Introduction

Hello there, welcome to the first lesson of the "Introduction to RAG" course! I'm glad you're joining me on this journey into Retrieval-Augmented Generation (RAG). RAG sits at the intersection of two powerful areas in AI: traditional information retrieval (IR), which powers search engines, and modern Generative AI (GenAI), which creates human-like text. Think of it as giving AI a "fact-checking assistant" before it answers your questions.

By the end of this course, you'll see how RAG combines the best of both worlds: the precision of search engines and the creativity of language models. Let's get started already!

The Evolution from IR to Modern AI

Phase 1: Classic IR Systems
Early systems (like library databases or early Google) focused on keyword matching. You'd type "climate change effects," and get a list of articles. But you had to read them all to find the answers you were looking for.

Phase 2: Generative AI Breakthroughs
With advances in NLP, LLMs like GPT-3 moved beyond just retrieving documents to generating relevant, fluent responses. But they had weaknesses: factual reliability (hallucinations, where models make up facts they don't know about) and static knowledge (e.g., an LLM trained on data up to 2021 can't know 2023 medical guidelines). Imagine asking, "What's the latest policy for treating this particular disease?" and getting a plausible-sounding, but outdated or wrong answer.

Phase 3: RAG Bridges the Gap
RAG solves this by first retrieving up-to-date or domain-specific data from a designated source (e.g., latest guidelines, internal documents, ...). It's like a journalist writing a story: instead of relying solely on their memory and intuition, they first gather verified facts and quotes from reliable sources, ensuring the article is accurate and grounded in reality.

To see more concretely how RAG differs from other AI workflows, let's compare Classic IR, GenAI, and RAG in a simplified step-by-step pipeline:

  • Classic IR: Query → Processing → Lookup → Matching → Ranking → Results
  • GenAI: Data → Preprocessing → Training → Fine-tuning → Generation (Inference) → Evaluation
  • RAG: Query → Retrieval → Processing → Fusion → Generation → Output

RAG stands out because of the “Retrieval” step prior to “Generation.” This means the model isn't relying solely on internal parameters—it's explicitly pulling relevant, up-to-date data. The “Fusion” step then merges what's retrieved with the model's existing semantic understanding, helping ensure factual and context-specific responses.

What is Retrieval-Augmented Generation (RAG)?

In simple terms, RAG uses IR techniques to fetch the most relevant data first and then feeds that data into a generative model. As the model crafts its response, it draws on these retrieved sources, which ground its output in reality (reducing the risk of making facts up).

For instance, if you're building an AI assistant for a big company's knowledge base, you don't want the assistant to rely solely on a large language model's internal knowledge. Instead, you want it to pull up the latest policy documents, guidelines or internal codebases and base its response on this specific information. That's the core of RAG: retrieve, then generate.

Another example: a legal research assistant using RAG would first retrieve clauses from relevant case law, and then generate a summary that cites specific precedents. Without RAG, the model might invent a fake court ruling! 🥶

Key Benefits and Real-World Applications

What are some of the key benefits of adopting RAG-enabled workflows?

  • Factual Guardrails: Retrieval acts as a "safety net" against hallucinations, making RAG systems less likely to invent or mix up information.
  • Dynamic Knowledge: Update answers by updating the data source — no need to retrain the LLM! (Note: the retrieval system must be periodically refreshed with new data - RAG is not a "set and forget" technique.)
  • Domain-Specific Expertise: RAG can be tailored using specialized databases or documents, such as medical records or legal documents.

Real-world use cases include:

  • Healthcare: 🏥 Chatbots that pull latest drug trial data before advising patients.
  • E-commerce: 🛒 Product assistants that reference real-time inventory and specs.
  • Education: 📚 Tutors that generate explanations using approved textbooks.
Conclusion and Next Steps

We've explored the transition from classic information retrieval to the modern world of AI generation, and how RAG unites these approaches. Moving forward in this learning path, you'll dig deeper into core components like text embeddings and specialized vector databases. That's where you'll gain hands-on experience, practice critical skills, and see the full power of RAG in action. I'm excited to continue this journey with you as we unlock even more ways to build effective, reliable AI solutions!

Sign up
Join the 1M+ learners on CodeSignal
Be a part of our community of 1M+ users who develop and demonstrate their skills on CodeSignal