Optical Character Recognition (OCR) APP for Businesses- its Applications and Uses

Optical Character Recognition (OCR) APP for Businesses- its Applications and Uses

OCR App is a process used in various businesses to extract the data from documents. It helps to reduce overall time span comparative to manual data entry. It has remarkable accuracy . Furthermore, it uses various technologies for instance machine learning, natural language processing (NLP) to depict the texts in images and deliver more factual results to users. OCR  compliance raises an extensive knowledge about the documents and the data in it by understanding the type of document, its language and context. 

Structured documents

Structured documents are such documents which have predetermined format and structure. Intelligent OCR can draw out the data from structured documents with assistance of artificial intelligence (AI) and machine learning. Required information can be obtained through OCR App like name, date of birth, issue date and picture. 

List of structured documents are given below:

  • Driving licenses
  • Passports
  • ID  cards
  • Utility bills
  • Credit and debit cards

Unstructured Documents

Unstructured documents do not have any specific placement of information and do not follow any format. These documents are such documents as legal agreements which involve dates, terms, and parties but variations are considered in it because of negotiations between people, and also the information of the location is not standard. 

Some unstructured documents are: 

  • PDFs
  • Handwritten Documents 
  • Photos
  • Social Media Contents

How does the OCR Technology Work?

There are three ways given below in which OCR technology works:

1- Pre Processing

2- Data Extraction

3- Post Processing

1. Pre Processing:

There are four subdivisions in the process of Pre Processing they are:

  • Cleaning: In this process, the brightness and contrast of an image are maintained and the borders of the image are rectified to detect the threshold.
  • Deskewing: This procedure helps to straighten the image of the text on the document in case of any curve image of the text.
  • Sharpening and Shake Reduction of the Image: This process helps to clear the images which are blurry and not cleared and taken from the smartphones.
  • Normalization: In the normalization process, an image that is passed through many processes is smooth out to maintain the condition of light on it.

2. Data Extraction: 

Data extraction is done in two ways given below:

Segmentation: In this process of data extraction the data is analyzed deeply and detects the styles, text block, creation of lines, stylized bitmaps, and in the end characters are extracted.  

Extraction of Features: This process helps to figure out the curve lines, holes, straight lines, and several loops which are detected through the modern OCR services without any human output in real-time.

3. Post Processing:

    This step serves neural network models which are used for extracting data. Which helps the machine learning algorithms to extract the texts by their font size, style, and different types of documents.

OCR Compliance at Business Level

OCR Technology has condensed the business administrations and operations. Businesses are employing technologies to reduce the assets to save time in the collection of data and management with high accuracy. Through strong OCR services, businesses can extract data from electronic or paper documents worldwide. This helps the authorities to get rid of human efforts and move towards digitization according to the needs of customers.

Intelligent OCR has many benefits for the businesses, which are the following:

  • Diminish Manual Identification: Onboarding the identity of each individual is a part of business, for this OCR App is required to automatically extract the customer’s details and verify it.
  • Reduction of Cost: Providing better customer services through the OCR process reduces the human effort in verifying the documents.
  • Replacement of Manual Data Entry Operations: Businesses employ OCR document scanners to check the identities and information of collection of their customer’s documents within seconds and avoid manual data entries as it requires a long time along with errors in the procedures. 
  •  Save Human Assets: The number of employees is required to enter the details of customers manually in sheets, which can be reduced by a mobile OCR system. Hence, to decrease the human assets. 
  • Augment of Business Operations: For the augment of business operations, OCR scanning is playing its active role to proceed with the functions within seconds.
  • Enhance the Productive Capacity of Business: OCR App eventually reforms the productivity of the business. The previously used resources which perform operations manually can be used in other valuable work.
  • Automatic Content Processing: Information from the documents is derived and filled in the relevant fields by OCR solutions. For example, the name from an ID card is extracted and automatically filled in the system against the name of customers.

Industries that could use Character Recognition App:

There are several industries that can use OCR scanning given below:

Financial Institutions(banking, accounting, insurance, and credit company)

  • Loan applications 
  • Customer onboarding
  • Account opening
  • Receipt processing
  • Account management

Healthcare industries

  • Preserving patients Records
  • Insurance processing
  • Billing processing


  • Sales order processing
  • Payments
  • Accounts payable and receivable 

 Retail and eCommerce:

  • Customers document verification
  • Bill processing
  • Account opening

Government Domains:

  • Immigrations applications
  • Passport management applications
  • Education system applications

Human Resources:

  • Employee onboarding
  • HR records processing
  • Store legal documents 

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