Optical Character Recognition (OCR) technology empowers businesses to automate the process of data extraction from any document or image file consisting of printed or written text. The extracted textual data is converted to a machine-readable format that is utilized further for data collection, data processing, and analysis. Statistics by Report Linker show that the Optical Character Recognition OCR Technology market size is anticipated to reach 26.31 billion US dollars worldwide by 2028. OCR solutions are popular among various business platforms as it enhances their process of data extraction from documents.
What is OCR Technology?
OCR technology converts scanned or printed information into a machine-readable. Businesses utilize the OCR solution to capture the end-users information from their identity documents such as ID cards or passports. Before the emergence of OCR service, businesses had only one choice to extract the information by rewriting or retyping it. Manual data entry was a tedious task and vulnerable to various errors. OCR technology is widely adopted worldwide to reduce the time and labor required for manual data collection.
Optical Character Recognition Services For Business Organizations
Businesses use Optical Character Recognition (OCR) to minimize resources and save time during the data collection and management process. Businesses are employing OCR services to extract information from multiple document formats. Digital transformation around the world has empowered businesses to adopt state-of-the-art solutions in their workflows to speed up their business activities and minimize time. Artificial intelligence-based OCR solutions incorporate powerful algorithms and techniques to ensure better accuracy and robustness. Banks utilize OCR services to drive authentic traffic to their platform through document verification. And comply with the regulations of financial regulatory bodies.
With the demand for digital services, the banking sector has emerged with several online services. Identity authentication via documents is the foremost requirement to access any digital platform. It helps businesses onboard legitimate customers with authorized access to their financial system. The crucial challenge of online document verification can be resolved through the OCR service. To open an online banking account, the user is required to upload his government-issued ID document (ID card, passport, driving license) to verify his identity. Document verification integrated with OCR technology extracts the information from the ID document provided by the end-user. Several techniques and algorithms are used to perform data extraction and verification. The expense of manual data entry is reduced with the integration of automated OCR data extraction.
Benefits Of OCR Service
Following are the benefits of OCR technology for businesses
Minimize Manual Verification
It empowers businesses to verify each customer during the onboarding process. They utilize OCR technology to extract the information of their end-users from Bank-supported documents and verify it.
The use of OCR technology enables the automated verification of documents to minimize both cost and human efforts. While enhancing the services for a better customer experience.
Automated Data Management
Businesses can use OCR technology to feed the identity documents in the system and extract the information from customer’s identity documents.
Reduce Human Resource
Many employees are required for the collection and management of customer’s information. With the integration of OCR, businesses can perform automated information collection and verification. While reducing the required effort and time.
Speed Up Business Workflows
With the help of automated data processing, businesses can give a boost to their activities and increase their revenues.
Businesses can reduce errors that mainly occur during manual data entry. Artificial intelligence-based OCR service captures the end-users details precisely while eliminating the errors.
Robust data management increases the productivity of the business. Resources that were required for manual data collection can be utilized for other business workflows.
OCR service reads the information from the identity document verification and fills the appropriate information in each field. For instance, it will read the address details from end-users ID documents and insert them in the database against the field of ‘End-user’s Address’.