In the daily world of accounting, accountants frequently handle a large amount of information data from physical documents such as invoices, receipts, purchase orders, and more. They usually spend hours manually entering these documents into the system. However, with the rise of AI, particularly OCR (Optical Character Recognition), document processing has now become easier. OCR tools for accounting are highly useful because they can convert physical documents into editable data quickly and precisely. In this article, we will discuss more about how to master OCR tools for accounting.
How OCR Tools for Accounting Work
We already know that OCR tools can transform data from physical documents into digital format, but it’s important to understand how OCR processes this data. OCR works in three stages: scanning, pre-processing, and character recognition. Here are the breakdown of each steps:
1. Scanning
In the first step, OCR extract data by scanning physical documents. OCR tools can scan images or digital documents that contain recognizable text. OCR can scan a variety of documents, including printed data, books, financial transactions such as receipts and invoices, ID cards, and more.
2. Pre-Processing
After scanning the image or document, OCR tools perform pre-processing to improve recognition accuracy. This stage involves image compression, noise reduction, cropping, geometry correction, and contrast adjustment.
3. Character Recognition
The final step in OCR document processing is character recognition. Once pre-processing is complete, the data in documents or images will be recognized and identified using a machine learning algorithm integrated in OCR technology. OCR converts text into editable digital data in a variety of formats that can be saved, inputted into accounting platforms, or edited to suit your needs.
The Use of OCR Tools in Accounting
The use of OCR tools in accounting is varied because advancements in this technology can speed the process of document processing, which used to be done manually and was inefficient for accountants who handle a large number of documents. Here are some key benefits of using OCR tools in accounting:
1. Processing Large Volumes of Documents Quickly
One of the most significant advantages of OCR tools is their ability to process huge amounts of documents quickly. OCR can process large amounts of data in minutes, saving hours of manual entry and allowing employees to focus on more important activities. This significantly improves business efficiency.
2. Storing Important Documents
OCR allows for efficient archiving of essential data. Because OCR transforms physical documents into digital formats, they may be kept on computers and sorted by date or category, making retrieval easier and saving significant time when looking at specific files.
3. Streamlining Data Entry into Accounting Platforms
With OCR, manual data entry is no longer needed. Documents are directly transformed into digital formats that can be easily integrated into accounting platforms. This means that employees no longer need to input data one by one in the accounting platform; now they can access all relevant information instantly using their accounting software because all data has already been converted by OCR.
Maximize The Accounting Document Processing With Fintelite
We’ve understood how important OCR tools are for accounting. Choosing the right OCR for accounting is also essential; it must be suitable for our needs. One reliable tool for processing accounting documents is OCR+ by Fintelite. OCR+ not only processes documents quickly and precisely, it also provides a variety of templates suited to different industries. This makes it easier for accountants to manage diverse documents, making OCR+ an best choice for accountants across various sectors.
Fintelite also provides free access to OCR+ features and offers complimentary consultations with AI experts to help you get the most out of this solution.
