What is digitization, and why does it matter?

April 22, 2023

What is digitization? Digitization is the process of converting information into digital format in a systematic and organized manner for ease of searchability and consistency. The information can be in the format of text, image, audio or video.This is to ease your processing of not only searching for your documents.  Digitization of analo materials have to be done before being inputted into an electronic document management system.(Electronic document management checklist)

It also creates consistency across board for future reference and continuity in your work process regardless of who is in place. Digitization applies to the conversion of analog materials into digital format. Digitization is done with a long term focus.Digitization is an aspect of digital transformation.

Examples of information that can undergo digitization

digitization
  • Texts such as books, contracts, articles, newspapers, letters
  • Audios in the form of speeches, interviews, music
  • Videos in the form of movies, TV shows, webcam footage
  • Numeric data in the form of financial data, research data

What are the components of the digitization process

For a complete digitization process to take place a number of components are involved. These include:

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Identification of documents to digitize

Identifying documents to digitize is necessary to meet the objective of the process. This is because not all documents are necessarily stored for long term use. The selection process is determined by the retention period (how long the document should be stored), departments. These are then grouped in a way to make the digitization process flawless.

Documents preparation

Document preparation

Document preparation is necessary before digitization as these documents filed in the paper format, are usually bound, stapled or clipped. 

When the digitization process is taking place the staples, clips and binding are removed to prepare the documents for digitization. The worn out documents are repaired to avoid more damage. The documents are differentiated depending on which scanner type is to be used.

Document Scanning

Document scanning is part of the digitization process. Document scanning is the conversion of a paper document into digital format using a scanning device. This can come in the form of a smartphone application or a digital scanner. 

Document scanning converts the paper document as an image. As an image the size of the document is quite big and can be cumbersome when it comes to the storage. If a lot of documents are scanned, it would mean a lot of digital space would be required to store these digital documents. This can be alleviated by including an Optical Character Recognition software (OCR).

OCR (Optical Character Recognition)

ocr

OCR is a software that enables the scanner to pick only the content of a document, not the whole document as an image. This reduces the size of the files which can then be stored in a digital repository. This allows storage of a lot of documents because each document occupies minimal space. It is able to recognize the text as characters and enables you to capture the characters meaning text from a document then save.

OCR enables editing, sharing and storing electronically. It also enables conversion of a scanned image into an editable document. For It to work use an OCR enabled scanner or have an OCR software on your PC to enable you perform this task. An OCR recognizes machine printed characters.

OCR will enable you to do quite a number of alterations to your document.

OCR will enable you convert your scanned paper documents into editable digital documents.

OCR will secure and protect your confidential documents using passwords and access rights.

OCR is able to convert your PDF files word, excel, power point and images.

OCR will allow appending electronic signature on your invoices, contracts.

OCR can reduce the size of a pdf document without affecting quality.

Recording

Recording is the capturing of sound or video from a recording medium such as discs and converting it using an analog digital converter. This is done to extend the life span of the audio or video for long term use. This is done in the digitization of the audio and video format files.

Advantages of digitization

Accessibility: digitized information can be easily stored and can be accessed from any device and also from anywhere. This makes it easy for customers, employees and other involved stakeholders to access information in the shortest time possible.

Minimized storage space: digitized information occupies minimal space for storage. This minimizes the cost of paying for storage space which does not have a return on investment.

Ease of analysis: digitization also eases the use of information for analytical purposes which is a bit tedious when using the analog format. This speeds up the process of decision making.

Why digitize?

After digitization the benefits can be huge, which would be felt much after the process. The impacts that would be felt include:

Operational efficiency

Digitization will improve your operational efficiency. When  your company’s information is in digital format transferring information across departments or company branches is faster and more efficient.

It eliminates the use of courier service to deliver documents, also reducing cost of information movement. and also improvement in time taken to receive information.

Improved customer experience

Customer service

Digitization will improve your customer experience. Serving your customers becomes much more efficient. They are served in real time. The approval process is also shortened because sharing of the digital document with the approval authorities can be done in real time.There is no delay in processing time of customer’s information. Searching for paper information takes days to access.

Global presence

Digitization will also enable your company’s global presence to be felt because it enables ease of transacting with stakeholders from other parts of the globe in real time. 

This enables you to enter new markets by bringing in new customers and enabling you to spread your wings. 

Enhances audit support

Digitization will improve your audit process by making it less time consuming, more accurate and less frustrating.

This speeds up your auditing processes. Minimal time is used in document searches.

Improves internal and external communication

Communication with internal and external stakeholders is faster and easier improving efficiency in collaborations. Information can be shared easily between departments in real time. 

Conclusion

Digitization requires commitment to change by all the stakeholders involved. This has to start with the leaders.The company should be ready to invest and adapt to new technology and processes to create an enabling environment.

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