In India, no two ID documents look the same. From Aadhaar to PAN cards, each document varies by state, language, and format—often scanned with a shaky phone camera. This makes background verification slow and error-prone.

Traditional OCR can read the text but usually fails to understand the semantic meaning of it. NLP understands text but needs it to be clean and structured. Alone, they fall short.

We built a solution that combines both. It reads, understands, and verifies Indian documents—even the blurry, multilingual ones—so background checks become faster, smarter, and far more accurate.



## 1. Challenges with Traditional OCR for Indian Documents

Most traditional OCR systems were designed with western document formats in mind. When applied to Indian documents, they run into several limitations:

- **Layout Variability**: Indian documents like Aadhaar, PAN, Voter ID, and Driving License all have different layouts, fonts, and field placements—often varying by state and issuing authority.

- **Multilingual Content**: Documents may be written in Hindi, English, Bengali, Tamil, or a mix of languages.

- **Poor Image Quality**: Mobile captures are often blurred, skewed, or shadowed—especially by non-tech-savvy users.

- **No Support for Cross-Validation**: Verifying data consistency across documents (e.g., name match between PAN and Aadhaar) is impossible with standalone OCR.



## 2. Our Solution: Smart, Multilingual, India-Ready IDP

We’ve built an end-to-end IDP system that combines the strengths of OCR and large language models (LLMs), specifically tailored for Indian documents. It can read and understand Indian documents, no matter how they’re formatted.

### What makes our system different?

#### A. Multilingual OCR Engine
- Trained on Indian fonts and regional scripts.
- Handles noisy, skewed, and low-resolution images with adaptive preprocessing.
- Supports documents in multiple Indian languages, including mixed-language cases.

#### B. LLM-Powered NLP Layer
- Adds semantic understanding to OCR output.
- Recognizes fields even if labeled differently across formats (e.g., “D.O.B”, “Date of Birth”, or just a raw date).
- Performs cross-document field matching and logical validation.
- Generates a natural-language summary of findings (e.g., *“PAN and Aadhaar match. DOB confirmed. Address differs.”*)

#### C. Structured JSON Output
- Extracted data is provided as clean JSON, ready for integration with internal systems.
- APIs allow real-time or batch processing of documents.



## 3. How It Helps with the Background Verification Process

For background verification, we usually collect multiple documents from a candidate—like Aadhaar, PAN, driving license, and education certificates. These are then cross-checked manually by operations teams, which takes time and often leads to errors.

Our system has the intelligence to automate this entire process:

- **Multi-Document Intelligence**: Scans several documents together and generates a single, unified summary report.

- **Fraud Detection**: Identifies tampered documents, mismatches, and other red flags using visual and contextual checks.

- **Smart Summarization**: Highlights important matches (like name and date of birth) and flags issues such as address mismatches or missing information.

- **JSON Output**: Generates a clean, structured JSON file ready for integration with HRMS, onboarding platforms, or internal tools.

- **Faster Turnaround**: Processes documents in seconds, even at scale.



## 4. Conclusion

To conclude, background verification is just one business process where we’ve applied our IDP solution—but it’s only the beginning. The same technology can easily be extended to other domains and workflows where documents play a key role.

### Other Potential Applications:

- **Insurance Claims**  
  Automatically extract key details from medical bills, discharge summaries, and claim forms, helping insurers validate claims faster and flag any inconsistencies.

- **Invoice Processing**  
  Read and extract vendor name, invoice number, dates, GST details, and line items from both scanned and digital invoices. Match them with purchase orders and reduce manual data entry.

- **Financial Services**  
  Streamline KYC processes by reading identity documents, verifying details across forms, validating loan documents, and supporting credit underwriting with structured, machine-readable outputs.

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**What do you think—where else can this be implemented? Share your thoughts in the comments!**


Building a Scalable Indian IDP for Background Verification.png

India’s ID documents vary wildly by state, script, and format—confusing legacy OCR tools. See how an AI-powered solution reads, understands, and verifies even the messiest scans.

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Building a Scalable Indian IDP - How NLP and OCR Work Together for Background Verification

Managing documents has always been central to business operations. However, the scale, speed, and complexity of information today have made manual handling both inefficient and risky. From insurance claims to compliance forms, organizations are under constant pressure to process documents faster, more accurately, and with full regulatory alignment.

In this article, we explore what intelligent document processing is, how it works, and why it is becoming critical for document-driven industries.

## What actually is IDP in simple terms?

Intelligent Document Processing is a modern approach that uses AI for document processing to capture, classify, and extract important information from various types of documents. It works seamlessly across structured formats such as forms and invoices, as well as unstructured inputs like handwritten notes or emails, interpreting and organizing data with minimal manual effort.

