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OCR: A Transformative Tool

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OCR, for its acronym in English “Optical Character Recognition”, is a technology that allows the conversion of physical documents or scanned images into editable and searchable text. This technology has revolutionized the way companies handle information, especially in the financial and compliance fields.

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OCR Applications in Compliance Operations

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In the context of a financial institution's compliance area, OCR has several important applications that can significantly improve operations:

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Document Analysis without OCR:

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The compliance analyst receives a large amount of paper documents, such as contracts, identification forms and financial statements.

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A particularly complex document to analyze can be a company's statute, which contains a large amount of legal and technical information.

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The analyst must manually review each section of the statute, identify important clauses and record them in the compliance management system.

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This process is slow, tedious, and error-prone, requiring a deep understanding of legal and technical language.

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Document Analysis with OCR:

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Using OCR, the company's statute can be automatically scanned and converted into editable, searchable text.

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The compliance analyst uses OCR software to quickly process the scanned statute and extract key information, such as the name of the company, the structure of the company, the rights and obligations of the shareholders, and others.

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The OCR streamlines the statute analysis process, allowing the analyst to review and record information more quickly and accurately.

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In this Linkedin post from our CEO, Lucas Ranallo, we can see an incredible use case  of this technology for compliance teams using Complif. To see the full demo you can find it here.

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Benefits of OCR in Compliance

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The implementation of OCR in the compliance operations of a financial institution offers a number of significant benefits:

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• Increased Efficiency: OCR streamlines document processing and analysis, allowing compliance teams to work faster and more efficiently.

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• Error Reduction: By automating data extraction, OCR reduces the possibility of human errors in the interpretation of documents, ensuring greater accuracy in the analysis of information.

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• Regulatory Compliance: The use of OCR can help financial institutions comply with regulations more effectively by facilitating the management and analysis of documentation required by regulatory bodies.

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• Improved Fraud Detection: By using OCR to analyze documents and detect discrepancies or irregularities, financial institutions can improve their ability to identify potential cases of fraud and illegal activities.

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Conclusion

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In conclusion, optical character recognition (OCR) emerges as a transformative tool that revolutionizes compliance operations in financial institutions, and Complif offers innovative solutions to make the most of this technology and strengthen regulatory compliance.

By using OCR integrated into the Complif platform, financial institutions can experience a significant improvement in the efficiency and accuracy of their compliance operations. The use of this module for accurate and fast extraction of key information, saves up to 80% of compliance team time.

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In this video you can see the time efficiency in the analysis:

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