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White Paper




Digital Signatures for Document
   Workflow and SharePoint




Sponsored by:
About the White Paper
As the non-profit association dedicated to nurturing, growing and supporting the ECM (Enterprise Content
Management) community, AIIM is proud to provide this research at no charge. In this way the education,
thought leadership and direction provided by our work can be leveraged by the entire community. Our
objective is to present the “wisdom of the crowds” based on our 65,000 strong community.




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We are happy to extend free use of the materials in this report to end-user companies and to independent
consultants, but not to suppliers of ECM systems, products and services, other than ARX and its
subsidiaries. Any use of this material must carry the attribution – “© AIIM 2010 www.aiim.org / © ARX 2010
www.arx.com”
Rather than redistribute a copy of this report to your colleagues, we would prefer that you direct them to
www.aiim.org/research for a free download of their own.
Our ability to deliver such high-quality research is made possible by the financial support of our underwriting
sponsor, without whom we would have to return to a paid subscription model. For that, we hope you will join
us in thanking our underwriter for this support:




ARX
855 Folsom Street
Suite 939
San Francisco, CA 94107
Tel: (415) 839 8161
Fax: (415) 723 7110




                                                                                                                        Digital Signatures for Document Workflow
Website: www.arx.com



Process used and survey demographics
The survey results quoted in this report are taken from a survey carried out between 5th and 15th January
2010, with 388 responses from individual members of the AIIM community surveyed using a Web-based
tool. Invitations to take the survey were sent via e-mail to a selection of AIIM’s 65,000 registered individuals.




                                                                                                                                      and SharePoint
Respondents are predominantly from North America and cover a representative spread of industry and
government sectors.


About AIIM
AIIM (www.aiim.org) is the community that provides education, research, and best practices to help
organizations find, control and optimize their information. For more than 60 years, AIIM has been the leading
non-profit organization focused on helping users to understand the challenges associated with managing
documents, content, records and business processes. Today, AIIM is international in scope, independent
and implementation-focused, acting as the intermediary between ECM (Enterprise Content Management)
users, vendors, and the channel.

About the author
Doug Miles is Director of the AIIM Market Intelligence Division. He has over 25 years experience of working
with users and vendors across a broad spectrum of IT applications. An early pioneer of document
management systems, Doug has been involved in their evolution from technical solution to enterprise
infrastructure platform. Most recently, Doug has produced a number of the AIIM survey reports on user
issues and drivers for ECM, Email Management, Records Management, SharePoint and Enterprise 2.0. He
has also worked closely with other enterprise-level IT systems such as ERP, CRM and BI, has an MSc in
Communications Engineering and is a member in the UK of the Institute of Engineering and Technology.

© 2010                                       © 2010
AIIM                                         ARX
1100 Wayne Avenue, Suite 1100                855 Folsom Street, Suite 939
Silver Spring, MD 20910                      San Francisco, CA 94107
301 587-8202                                 415 839-8161
www.aiim.org                                 www.arx.com




© AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com                                                                   2
Table of Contents
About the Research:                                                  Features, Functions and Decision
About the Research ..................................... 2           Makers:




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Process used and survey demographics ....... 2                       Features, Functions and Decision Makers 12
About AIIM ..................................................... 2   Decision Maker .............................................13
About the author ............................................ 2

                                                                     Conclusion and
Introduction:                                                        Recommendations:
Introduction .................................................. 4    Conclusion and Recommendations ......... 13
Key findings ....................................................4   References................................................... 13



Digital Signature Primer:                                            Appendix 1:
Digital Signature Primer .............................. 5            Survey Demographics:
                                                                     Survey Demographics ............................... 14
                                                                     Survey Background...................................... 14




                                                                                                                                                 Digital Signatures for Document Workflow
Business Drivers:
                                                                     Organizational size ...................................... 14
Business Drivers.......................................... 6
                                                                     Industry sector ............................................. 14
The business importance of signatures ..........6
Signatures as part of the business process ....7
SharePoint requirements ................................8            Underwritten in part by:




                                                                                                                                                               and SharePoint
                                                                     ARX.............................................................. 15
                                                                     AIIM.............................................................. 16
Digital Signature Adoption:
Digital Signature Adoption.......................... 9



Return on Investment:
Return on Investment ................................ 11




© AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com                                                                                            3
Introduction
For this report we have measured the potential productivity benefits of a modern digital signature system
and the implementation issues that may arise. In particular, we have found that freeing electronic workflows
from the interruptions and process delays incurred by physical signing on paper of otherwise electronic
documents can produce considerable efficiency improvements.




