Does InDesign Server support parallel processing?

So as @Robert at ID-Tasker mentioned. The IDS is supposed to work with launching multiple instances. Each instance is able to execute one job/script at a time. So in order to achieve multi tasking you need to have something like a load balancer which gets the input jobs and distributes them to instances of IDS based on their state busy/free.

-Manan

Please define what do you mean by "parallel processing". 

InDesign Server allows you to run unlimited number of instances - as many as your server can handle - on the same server. 

So you can generate 20x INDD files at the same time - each INDD file is a separate instance. 

If you want to "communicate" between those instances - then it's up to the software that is handling creation of those instances.