Optical character recognition is one of the oldest technologies that are in massively wide use today. Just as optical character recognition technology is evolving and gaining increasing traction, OCR services are also increasingly showing high profitability. The current market value of the logistics industry is USD 18.23 trillion
OCR services make up one of the most basic requirements or needs of a medium or large-size business. While small businesses can also benefit from their technology, medium and large-scale ones need it more. This is due to the large demand of paperwork that these have to deal with.
The logistics industry, however, is one of those which still requires extensive document management services even if for small businesses.
What is optical character recognition?
OCR is the process through which content written in physical form converts into mechanical or digital text.
OCR services are important to ensure that there are efficient data entry processes. It helps businesses make their systems faster and more efficient, with a reduction in the likelihood of error.
Online OCR services make one of the most used software by businesses globally. This is due to the benefits that the technology offers.
Let’s explore some of the particular benefits that text recognition systems have to offer logistics businesses.
However, first, let’s explore how OCR services work in logistics’ management systems.
OCR apps are based on a range of particular computer-based algorithms that allow for the efficient running of the system or software.
Pattern recognition for Optical Character Recognition
Pattern recognition computer algorithms work by comparing characters under processing against those already in databases. For OCR readers, this means collecting a particular alphabetical or numerical character and comparing it with the characters in the OCR service database. For example, a computer may see a letter or alphabet A, a, or 1, and well then compare the patterns of all the letters, alphabets, and numbers from A-Z and 1-9 to conclusively define whether the processed alphabet is a or Z.
Such pattern recognition algorithms are important for OCR services because they allow the technology to measure and recognize different fonts and writing styles. This can also allow for the reading of handwritten texts.
Optical character recognition and the pattern recognition systems that it supports can a wide range of fonts publicly available. However, there are some particular font styles that have been invented specifically to improve OCR scanning readability.
For a logistics business, this can be particularly important for reading typewritten receipts, and invoices.
Feature extraction using OCR services
Feature extraction algorithms for optical character recognition services are sophisticated and refined algorithms. These do not just consider or cross-check “designs”, but rather work to recognize the different aspects of written language.
For example, a feature extraction algorithm may detect the range of angles, curves, lengths, etc. that make up a character. On the basis of these figures, the OCR service then recognizes the character. OCR services that work by primarily utilizing feature extraction algorithms offer better services and can recognize complexities in scripts. Fonts, conditions, handwriting, etc. are all recognized by this type of algorithm.
Logistics companies can use feature extraction systems to offer improved readability for handwritten slips and receipts. Since the industry involves a lot of international exchanges, OCR services can also help the logistics businesses track labels and thus, packages, with information in different languages.
Improve data extraction systems for logistics
OCR services can help businesses improve their data extraction rates. Businesses working within the logistics industry have to deal with a lot of international shipments which also include receipts for hundreds and thousands of products, tracking information, truck information, etc. Processing all this data manually is tedious and highly expensive.
OCR services for faster shipping and better customer service
Businesses today have to face increasing pressure when it comes to faster and safer shipping. While companies have always been trying to protect the goods that they transfer, faster shipping can be offered using technology. OCR services allow these businesses to automate their workflow and thus, speed up their processes. Additionally, when a business is using OCR scanning to read and store piles of paperwork, the business can save time.
Validation of data and improved security
When you’re dealing with goods that are shipped from one party to another, it becomes of great importance to assume responsibility and ensure that you offer safe and secure transportation services. This involves not just ensuring that the service provider moves all items without any damage or breakage, but also to avoid theft or loss of products. Utilizing OCR services at checkpoints and checking product labels as well as the details of the vehicle carrying them is important. This can help ensure correct tracking of the vehicles and products. Additionally, if businesses provide such information on the tracking website, they can improve their customer service.
To sum up
OCR services have proven themselves as a beneficial service for all kinds of businesses. While technology is increasingly being adopted globally for all kinds of services, the logistics industry still has to catch up. The reason why it is so important for this industry, in particular, is due to the range of highly specific benefits that the technology has to offer.