Digitization gives fantastic benefits, from cost-cutting over time-efficiency to much better document handling. Here are some good reasons why you should consider OCR for accounting.
Is OCR for Accounting a Smart Choice?
A significant part of accounting work consists of data entry into specified application fields. A standardized OCR application can reduce the time needed to enter data to less than half of the normal time.
When the whole system is fine-tuned, OCR can offer significantly better results compared to work carried out by humans, since the application can never get bored or exhausted. Where specialized OCR for the accounting industry comes in the form of a software with a cross-checking option, it may also provide validation of inserted data.
By definition, the accounting profession generates many paper-based documents. The ideal document management system allows an individual to scan a paper document and to securely store the data in a server.
Effectively, document management causes a reduction of cluttered paperwork, so that less floor space is required for physical storage cabinets.
The ideal management system will increase efficiency in storage, accessibility, conveyance of information, and will cut on miscellaneous costs.
Using an ideal data management system, it is easy to:
- carry out fast-track sharing of information between accounting professionals through compressing large files,
- convert typed or handwritten text to machine-encoded text,
- automatically generate tax forms, invoices, and other business documents.
One can’t overestimate the effect that OCR has had on how we work today. Whether it is in the field of finance institutions, insurance, advertising, post office, and even government affairs, OCR has offered solutions.
Businesses and organizations are now able to accomplish much more by converting paper documentation to digital files, as well as executing smart document analytics that may significantly boost business. This is only the tip of the iceberg, so now it is the right time to move forward and get started with using OCR for accounting.
OCR for accounting has significantly affected just how businesses and organizations deal with paperwork, and the accounting sector is definitely one that has benefited from the change. However, many accountancy firms still have no idea what OCR can do for them.
So, these are just some of the great benefits of OCR for accountants and bookkeepers:
1. – It will save you time
OCR will save time, because it significantly minimizes the amount of time invested in office paperwork – primarily when it comes to manual data entry. Studies have discovered that time invested in paperwork can be drastically reduced by more than 75% by using OCR.
2. – Increased accuracy and reliability
OCR makes sure that many generic errors will be minimized with automatic document processing. OCR computer software is made with smart AI algorithms that make an analysis and recognize details with extremely high precision. Accounting is all about having the numbers correct which means that just one little typo can result in terrible final results.
3. – Significantly better auditing and expenses reporting
OCR administration may help accountancy firms and bookkeepers to prevent the wrongful addition of fees or positions to company expense reports.
Audits can, as a result, be executed faster and with greater depth, since auditors are being provided with expenses records and budget documents that are more transparent and easier to read.
4. – Improved payment control
OCR systems help accountancy firms deal with structured paperwork, especially when processing monthly payments. An auditor can simply evaluate the transaction facts, instead of having to gather and confirm those given by employees.
The use of a document management software is not new and is becoming more and more common across leading accountancy firms in the world as a solution to reduce office inefficiencies.
We have received numerous responses from our clients who now can compute required metrics in the finance environment with speed and accuracy.
Our clients stand out because they can offer cutting edge advisory to their clients on matters regarding tax, investment returns, return on equity and pay back periods, etc.