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Today’s digital signature systems, with well designed user and certificate management, can be readily
extended across the enterprise, and indeed to the extended enterprise of customers and partners. Benefits
can be achieved in all the key areas – better customer service, improved staff productivity and reduced
administration costs. Existing users report payback periods that are much better than expected and are
mostly within a single budget cycle.
Based on our survey data, we look at the regulatory requirement for signature approvals across different
industry sectors, the drivers and issues for selecting a solution, the barriers to adoption, and the business
benefits reported by existing users.
We take a specific look at the increasing popularity of Microsoft SharePoint as a process workflow platform,
and whether the prevalence of self-implemented installations could either compromise regulatory
requirements or result in sub-optimum processes.

Key Findings
• Speeding up the approval process and saving staff time are considered to be the biggest benefits by
  those who have implemented a digital signature solution.
• 63% of digital signature users achieved ROI in 12 months or less.




                                                                                                                    Digital Signatures for Document Workflow
• For 40% of non-users, half or more of their electronic document workflows are interrupted by the need for
  physical sign offs. For 23% of non-users, this results in a week or more of process delay on average.
• In 63% of organizations without digital signature systems, more than half of the printed process
  documents are printed just to add a signature.
• On average, 3.5 additional photocopies or fax copies of process documents are produced just to collect
  signatures.




                                                                                                                                  and SharePoint
• 60% of respondents consider authorization signatures to be essential in their regulatory environment,
  particularly in national government, healthcare and pharmaceutical.
• For 40% of organizations, over half of their main business processes and documents require formal
  signature.
• 43% of SharePoint users would like to apply digital signatures to SharePoint workflow processes.
• 24% of survey respondents are already using digital signatures. A further 21% plan to implement them in
  the next 12 months.




© AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com                                                               4
Digital Signature Primer
For those who are unfamiliar with the technology, we need to establish the difference between electronic
signatures and digital signatures. Some standards bodies and government regulations use the term
“electronic signature” interchangeably between, say, scanned or fax signature images (i.e., “digitized
images”) and public-key encryption-based digital signatures. In the US, usage and legal admissibility is




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fairly consistent. An “electronic signature” is likely to be a bit-map representation, either from a scanned
image, a fax copy or a picture of someone’s signature, or may even be a typed acknowledgement or
acceptance. A digital signature is “extra data appended to a message which identifies and authenticates the
sender and message data using public-key encryption”1. Some digital signature systems will combine the
authenticated signature data with an associated bit-map image.
Many types of signature are acceptable in law, subject to the judgement that the process used to apply the
signature to the document and subsequently to present the document, has authenticity, integrity,
enforceability and non-refutability – i.e., that the right person applied the signature, that it can be recognized
as their intent to endorse the document and that the document hasn’t been subsequently tampered with.
Establishing this in a court of law is obviously going to be somewhat easier with a digital signature than with
a mere electronic one, although the legal admissibility of scanned documents is well covered in best
practices and standards2,3,4. Indeed, the same considerations would apply to a paper document with a
physical signature.
Some organizations go to elaborate lengths to password-protect scanned signatures, or to establish the
authenticity of a check-box sign-off within a workflow process. Indeed, if this were contested, it would be the
rigor and consistency of the process that would be challenged in the court, not the electronic-signature
mechanism per se.




                                                                                                                         Digital Signatures for Document Workflow
Digital signatures, on the other hand, provide a convenient mechanism whereby the unique application of
the signature by the signee is established by the combination of applying their private signing key along with
their personal ID certificate containing their public key. The subsequent verification of this signing process
by any third party requires just the public key ID certificate. In addition, a checksum mechanism confirms
that there have been no modifications to the content. The public-private key combination is generally self-
generated but its associated certificate is issued (purchased) from a trusted Certificate Authority (CA). Self-
certified public keys are possible, but require a “leap of faith” from others because they do not establish the




