Top 5 Benefits of OCR Technology for Your Business
OCR, or Optical Character Recognition, is a technology that can scan written or printed text (from files such as images or PDFs) and convert it into a machine-readable format. The word “machine-readable” here means editable or modifiable. So, in other words, OCR can extract data from unalterable files and convert it into changeable text.
This raises the question, “What is the use of OCR in business?” Surprisingly, this technology has many applications in businesses of different natures. In this post, we are going to discuss these applications.
Benefits of OCR in Business
We have created a list of all the benefits that you can get if you integrate OCR into your business-related processes. For example, with the help of OCR, you can convert your physical documents into searchable digital files. The list of such benefits is very wide.
Let’s explore some of these benefits.
- Enhanced Document Storage
Hard copies of documents take up much physical space, making them difficult to organize. On the other hand, digital documents are much easier to store and manage.
Businesses around the world are in the process or have already gone paperless because of the immense benefits of digital storage.
OCR can be used for this document digitization. All you have to do is scan your physical documents with the help of optical character recognition software. The result generated will consist of copyable text that can be converted into a digital document. This document can be stored on hard drives or on cloud storage.
- Advanced Document Security
OCR is very useful for document protection as it is much harder to breach digital documents as compared to physical ones. Similarly, physical documents are also prone to other hazards. For example, in case of a leak in the document storage room, crucial documents can get wet, and all the valuable data inside them will be lost.
Additionally, there are numberless other possibilities that can damage physical documents. OCR helps us digitize documents. Such computerized files can be easily secured with the help of passwords and other protective measures.
This eliminates the risk of:
- Document Stealing
- Document Damage
- Document Leak
- Improved File Accessibility
Some of you might think about why it is necessary to use OCR for the digitization of files when we can simply just take images of physical documents. Well, a machine cannot directly comprehend the data inside an image.
This is why there is a need for documents first to be converted into an editable text format. Such documents can easily be searched for. This improves document accessibility by a considerable amount.
According to online data, 77% of business owners want to be able to access files remotely. This shows how many people prefer digital documents over hard copies.
- Ease in Document Editing
Smaller brands and businesses that are in the process of going digital in terms of documents usually have their files in the form of images or PDFs. These files can not be modified. Similarly, physical documents also have this issue that they cannot be altered.
OCR can fix this problem quite efficiently. Multiple tools are available that recognize these characters and extract text from image. These characters may include:
- Mathematical symbols
- Special signs
And much more. When such data is in text form, it can easily be edited or modified. In this way, OCR makes the editing process for a business substantially more convenient.
- Automated Data Entry
OCR is not only limited to data extraction. Other technologies, such as Artificial Intelligence, can be combined with OCR for new usages. These usages include data entry as well. OCR can be used to recognize data from files and enter it into relevant software.
This data may include:
- Bank Statements
Similarly, a number of other unorganized documents are also a part of this list. This process of data entry automation saves companies tons of time and resources.
Manual data entry takes up so much unnecessary effort and also comes with the risk of errors. This is the reason why the majority of businesses have started automating such processes with the help of OCR.
To summarize, OCR is a stepping stone toward digitalizing your physical documents. Digital files clearly have the upper hand on physical documents in terms of storage, security, accessibility, and editing. In addition to the computerization of documents, OCR is also useful for the automation of various tasks. With so many benefits, it is clear that all businesses should integrate OCR into their business-related tasks to increase efficiency.