Contrary to popular opinion, computers, and machines are not that smart. We, humans, gave them the smarts. Imagine you have a machine that can read and understand letters and pictures all by itself. It can read important papers like contracts and invoices without needing a person to do it. That is Intelligent Document Processing. It is like having a smart assistant that helps with lots of paperwork so you can focus on important stuff.
In today’s fast-paced world, managing documents can be a time-consuming and overwhelming task for businesses across various industries. However, with the advent of intelligent document processing (IDP), document management has transformed into a seamless background process that operates on autopilot. By leveraging advanced technologies such as optical character recognition (OCR), machine learning models, and artificial intelligence (AI), IDP enables computer systems to comprehend information more effectively and take appropriate actions. In this article, we will explore the concept of intelligent document processing, its benefits for businesses, the types of documents it can process, and how to choose the right IDP solution.
What is Intelligent Document Processing?
IDP solutions go beyond simple scanning by analyzing the data within the document. They perform tasks that were traditionally carried out by human workers, such as collating, extracting, filing, and organizing information. These solutions can range from creating reports based on extracted files to transferring information seamlessly between systems to associating relevant emails or chat transcripts with customer or patient records to filing documents together with similar ones. Conventional scanning of documents merely produces a visual replica on the screen. However, the computer lacks the ability to understand the content it is viewing; it treats a press clipping the same way it would treat a short story from an aspiring writer. Converting such documents into a usable format requires significant manual effort and repetitive tasks.
With IDP, documents no longer remain stagnant in your systems; they transform into dynamic entities that can generate valuable insights, facilitate the creation of new documents, and fuel automated processes.
Applying Document Automation through IDP in Businesses
Implementing document automation through IDP can bring several advantages to businesses, enabling them to enhance productivity, reduce costs, and improve accuracy.
Improve Accuracy: Intelligent document processing solutions boast an accuracy rate of 99%. In sharp contrast to manually filled spreadsheets, which studies reveal to be prone to errors in around 90% of cases, our remarkable Intelligent Document Processing (IDP) technology ensures a high level of accuracy. These errors can result in costly mistakes like overselling event tickets due to a simple typo. By embracing IDP, organizations can protect themselves from such embarrassing blunders and the financial consequences that accompany them.
Boost Productivity: Employees spend approximately 70% of their time on tasks that do not align with their core skills and talents. With IDP automating work processes, organizations can free up their team members to engage in strategic planning and critical thinking projects, thereby boosting overall productivity.
Reduce Costs: AI and machine learning technologies can automate up to 45% of labor-intensive administrative tasks. businesses can save time and allocate resources to more creative and revenue-generating activities, resulting in cost reductions by automating document management processes,
Types of Documents Processed with IDP
IDP is capable of processing two main types of documents: structured and unstructured.
Structured Documents: Structured documents are organized in a consistent and predictable format. They contain predefined elements or fields with consistent structures making it easier to extract and analyze data, enabling easy identification of relevant details. Think of structured documents as neat and organized information sheets that have different sections like titles, names, dates, and numbers which are always in the same place. For example, a Nigerian passport has consistent locations for information such as the name, issue date, and place of birth, making it straightforward to extract these details. Examples of structured documents include multiple-choice surveys, invoices, receipts, spreadsheets, and inventory databases.
Unstructured Documents: Unstructured documents lack consistent formats and often contain diverse content. They pose a greater challenge for computer systems to analyze. Think of them as a jumble of information without a predefined structure. It usually requires advanced technologies like natural language processing techniques or machine learning to make sense of the content and extract valuable insight, For instance, a traveler may present an article they wrote about their trip, which may include images, videos, and text placed in different locations. Examples of unstructured documents include contracts, college transcripts, handwritten letters, customer feedback cards, medical records, emails, live chat transcripts, and social media posts. IDP powered by AI can effectively process both structured and unstructured documents, ensuring high-quality data extraction. Examples are social media posts, handwritten letters, etc.
Choosing the Right IDP Solution
Selecting the most suitable IDP solution for your organization can be a daunting task, considering the plethora of technical features available. To streamline the selection process, focus on the following essential qualities when evaluating intelligent document processing vendors:
Precision: While no IDP solution can guarantee 100% accuracy, prioritize solutions with an accuracy rate of 99% or higher. Additionally, involve subject matter experts within your organization to evaluate outliers and assist in training the system on new document types.
Integration: Seek an IDP solution that seamlessly integrates with other business process automation technologies, like robotic process automation (RPA) and workflow management systems. This promotes a unified approach and simplifies overall process orchestration.
Format Independent Capability: For larger organizations, selecting an IDP solution that caters to various document types across all departments is crucial. A versatile document automation tool should benefit every department within the organization, rather than being limited to a specific area.
Legal Compliance: Compliance is paramount when handling sensitive information. Look for IDP vendors with relevant certifications, demonstrating adherence to stringent privacy measures. Anonymization tools are an additional advantage, allowing for the masking of personally identifiable information, such as Social Security Numbers, to protect individual privacy.
Support for Diverse Inputs: Despite the digital era, businesses still encounter handwritten forms and letters. Ensure your chosen IDP solution can effectively process not only typed text but also handwritten content in various styles and fonts.
Embrace Document Automation for Business Success
In the next few years, the ability to effectively manage existing data will be crucial for businesses to harness the potential of emerging AI technologies. To future-proof your organization and leverage technological advancements, document automation should be a key focus in your business automation strategy. With Flowmono, an intelligent document processing software, businesses can unlock heightened levels of efficiency, accuracy, and productivity, optimizing resource allocation and reducing costs. Stay ahead of the competition by embracing IDP and propelling your organization toward success in the digital era. Sign up on Flowmono today and embrace the future of document automation.
