Optimize document management with OCR Validation

Identity and Document verification is a time-consuming task for companies in all industries. Due to the long handling and processing times, negative customer experiences then often occur.

With the OCR Validation process, you not only reduce document processing times, but also create order and quality in the document jungle.

Learn how to optimize your company's document management thanks to OCR Validation in this article.  

ocr validation definition

What is OCR Validation?

OCR Validation can be defined as a step of pure extraction of information in documents, emails or other documents. 

In OCR Validation and OCR Verification, manual as well as automatic steps can be used to validate information once recognized by a IDP Software to be checked. 

It is also possible to validate information so that it can be transferred externally to downstream processes or software such as ERP, CRM or DMS. This means that documents or files are attributed in such a way that they trigger downstream workflows and provide them with information.

OCR validation becomes particularly exciting when information is already available in master systems that can enrich or validate information read from the document (extraction). 


It can be assumed that an invoice that contains a VAT ID number can be used to use all further information of the respective vendor or customer that has already been manually entered in the system (FiBu), in order to already have the address, the company name or the contact person of the vendor or customer, for example, in addition to the VAT ID number. The extraction does not have to read this information unambiguously. 

This enables not only faster extraction, but also dovetailing of extracted data in the document with enriched data that is already manually controlled in your company's master system.

This is how the whole process of OCR text recognition looks like:

  1. Scanning

  2. Pure text recognition

  3. Specialized information recognition (extraction)

  4. Technical validation (OCR Validation & OCR Verification)

  5. Transfer in the target system or professional work process

Thus, you can use OCR Validation to, for example, validate your Document verification to optimize.

ocr validation hand laptop

OCR Validation: Application

You can use OCR technology to validate documents for different use cases, depending on what your business needs.

  1. Use case

Assume that you receive an incoming invoice as a manufacturing company and want to match this incoming invoice with the delivery bill of the purchase order. In many cases, the purchase invoices will contain the GoB-compliant data. In addition, relevant information will be included in the tables that describe the goods or services ordered. For example, item numbers, unit prices or total prices may be relevant to match against the delivery, i.e. the delivery bill or purchase order that you placed. 

OCR Validation can help match the information on a delivery bill, such as the quantity of an item received and its item number, with the information contained in the invoice. 

In this way, you ensure that you draw discount in time and at the same time pay only the delivered quantity.

  1. Use case

Another use case is in contract management, which can build up over decades: it is often uncertain with which partner which exclusion clauses or which additional provisions were included in the contract.  

IDP software can help to process these contract components in a structured manner and make them available. 

OCR validation is the next step, which helps to classify the information technically and to check whether, for example, risks are included in contracts and to rewrite such contracts with the respective contractual partners.  

  1. Use case

Especially in the process of acquiring new customers, it is often the case that a customer sends in various documents in order to establish a contractual relationship with your company. 

In addition to ID cards, account statements, business management statements or even old contracts can be sent. In the first step, the data must be transferred to the inventory system. In the second step, however, it is often necessary to check whether the content of these documents is complete. 

During the content check, a multi-page document must also be compared with the ID card, for example, to determine whether the scan is complete.  

OCR Validation can help to check this information as soon as the file is uploaded, thus automatically alerting the new customer to possible queries that would otherwise have to be made manually, and pointing out that documents may not be complete or may be missing information. 

Often, this can also help avoid false documents, such as an ID card instead of a resume.

  1. Use case

Heavily regulated industries employ extensive compliance departments to ensure diverse policies. Be it with a Marger and Acquisition, i.e. in the case of a du due diligence audit, in which Audit or in various other use cases that are intended to identify initial suspicions of possible fraud, various man-hours can be automated.

Rather than reading the full inventory manually, it uses an AI with downstream validation - OCR Validation, which already does this checking and presents critical documents to humans for review.  

Of course, a complete check can also be carried out in addition. For example, a human-machine combination can help ensure that the human only reads the pages of a contract document on which relevant information has already been found. This not only streamlines the review process, but also maintains the employee's focus to quickly find actual relevant information in the documents and identify possible initial suspicions of fraud in a timely manner.


Document verification with OCR works for identity verification and validation, such as driver's licenses, birth dates, and other document authenticity verification processes. 

Algorithm-based data extraction can process routine verification services and indicate human intervention and escalation. In this way, OCR can improve end-user workflows and create positive customer experiences.

OCR Validation also offers the following advantages:

  • Fast and secure identity verification
  • Automated data entry and extraction
  • Increased security through multiple checks on the correctness of the scanned document
  • Improved efficiency through automation of many small steps, such as manual data entry or extraction
  • Lower error frequency by using RPA with AI, computer vision, OCR, natural language processing, and machine learning, which also results in faster processing speed and a positive experience for end users and customers
  • Improved customer experience thanks to fast processing of e.g. document verification of IDs or contracts
konfuzio and 3 pictures

OCR Validation in Practice: Example Konfuzio

Konfuzio offers a cloud-based AI OCR application that you can use, for example, for Insurance policies, Vehicle documents or your E-mail box can use.

Hybrid AI, consisting of the hybrid use of different AI technologies, immediately makes the complete context of a document accessible in a professional manner. This allows validation to be performed quickly and efficiently using OCR.

Especially in the area of OCR Validation you can use the following functions:

  • Separating documents
  • Side rotation correction
  • Correction of the recognized content
  • Ongoing improvement of the model through Human in the Loop

You can find out more about how the individual functions can be implemented in the application in the Konfuzio Guide

OCR Validation is in practice only as efficient as its application possibilities. To ensure that there are no limits to these, Konfuzio offers the following advantages:

  • No hardcoded rules
  • Customizable AI
  • No rigid layouts
  • Scalable

Scanning of documents & images possible

Conclusion: OCR Validation as an Important Part of Document Verification

OCR Validation represents an important stage that documents must go through on their document verification journey.

Replacing this manual process with an OCR application not only streamlines the entire process, but also reduces errors and increases productivity in document review and management.

An OCR application powered by AI, like Konfuzio, can give your document management a boost. Not only does it learn quickly, but it can be trained for your individual use cases, optimizing your overall document review.

Do you already use OCR Validation in your document management? Feel free to write your opinion on the topic in the comments!

Janina Horn Avatar

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