other technologies. 

  • Data classification: Natural Language Processing (NLP) technology integrated into IDP recognizes characters, symbols, letters, and numbers, as well as text in unstructured documents. NLP is able to read data from complex documents and categorize text-based data into text documents and picture/image.
  • Data validation: IDP validates data by leveraging a previously formatted database. At this stage, any document containing problems will be marked red and sent to humans for further evaluation and correction.
  • Integration with other technology systems: Businesses can directly connect IDP with existing technology systems and combine IDP with automation technologies such as RPA to improve data processing automation. By integrating IDP with RPA, businesses can shift from process automation to Hyperautomation.


Thus, IDP is one of the next generation of automation technologies, capable of processing large volumes of documents quickly and accurately. In the future, technology like IDP will support people in handling tasks quickly and effectively, ultimately enhancing productivity and labor productivity. Download the Playbook “Document Processing in The Digital Age: OCR, IDP, or Are You Still Typewriting?” now to discover the details about IDP and read the case-study of applying this new technology.


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Overview of Intelligent Document Processing (IDP) and its Benefits

The differences between IPD and OCR and the benefits for businesses

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