It also makes information retrieval smarter and workflows lighter. Using IDP software, companies can extract, validate, and organize data at scale, allowing teams to shift focus from manual tasks to strategic initiatives.

Unlike traditional OCR, which only scans and digitizes text, intelligent document processing software understands context and relationships between data points. It extracts insights and structures them in a way that downstream systems can use directly.

This means faster access to reliable data that supports better decision-making.

### Core Components of IDP

17. **Optical Character Recognition (OCR):** Converts printed or handwritten text from images and scanned files into digital text
18. **Natural Language Processing (NLP):** Interprets the structure, language, and intent of the content
19. **Machine Learning (ML):** Learns from past corrections to improve accuracy over time
20. Automation Workflows: Validates, categorizes, and integrates information into business systems without manual input

Together, these technologies allow businesses to process large volumes of documents with greater speed, intelligence, and accuracy.

## How IDP Works: A Step-by-Step Breakdown

Here’s how document processing AI organizes and automates document workflows:

![How IDP work step by step](https://strapi.kriyam.ai/uploads/IDP_workflow_e513411894.png)

### 1. Ingestion
Captures documents from multiple sources such as email, PDFs, scanned images, and cloud uploads
### 2. Classification
Identifies and sorts document types such as contracts, invoices, claim forms, or KYC documents
### 3. Extraction
Selects and pulls out key information like names, dates, ID numbers, or payment details
### 4. Validation
Checks extracted data against predefined rules or internal databases to ensure accuracy
### 5. Integration
Delivers structured and validated data to systems like CRM, ERP, or analytics platforms

## Key Applications of Intelligent Document Processing

The impact of intelligent document processing in financial services is evident across several high-demand workflows:

![Application of IDP](https://strapi.kriyam.ai/uploads/Application_of_IDP_0642e49732.png)

1. **Banking:** Automates processes like customer onboarding, loan application handling, and financial document checks.

2. **Insurance:**  Accelerates claims settlement, policy issuance, and underwriting assessments.

3. **Compliance:** Supports faster and more reliable KYC and AML verifications.

4. **Accounts Payable:** Simplifies invoice capture, matching, and payment processing.

👉 For a deeper look into industry-specific use cases, check out our blog on
How IDP Is Revolutionizing BFSI Document Workflows


## Why is IDP a Game-Changer For Your Business?

The impact of AI for document processing goes beyond speed. It transforms the way organizations operate:
✅ **Increased Efficiency:** Processes documents in minutes instead of days.
✅ **Higher Accuracy:** Reduces manual errors with AI-powered data extraction.
✅ **Cost Reduction:** Cuts labor costs by minimizing manual effort.
✅ **Better Compliance:** Creates secure, audit-ready document trails.
✅ **Scalability:** Handles growing document volumes without needing to expand teams.
With intelligent automation, businesses gain the agility to respond faster to customer needs and regulatory changes.

## Conclusion

Documents drive decisions, but traditional processing methods slow businesses down and expose them to costly errors. Intelligent Document Processing software changes that by introducing speed, accuracy, and control into document-driven workflows.

With [Kriyam.ai](http://Kriyam.ai), financial institutions and enterprises can unlock smarter operations, stronger compliance, and significant cost savings. As document volumes grow and regulatory expectations rise, adopting AI for document processing will be key to staying competitive and resilient.

If you invest early in intelligent document processing solutions, you’ll manage documents better and lead the future of intelligent business operations.

## FAQs
#### Q1: What makes IDP different from traditional OCR?
 OCR only extracts text. IDP extracts, understands, validates, and organizes the data intelligently.
#### Q2: Is IDP software secure?
Yes. Kriyam.ai ensures data security with encryption, access control, and audit trails.
#### Q3: Does IDP support different document formats?
Absolutely. It can process PDFs, scanned images, emails, and even handwritten notes.
#### Q4: Can small and mid-sized businesses use IDP?
Yes, IDP solutions like Kriyam are scalable and flexible for businesses of all sizes.
#### Q5: Which industries benefit the most from IDP?
 Financial services, insurance, healthcare, legal, and government sectors are among the top adopters.


What is Intelligent Document Processing (IDP)

What is Intelligent Document Processing (IDP) Blog Cover.png

Explore how Intelligent Document Processing (IDP) transforms document workflows with AI-powered speed, accuracy, and compliance across financial services.

Intelligent Document Processing (IDP) | A Complete Guide

Discover how AI-powered speed, accuracy, and compliance in financial services can revolutionize document workflows through Intelligent Document Processing (IDP).