Case Study

Engineering Compliance Intelligence: How We Built Enterprise RAG That Works

A production RAG system that reduced compliance research time by 60% across 50,000+ regulatory documents with full citation transparency and zero hallucinations.

Pharmaceutical Compliance
10-Week Deployment
Enterprise RAG
60%
Reduction in Research Time
5-Stage
RAG Pipeline Architecture
100%
Citation Transparency
0
Hallucinations in 6-Month Audit

The Challenge

A global pharmaceutical company needed to transform how researchers access 50,000+ regulatory documents. Manual searches took 3-4 hours per query. Generic AI tools were abandoned after hallucinated responses mixed regulatory jurisdictions.

50,000+ regulatory documents spread across document management systems, SharePoint, and email archives

Researchers spent 3-4 hours per query manually searching for compliance information

ICH guidelines, GxP protocols, FDA guidance, and internal submissions in multiple languages

Generic AI chatbots abandoned due to no citations, no audit trails, and hallucinated responses

Hallucinations mixing regulatory jurisdictions created compliance risk

Why Standard RAG Failed

No citation transparency: responses lacked source attribution

Hallucinated content mixed regulations from different jurisdictions

No audit trail for GxP-compliant environments

Could not handle multi-format documents (PDF, Word, scanned images)

No role-based access control for sensitive regulatory content

Three-Tier System Architecture

Purpose-built for regulated environments where every response must be traceable, auditable, and jurisdictionally accurate.

Frontend Layer

React-based compliance search interface
Citation viewer with source links and page numbers
Query history with full audit logging
Role-based document access controls

Backend Layer

Azure API Management for request orchestration
Document processing pipeline with format detection
Metadata enrichment and classification engine
Audit logging service (21 CFR Part 11 compliant)

AI Layer

Azure OpenAI GPT-4 for response generation
Azure AI Search with semantic ranking
Custom embedding model for regulatory terminology
Hallucination detection and prevention system

The Five-Stage RAG Pipeline

Each stage is designed to enforce citation transparency, jurisdiction boundaries, and audit compliance.

01

Content Extraction

Multi-format document ingestion handling PDFs, Word documents, scanned images via OCR, and structured data. Language detection for multilingual regulatory content.

02

Content Enrichment

Metadata tagging with regulatory jurisdiction, document type, effective dates, and compliance domains. Automatic classification by ICH, FDA, EMA, and internal categories.

03

Prompt Generation

Context-aware prompt construction with jurisdiction filtering, document type segmentation, and regulatory domain boundaries to prevent cross-jurisdiction hallucinations.

04

LLM Inference

Azure OpenAI GPT-4 with custom system prompts enforcing citation requirements, source attribution, and confidence scoring. Every response includes verifiable references.

05

Audit and Storage

Complete query-response logging with timestamps, user identity, sources cited, and confidence scores. GxP-compliant audit trail meeting 21 CFR Part 11 requirements.

The Breakthrough: Document Type Segmentation

The single most impactful architectural decision was segmenting documents by regulatory jurisdiction, preventing the cross-contamination that caused hallucinations in generic RAG systems.

Before: Generic RAG

All documents in a single search index
No jurisdiction boundaries
Mixed regulatory frameworks in results
No document type classification
Keyword-only search across all content

After: Compliance RAG

Documents segmented by regulatory jurisdiction
Strict jurisdiction boundaries prevent cross-contamination
Results filtered by applicable regulatory framework
Automatic document type classification and tagging
Semantic search with jurisdiction-aware ranking

Solving the Hard Problems

Hallucination Prevention

Multi-layer verification system cross-referencing generated responses against source documents. Confidence scoring flags low-certainty answers for human review. Zero hallucinations confirmed in 6-month post-launch audit.

Prompt Governance

Regulatory-aware prompt templates that enforce jurisdiction boundaries and prevent cross-contamination between FDA, EMA, and ICH guidelines. System prompts mandate citation inclusion on every response.

Multimodal Processing

OCR pipeline for scanned regulatory documents, table extraction from PDF submissions, and structured data parsing from XML filings. 50,000+ documents processed across formats and languages.

Security and Compliance

RBAC integrated with Azure AD ensuring researchers only access authorized documents. Complete audit logging meeting 21 CFR Part 11. GxP-compliant architecture validated by external auditors.

Measurable Impact

60%
Reduction in Research Time
From 3-4 hours to under 90 minutes per query
100%
Citation Transparency
Every response includes source links and page numbers
10 weeks
Concept to Production
Deployed using 90-day delivery methodology
4+
Departments Adopted
Regulatory Affairs, QA, Clinical, and R&D teams

Key Lessons for Enterprise AI

1

Citation transparency is non-negotiable in regulated environments

Without verifiable source attribution, no regulated enterprise will trust AI-generated responses for compliance decisions. Every response must trace back to specific documents, pages, and sections.

2

Document segmentation prevents the most dangerous hallucinations

Mixing regulatory jurisdictions in a single search index creates responses that blend FDA and EMA requirements. Strict document segmentation by jurisdiction eliminates this class of errors entirely.

3

Audit trails are the foundation, not an afterthought

GxP environments require complete query-response logging from day one. Designing audit logging into the architecture from the start is far easier than retrofitting it later.

4

Generic AI chatbots fail in compliance for specific, fixable reasons

The problems with generic tools are well-defined: no citations, no jurisdiction boundaries, no audit trails. Purpose-built RAG systems solve each of these with specific architectural decisions.

5

Human-in-the-loop review accelerates trust, not adoption friction

Researchers valued the confidence scoring system that flagged uncertain answers. Rather than slowing adoption, this transparency increased trust and expanded usage to additional departments.

Complete Tech Stack

Frontend

React
TypeScript
Azure Static Web Apps

Backend

Azure Functions
Azure API Management
Python

AI Services

Azure OpenAI GPT-4
Azure AI Search
Custom Embeddings

Security

Azure AD (Entra ID)
RBAC
21 CFR Part 11 Logging

Storage

Azure Blob Storage
Azure Cosmos DB
Azure SQL

DevOps

Azure DevOps
Terraform
Azure Monitor

Client Perspective

“The citation transparency gave us confidence in every decision. This is the difference between a pilot and a real solution. We can now trust AI responses because every answer is traceable to specific documents and pages.”

VP Regulatory Affairs, Global Pharmaceutical Company

Building Enterprise AI for Your Domain?

Start with a 2-week assessment. We will evaluate your document landscape, compliance requirements, and deliver a production roadmap.