Today, a Document Management System (DMS) is one of the most essential software for businesses going digital and improving document workflow. However, many documents in DMS are still stored in scanned or image-based formats where information is not easily searchable. Such limitations often prevent a DMS from operating efficiently, and this is where Optical Character Recognition (OCR) plays a crucial role. With OCR in place, a large volume of documents can be automatically parsed and extracted, allowing users to find specific information more quickly when needed.
But how exactly does OCR work and why is it important for a Document Management System? Let’s find out in this article.
What Is OCR Technology
Optical Character Recognition (OCR) is a technology that transforms unstructured documents into machine-readable datasets. It increases the accessibility of document data by automating data extraction from various documents businesses handle. Given its capability, this is why OCR has become an instrumental technology for modern digital processes, especially in enhancing Document Management System capacity.
How OCR Works in Document Management System
Within a DMS, OCR can be integrated into the document upload process. Here’s how it works step by step:
Document Detection
DMS requires users to upload documents to store them into the system. In this step, OCR scans and analyzes the document’s structure to identify the document type for accurate field extraction.
Document Ingestion
Once the document is scanned, OCR comes into play to capture both textual and numerical data from documents, generating them into a structured format that the system can easily retrieve.
Data Indexing
The extracted text is then indexed inside the DMS to enable fast search and automated categorization of documents. Users can now effortlessly track specific documents within large repositories by using keywords or apply tags.
How OCR Benefits Document Management System
Built-in OCR in Document Management System can be very beneficial to enhance user experience in many ways, such as:
Improved Searchability
Instead of browsing through large volumes of documents manually, OCR enables users to quickly locate particular documents they need just by typing a keyword or phrase into a search bar.
Faster Document Processing
With OCR automating data extraction, DMS processes such as indexing, classification, and content retrieval can be significantly accelerated.
Enhanced Accuracy
OCR automation is also essential to ensure more reliable and consistent records in the system by extracting documents with high accuracy.
Better Document Organization
OCR helps categorize documents based on identified text and patterns, creating a more structured file management system.
Increased Productivity
With less time spent searching for or processing documents, employees can focus on higher-value work and improve overall workflow efficiency.
People Also Asked
What types of document formats can be extracted by OCR?
OCR can seamlessly process a wide range of file formats imported into a DMS, from image-based scanned documents to digitally created PDFs.
What OCR model is suitable for a document management system?
To support automated data extraction at maximum quality and efficiency, choose an AI-powered OCR model that can consistently read data across various document types businesses handle with great precision.
