the 5-step formula for reducing document capture costs

In association with: Presented by: Mark Brousseau

The 5 Step Formula for Reducing Document Capture Costs

Presented June 3, 2015


About AIIM

AIIM is the Global Community of Information Professionals AIIM believes that the information systems we use at work should be simple, secure, and available anywhere, anytime, and on any device. Our mission is to improve organizational performance by empowering a community of leaders committed to information-driven innovation. Learn more at www.aiim.org

http://www.aiim.org/


AIIM Presents:

The 5 Step Formula for Reducing Document Capture Costs

Host: Theresa Resek Director AIIM

Mark Brousseau President Brousseau & Associates

Ron Rinner Senior Sales Engineer ibml


Introducing our Featured Speaker

Mark Brousseau

President

Brousseau & Associates


Let’s kick off our webinar with a poll question…


Why Are We Here?

• Paper processes create processing challenges: – Lots of manual data entry – High paper, printing and storage costs – Inefficient processes – Customer service issues – Compliance violations – Information security vulnerabilities


Why Are We Here?

Businesses spend more than $360 billion annually to process forms.


The High Cost of Document Capture

• $20: The average filing cost per document • 1 FTE: Labor required to manage 1 filing cabinet • $125: The average cost per misfiled document • $350 to $700: The average cost per lost document


The Challenge Will Only Get Bigger

• The volume of documents and unstructured data is growing by more than 30% a year – 49% of basic business processes rely on paper

documents and/or unstructured digital data – 51% of business data is stored as paper documents

and/or unstructured digital data

Source: Aberdeen Group


The Challenge Will Only Get Bigger


Capture Already Is More Complex

Source: Brousseau & Associates


Organizations Have Had Enough

Primary drivers of scanning and document capture initiatives:

Source: AIIM Industry Watch


Time for our next poll question…


THE 5 STEP FORMULA FOR REDUCING CAPTURE COSTS


Intelligent Document Recognition


Import/Scan Files Classify Extract Validate Export

The Formula


0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

Which of the following file types are you capturing-to-process? Scanned certificates,

licences, passports, etc. Scanned forms

Scanned letters

PDF files

Email

Fax

Uploaded files/images

Photos

Web forms

XML files

Video

Mobile/tablet apps

SMS messages

More Than Just Paper!

Source: AIIM “Capturing Data to Multiple Business Processes – what’s holding you back?”


The Problem with Multiple Delivery Channels

20% of organizations print electronic documents and process them manually or scan them into the capture process

Source: AIIM 2013


The Problem with Multiple Delivery Channels

Only 30% of organizations have integrated document scanning with other capture channels!

Source: AIIM ECM Decisions 2015 Industry Watch


centralized batch capture

fax server integration

ad-hoc desktop capture ad-hoc browser-based capture

networked mfp capture

e-mail integration

Step 1: Import/Scan Files


The Classification Challenge

Lots of document types, lots of document formats.


Eliminate Manual Sorting

FULL PAGE CONTENT

IMAGE

ZONAL TEXT

AUTOMATED DOCUMENT CLASSIFICATION

Step 2: Classification


Identify documents using: • Full Page Content • Image • Zonal Text

• Learns hundreds of documents within minutes and sorts them more efficiently

• Can separate documents by identifying where a document starts and ends

• Allows operators to focus on only the exceptions

How It Works


Organizations Will “Do More” Classification



The Information Capture Challenge

• Manual data entry is a critical bottleneck: – Key information is not captured – Information is not timely – Information is not accurate – Data is poorly organized – Systems are not well integrated – Decision-makers don’t have access to key variables


Step 3: Extraction

Capture data from documents to aid sorting

and reduce labor costs associated with data entry.

Enables touchless processing


Loan #

File #

Loan Amt.

3456789101

130363017

580,000.00

Loan #

File #

Loan Amt.

3456789101

130363017

580,000.00

Extracts data from all document types using

freeform data extraction

Identifies patterns and data formats to increase accuracy

How It Works


The Challenge of Accurate Information

• The challenge: – Manual keying increases the chances of errors – Key information may be stored across multiple databases – Some business applications involve millions of records – Manually validating data is costly and uncontrolled – Validation errors create costly downstream errors


Step 4: Validate

invoice date 6/17/2012

account number

2-1006-475-1

reference code 22177991

service code 954381

amount 29.34

due date 7/7/2012

Databases and table lookups can be used to validate data.


0% 10% 20% 30% 40% 50%

Once captured (from paper or electronic), where are your documents routed?

Records/imaging system/archive

To email, file share, etc., on an ad-hoc basis

ECM/DM system (with workflow)

ECM/DM system (no workflow)

SharePoint

Line of Business system

Financial

HR system

ERP

Dedicated BPM system

CRM/Helpdesk

None of these

Downstream Systems Rely on Captured Data

Source: “Capturing Data to Multiple Business Processes – what’s holding you back?” -- AIIM 2011


The Challenge of Delivering Information

• Slow delivery of information downstream results in: – Higher labor costs – Poor business agility – Customer complaints – Slow inventory turns/higher DSO – Late payments/penalties/fines – Potential security breaches – Compliance violations


Step 5: Export

invoice date 6/17/2008

account number 2-1006-475-1

reference code 22177991

service code 954381

amount 29.34

due date 7/7/2008

Export to ECM, ERP, or any other business application.


