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Azure AI OCR and Business Central Integration – A New Level of Digitalization

2025.01.30./in Dynago /by dynago

Digital transformation is crucial for modern businesses, and one of the most innovative solutions is Azure AI OCR (Optical Character Recognition). This technology automates text extraction from various document formats, reducing manual data entry and enhancing business efficiency. When integrated with Microsoft Dynamics 365 Business Central, OCR automation makes administrative processes more accurate and transparent.

 

How Azure AI OCR Works

Azure AI OCR leverages machine learning models to recognize both printed and handwritten text in multiple languages. Through Intelligent Document Processing (IDP), it extracts key elements and structural information from documents, supporting both real-time and background processing.

 

Key Benefits of Integration with Business Central

By digitizing and automatically processing incoming documents like invoices, delivery notes, and orders, businesses significantly reduce administrative workload. The integration allows:

  • Direct connection of OCR APIs to Business Central, enabling seamless data transfer.
  • Structured and accurate data extraction for better business management.
  • Various plugins and extensions for smooth interoperability.

 

Integration Process

  1. Document Digitization – Paper-based or digital files are uploaded into Azure AI OCR.
  2. Data Extraction & Processing – AI models identify key information and convert it into structured data.
  3. API Integration & Data Transfer – Extracted data (formatted in JSON) is automatically transmitted to Business Central.
  4. Validation & Workflow Automation – Data is validated, processed, and used in purchasing, finance, or inventory management modules. Business Central sends alerts if any data correction is needed.

 

Business Advantages of Digitalization

  • Reduced Errors & Faster Processing – Automation eliminates manual entry mistakes.
  • Cost Efficiency – Employees can focus on high-value tasks instead of repetitive data entry.
  • Real-Time Updates – Businesses access up-to-date information instantly.

 

Practical Example: Automated Invoice Processing

  1. A supplier’s paper invoice is digitized and uploaded to the OCR system.
  2. OCR extracts details (invoice number, date, supplier name, item descriptions, amounts).
  3. Data is formatted in JSON and sent to Business Central via API.
  4. Business Central updates procurement and finance records and triggers approval workflows if needed.
  5. The system notifies users for validation, ensuring accuracy.

 

Conclusion

Azure AI OCR and Business Central integration streamlines business document processing, minimizes human intervention, and enhances administrative transparency. This collaboration not only improves efficiency but also drives digital transformation. The system can be customized for specific business needs, with expert guidance available from DynaGo for implementation.

 

Thumbnail: Unsplash

Tags: cloud, data, data quality, enterprise resource planning, ERP, ERP system, ERP update, ERP upgrade, Microsoft, Microsoft Business Central, mobile ERP system
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