One of the most promising areas for digitization of business is cognitive data capture. Among many applications of cognitive data capture, invoice processing is getting ahead because of fast and effective results that companies get.
In every company, accounts payable department spends most of its time to process invoice data. Invoice processing consists of a series of steps, which must be followed and executed strictly. Data collection, validation, approvals, payment terms and synchronization of all these steps with an ERP or accounting software can easily lead to bottlenecks in any organization.
Instead of putting that much load onto your accounts payable team, you can start using a solution that uses cognitive data capture in order to automate invoice processing.
What is cognitive data capture?
Cognitive data capture performs two main functions: Data extraction and data validation/correction. Automation of these two steps are vital for invoice processing, because there are various invoice formats with respect to metadata and you often encounter with several unstructured and non-uniformed data.
As the first step, onVision Invoice Extraction product uses a mixation of OCR and ICR to recognize contents of invoice and extract data with a high level of accuracy. Following this step, machine learning procedure begin to show off its abilities. Each line item of the invoice is analyzed and interpreted by AI. Based on confidince score rating and spatial referencing method, data validation/correction is finalized.
5 Benefits of Using Cognitive Data Capture for Invoice Processing
- Traditional OCR tools can solve some basic problems of invoice processing, nevertheless OCR needs rules and templates to work properly. This means that a human operator needs to define rules and templates for each new invoice format. On the contrary, cognitive data capture is document-agnostic and can learn and operate by itself without any supervision.
- Automation of invoice processing through cognitive data capturing reduces costs (time, money, energy) and enhances efficiency of the relevant business process.
- Increased level of control and transperancy is another significant benefit. You can easily prevent fraud, duplicates or any possible malicious attempt, by using cognitive data capture for invoice processing.
- When you automate invoice processing by cognitive data capture, it works as a catalyst for other enterprise software solutions and business processes. Supply chain management, customer relations will benefit and your ERP system will perform much better.
- Digitization level of a company depends on the ratio of its paperless and touch-free processes. If you aim at increasing digitization level of company, cognitive data capture is your best servant.