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Understanding RAG: A Complete Guide

Everything you need to know about Retrieval-Augmented Generation and how to implement it.

MK

Michael Kim

AI Research Lead

December 28, 202515 min read
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What is Retrieval-Augmented Generation (RAG)?

Retrieval-Augmented Generation (RAG) is a technique that enhances large language models by providing them with relevant external information at inference time. Instead of relying solely on the model's training data, RAG retrieves relevant documents and uses them to generate more accurate, up-to-date responses.

Why RAG Matters

Traditional LLMs have several limitations:

  • **Knowledge cutoff** - They don't know about events after training
  • **Hallucinations** - They may generate plausible but incorrect information
  • **No proprietary data** - They can't access your internal documents
  • RAG addresses all these issues by grounding responses in retrieved information.

    How RAG Works

    The RAG process consists of three main steps:

    1. Indexing

    Your documents are processed and stored in a vector database:

    Documents → Chunking → Embedding → Vector Database

    2. Retrieval

    When a query comes in, relevant documents are retrieved:

    Query → Embedding → Similarity Search → Relevant Chunks

    3. Generation

    The LLM generates a response using the retrieved context:

    Query + Retrieved Context → LLM → Response

    Implementing RAG with Fastnotry

    Fastnotry makes RAG implementation straightforward:

    import { Fastnotry } from '@fastnotry/sdk';

    const client = new Fastnotry({

    apiKey: 'your-api-key-here',

    });

    // Create a knowledge base

    const kb = await client.knowledgeBases.create({

    name: 'product-docs',

    description: 'Product documentation',

    });

    // Add documents

    await client.knowledgeBases.addDocuments(kb.id, {

    documents: [

    { content: 'Product manual content...', metadata: { type: 'manual' } },

    { content: 'FAQ content...', metadata: { type: 'faq' } },

    ],

    });

    // Query with RAG

    const response = await client.execute({

    promptId: 'customer-support',

    variables: { question: 'How do I reset my password?' },

    rag: {

    knowledgeBaseId: kb.id,

    topK: 5,

    },

    });

    Chunking Strategies

    How you chunk documents significantly impacts retrieval quality:

    |----------|----------|------------|

    Optimizing Retrieval

    Hybrid Search

    Combine semantic and keyword search for better results:

    const response = await client.execute({

    promptId: 'search',

    rag: {

    knowledgeBaseId: kb.id,

    searchType: 'hybrid', // semantic + keyword

    semanticWeight: 0.7,

    keywordWeight: 0.3,

    },

    });

    Reranking

    Use a reranker to improve result relevance:

    const response = await client.execute({

    promptId: 'search',

    rag: {

    knowledgeBaseId: kb.id,

    rerank: true,

    rerankModel: 'cross-encoder-v2',

    },

    });

    Common Challenges

    1. Context Window Limits

    When too many documents are retrieved, they may exceed the model's context window. Solutions:

  • Limit the number of retrieved documents
  • Summarize retrieved content
  • Use models with larger context windows
  • 2. Irrelevant Retrieval

    Sometimes retrieved documents aren't relevant. Solutions:

  • Improve chunking strategy
  • Fine-tune embedding model
  • Implement filtering based on metadata
  • 3. Conflicting Information

    Retrieved documents may contain contradictory information. Solutions:

  • Implement source ranking
  • Add recency weighting
  • Use prompts that acknowledge uncertainty
  • Evaluation Metrics

    Measure RAG system performance with:

  • **Retrieval Precision** - % of retrieved docs that are relevant
  • **Retrieval Recall** - % of relevant docs that are retrieved
  • **Answer Accuracy** - Correctness of generated responses
  • **Faithfulness** - Whether answers are supported by retrieved docs
  • Conclusion

    RAG is a powerful technique for building production AI applications. By combining retrieval with generation, you can create systems that are more accurate, up-to-date, and grounded in your specific data.

    Fastnotry's built-in RAG support makes implementation straightforward, allowing you to focus on building great user experiences.

    MK

    Michael Kim

    AI Research Lead

    Michael leads AI research at Fastnotry. He holds a PhD in Machine Learning from Stanford University.