What is Data Digitization? – Definition, Steps and Advantages for the Company

What is Data Digitization? – Definition, Steps and Advantages for the Company

What is Data Digitization

This is the company’s first digital transformation process. Your company uses scanning software to extract, capture the data, and then send it automatically to your business applications for direct use. These data are also classified, stored according to your own rules in a GED (electronic document management) solution for a structured archiving of your files.

The main advantage: improving the processing of information, and making it accessible in real-time. The main challenge: to stay in the race in an increasingly digital market, where everything is accelerating. In order to improve its quality, the state itself is undertaking the digitization of public services.

Understanding the Data Digitization

What is document scanning?

If the individual can scan a document or an image to reuse them as is, professionals have every interest in considering document scanning from the perspective of the data. Explanations.

Definition of Document Scanning

A specialist software ensures that a text is scanned:

  • The act of copying and converting a whole document from a format of paper to a digital, computer- and online file format;
  • the act of recording, whether in paper or digital, data of a document by extracting data in accordance with its own rules to be forwarded for use on the Internet or on its computer to third-party applications;
  • the act of recognition and classification of digital documents in an online conservation documentary basis and legal archiving, according to their own storage criteria.

Note: most of the time, text and images are scanned information. In certain industries

Definition of Dematerialization

Dematerialization refers to the digitalization of processes and working methods within a company. In other words, employees no longer handle the (or less and less) paper to use software and the internet to use data more efficiently.

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Here are concrete examples of successful dematerialization in business:

  • Staff uses digital papers to extract part of the data from to perform a particular task.
  • The information management system centralizes the digital records of the business in an organized fashion so that the client can rapidly locate the appropriate documents;
  • Every business expert uses documents or part of the information to carry out their duties through the importation into the software;
    Information and document processing and use shall be simplified;
  • Workflow improvement of employees, savings in time and efficacy; The entire company has an increase in productivity;
  • Furthermore, the business retains space for physical storage formerly for archiving paper records.

Data Capture and Extraction at the heart of Digitization

The Digitalization of documents allows the processes to be dematerialized and data processing to be accelerated. The relationship to the data changes the order established: the data is collected, extracted, sent to, and used in real-time by the software of its choice.
Digitalization of documentation and data capture is not the only element that allows dematerialization.

Digitalization automation now enables:

  • To identically restore data quality, eliminating manual entry mistakes,
  • Extending and improve internal or external exchanges to data like never before.

Read More: Software development company

The 5 steps of Document Scanning

Step 1: Scan documents and import data

The software scans and imports documents from all kinds of sources: paper format, import from documents stored in the Cloud, from email messaging, various scanners, or even multifunction devices.

The solution recognizes and processes all types of files (JPEG, TIFF, DOC, PDF, PNG, BMP, etc.) and all types of documents (invoices, identity cards, driver’s licenses, orders, delivery notes, contracts, etc.).

Step 2: Pretreatment and classification

The solution makes the document more readable thanks to more than 20 image beautification techniques (de-interference, removal of black edges, autorotation, etc.).

It then automatically classifies the document according to your own rules and criteria using integrated technologies such as character recognition, barcode recognition, OCR area, etc.

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The software also uses automatic recognition of standard documents (RAD) to classify CVs, passports, invoices, delivery notes, etc.

Step 3: Intelligent data indexing

The tool recognizes the fields and searches zones, the type of data, and the regular expressions such as the name of a company, the invoice number, the IBAN number, SIRET, a logo.

It detects the data to be indexed and extracted.

Step 4: Check and manage ambiguities

The software automatically checks the matches and detects anomalies by requesting their verification.

If an error is detected, the manager can be immediately alerted by email to rectify it later or immediately.

Step 5: Export to business applications

The scanning and data extraction software allow you to export the document in the format of your choice (PDF, hyper-compressed PDF, TIFF, JPG, DOCX, XLSX, etc.) to send it to your archiving solution or document management (Google Drive, Therefore, Dropbox, Dokmee, SharePoint, etc.).

The relevant data from a supplier invoice, for example, can also be sent automatically to accounting software or an ERP to automate or pre-settle the entries, or in other business software in order to be exploited.

Numerical Data Advantages

In the dematerialization of invoices, the main value of digital data for the client is:

  • Every invoice must not be encoded manually: the process is automated. The scanning software recognizes and extracts the corresponding information.
  • From the data capture stage, you record every invoice in your accounts. The information is used and enriched by the rules you have established for accounting entries.
  • You can then export the invoice for archiving, for example, in PDF format, a metadata format that will enable the files to be found if needed.
  • You save 50% of the processing costs and save time to manage. Here is an example of invoice scanning in Kofax Capture software (mobile version) in the image below: the data is recognized and extracted automatically.


The Reasons to equip yourself with scanning software, Businesses use scanning software for the main reasons:

  1. They automate their administrative tasks and save time.
  2. They avoid errors due to manual entry.
  3. They can continue to work while the solution is working in the background (depending on the software).
  4. They use the data in their business applications.
  5. They easily archive and find their documents.
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Shankar is a tech blogger who occasionally enjoys penning historical fiction. With over a thousand articles written on tech, business, finance, marketing, mobile, social media, cloud storage, software, and general topics, he has been creating material for the past eight years.

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