The document discusses batch processing in Mule, which processes large numbers of messages in batches. It describes the three phases of batch processing: input, process records, and on complete. The input phase prepares a collection object with the input messages. The process records phase processes each record in the collection individually and in parallel. The on complete phase summarizes the flow by providing counts of successful, failed, and total records. An example is provided of transforming a CSV file to XML using batch processing with two batch steps - one to transform with a datamapper and another to write the XML to a file in batches of 5 records.