• Reduced document preparation • Automated sorting • Less manual keying • Fewer errors • Faster cycle times • Accelerated delivery of information

to downstream systems • Enhanced customer service • Improved document control,

tracking and reporting

The Results


Another poll question for you…


The Results

Most companies achieve ROI on scanning and document capture investments in 12 months or less.



The Results

Scanning & capture improves customer responsiveness 2X – 3X



CASE STUDIES


Lending

The Industry Retail Banking

The Customer Regional community bank

The Challenge Reduce the cycle time and labor costs of closing mortgage loans.

The Pain Points Slow and costly manual separation and handling of 400-500 page batches. Mix of incoming paper and digital documents.

Desired Outcome 1. Reduce loan closing times by 25%. 2. Scale processing volumes without adding additional workers or software.

The Solution Automatic classification and separation of individual documents in a 400-500 page batch and route the right ones to the right person or workflow step.


Healthcare

The Industry Healthcare

The Customer Largest non-profit healthcare organization in the Southwest U.S.

The Challenge Reduce turnaround time for scanning of patient records to improve patient care, accelerate billing, and manage growing patient records volumes.

The Pain Points Slow availability of patient records delayed coding (stretching DSO) and resulted in a deluge of calls from health workers and patients regarding their status.

Desired Outcome Speed availability of patient records, while making the process more efficient to allow for the consolidation of scanning operations and support higher volumes.

The Solution Intelligent scanning platform integrated with legacy capture and ECM solutions.

The Results

1. Improved DSO 2. Reduce records scanning turnaround time from several days to four hours 3. Increase efficiency and allow for reassignment of 50% of records staff 4. Save $5,000 a month in paper by out-sorting batch separator sheets


The Industry State Government

The Customer State Government Agency

The Challenge Having sufficient scanning horsepower to handle the quarterly peaks in volume

The Pain Points 1. Legacy scanners broke down frequently 2. Inconsistent auto-feeder on scanners resulted in downstream exceptions 3. Manual sorting of scanned checks

Desired Outcome 1. Speed processing turnaround by automatically out-sorting checks 2. Accelerate delivery of information to downstream applications through

interfaces with multiple integrators

The Solution 1. Co-mingled processing of full-page documents with checks 2. Automated out-sorting of scanned checks 3. 1D barcode reading 4. Audit trail that ties debits and credits together

State Government


Property Management

The Industry Real Estate

The Customer Property management company providing affordable housing to UK families

The Challenge 30 million pages of housing files, stored in file cabinets and boxes that are distributed across 750 local offices

The Pain Points 1. Slow access to files 2. Physical storage space and costs 3. Time-consuming records management

Desired Outcome Affordably digitize and index 30 million paper documents and implement day-forward filing to store them in an ECM system where they can be centrally managed and retrieved at a moment’s notice.

The Solution Phase 1: transform scanned images into full-text output to an XML format Phase 2: digital mailroom with invoice scanning applications


ibml

ibml provides intelligent information capture solutions that drive business process improvements. Combining intelligent scanners, software and services, ibml’s comprehensive solutions automate the most demanding document applications in banking, financial services, healthcare, government services, outsourcing and more. Every day, ibml customers in 45 countries rely on our technology to accurately and efficiently capture and process millions of documents. Learn more at www.ibml.com

http://www.ibml.com/


SoftTrac Synergetics

5 Reasons to Consider Synergetics IDR

1. 100% thin client- no need to install software on workstations and supports the 4 major browsers; Internet Explorer, Firefox, Chrome and Safari

2. Bundled features- Nothing to add in terms of additional forms functionality. All major forms processing capabilities that you would expect in an enterprise solution are provided

3. Simplified pricing model- No click charges and no additional costs for scan seats, validation, or administration seats

4. Easy to learn and configure-. Advanced full page content classification and separation technology can be set up with as little as one sample of each document type

5. An End-to End Advanced Capture Solution- SoftTrac Capture Suite now contains all the functionality needed to scan and export to Document Management, ERP, Workflow, Archiving and other downstream systems. Tools to monitor and assess the entire capture process also exist


QUESTIONS?


AIIM Resources

www.aiim.org/research Download AIIM Studies

http://www.aiim.org/research

aiim.org/training

• Enterprise Content Management Improve customer and staff engagement, ensure compliance, and automate business processes.

• Business Process Management Map, design, and automate operational processes for your organization using a combination of strategies, change management, and technologies.

• Taxonomy & Metadata Optimize navigation, findability, and information discovery through content classification.

• Information Governance Create an information accountability framework that reduces costs, manages risk, and optimizes value.

• Managing Records & eDiscovery with SharePoint 2013 Manage records, ensure compliance, and prepare for civil litigation requests.

• Electronic Records Management Know what to keep and what to discard as volume, variety, and velocity of digital information intensifies.

AIIM Training


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Capture & Scanning Collaboration Content Analytics

Electronic Records Management (ERM)

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