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Document AI & RAGBusiness module + document AI3 to 6 month scoping

Procurement digitalisation with an item catalogue built by OCR

Item catalogue seeded by OCR of invoices, with orders checked against negotiated prices.

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The challenge

Supplier orders went out by phone and email, with no item catalogue, no control of negotiated net prices and no traceability of consumption per piece of equipment.

Our response

Rather than plugging in a procurement package, we built the module directly into the existing platform so that it shares the same item catalogue as the inventory. The item base was seeded by OCR extraction and structured parsing of historical supplier invoices, which made it possible to start with a real catalogue rather than an empty one. The process follows the actual split of roles: the field expresses the need, first checks stock availability, and management approves and then orders. Unknown items are created as drafts and reconciled when the invoice is received.

Key points

Item catalogue seeded by OCR and parsing of historical supplier invoices

Stock is queried before any order, which avoids redundant purchases

Automatic check of invoiced prices against negotiated net prices

Traceability of consumption per piece of equipment and supplier consolidation

A single item catalogue shared between procurement and inventory

Technical stack

  • Document OCR and layout parsing (docTR / PaddleOCR)
  • LLM structured extraction with a constrained JSON schema
  • PostgreSQL + item reconciliation engine
  • Two-level approval workflow
  • Next.js 15 / TypeScript
  • Open-source LLM hosted in Switzerland

Sector

Industrial & materials

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