IBM has announced its acquisition of Datacap, a provider of software that enables enterprises to improve the way they capture, manage and automate the flow of business information. IBM will integrate the company into IBM's Enterprise Content Management (ECM) business.
IBM has announced its acquisition of Datacap, a provider of software
that enables enterprises to improve the way they capture, manage and
automate the flow of business information.
IBM officials said IBM intends to integrate Datacap within the IBM
ECM (Enterprise Content Management) business, which is part of IBM's
Software Solutions Group. Financial terms of the acquisition were not
Datacap helps organizations to improve business processes, reduce paper costs or
manual errors and meet compliance mandates, IBM said. Moreover, this acquisition strengthens IBM's ability
help organizations digitize, manage and automate their information
assets, particularly in paper-intensive industries such as health care,
insurance, government and finance. Additionally,
such as the HIPAA (Health Insurance Portability and Accountability Act)
and Sarbanes-Oxley have demanded new standards and now legislation is
encouraging the adoption of new records management solutions, including
scanning and capture to increase accuracy, lower costs and speed
processes to meet these regulations, IBM said.
"Transforming the way organizations do business requires not only a
powerful and flexible technology platform to accommodate the wide range
of business requirements, challenges and goals, but also a deep
understanding of the processes of the industries in which our clients
operate," said Ron Ercanbrack, vice president of Enterprise Content
for IBM, in a statement. "We've chosen to make
Datacap's approach the foundation of IBM's document capture strategy.
Datacap's approach to image capture, using sophisticated business rules
management, sets it above the rest in the industry and provides the
most complementary capabilities for IBM."
In a press release about the acquisition, IBM said more than 200
customers across a variety of industries are using Datacap software to
help capture and manage their data. These include the Chicago
Department of Public Health, Virginia Department of Taxation, BlueCross
BlueShield of Arizona, Goodyear Tire & Rubber Company, The Dutch
Tax Office, Dow Jones & Company, California's Orange County
Superior Courts, Hawaii Department of Taxation, and St. Vincent
Hospital and Health Care Center.
Meanwhile, companies today are grappling with managing unstructured data
trying to reduce costs at the same time. Industry analysts estimate
that 15 petabytes of new information is being generated daily, and 80
percent of this new information is unstructured content. Recognizing
this challenge, Datacap software supports image and data entry
automation for most types of documents and forms, including medical
claims, tax returns and highly variable documents such as invoices and
for more precise business outcomes.
As businesses seek to transform and simplify their business
extracting meaningful information from unstructured content - both
paper and electronic - is critical, IBM said. For its part, Datacap
speeds up this process by automating the conversion of both structured
and highly variable formats - e-mail files, JPEG and GIF image files,
and PowerPoint presentations - into actionable insight in seconds. This
capability, which accelerates the dissemination of information
throughout an organization by helping to eliminate the physical
handling of information, makes it easier for SMBs (small and midsize
businesses), small departments or global organizations to extract
analytics faster and transform their business processes, the company
For example, said IBM, an increasing number of accounts payable
departments are receiving invoices not just on paper, but also via fax
or as e-mail attachments. Now they can quickly and reliably apply data
extraction without the cost and labor of printing and scanning
documents. Additionally, health care providers looking to implement an
EHR (electronic health record) system can replace inefficient manual
processes for capturing images of medical claims, correspondence,
medical reviews and enrollment forms with an automated input system
that improves accuracy, while reducing manual labor.
ability to capture and store medical records, encounter forms and lab
results in electronic form is a key factor in the modernization of