What is ICR? Optimize the Digitization Process with ICR Technology

ICR in document digitization is widely applied today. However, not everyone fully understands what ICR technology is. ICR stands for Intelligent Character Recognition, an advanced technology of the existing Optical Character Recognition (OCR). While OCR focuses on recognizing printed text, ICR allows the system to learn different handwriting styles and fonts to improve accuracy and optimize text recognition. ICR technology enables the conversion of handwritten text on scanned images and is perfectly integrated with OCR for document processing.

Understanding what ICR is also helps people quickly solve the long-standing data entry issue, which burdens organizations and businesses with excessive costs and manpower. Handwriting recognition with ICR is a significant breakthrough in data digitization, optimizing the process by automating complex data extraction tasks. The support of AI further enhances ICR’s popularity among customers due to its high accuracy.

What is ICR?

Intelligent Character Recognition (ICR) is a more advanced Optical Character Recognition (OCR) version. The primary goal of ICR is to convert scanned images of handwritten or printed text into machine-readable data, utilizing pattern recognition based on certain predefined rules.

>>> See more: What is OCR?

Difference Between ICR and OCR

Once you grasp the concept of ICR, distinguishing between ICR and OCR becomes simpler. The key differences below help users decide which technology best suits their needs:

• OCR is a technology that scans printed text in documents and converts them into electronic files. On the other hand, ICR is a more evolved form of OCR, as it updates its database and recognizes new fonts and handwriting styles. ICR is generally more accurate and applicable in broader contexts compared to OCR.
• OCR systems rely on manually created templates and do not utilize artificial intelligence (AI) for data extraction, while ICR works without templates. This makes ICR more adaptive and trained to update and evolve continuously.
• OCR works best with documents that have a fixed structure, making it ideal for processing forms with consistent layouts. In contrast, ICR can handle a wide range of formats as it is capable of self-adaptation and continuous learning.
• Modern OCR software often includes project management fees, whereas ICR technology is fully automated and does not require such overhead.
• OCR is limited to processing digital text and does not work well with customized data, while ICR can process images, handwritten text, printed text, and other formats.
• OCR-scanned files are typically harder to locate in a database because they are converted into PDF files, whereas ICR technology allows for the storage and quick retrieval of scanned information, making data access much easier.

How does ICR Technology work?

To understand how ICR technology functions, let’s break down the process step by step to provide an accurate and comprehensive overview:

• Uploading the Document: The operations are conducted automatically when uploaded into the ICR scanning system.
• API Interface: The application programming interface (API) reads and scans the images, where the system automatically interprets all text and handwritten information using pre-existing database references. This allows ICR to recognize even handwritten fonts.
• Handwritten Signature Verification: The ICR technology may prompt users to upload a handwritten signature to ensure the highest accuracy in verifying the user’s identity.
• Data Extraction: The extracted data from documents is automatically structured into key-value pairs. This automated process organizes the data efficiently for later use.
• Error Checking: After reviewing potential errors, the ICR software quickly updates and flags any abnormalities for the user to handle. This makes it easier to manage any issues during the document processing stage.
• System Integration: Once documents are scanned and digitized, including those with handwritten content corrected by the user, the data is automatically entered into the system.
• Model Updating for Handwritten Documents: The API automatically generates new models to read and interpret information for handwritten documents uploaded in the future. If no modifications are needed, older models scan and read the data.

This workflow enables ICR to enhance the accuracy and efficiency of processing handwritten documents, making it a powerful tool for automated data entry and document processing.

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Which fields can apply ICR technology?

ICR is gaining prominence in many industries by processing information from physical documents and intelligently converting it into electronic formats.

ICR is currently being applied in various sectors, as outlined below:

• Banking, Financial Companies, and Institutions: These entities require large-scale document storage related to customer data. ICR helps scan documents such as forms, surveys, and applications, quickly converting them into digital formats.
• Education: In educational organizations, ICR is used to read handwritten notes, transferring them into digital systems to assess students’ academic performance.
• E-commerce and Businesses: ICR plays a key role in document management for many businesses and online stores, facilitating the collection of electronic signatures and verifying customer identities with the highest accuracy.
• Insurance Companies: Insurance providers rely on ICR for digitizing legal documents, claims, and verification forms, ensuring compliance with regulations, and streamlining document management.

