AI-driven document processing projects rise as paper persists

A new study has found that 65% of organisations are actively considering or implementing Intelligent Document Processing (IDP) projects, with a significant shift towards replacing existing legacy systems.

The research, conducted by the Association for Intelligent Information Management (AIIM) together with Deep Analysis, and co-sponsored by SER Group, surveyed 600 large US and European enterprises. It highlights that adoption of artificial intelligence (AI)-based document processing is increasing, notably extending from back-office tasks to more complex front-office processes.

IDP adoption trends

The study found that 78% of surveyed organisations are already using some form of AI in their document management processes. IDP solutions, enhanced by generative AI (GenAI), are now being utilised not only for traditional invoice processing but also for functions such as human resources file management, contract handling, licensing, permits, and know-your-customer (KYC) onboarding. This demonstrates the ability of AI-powered IDP to process a wider range of unstructured documents in diverse business environments.

Among the responding enterprises, the main advantage cited for implementing IDP projects was reduced processing time, selected by 50%. In contrast, only 30% identified workforce reductions as a primary benefit. This trend positions IDP as a productivity tool aimed at streamlining work, rather than primarily cutting jobs.

"Technologies for processing documents and recognizing invoices have been around for some time, but we're now seeing a major AI-driven leap forward. The AIIM survey confirms what we see every day: organizations need faster, smarter, and more scalable automation," says Dr. John Bates, CEO of SER Group.

Dr. Bates elaborated on his company's approach to the changing landscape of IDP.

"At SER, we're redefining Intelligent Document Processing with Doxis as the industry's only truly unified Intelligent Content Automation platform, merging ECM, Business Process Management (BPM) and IDP into one AI-powered solution. Our customers achieve over 99% accuracy on key document types, start small with pre-built use cases, and scale rapidly across the enterprise. That's why deployments happen in weeks, not months - driving real ROI, freeing knowledge workers from mundane tasks, and empowering them to focus on strategic business goals that create true added value."

Paper use persists

Despite ongoing digital transformation initiatives, the survey revealed that 61% of IDP-related processes still rely on paper documentation. Additionally, 48% of respondents expect their organisations' paper usage to increase, pointing towards obstacles that extend beyond technology alone. A notable difference between regions emerged: European companies expect a 50% drop in paper use over the next year, compared to only a 30% reduction anticipated by US enterprises. The report suggests that regulatory and cultural hurdles, including continued use of fax in sectors such as healthcare, still hamper attempts to achieve fully digital workflows.

Expertise and security challenges

Lack of technological expertise and process redesign skills also emerged as significant barriers. Over half of survey respondents acknowledged skills shortages in these areas. As a result, the report recommends organisations invest in structured change management and cross-functional training to ensure successful IDP implementation and maximise return on investment.

Data security and privacy remain prominent concerns for those considering or deploying IDP. Security was the top issue cited by respondents, reflecting widespread scrutiny of how AI tools handle sensitive and confidential information. Integration difficulties followed closely, with respondents emphasising the need for interoperable standards and seamless embedding of IDP capabilities within core business software such as Enterprise Content Management (ECM), Customer Relationship Management (CRM), and Enterprise Resource Planning (ERP) systems.

Changing approaches to technology selection

As selection methods evolve, the study noted a shift toward GenAI-powered research as the primary tool for evaluating new IDP solutions. This approach has now overtaken traditional analyst reports and referrals. Despite this, the research reports that proof-of-concept testing and industry-specific expertise remain critical components of the procurement process.

The AIIM Market Momentum Index: Intelligent Document Processing (IDP) Survey 2025 defines IDP as a technology that leverages AI to read and extract information from documents, replacing legacy systems such as optical character recognition (OCR) and older document capture software. Both standalone products and solutions integrated into broader platforms were considered within the survey's scope.

The IDP sector continues to attract interest from organisations seeking efficiencies through automation, emphasising not only speed but also accuracy and flexibility within document- and process-heavy environments. With concerns over paper use, skills gaps, and data security persisting, the survey's findings indicate that many businesses are navigating a complex transition as they pursue automation and digital transformation in their document workflows.