Optical Character Recognition: A Basic Guidance to OCR Technology

Optical Character Recognition: A Basic Guidance to OCR Technology

If you work in an office that is equipped with a document scanner, you might have heard more than once about OCR Technology. But what is it? How does it work and for what purpose optical text recognition is used? Just dive into the blog and get all the questions answered.

What is OCR Technology?

Optical Character Recognition or OCR Technology got popular in the 1990s and is being widely used today. It recognizes the text inside images including photos and scanned documents and converts it into a machine-readable format.

How Does OCR Technology work?

To better understand the OCR process, let’s look at the three basic steps of this technology that includes pre-processing, character recognition, and post-processing.

Step 1: Pre-processing of the Image

The OCR software usually pre-processes the image to improve the recognition of the actual image data. In pre-processing all the unnecessary distortions are suppressed and the specific features of an image are enhanced and this is done because of the following steps.

Step 2: Character Recognition

Character recognition demands an understanding of feature extraction. When the given data is too large, a character recognition app selects only those features that are important, and those suspected as unnecessary are ignored to increase the performance.

Step 3: Post-processing of the Output

In post-processing, the output is checked against any limitations imposed by a lexicon. This is a technique that corrects the errors and ensures the accuracy of Optical Character Recognition.

Uses of OCR Technology

OCR Services are being widely used today in several fields which are listed below.

OCR in Identification Processes

As identity cards and passports have MRZ (Machine Readable Zone) that the OCR can scan and this is how it speeds up the identification and registration of people and helps the security personnel at borders and other checkpoints. Moreover, it can be used for commercial purposes to enhance the engagement of customers such as the registration procedures with businesses and banks, or the check-in operations within any hotel. 

OCR in Marketing Campaigns

All the leading brands use optical character readers to run engaging and innovative campaigns in order to engage with the customers. They integrate their websites and applications with OCR. This reduces the difficulty of online registration and helps the customers get rid of typing in a series of letters as well as numbers. 

Payment Processes with Mobile OCR

The IBAN identifies bank accounts around the globe. It can come in different lengths and may consist of numbers and letters. To facilitate cross-border transactions, the banking applications are integrating OCR software. This helps the customer to scan their IBAN and get rid of typing it in tediously.

OCR Technology in Healthcare

Another application of CCR is in the healthcare sector. Using OCR, the complete medical history including X-rays, reports, tests, insurance payments, etc. can be scanned and accessed in a single place.

OCR in Supply Chain

OCR has an application in the pharmaceutical, drinking, food, and cosmetics industries where a barcoding application is needed. It helps to read batch codes, lot codes, expiry dates, etc. to monitor all the stages of the packing cycle that helps in the quality control of the product.

Benefits of OCR Technology

OCR is helping businesses in several key ways that include:

  1. Automate workflows

Workplaces that rely on a large volume of paperwork can save time as well as enhance their productivity through batch scanning. Files could be scanned as well as indexed for easy reference. Invoices and other documents that need action can also be put into an automated workflow that shepherds them through relevant certification and payment processes. 

  1. Convert a Read-only File to an Editable Text

OCR screening pulls the read-only text from PDFs and other files so you may edit it, search for it, and use it in the other documents.

  1. Generate Audible Files

OCR assists in saving the precious time that you have spent reading complex or long documents by creating their natural-sounding audible files which you can listen to at the gym or on your commute, thus enhancing your productivity. Moreover, it provides visually-impaired and blind people access to the written text.

  1. Translate Foreign Languages

Some OCR text recognition solutions can even transform texts from more than 180 different languages.

  1. Manage Questionnaires and Other Forms

Managing manually-made questionnaires and forms used to take much effort and time. OCR document scanner helps you scan all the documents quickly. It converts all the information to searchable text that facilitates you in extracting insights or taking action sooner.

  1. Achieve More Accurate and Faster Data Entry

OCR and digitizing data sources aid workflows in automating data entry and eliminating the need to relay data into systems. This as a result can save time as well as remove the errors. That can occur when the data is entered manually.

Onscreen Text Recognition Ai-Based:

Optical Character Recognition (OCR) is a technique that converts scanned pictures containing printed or handwritten text into machine-readable data. That may then be edited electronically. This technology is included as a supplement to Squish’s already robust Object-based and Image-based recognition techniques, and it may be used for onscreen text recognition and verification.

What role will OCR Technology play in your corporation?

As a step toward digitization, Optical character recognition services offer various advantages. Contracts, shipping slips, government papers, licenses, certifications, tariff sheets, catalogs, and other commercial documents generally include a large amount of data and documents.

After digitizing them. You may compare them to a variety of other digital documents to find the best pricing, services, terms and conditions, and so on.

You may check for differences between the original terms & conditions and your signed contract using OCR. Cheques can also be checked for the correct amount, invoices compared, and so on.

Final Thoughts

OCR Technology has made data extraction as easy as ABC. It is undoubtedly a one-stop solution for all businesses to convert the data from structured or unstructured documents into a machine-readable format that can be accessed with a single click.

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