One of the challenges often faced when dealing with paperwork is efficiently collecting information inside documents, and that’s where data capture can help. Data capture is the process of retrieving information in PDF or scanned documents, converting data that was once locked becomes searchable and editable. In today’s business environment, data capture is used as a routine method in administrative tasks. By capturing data, teams can digitize documents and reduce the reliance on paper-based records that are prone to loss and damage.
Efficient data capture starts with the right tools. One technology that automates this process is Optical Character Recognition (OCR). In this article, we will explore the process of data capture and the best way to automate it using OCR.
Data Capture Explained: How It Works
How does data capture work? The process begins by scanning the entire page of documents and recognizing various characters to be extracted. Here’s a detailed breakdown of how it works:
STEP 1: Preprocessing
Documents or images of a document are prepared through preprocessing to improve file quality, reduce noise, and make information clearer to detect.
STEP 2: Character Recognition
Analyze patterns and identify letters and numbers, capturing every key detail from the documents.
STEP 3: Conversion
The extracted data is then converted into a digital format, such as JSON, TXT, or any other format provided by the data capture tools.
How OCR Automates Data Capture
Optical Character Recognition (OCR) is the core technology that enables data capture automation. Instead of manually moving information from invoices, forms, or receipts into another system, OCR automatically scans documents and extracts relevant data with high accuracy. This automation can help businesses freed from human error and frequent delays due to manual-heavy processes. Advanced by AI, modern OCR systems can recognize handwriting and tables, allowing seamless data capture for various documents. Certain OCR softwares also include seamless integration to route the extracted data into the business system.
Businesses That Benefit From OCR Data Capture
The implementation of data capture automation using OCR has been increasing in recent years. Businesses are seeking ways to streamline workflows and reduce time-consuming manual steps to face today’s fast-evolving market landscape. Since document processing has been a crucial part of every business’s operations, various sectors benefit significantly from OCR data capture, such as:
Retail
Sales order processing involves various documents that can be tedious if handled manually. Today, many retailers have switched to OCR data capture to improve their inventory and order management. By automating data extraction from documents like invoices and purchase orders, teams can reduce manual data entry errors and process order fulfillment faster.
Logistics
During shipment processing, logistics companies use OCR to quickly extract information from documents including bills of lading and delivery receipts. OCR application in the logistic’s administrative process can help optimize data tracking, and ensures accurate, real-time data record updates across the supply chain.
Banks
OCR data capture helps banks process checks, invoices, and loan applications automatically. In loan assessment, for example, the analyst team can collect essential information from prospective applicants more efficiently with this automation. Moreover, it accelerates approval times, and allows staff to focus on risk analysis rather than repetitive tasks of entering data manually.
Insurance
When used strategically, OCR data capture can drive great efficiency results in insurance claim processing. This process, which involves verifying multiple documents, often takes longer than necessary. By leveraging OCR to process submitted documents into approval-ready data, claims can be processed and approved timely.
Automate Data Capture with Fintelite’s AI-Powered OCR Solution
Implementing data capture automation with highly secure OCR software is essential to ensure business data remains protected during processing. Fintelite offers an AI-powered OCR solution that is ISO-certified to meet global security standards. Powered by AI, Fintelite OCR delivers accurate data extraction of various document types, such as financial documents or customer contracts. Moreover, our solution integrates seamlessly with existing workflows and enterprise systems, reducing redundant steps and manual efforts.
Our OCR is customizable, designed to meet specific requirements of each business. Experience how simpler document processing can be, now with Fintelite.
