Enterprise AI Glossary · Reviewed August 2026

Chunking

Splitting documents into smaller segments for embedding and retrieval in a RAG pipeline.

What is Chunking?

Chunking is the preprocessing step that determines RAG quality. Too large and the embedding is diluted; too small and you lose context. Strategies include fixed-size, sentence-boundary, semantic, and hierarchical chunking. The right choice depends on document type, embedding model, and downstream task. See RAG Technology Best Practices.

What is an example of Chunking?

For policy manuals, a pipeline can split by headings and clauses, keep a small overlap, attach the policy version and access group, and preserve a parent-section link so the answer can cite the full context.

How is Chunking different from related concepts?

Chunking divides and labels source content. Tokenization divides text into model-readable units. A chunk contains many tokens and is designed around retrieval meaning, not only model syntax.

What should enterprises evaluate for Chunking?

  • Create representative questions and measure whether the correct passage appears in the top retrieval results.
  • Compare structure-aware, semantic, and fixed-size strategies on the actual document types in scope.
  • Prevent tables, clauses, code blocks, and headings from being separated in ways that destroy meaning.

Related terms

Putting Chunking to work?

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