Frequently Answered Questions about eSignatures
In the modern era, the adoption of digital transformation has evolved into a necessity. This emerging trend gained significant momentum during the COVID-19 pandemic, prompting businesses to swiftly embrace digital technologies to ensure the stability of their operations, workforce, and customer interactions.
Companies, in order to prevent a recurrence of the challenges they encountered during the pandemic, have strategically invested in digital technologies to enhance the overall customer experience. These technologies have been seamlessly integrated into their operational strategies, allowing them to sharpen their focus on core business activities while simultaneously digitizing previously manual processes.
However, in digital transformation, many companies merely conform to the trend without fully comprehending its inherent value. This predicament necessitates a change in perspective, the agility to adapt to evolving customer preferences, and a resolute preparedness for the future.
The Power of Digital Value
Companies that have gravitated toward digital technologies are doing better than their peers. They have reinvented their systems and processes, done a complete overhaul of security and risk policies, and established new partnerships. But the truth remains that without an active plan to extract digital value, these investments end up complicating existing systems. Here’s how digital value benefits companies:
Enhancing Customer Experience
At the heart of the digital value proposition lies the ability to revolutionize the customer experience. Enterprises that effectively harness digital tools can tailor their products to meet their client's evolving needs and preferences. Through personalized interactions, seamless transactions, and real-time responsiveness, businesses can forge deeper connections with customers, engendering loyalty and long-term relationships.
Driving Operational Efficiency
Digital value is synonymous with operational efficiency. The implementation of automation, data analytics, and streamlined processes optimizes resource allocation, minimizes errors, and accelerates decision-making. This, in turn, results in cost savings, improved productivity, and the agility required to adapt to market shifts and disruptions swiftly.
Innovation is a cornerstone of digital value. Enterprises can pioneer novel products, services, and business models by leveraging emerging technologies. Digital value encourages a culture of experimentation and creativity, fostering an environment where groundbreaking ideas are nurtured and brought to fruition.
Expanding Market Reach
Digitalization dismantles geographical barriers, enabling enterprises to transcend traditional boundaries and tap into global markets. Online platforms, digital marketing, and e-commerce facilitate broader market reach and access to a diverse customer base. This expanded presence not only drives revenue growth but also bolsters brand recognition on a global scale.
Ensuring Data-Driven Decision Making
The accumulation of data is a hallmark of the digital era. Extracting insights from this data goldmine empowers enterprises to make informed, data-driven decisions. Analytics enable a deeper understanding of customer behaviors, market trends, and operational performance, guiding strategies grounded in real-world insights.
Embracing Adaptability and Resilience
In an increasingly dynamic business landscape, digital value enhances an enterprise's adaptability and resilience. The ability to swiftly pivot, innovate, and respond to unforeseen challenges becomes a defining characteristic. Digitally empowered enterprises can navigate disruptions with agility, ensuring survival and growth despite uncertainty.
What are Electronic Signatures?
Electronic signatures, referred to as eSignatures, provide an automated solution for the signing process. As businesses, both large and small, strive to maximize their digital advantages, e-signatures present a favorable option for digitally executing contracts and agreements. They facilitate the streamlining of workflows, bolster security measures, ensure compliance with e-signing regulations, open doors to global opportunities, promote collaboration and networking, and advocate for environmental sustainability.
E-signatures help in extracting the maximum digital value of the signing process. It plays a major role in streamlining processes, breaking down organizational silos, and fostering a cooperative environment.
Don’t Miss to Read: How Mobile eSignatures Serve Businesses in Being Sustainable
Electronic signatures have become an important internal tool to fast-track approvals and eliminate bottlenecks associated with manual processes. Despite its neat features, some lingering doubts remain in the minds of customers. Some of the pertinent ones are answered below:
An electronic signature is considered under the following conditions:
(a) The signature creation data can be traced back to the signatory and to no other person;
(b) The signature creation data, at the time of signing, is under the control of the primary signatory and no other person;
(c) Any modifications to the e-signature, made after the time of signing, is detectable and be traced back to the signatory; and
(d) Where the legal requirement for a digital signature is to provide assurance as to the integrity of the information to which it relates, any alteration made to that information after the time of signing is detectable.
What are Common Risks in eSignatures?
Fraud Mitigation & Reliability Concerns – Despite the benefits of dedicated digital signature software, organizations still face the potential risk of signatory forgery and fraud due to the vulnerability of technology to compromise and hacking. To address this, implementing supplementary anti-fraud measures, like verification through phone calls, can enhance the reliability of the e-signing process.
Securing Authorization for Signatures – Both wet ink and electronic signatures share the challenge of unauthorized signing. Organizational concerns revolve around verifying the proper authorization of all signatories, including those using e-signatures. Conversely, signatories need clarity on the scope of their approval. Leveraging digital technologies enables organizations to effectively manage real-time signatory lists and maintain a comprehensive audit trail, ensuring the security of data changes.
Navigating Compliance Risks – Beyond adhering to regional and global e-signature regulations, organizations must also comply with document presentation, disclosures, and information dissemination requirements. Failure to comply exposes organizations to the potential of regulatory sanctions, fines, loss of accreditation, and reputational harm.
By acknowledging and proactively addressing these challenges, organizations can fortify their e-signature processes, enhance security, and ensure steadfast compliance with legal and regulatory frameworks.
Are eSignatures Legal?
Yes, electronic signatures are legal under the Electronic Commerce Act. Offices and agencies of the government that accept the filing of documents and/or licenses and issue permits or certificates will accept the creation, filing, and storage of documents and signatures in a digital form. They are protected by Republic Act no. 8792 to accept signatures in digital form, provided they meet the specific criteria.
However, in the case of notarized documents, then the wet ink signature of the notary is preferred. The Rules on Remote Notarization explicitly state that the Philippines notary public cannot notarize a document using their e-signature. Instead, the document is to be sent to them for their signatures.
What is DrySign?
DrySign is an electronic signature solution that is simple and convenient to use. It adheres to the latest amendments to eSignature laws, helping companies sign agreements digitally.
It can create templates of frequently used documents to quicken the sending of forms and agreements. The solution is backed on the cloud, ensuring companies' data remains secure and backed up. Furthermore, it provides safeguards in the form of public key infrastructure (PKI), multi-factor authentication, and real-time mail trails.
DrySign allows companies to extract maximum digital value by monitoring the status of documents on a dashboard. It accelerates the approval process between parties. This aids in curbing the reliance on paper and becoming environmentally sustainable.
The Final Word
Digital value goes beyond investing in digital technologies that help companies scale. Its objective is to create a secure playground for internal teams, company partners, and customers to coexist and provide value to each other. Enterprises aiming to bridge the gap with their peers and stay relevant in modern times must create a healthy ecosystem. It will help unlock growth opportunities, grow sustainably, and harness the power of the digital landscape.
Increase collaboration with DrySign.
DISCLAIMER: The information on this site is for general information purposes only and is not intended to serve as legal advice. Laws governing the subject matter may change quickly, and Exela cannot guarantee that all the information on this site is current or correct. Should you have specific legal questions about any of the information on this site, you should consult with a licensed attorney in your area.