OCR or Optical Character Recognition converts text from scanned documents. It operates on PDFs, and images into documents. For instance, the OCR technology can take the image of a word such as “STOCKS” and separate the letters. Letters are split into six distinct parts—S, T, O, C, K, and S as though you were typing them on a keyboard. The system of invoice OCR service then allows you to edit those letters. You can rearrange or delete them without affecting the rest of the document. It’s just like editing an email or a word file!
If we talk about statistics, The Optical Character Recognition Market is all set to reach USD 39.6 Billion by 2030. It is currently growing at a CAGR of 16%, according to Straits Research. Optical Character Recognition (OCR) Systems Market size was valued at USD 10,470.33 Million in 2021.
A recent study released on the Global OCR Software Market by AMA Research revealed the market size and forecast till 2027. The OCR Software market study indicates a wave for OCR tech services. OCR software is an efficient resource for managers, analysts, industry experts, and other individuals. Leveraging OCR they have ready-to-access and self-analyzed studies. This helps them understand market trends, growth drivers, opportunities, and upcoming challenges from competitors.
Key players in this report included Adobe, Microsoft, Kofax Inc, Google, Ocrolus, and ByteScout, amongst others.
Businesses in any sector, from banking and healthcare to finance and legal, can use Optical Character Recognition to scan any document or image. This includes:
- Contacts and legal documents.
- Handwritten information of contacts.
- Business cards.
- Text within charts and images.
OCR technology can recognize and capture data from machine-printed documents and decipher handwritten text with high accuracy and speed. This saves workers hours of valuable time so industries can focus on more critical tasks.
As part of a proper invoicing process, leveraging invoice OCR service can slash the cost per invoice. It also saves on the time it takes to process them as part of the broader accounts payable automation strategy.
Hackett/Corcentric report shows that companies can get multiple benefits from automation. There are significant cost savings, data-visibility benefits, and quality improvements. This forms a compelling case for any industry or organization looking to cut the enormous costs of invoice processing.
The top 4 benefits of leveraging invoice OCR services are:
First, human error cannot be avoided, and according to Billentis, 20% to 30% are to be treated as exceptions. It also stated that inaccurate invoices account for approximately 16% of late payments in the United States. It is also 15% in Western Europe.
However, with invoice OCR service, you can enhance the accuracy of every invoice and improve your consistency. This is possible across invoices, process control, archiving, transparency, accountability, and reporting.
How convenient would it be to have all the invoice data in one place? And also be able to analyze the same in seconds as a part of your accounts payable process?
Incorporating OCR will free up your accounting and finance departments and allow them to focus on other tasks. Additionally, it will allow your company to grow safely with an automated system. It will also enable you to process an ever-increasing number of invoices without sacrificing accuracy.
Secondly, with expense reduction and expedited payments, a company will have more cash to invest in innovation. They also hire and train new employees, expand plus improve their offerings, and conduct general business.
Leveraging Invoice OCR service is imperative to the scalability of companies that regularly use invoice-centric processes. Moreover, when multiple parties rely on your speedy invoice processing, you can implement dynamic discounting, which will benefit both; the supplier and buyer.
KlearStack AI’s Intelligent Document Processing platform uses machine learning, computer vision, predictive analytics, and NLP to automate manual data processing. This facilitates straight-through-processing and hyper-automation within enterprises.
Thirdly, most companies follow the ideology of ‘Time is Money, and invoice processing is no different.
By switching to invoice OCR services, you can reduce harbor expenditures, printing and mailing overhead, and interest and late fees. Statistically, the cost per invoice without incorporating OCR is around $7.03. While the cost per invoice after using OCR technology is $4.53 per invoice. Hence organizations avail savings of 35.6%.
Fourth, due to multiple paper documentation, invoices are likely to be misplaced. When companies switch to e-reporting, they can submit copies of documents online post-processing. This improvement helps in saving time and costs for renting a storage facility. However, irrespective of this, the process still causes delays and produces errors.
On the contrary, OCR tech incorporates real-time electronic submission of original documents and all necessary data to the tax authorities.
With KlearStack’s automated process, companies can simply upload their invoice and leverage our document intelligence process. They efficiently eliminate the need for human intervention. Using KlearStack’s automated solution, your company benefits by getting better visibility. Be it concerning cash, faster processing cycle times, and timely payment.
Invoice OCR service has several benefits. This includes decreasing time spent manually entering data into computers and enhancing work management. It also helps cut document digitization costs and eliminate manual errors.
This technology has overtaken the Banking, Travel, Healthcare, and Food industries. Owing to its efficiency and accuracy, among several other advantages. You are missing a lot by not incorporating OCR tech services for invoice-centric processes.
Irrespective of which industry you belong to, document processing and data extraction is a mundane task. With KlearStack AI, you can achieve end-to-end document automation and eliminate manual intervention.
Connect with KlearStack to learn about automation and intelligence in your document centric processes. Feel free to have us audit your document-centric processes. Enter your details here https://bit.ly/3Pfc5yr