Invoice Extraction Automation

Invoice Extraction Automation

We Modernized Enterprise Applications with Scalable Microservices on AWS.

Customer challenges

Our client, a growing enterprise, encountered significant operational and financial challenges with their invoice processing system. The always-on EC2 instance ran 24/7 regardless of actual usage, leading to high compute costs, continuous resource consumption during idle periods, and unpredictable monthly AWS bills. Scalability was limited by a single EC2 instance handling both application logic and database operations, causing bottlenecks, inability to process multiple invoice files simultaneously, and performance issues during peak times. The monolithic architecture tightly coupled components, with database and application sharing the same instance, offering limited file processing and no CI/CD pipeline. Security and operational risks were also a concern due to insecure storage of database and AWS credentials, manual and error-prone deployments, lack of disaster recovery or high availability, and minimal monitoring or error handling capabilities.

Solutions

Our serverless transformation leveraged microservices and cloud-native tools to resolve operational inefficiencies:

To address the client’s challenges, we designed and implemented a fully serverless, event-driven architecture on AWS that significantly reduced operational costs and improved scalability. By replacing the always-on EC2 instance with AWS Lambda, we introduced a pay-per-execution model that eliminated idle compute charges and allowed the system to auto-scale based on actual demand. This migration ensured optimal resource utilization and laid the foundation for a highly resilient and cost-efficient backend.

We also decomposed the monolithic application into modular microservices. Key workloads, such as batch file processing and invoice extraction, were handled by dedicated Lambda functions. This separation of concerns allowed each function to operate independently, optimizing processing efficiency and fault isolation. Decoupled communication between services was achieved using message queues, improving system reliability and scalability under varying loads.

To enhance processing capabilities, we added advanced file handling that supports both single-file and folder-based uploads, along with ZIP file extraction. Using AWS Bedrock services, we enabled intelligent document conversion and normalization to standard formats, improving downstream data processing accuracy and flexibility.

Security was reinforced through the use of AWS Secrets Manager for managing credentials, strict IAM policies with least privilege access, and full encryption for both data in transit and at rest. Additionally, we implemented Infrastructure as Code using AWS CloudFormation, ensuring consistent environment setup and repeatable deployments. A fully automated CI/CD pipeline using AWS CodePipeline enabled rapid and safe deployments with integrated testing, version control, and rollback capabilities.

Architecture

AWS services used

AWS LambdaAmazon API GatewayAmazon SQSAmazon TextractAmazon BedrockAmazon S3Amazon RDS PostgreSQLAWS Secrets ManagerAWS IAMAWS CloudFormationAWS CodePipelineAmazon CloudWatch

Results

The outcome was a highly scalable, efficient, and secure system with tangible business gains:

  • Reduced AWS costs by up to 70% through pay-per-execution and auto-scaling based on real demand.

  • Achieved 10x processing throughput with parallel execution and folder-level batch processing.

  • Delivered sub-second API responses and 99.9% uptime via serverless reliability.

  • Seamlessly scaled from 1 to 1000+ concurrent executions to support high-volume processing.

  • Strengthened security with zero-trust architecture, encrypted communication, and centralized secret management.

  • Improved operational efficiency with CI/CD automation, real-time monitoring, and disaster recovery setup.

  • Enabled intelligent, AI-powered data transformation with multi-format support and RESTful API integration.

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