Character recognition technology is a driving force behind the automated process of capturing data from images or documents. With the rise of AI, this technology has experienced significant improvements, especially in its accuracy and flexibility. From OCR (Optical Character Recognition), which was built for typed text in structured documents, to ICR (Intelligent Character Recognition), which comes with advanced capability to read both printed and handwritten text. One of the most notable strengths of ICR is its ability to detect handwriting in documents that OCR can’t. Therefore, ICR can be defined as the advanced version of OCR.
For businesses working with different documents and vendors, ICR is the best fit solution for making their document processing more efficient. This article covers all the essential knowledge about ICR and why it is becoming important for today’s businesses.
What Is ICR (Intelligent Character Recognition)
Intelligent Character Recognition, or ICR, is a technology that can convert handwritten and printed text in images or documents into searchable, editable, and manageable formats. It is similar to OCR, but smarter. ICR leverages AI to deliver seamless data extraction across documents, even those with the most complex layouts. Handwritten text in medical prescriptions, receipts, invoices, can all be accurately extracted with ICR. Now that ICR technology is widely accessible, the number of businesses leveraging it to automate document processing continues to grow.
The Differences Between ICR and Traditional OCR
We have already introduced what makes ICR different from traditional OCR. However, there are more differences between them, which we explain in the side-by-side comparison below.
How ICR Automates Data Extraction
ICR applies machine learning and pattern recognition to accurately digitize text in documents. This process occurs in three main steps as follows:
Data Ingestion
In the first stage, ICR scans the uploaded files and captures all detected data, preparing them for further labeling and structuring.
Data Structuring
After collecting all the data, ICR classifies the information and maps it into the relevant fields, resulting in fully usable structured datasets.
Data Integration
The structured data is then exported and seamlessly integrated into the system business currently uses, such as ERP, CRM, Excel or other applications.
Ways Businesses Are Using ICR
Different business sectors, different use cases. The implementation of ICR between financial services and retail companies may not be the same, as they operate with different document processing requirements. Here are several examples of what businesses are automating with ICR:
Financial Services
In financial services sector, banks and lending companies commonly implement ICR to automate data extraction from various documents submitted by applicants for financing programs. This includes capturing information that applicants write by hand in loan application forms, allowing banks to collect all important data faster for next assessment.
Retail Companies
Managing sales orders involves multiple documents, which can be tedious if processed manually. With ICR, the finance teams of retail companies can automatically extract data from invoices, purchase orders, and receipts. This help them reduce manual errors during data entry and speeding up order settlement.
Insurance Companies
ICR enables insurers to streamline claims document processing, which is often time-consuming and prone to delays. Information from supporting documentation, such as incident reports and policyholder details, can now be automatically processed without manual entry. With ICR implementation, staff can reduce repetitive tasks and prioritize faster claim approvals.
Why Fintelite Is the Top Choice for ICR Software
Fintelite is a leading document solutions provider that offers AI-powered Intelligent Character Recognition (ICR) technology to automate data extraction from all types of documents. It ensures over 95% accuracy, works with handwritten and printed content, and customizable to meet specific business needs. With flexible deployment options and strict compliance with global ISO 27001 standards, Fintelite guarantees both efficiency and data security. By automating with Fintelite, teams can spend less time on manual repetitive tasks and start focusing on more higher value work.