• Hotels and Logistics: ICR technology is used in these industries to scan receipts, invoices, shipping forms, and more, allowing for efficient data entry and management processes.

Benefits of Applying ICR Technology

In addition to identifying the applications of ICR technology, users should not overlook the fundamental benefits of integrating ICR into today’s businesses. Here are some key advantages that will provide valuable insights for customers.

Saves Time and Effort

ICR technology allows businesses to quickly and efficiently verify data, significantly reducing the time required for manual data entry. This optimizes workflow and boosts productivity without consuming excessive time and resources.

ICR has effectively cut operational expenses while enhancing work quality for businesses facing the challenge of reducing costs amid global inflation. Many companies choose ICR to streamline operations and achieve favorable results.

Increases Accuracy and Reliability in Recognition

ICR solutions make it easy to convert paper documents into electronic formats, ensuring high accuracy and reliability in data recognition. This capability is crucial for businesses that extract and verify essential customer information.

Integrates with Other Technologies like OCR and Information Management

Upgrading to ICR facilitates seamless integration with other technologies, such as OCR and information management systems. Businesses using ICR can combine it with various technologies to manage and organize information more effectively and accurately.

Effective Implementation of ICR in Business Processes

Establishing an effective ICR implementation process is crucial for maximizing operational efficiency. What are the key steps for implementing ICR technology in businesses? Below are some essential steps for successful integration:

Step 1: Selecting the Right ICR Software

After identifying the documents or forms containing handwritten text that need processing, businesses must choose appropriate ICR software based on their specific needs and budget. Many current ICR software options are integrated with automated business process systems (BPA) to optimize additional features.

Step 2: Structuring Processes and Preparing Data

To maximize ICR’s speed and accuracy, it’s essential to establish well-defined processes and properly prepare data. This includes configuring ICR software according to company standards to ensure optimal accuracy while minimizing potential errors.

Step 3: Training Employees and Implementing ICR in Document Digitization

Training employees to effectively use ICR software and handle exceptions or recognition errors is critical. To ensure the best outcomes, a proper document digitization process should be measured through key performance indicators, such as processing time, accuracy, cost, and customer satisfaction.

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Choosing a Quality ICR Solution Provider

With the current market demand for ICR solutions for paper documents, it is not difficult to find various providers. However, selecting a reliable provider is not an easy task. Choosing BPO.MP is the smartest decision for customers at this time.

BPO.MP offers many advantages when providing high-quality Intelligent Character Recognition (ICR) solutions, receiving positive feedback from clients due to several key features:

• Utilizes advanced ICR technology with high accuracy, extracting data from handwritten documents for clients.
• A professional, dedicated team of highly qualified experts can provide consulting and support for any issues customers may face.
• A strict quality management process ensures businesses have the best experience when in need.
• Quickly processes various documents and can store results in multiple formats to meet the optimal needs of businesses, individuals, and organizations.
• Offers competitive pricing suitable for various businesses while maintaining the highest quality service.

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ICR Solution in BPO.MP

By integrating ICR technology, BPO.MP assists users in adopting intelligent systems that continuously learn and adapt to different handwriting styles with improved accuracy. Over time, the ICR software will enhance the user experience, predicting new writing styles, automatically upgrading databases, and reducing manual efforts and costs.

Although understanding ICR is now clearer, successfully implementing ICR technology depends on the requirements of the business. Especially for entities with large volumes of data, ICR becomes even more necessary than OCR technology. To have the best experience, customers should consider different service providers and BPO.MP is a choice that should not be overlooked.

BPO.MP, the first BPO company operating as a Vietnam-Japan joint venture, provides top-quality ICR solutions.

Contact us now via hotline for consultation and support.