Best OCR Software

What You Should Know About OCR Software

Optical character recognition (OCR) software is able to recognize text represented in documents and images. Documents are often input as images or PDFs, which cannot be searched by their text content. The software converts the text contained in images into machine-readable text data that can be cataloged, searched, and analyzed.

While document scanning software handles the actual scanning of a document, OCR software handles the process of parsing text or data from the document itself. Complex OCR tools will process the extracted data based on predefined workflows, which often include the aggregation of relevant data, document storage, and classification.

Key Benefits of OCR Software

• Automation of data entry from physical documentation
• Streamlined classification, storage, and organization of digital documentation
• Built-in workflow management for documentation-related processes
• Higher accuracy than manual data entry
• Improved searchability for indexed documents

Why Use OCR Software?

OCR software is capable of automating several processes, from data entry to workflow management, thereby cutting time spent on routine tasks related to document processing.

Precise and automated data entry — The main appeal of OCR software is its ability to accurately extract data from documents like invoices, receipts, or personal identification. Manually entering data is both time-consuming and prone to error. OCR software cuts down on the time spent recording data from documents, since the user is only required to scan the document, and can leave the heavy lifting to the tool. Additionally, since data isn’t entered manually, there is less room for human error. This creates an accurate, searchable repository of data that requires significantly less time to build and maintain.

Managed document workflow — Many OCR products provide built-in workflow and task management for processes related to the data extraction from physical documentation. Workflows can be created by the organizations themselves, but plenty of industry-specific workflow solutions can come pre-built into a product. The data extracted from documents can trigger tasks, facilitating a smooth transition from data entry to data analysis. Workflows can also include steps to properly tag, catalog, and store both documents and extracted data in a given content management system or document management system.

Who Uses OCR Software?

OCR can be useful in any organization or business that needs to extract data from physical documentation or images. OCR is most commonly implemented in accounting departments to automate the process of recording invoices and receipts. However, plenty of industries have found specialized uses for OCR as well.

Historians — Historians can use OCR to extract and record text from documentation or images that are sensitive and difficult to read. Manuscripts and texts can be scanned using OCR software to have their contents recorded in a more permanent space without worry of it being lost to time or damage. OCR also facilitates the transfer of information contained in historical documents across the globe.

Libraries will often record documents like old newspaper articles or delicate books with OCR software so the contents can be searched and evaluated. This allows for a permanent record for historical documentation without potential damage to the original works due to overhandling.

Law professionals — Law offices have a considerable amount of paper documentation to sort through. OCR software allows legal professionals to catalog and store their documents in an easily searchable format. This allows them to search their documents for keywords, dates, or names that might otherwise be missed.

Health care professions — The modern health care industry is rife with important documentation. Every health care-related organization, from hospitals to insurance companies, is notorious for complicated bureaucratic processes. OCR software can cut down on the time spent entering data for patients and clients and reduces the likelihood of error from fatigue.

Persons with disabilities — OCR has been employed by people with a variety of disabilities to help them read. Those with visual impairments or blindness can use OCR technology paired with a text-to-speech application to read documents for them. OCR technology is sometimes used to help people with dyslexia read, as well.

Kinds of OCR Software

While all OCR software offers the same basic functions, there are different methodologies employed in OCR solutions depending on the type of text that is being read from documents. While these types can be used separately, more often they’re used together to create a seamless document scanning and data entry workflow, regardless of how the data is recorded.

Optical character recognition — OCR reads typewritten text character by character.

Optical word recognition — Optical word recognition is similar to optical character recognition, in that it reads typewritten text, but instead of reading one character at a time, it reads word by word.

Intelligent character recognition (ICR) — ICR can read typewritten text as well as handwritten text one character at a time. This is achieved by leveraging machine learning software in addition to the normal OCR feature set.

Intelligent word recognition (IWR) — IWR is similar to intelligent character recognition in that it can read handwritten text in addition to typewritten data. However, IWR solutions recognize words and phrases as opposed to single characters.

OCR Software Features

OCR software is very straightforward in the features it offers and the goals it aims to achieve. There is some variance in how many extra features a product will offer, however.

Multi-language support — Software can extract and read text from documents and images in a variety of languages.

PDF conversion — Allows users to convert scanned documents or images into PDFs.

Text editor — Allows users to make edits to text forms extracted from documents or images.

Metadata extraction — Software is capable of extracting metadata—information about the document itself—from documents and images, allowing users to search across the scanned library using metadata taxonomies.

Additional OCR Features

Image preprocessing — Capable of preprocessing scanned images to increase accuracy of data extraction. This includes editing tools such as rescaling, blurring, and thresholding.

Batch processing — Capable of processing documents in large quantities or batches.

Potential Issues with OCR Software

Document quality — The quality of an OCR scan is only as good as the condition of the physical document it is scanning. While some products provide tools to clean up and improve image quality, OCR doesn’t offer solutions for problems like torn or severely damaged documents. When documents with extensive damage are analyzed by OCR software, there can be significant errors since the distortion “confuses" the program.

Software and Services Related to OCR Software

Document scanning services — Most document scanning service providers will also use OCR software to provide digital copies of scanned documents to clients. This is especially useful for making documents available across an enterprise with multiple locations.

Virtual mailbox software — Virtual mailboxes are similar to document scanning services in that they allow clients to have their mail forwarded to another address to have it scanned and made available through an online portal. The scanners themselves will sometimes use OCR as opposed to simple scans so users can make edits to the documents sent to them while they’re away or overseas.