                                                                                                                                       and SharePoint
verifiable identity of the signee. Digital signature standards are mature and converging internationally5,6.
Confusion frequently arises between the usage of digital signatures and document encryption. Full
document encryption ensures that only those co-operating persons who possess a shared secret key can
read the contents of the document, thereby securing it against any third party access. Alternatively,
especially for emails, both parties can agree to mutually trust one or more CAs who will underwrite a
personal digital certificate for each party. Unless it is absolutely essential, full document encryption is often
advised against for use within electronic records management systems as it prevents full-text indexing, and
requires that the decryption keys (and application) are available for any future access. Furthermore, if the
decryption key is lost or an employee leaves without passing it on, encrypted documents and records will in
effect be electronically shredded as no one will be able to read them.
Correctly certified digital signatures do not prevent unauthorized persons reading a document nor are they
intended to. They do confirm that the person who signed it is who they say they are, and that the document
has not been altered since they signed it. Within a records management system a digital signature is often
considered to be an important part of the metadata of a document, confirming both its heritage and its
integrity.
Administering digital signatures in an ad-hoc way within a corporate environment can prove to be something
of an overhead - enrolling and revoking users, obtaining certificates from a trusted certificate authority,
providing user access licences to signature-supporting applications, administering password protection, and
retiring the certificates of staff who have moved on. There are more systematic ways to manage certificates
and signatures. This may involve a service agreement, or the outright purchase of a certification
management product, which may be integrated with an ECM system, linked to the Active Directory service
or administered as a stand-alone function. Ideally, the enterprise should have a root certificate that is trusted
by all, and centrally issue certificates to all users.




© AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com                                                                    5
Business Drivers
The business importance of signatures
Like hand-shakes, signatures pervade all parts of business. They may no longer be made with a fountain
pen on velum paper, but they are still an important stamp of authority and approval. When we asked in our




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survey “How important are authorization signatures in your organization?” over 60% of respondents
considered them to be “essential” with a further 22% considering them to be “very important”. We qualified
this against the industry sector, and as we see in Figure 1, the more heavily regulated areas - national
government, healthcare, pharmaceuticals and finance - take the lead.

  Figure 1: With regard to the regulatory environment or business practices in your industry, would you say that
 authorization signatures within your organization are “Essential”? (N=234, % answering “Essential”, rather than
                   “Very Important”, “Somewhat Important”, “Important” or “Not that important”)

                                                               0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

  Government & Public Services - Federal/Na onal
                                                Healthcare
                                          Pharmaceu cal
                           Finance, Banking, Insurance
        Government & Public Services - State/Local
                                      Energy and U li es




                                                                                                                       Digital Signatures for Document Workflow
                                                    Educa on
                                               Consultants
                         Engineering and Construc on
                                   Charity, Not-for-Profit
                                           Manufacturing
                          Retail, Transport, Real Estate




                                                                                                                                     and SharePoint
                                              IT/High Tech
                 Professional Services, Legal & Media


We then evaluated how prevalent formal signatures are in day-to-day business. Taking all sectors together,
a surprising 40% of organizations consider more than half their main business processes and documents
require formal signatures, with a further 32% opting for a fifth to a half of documents and processes.




© AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com                                                                  6
When we look at this by industry sector we see a slightly different picture in that “Engineering &
construction”, and “Professional services & legal”, have very signature-orientated business processes.

  Figure 2: Would you say that more than 50% of the main business processes/documents in your organizational
   unit require formal signatures? (N=192, % answering “More than 50%” from a selection of bands up to 50%)




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                                                    0%   10%    20%   30%      40%      50%      60%

                Engineering and Construc on
        Professional Services, Legal & Media
                                        Educa on
                 Retail, Transport, Real Estate
       Government & Public Services - Local
                                       Healthcare
   Government & Public Services - Na onal
                  Finance, Banking, Insurance
                             Energy and U li es
                                     IT/High Tech
                                      Consultants
                                  Manufacturing
                         Charity, Not-for-Profit




                                                                                                                        Digital Signatures for Document Workflow
                                 Pharmaceu cal

Signatures as part of the business process
We know that within modern business, the majority of documents are created digitally, and spend most of
their lifecycle in digital form. This in itself enables business to be carried on in a much more geographically
dispersed manner, both within businesses and between businesses. However, the requirement for a




                                                                                                                                      and SharePoint
physical signature can frequently disrupt and hold up these processes. Senior executives travel more and
more these days, but can still stay in close touch with the office. It can therefore be very frustrating when
physical signatures are required on urgent processes or documents.

