How to Automate Receipt Data Extraction with OCR and AI

What is Receipt OCR?

Receipt OCR is AI-based software that extracts data and essential fields from a receipt PDF. Usually, Receipt OCR scans important fields such as,?“Amount”, “Unit Price”, “Details”, “Receipt Number”, “Merchant Name”, and much more info. Typically, Receipt OCR Data Extraction is used to Captured and Digitally format this receipt Data structurally that feeds into Databases or EPRs.

What is Receipt Data Extraction?

Receipt Data extraction is also known as receipt digitization. This method involves quickly scanning receipts and extracting data to save in a Digital Format, structurally. The information displayed on a paper receipt is quickly turned into a digital product and then a dataset In order to manage this information effectively, companies collect and store relevant information contained in these documents.

The traditional method of this process is that a person first sees the data of Paper receipt and then inputs data manually into their database in the computer which is a time-consuming, Labor Intensive, and costly process. Moreover, The employee of the company has to record the date and location of the transaction, including the purchased product and the total amount spent.

Though Automating Receipt Data Extraction is an easy and time-saving process, sometimes, it addresses the challenge of automatically retrieving information from a receipt. There are many software in the market that copy Data from the Receipt and save them into documents automatically.?Docextractor?Receipt OCR is one of them which has fast efficient archiving, quick indexing and document analysis.

Why Use Automated Receipt Extraction??

As we know, in every company, Instead of using Technology, working with Employees is a Liability. The most obvious advantage of using a scan receipt app is to save time. If you can speed up processes by automating certain tasks, you can improve employee productivity, save more time, and also decrease the error efficient

Here are the several things that can happen from the Human perspective, when a Company or small Business shifts from Manual Receipt Data Entry to Automatic Receipt Data Extraction.

1. Every employee feels less stress due to reduced workload. It is mean Higher employee satisfaction.
2. Your employees need to complete fewer boring manual tasks every day. So that, they can concentrate on other important things.
3. Automating Receipt Data Extraction allows you to save money on employee wages or provide talent that needs more competitive wages with better benefits.
4. By using Automatic Receipt Data Extraction Software, the Accuracy of extracted data will be high than manual entry.

Basically. Data entry from any paper product is a messy business and reduces mismanagement and inaccuracy. Using this process eliminates the paperwork, and reduces error, and clutter of management.

Challenges with Traditional OCR

You can think, it is easy for the Software to scan and extract data from the Receipt. But, In reality, this technology also has some potential complexities during operation. For a starter or ordinary type Receipt, it has not any format. Simply Receipt is filled with information in different places using different fonts and may have special characters that are unique to a business.

In addition, without knowledge of this software, in some cases, the customer scans the receipt himself. They are not always aligned properly with the camera lens. Receipts have a background around them and it is common in stores to process a smoky or faded receipt due to printing problems.?

Nowadays, Artificial Technology and Machine Learning are more advanced to overcome these types of challenges. Computers can now separate sounds and numbers from the background while making the image more catchy and easier to read. Whether you analyze printed or digitized receipts, advanced AI software, such as Docextractor, is faster and more accurate than ever.

Usage and Benefits of Automate Receipt Data Extraction

These are the few areas where Automate Receipt Data Extraction with OCR has huge benefits.

1. Automating Payment

Calculating accounts payment and Recivalsin manual modes are time-consuming and also expensive for the company and also made sometimes confusing to the Customer, Vendor, and Managers. So with the help of Automating Receipt Data extraction software, managers overcome this type of Task Perfectly within just a second.

2. Production and Supply chain optimization

The supply chain is the backbone of many companies’ proper functioning. A business can’t grow their Business without Planning and more optimize the Production and Supply Chain. It is very much necessary to organize the Delivery Service, Inventory management, Production, Demand, and Supply Chain.

By implementing Receipt Data Extraction in the Business, you can smooth this system. Through the Automatic and Intelligent Data Extraction software, unnecessary receipt and invoice storing delays can be avoided. And finally, Overall, all deliveries will be more efficient and on time.

3. Managing Employee Reimbursement Receipts

The company has to borrow the extra expenses of the employees such are, Travel Costs, Medical Bill, Training, Expensive allowance, and many more. But, if the employee does not submit authentic, genuine proof of Expenditure, Money can’t be useless. As a result, the company receives hundreds of receipts and bills each month from its employees. So using the AI-Based Automating Recipe Data-based extraction software, it is possible to avoid all the discrepancies. Therefore, it is important to use receipt data extraction software to manage these receipts and expedite payment.

Why is?Receipt Data Extraction a difficult problem?

Digitization of receipts or Extracting Receipt Data with OCR is difficult because receipts have many variations and are sometimes of low quality. These are some major issues that make the Extracting Process difficult;

• Handwritten text
• Noisy pictures
• Small font
• Faded picture
• Camera motion and shake
• Watermark

How to Automate Receipt Extraction using Docextractor OCR?

Docectrator?has used thousands of receipt images for extracting different types of data from images without any data loss problems.

Method of automating the Receipt Data Extraction with Docextractor:

• After installing and opening the software, set up your unique receipt scanner form. Also, you can select from a growing list of data types from your receipt.
• Then, input and scan the Receipt and execute the Extraction Process.
• After the Receipt Data Extraction Integrate your extracted data into other mobile apps or your established workflow.?

Conclusion

In conclusion, Automating Receipt Data Extraction with OCR and AI Technology is the best way to accelerate your business, especially for the Accountants department. I hope you have got all the essential information on Receipt Data Extraction, and?Docectrator, from this Guide.

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