One of the fastest ways to pull data from a document is document parsing. This method allows you to unlock information within a document, making it into editable data you can actually use. While manually retyping data from documents into a computer often slows you down, document parsing helps you move faster by automatically extracting data from your documents. Whether it’s invoices, contracts, forms, or reports, it makes handling large volumes of documents way easier and effortless.
How does document parsing work? Which tools can actually help for parsing documents? What business tasks can benefit from this? In this guide, we will cover it all and show you step-by-step to parse documents using the right tool.
Understanding Document Parsing
Document parsing refers to the use of technology to extract structured data from unstructured documents. These documents can be in the form of printouts or digital PDFs. By parsing documents, information that was previously difficult to access can become searchable and editable. As a result, parsed information can be more easy to use for various business needs, whether for documentation or further analysis.
Technologies Behind Document Parsing
Document parsing uses a combination of modern technologies to automatically capture key points of documents. Commonly, document parser tools include:
- Optical Character Recognition (OCR): This technology converts physical or digital documents into machine-readable data, enabling the system to extract relevant information from images or PDFs accurately.
- Artificial Intelligence (AI): AI helps interpret the meaning of data so that the extracted information can be correctly structured according to the exact context.
- Machine Learning (ML): ML enhances OCR accuracy by recognizing patterns in data and continuously learning from different document formats to improve performance over time.
How Document Parsing Can Be Used in Business
Document processing has always been a crucial part of business operations. Here are several ways to implement parsing automation to simplify business document processing workflows across sectors:
Invoice Processing
As part of their regular tasks, finance teams receive invoices from vendors. This work activity usually involves manually inputting invoice data, which is time-consuming and error-prone. By automating invoice parsing, finance teams can extract key invoice details such as vendor name, invoice number, date, line items, amounts in less time spent than manual way. Reducing manual effort and helping ensure timely payment.
Loan Applications Assessment
Each applicant submits multiple supporting documents that need to be reviewed Traditionally, this can be a long process. But with document parsing, data from application forms, ID proofs, income statements, and other supporting documents can be automatically captured and validated. Not only enables faster approvals, but also allows analyst teams to focus more on complex decision-making.
Insurance Claim Documents
To process claim requests, insurance companies have to assess and verify various document types, including forms, medical reports, and receipts. Manual review of these documents is often slow. With document parsing, critical information such as policy numbers, claim details, incident descriptions, and supporting evidence can be extracted automatically. This streamlines claim validation, leading to higher customer satisfaction.
Step by Step to Parse Documents
Using an OCR-based document parser tool, easily collect structured data from documents you need to work on in simple steps. Consider choosing a tool that ensures data security and high data accuracy like Fintelite. Fintelite offers an AI-powered OCR solution that can extract key information from any type of documents. With Fintelite, you can parse documents in three simple steps:
1.Upload: Import scanned or digital documents into the platform.
2.Extract: Fintelite’s OCR and AI engine automatically parse documents, ensuring that key fields are accurately extracted based on the document type. For example, in receipts, it extracts merchant name, transaction date, purchased items, tax, and payment amount, and other relevant information inside.
3.Validate & Export: Review data results and export it seamlessly into Excel, ERP, CRM, or other processing systems your business use.
Want to customize specific data to be parsed? Fintelite provides no-code customization so you can define exactly which fields matter most to your business.
Explore more about Fintelite’s features and see how it can make a difference for your document workflows. Book a demo today or contact our team.