Figure 3: As part of your main business workflows, who of the following are required to sign and return documents
                                or approve process steps? (N=385 all respondents)

                                                    0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

                                  Local managers

     Senior execu ves who frequently travel

                            Customers or clients

       Suppliers, sub-contractors or partners
      Authorizing professionals (eg, doctors,
                 inspectors, surveyors, etc.)
                                 Field-based staff

       Employees in remote/overseas offices




© AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com                                                                   7
If documents have to be printed, posted, faxed, physically signed and rescanned, this adds costs, delays
and staff inefficiencies. As we can see from Figure 4, in 42% of organizations without digital signature
solutions, three-quarters or more of the printed process documents are being printed just to add a
signature. Averaging the figure over all non-user organizations, 59% of all process documents would not
need to be printed if a digital signature system was in place.




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     Figure 4: Considering the documents that are printed out as part of your formal approval processes, what
    proportion would you say are printed for the purpose of adding one or more signatures? (N=290 non-users)

                                                                         % of Organiza ons
                                                    0%        5%         10%           15%     20%         25%

                                         90-100%
                       % of Documents



                                          75-90%
                                          50-75%
                                          25-50%
                                          10-25%
                                           0-10%

In many established business processes, multiple signatures are required – and in 15% of organizations,
contracts and agreements are initialled on every page, with a further 23% doing so in some geographies.




                                                                                                                        Digital Signatures for Document Workflow
We also found that on average, 3.5 additional photocopies or fax copies are needed in order to collect
signatures. For an unfortunate 3% of organizations, the average is more than 20 copies.
We also asked non-users what proportion of their electronic or scanned document workflows are interrupted
or prematurely completed by the necessity of physically signing off. For 40%, half or more of their workflows
are impacted. In Figure 5 we see the result of this on process times, with at least a day added on average
for 68%, and a whole week added on average for 23% - probably indicating that a postal exchange is
involved.




                                                                                                                                      and SharePoint
     Figure 5: On average, how much time would you say is added to the end-to-end process as a result of this
                               physical sign-off? (N=196 non-users with no plans)


                                                    0%   5%        10%   15%     20%     25%   30%   35%

                     1/2 day or less
                                            1 day
                                           2 days
                                           3 days
                                        One week
                                        Two weeks
                            Three weeks
               More than 1 month


SharePoint requirements
SharePoint is a particularly interesting application as regards signature requirements. It is becoming
ubiquitous, and is relatively straightforward to use for a whole host of workflow processes including staff
claims, purchase requisitions, project reports, etc. Generally, a tick box is used, under password protection,
to indicate approval. However, as applications become more business critical, processes which are part of a
regulatory regime, or with legal implications, are increasingly likely to find their way onto SharePoint. At that
point it is important to have a more rigorous sign-off mechanism. It is in the nature of SharePoint that local
IT departments will likely create their own electronic or digital signature solution around SharePoint, but this
may be found wanting in terms of both convenience and security.


© AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com                                                                   8
Figure 6: Do you have any of the following requirements within SharePoint? (Check all that apply)
                                             (N=231 SharePoint users)

                                                       0%   5% 10% 15% 20% 25% 30% 35% 40% 45%

 Adding a digital signature to a workflow process




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                                 or form approval
          Adding a single digital signature within a
                         document and securing it
          Adding mul ple-signatures to a secured
                                      document
      Signing off on SharePoint list items on a per
                                        item basis
     Signing a document externally/automa cally
                         without checking it out




Digital Signature Adoption
Our survey response was self-elected, and so at 24%, it is likely to overestimate those already using digital
signatures, and in particular those 21% planning to. Even so, this result points to a very high level of
potential take up in the next 12 months.




                                                                                                                    Digital Signatures for Document Workflow
             Figure 7: How would you describe the use of digital signatures in your organizational unit?
                                            (N=385 all respondents)


                                                                               We are already
                              We don’t see                                      using digital
                              the need for




                                                                                                                                  and SharePoint
                                                                                 signatures
                                 digital
                                                                                today, 24%
                             signatures, 5%




                             We see the                                          We plan to
                          need for digital                                       implement
                           signatures but                                           digital
                           have no plans                                        signatures in
                          at present, 49%                                        the next 12
                                                                                months, 21%


Barriers to adoption
For those not planning to buy a system, 42% have a requirement to sign off completions or approvals within
their main business process, and 41% have a need to sign off within SharePoint. Despite this, 28% consider
that their senior management do not consider digital signatures to be a worthwhile investment. However,
ignoring IT priorities, lack of familiarity with the technology shows very highly as a barrier to adoption,
endorsing our view that discussion in the past has been about the intricacies of how the two-key encryption
system works rather than the benefits available. Convenience of use also plays a part in the reluctance of
staff to move away from time-honored physical methods. It also seems likely that incorporating a scanned
image of a physical signature within the digital signature mark would prove reassuring.




© AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com                                                               9
There is an understandable concern on extending signatures beyond the firewall, or persuading customers
and partners to use them, although the acceptance and admissibility issues do at least seem to have been
overcome. Cost and convenience of certificate management is not seen as a big issue by non-users.

     Figure 8: What would you say are the most prevalent reasons that digital signatures are not used in your
                          organizational unit — maximum THREE? (N=203 non-users)




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                                                      0%   10%   20%     30%    40%     50%     60%

    We have higher priority IT projects right now

                   Not familiar with the technology

    Staff prefer me-honored manual signatures
                           that they understand
        Senior management do not consider it a
                         worthwhile investment
            We require signatures from external
        customers and partners in our workflow

     The cer ficates are too expensive to acquire

  Managing the cer ficates for all the staff is too
                                 me-consuming




                                                                                                                 Digital Signatures for Document Workflow
           They are not legally admissible in court

                We don’t see the business benefits

               Our regulators will not accept them




                                                                                                                               and SharePoint
                They would confuse our customers




© AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com                                                               10
Return on Investment
Implementing a digital signature system can bring a number of hard dollar and soft dollar benefits. Based on
the existing users in our survey, speeding up the approval process and saving of staff time in scanning,
copying and routing documents are the most immediate benefits, followed by the costs of prints,
photocopies, faxes and post. The reassurance of proven compliance for audit and archive counts as a




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significant benefit too. Ease of signing for staff who are not in the local office is an important factor, and
would also have an influence on the number of lost documents.

   Figure 9: Which THREE of the following would you describe as the biggest benefits of your digital signatures
                                            system? (N=84 users)

                                                          0% 10% 20% 30% 40% 50% 60% 70% 80%


            Speeding up of approval process me

       Saving of staff me scanning, copying and
                            rou ng documents
       Saving of paper-handling costs (eg, prints,
                    photocopies, faxes and post)
      Proven compliance for audit and electronic
                                         archive
 Ease of signing for remote, overseas, travelling
                             or field-based staff




                                                                                                                    Digital Signatures for Document Workflow
                               Fewer lost documents

      Ability to include external approvers in the
                                   electronic cycle
      Easier management of user cer ficates via
                              Ac ve Directory




                                                                                                                                  and SharePoint
The expectations of those planning a system were very similar, except for a slightly higher expectation for
the hard dollar benefits of cost saving on paper handling, with less on time savings.
When asked to put a financial figure on the benefits compared to the set up costs, nearly two-thirds of users
achieved ROI in 12 months or less, and 78% in 18 months or less. This was well ahead of the expectations
of those planning an installation, and represents an excellent return for any IT project.

  Figure 10: Considering financial, operational and customer-service benefits, what would you consider to be the
       payback period from your investment in digital signature systems? (N=84 Users, 78 Planned users)

                                    0%      5%      10%   15%   20%   25%   30%   35%   40%


               6 months or less

                      12 months

                                                                                                Users
                      18 months
                                                                                                Planned users
                          2 years

                          3 years

            More than 3 years




© AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com                                                                  11
Features, Functions and Decision Makers
As regards to how people source their digital signature solutions, we found a fairly even balance amongst
existing users between 3rd party solutions integrated with document management (DM) or ECM systems, 3rd
party solutions not integrated, and in-house developed systems. Interestingly, however, those planning to
purchase in the next 12 months showed a strong preference for integration with DM and ECM, perhaps




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reflecting a lack of simplicity in previously available offerings.
                  Figure 11: Who provides or is likely to provide your main digital signature solution?
                              (N=78 Users, 74 Planned users, excl 15% Don’t Knows)
                                                    0% 10% 20% 30% 40% 50% 60% 70% 80%

    3rd party product or service integrated
                      into DM/ECM system
           3rd party product or service not                                                               Users
          integrated into DM/ECM system
                                                                                                          Planned
                          Developed in-house

                     Ad-hoc per-user solu on

There are a number of ad hoc mechanisms for digital signatures, including those offered within Adobe
Acrobat for PDF files and Microsoft Office for Word and Excel files. The simplest of these will likely involve
self-certified signatures, not trusted 3rd party ones. One of the issues that arises is that if multiple signatures
are required, a simple sign and encapsulate function from the first signee will prevent a subsequent signee




