What is OCR Contract Management & how does it benefit your business?
One challenge that Cenza is repeatedly enquired about is, “Why does my Contract Management Solution fail to comprehend the scanned contract files, which are ideally digital documents?” Our simple answer is that the computer can only read the digital language, and the text in the scanned PDF files is not in a machine-readable format.
For a digital contract file to conform with the functioning of your contract management solution, you need to integrate contract OCR into your CLM adoption process. OCR plays an irrefutably crucial role in Digital Contracting, without which your efforts will be futile. From a peripheral view, it might appear as an easy-to-do task to convert an unreadable file into a readable and editable format. But in reality, this very process holds a significant value by enabling a CLM system to perform its purpose. It not only makes the PDF files recognizable by a technology-enabled system but enables metadata extraction, validation, contracts classification, and much more. With the ability to reads texts from pictures and analyze different types of fonts, today’s OCR solutions set the playing field for your Contract Management System.
So, how does OCR work?
Optical Character Recognition is all about analyzing alphabets, numbers, and symbols from PDF documents. With constant technology upgrades, Contract OCR’s scope has further expanded to detect inconsistent language, unstandardized fonts, and styles. As you run OCR on your scanned contract files, the custom-built features and pattern detection techniques will convert every single letter, word, image, and number into individual data points. This process adds life to the digital contracts and enables the search capability in the CLM system. Taking the benefits ahead, OCR helps in categorizing files and fine-tuning the search for easy retrieval of relevant files.
What is OCR Contract Management?
We love to call OCR a bridge between artificial intelligence and human consciousness. After all, the goal of embracing technology is to increase efficiency and streamline operations, and that’s what OCR Contract Management is made to deliver.
By integrating OCR with your Contract Management, your system becomes capable of reading and analyzing massive amounts of scanned contracts with human-level consciousness. In addition, every legal data with complex clauses becomes figurative for an integrated OCR Contract Management solution, thus, creating a robust network of tracking and analyzing legal data.
The most enticing aspect of OCR Contract Management is that it is the fuel for the entire CLM journey. It is no understatement to say that without OCR, your CLM will be a mere repository of contracts, requiring manual efforts to track every contract. But that’s not what you expect from a high-level CLM system.
Benefits of OCR Contract Management in your legal department
Solving immense issues arising due to the lack of OCR in technology-powered CLM systems, Cenza takes pride in highlighting the top benefits of OCR Contract Management for corporate legal teams. Initiating from automation to true digitization, a Contract Management System evolves to generate high business values once it is unified with Optical Character Recognition.
Preciseness
Precision, undeniably, is the top output for any firm in the world that leverages contract OCR. Thus, with integrated OCR in your Contract Management System, accuracy is effectively achieved without complex human-intensive labor. Furthermore, OCR bridges the gap between undetectable texts in massive, scanned contracts and the already efficient Contract Management solution to further demonstrate its accurate results by learning through systems incorporating artificial intelligence and cognitive data.
Speed
OCR Contract Management multiplies the pace of operations compared to a non-OCR equivalent. Eliminating the human efforts of converting scanned contracts to editable formats and proceeding to restacking, Contract OCR paces up the CLM activities to get the work done faster.
Efficiency
Efficiency in machines, as well as humans, is a crucial takeaway from the success of any firm. Every corporate counsel is intellectually dealing with a large number of clauses. To create an agile and productive network, OCR Contract Management eases not only complex human efforts with cognitive analysis but also provides accurate and faster reports.
Automation
In a pacing lifestyle, all we are looking for is accurate results in less time. And how are we getting it? By automating the operations. OCR Contract Management builds a powerful automated system that does not require extra human labor in either converting scanned contracts into Word files and restacking them into the system or creating a new contract from scratch. Instead, with Contract OCR, all you need to do is monitor and carefully review the machine’s activities.
Get started with Contract OCR
If you are part of an in-house legal team, then this blog answers all your queries about why your CLM operations lack agility and accuracy. Try out Cenza’s comprehensive OCR Contract Management Solution and begin your journey to true digitization. Cenza understands the power of human-assisted process automation in achieving accuracy and efficiency. Thus, our well-trained Contract Management experts monitor and review every activity of the OCR Contract Management System powered by artificial intelligence/ machine learning.
Contact our Contract Management Consultants to explore the importance of OCR in amplifying the benefits of your CLM system. In our journey spanning more than two decades, we have assisted a score of organizations and their legal teams in strengthening their contract digitization process with our robust OCR services. So, think no further. Talk to our experts, today.
Originally published at https://www.cenza.co on May 26, 2022.
