🔍 What is the RAG Pipeline? A Beginner-Friendly Breakdown of All Its Components

Neha BansalNeha Bansal
6 min read

Let’s say you’re building an AI assistant that can answer questions — not just general ones, but ones specific to your own documents.

For example:

  • What is our refund policy for international orders?

  • What are the steps in our onboarding process?

Now here’s the catch: Large Language Models (LLMs) like GPT or Claude don’t know about your private files — they only know what they were trained on. So how do you get an AI to answer using your internal data?

That’s where the RAG pipeline comes in.
RAG stands for Retrieval-Augmented Generation, and it’s quickly becoming one of the most popular techniques in the world of AI.

In this blog, we’ll break down each component of a RAG pipeline and explain how it works — in a way that makes sense even if you’re not deep into code.


🤔 What Does the RAG Pipeline Do?

In simple terms, a RAG pipeline:

  1. Takes a user’s question

  2. Searches your documents for relevant information

  3. Passes that information to an AI model

  4. The AI model generates a grounded, accurate answer using those documents

The result? Answers that are more reliable, less likely to “hallucinate,” and backed by your own data.


đź§© 1. User Query

This is where everything begins. A user asks a question — usually in natural language.

Example:

“What’s the timeline for employee reimbursements?”

You can think of this as the spark that sets the entire pipeline in motion.


🧭 Before we get into the nitty-gritty, here’s a quick visual of what happens behind the scenes — how your documents are processed and stored so they can power smart answers later.


📚 2. Document Store (Your Knowledge Base)

But wait — where is the AI even looking for answers?

It all starts with your document store — the collection of content you want your AI assistant to reference. This acts like the assistant's library of knowledge.

It might include:

  • PDFs

  • Notion pages

  • Word documents

  • Internal wikis

  • Customer support logs

  • Website content (converted to text)

These documents are loaded beforehand — your AI’s version of "reading up" before the test.


✂️ 3. Text Chunking (Splitting the Content)

Now, here’s the thing — most documents are way too big for AI to process in one go. So we need to break them down into smaller, manageable pieces called chunks.

Think of this like cutting a big cake into slices — easier to handle, serve, and digest.

Chunks are typically 100–500 words long. But there’s a clever trick here: important context often sits between sentences. To make sure no valuable detail gets lost, we allow some overlap between chunks.

Example:

  • Chunk 1: sentences 1 to 5

  • Chunk 2: sentences 4 to 9

Notice how sentences 4 and 5 are shared? That overlap keeps the flow of meaning intact.


🔢 4. Embedding (Turning Text into Meaningful Vectors)

Now that we have neat little text chunks, how do we make them searchable — not just by keywords, but by meaning?

That’s where embeddings come in.

Think of it like translating text into coordinates on a map of meaning. Each chunk is turned into a vector — a list of numbers that captures what it’s about.

This way, even if someone asks about “refunds” and the document says “reimbursements,” the system can still connect the dots — because their meanings are close on that map.


đź§  5. Vector Store (Where All the Chunks Live)

Okay, now we have all these meaningful vectors — where do we put them?

This is where the vector store comes in — a special kind of database designed to store and search text by meaning, not just words.

It’s like a smart filing cabinet — instead of alphabetically organizing by title, it groups things that mean similar things.

Popular options include:

  • FAISS

  • ChromaDB

  • Pinecone

  • Qdrant

  • Weaviate


🕵️ 6. Retriever (Finding the Right Pieces)

Now comes the fun part — answering the user’s question.

The question itself is also converted into a vector. Then the retriever goes into the vector store and pulls out the most semantically similar chunks.

You can think of the retriever as a super-smart librarian. You ask a question, and instead of bringing you the entire library, they quickly fetch just the 3–5 books (chunks) that actually help.


đź§± 7. Context Construction (Building the Input for the AI)

Great — we’ve got the question and the relevant content. Now we need to bundle them together into a form the AI can understand.

This step is like packing a care package — you carefully choose what goes in, making sure it’s helpful, relevant, and not too big (LLMs have token limits!).

The system combines the user’s query with the top retrieved chunks to create a prompt, which it then sends to the language model.

Example:

Query: “What’s our international refund policy?”
+
Top 3 relevant chunks from your documents

✍️ 8. Generator (The LLM Writes the Answer)

Here comes the magic.

The language model (like GPT or Claude) takes the context we gave it and generates a response. This response is ideally:

  • Relevant

  • Clear

  • Grounded in your actual documents

Think of the LLM as your well-read assistant — it’s great at writing, but only as good as the information you feed it.

It might be powered by:

  • GPT-4 / GPT-3.5

  • Claude

  • Mistral

  • Cohere

  • Open-source models like LLaMA

Because we gave it useful context, the model stays grounded — less fluff, fewer hallucinations.


âś… 9. Final Response

The generated answer is what your users finally see.

Depending on your app, you might:

  • Show just the answer

  • Add references to the source documents

  • Let users ask follow-up questions

All the earlier steps — document chunking, embedding, retrieving, and prompt building — quietly support this final interaction.


đź§ą 10. (Optional) Post-Processing

Sometimes, the raw answer needs a bit of polish.

This step may include:

  • Formatting the output

  • Summarizing long responses

  • Highlighting sources

  • Removing anything irrelevant

It’s like adding finishing touches before serving a dish — the flavor’s there, but presentation matters!


📌 Quick Summary: The RAG Pipeline Components

🔧 Component📝 What It Does
User QueryUser asks a question
Document StoreHolds all your documents
ChunkingBreaks large text into smaller parts
Context OverlapKeeps meaning intact across chunk boundaries
EmbeddingConverts chunks into numerical vectors
Vector StoreStores all embeddings for fast lookup
RetrieverFinds the most relevant chunks
Context ConstructionBuilds the input for the language model
Generator (LLM)Writes the final answer
Post-Processing (Optional)Cleans up and formats the result

🎯 Final Thoughts

The RAG pipeline isn’t just a buzzword — it’s a powerful architecture that makes AI assistants truly useful for real-world tasks.

Instead of relying on static memory, you give your model access to dynamic, up-to-date documents and let it search + generate in real time.

It may seem like a lot of moving parts, but when broken down like this, each step plays a clear role in making your chatbot smarter, more reliable, and grounded in your own data.


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Neha Bansal
Neha Bansal