                                                                                                                            Digital Signatures for Document Workflow
being able to add their signature to the document. A further issue is corporate control of the certificates
rather than individual ownership, and the management issues that go with that.
 Figure 12: Which of the following features do you have/will be important to have in your current/proposed digital
                           signatures solution? Max 4 (N=84 Users, 78 Planned users)

                                                      0% 10% 20% 30% 40% 50% 60% 70%




                                                                                                                                          and SharePoint
         One click digital signature addi on and
                                    encapsula on

            Addi on of digital signatures to PDF

         Mul ple signatures onto encapsulated
                                     documents
           Signature addi on from outside the
                                      document
         Addi on of digital signatures to other                                                            Users
        formats, eg: Word, Excel, AutoCAD, etc.
                                                                                                           Planned users
         Management of user signatures as part
                      of Ac ve Directory profile

                        Automa c bulk signatures

        Digital signature approval of SharePoint
                                   process steps

              Finite one-off ini al purchase costs

     Extension of digital signatures to partners
                                      and agents

One-click operation and multiple signatures are important to all respondents, with prospective purchasers of
more modern systems also looking for support for multiple file formats, integration with Active Directory, and
extensibility to partners and agents.
One feature we did not research was the use of specific hardware signing tablets, PIN-number generators or
biometrics to further validate the digital signature, although this did crop up in the free comments area of the
survey.

© AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com                                                                          12
Decision Maker
As indicated in Figure 13, outside of IT, it is difficult to identify a single likely decision maker. The fact that
Line of Business managers are only involved as decision makers in a tenth of organizations perhaps
explains why the process improvement benefits are not coming to the fore.

    Figure 13: Who would you say is the decision-maker in your organizational unit as regards digital signature




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                                      solutions? (N=368, all respondents)

                                                    0%   5%   10% 15% 20% 25% 30% 35%

            Head of IT/IT Project Manager
                                           CEO
                                Legal Counsel
                 Line of Business Managers
  Head of Records/Informa on Mngmnt
                         Head of Compliance
                             Head of Finance
                        Corporate Secretary
                                   Don’t know




                                                                                                                       Digital Signatures for Document Workflow
Conclusion and Recommendations
We have shown that digital signature solutions can provide a very rapid return on investment – generally
within 12 months. In our survey, 24% of responding organizations are already using digital signatures, with
a very high 21% stating an intention to implement in the next 12 months.




                                                                                                                                     and SharePoint
The primary benefit seen by existing users is in speeding up the approval process, but it also saves staff
time and the cost of photocopies, post, etc. We have found that nearly 60% of all process documents would
not need to be printed if a digital signature system was in place.
Despite the business benefits reported by existing users, digital signature projects are not given a high
priority within IT departments. Elsewhere in the business, non-familiarity with the technology and a
reluctance to change time-honored ways of working are given as barriers to adoption. Convenience and
simplicity of both use and administration are obvious factors here. We have seen that those intending to
purchase a digital signature system are also looking for it to be easily integrated into their ECM system.
With the rapid adoption of SharePoint as both a document management and a workflow approval system,
we feel it is important that users adopt a rigorous digital signature system from the outset, using trusted
certificates rather than self-certification. Ease of use and ease of maintenance are even more important in a
SharePoint implementation due to the likely number of users spread across the enterprise.

References
1. Computer Desktop Encyclopedia www.computerlanguage.com
2. ISO 15489, Section 7.2
3. BSI BIP 0008, Code of Practice for legal admissibility and evidential weight of information stored
   electronically
4. Electronic Signatures in Global and National Commerce, Public Law106–229—June, 2000 ref.
5. Digital Signature Standard (DSS) http://csrc.nist.gov/publications/fips/fips186-3/fips_186-3.pdf
6. ISO 32000-1




© AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com                                                                     13
Appendix 1
Survey Demographics
Survey Background




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The survey was taken by 388 individual members of the AIIM community between January 5-15, 2010,
using a Web-based tool. Invitations to take the survey were sent via email to a selection of the 65,000 AIIM
community members

Organizational Size
Survey respondents represented organizations of all sizes. Larger organizations (over 5,000 employees)
represented 29%, with mid-sized organizations (500 to 5,000 employees) at 36%. Small-to-mid sized (10 to
500 employees) - were 31%. Just 4% of organizations were less than 10 employees so these are included
in the results.

                                                         1-10 emps,
                                      over                   4%
                                     10,000                                   11-100
                                    emps, 19%                                emps, 12%

                               5,001-
                               10,000




                                                                                                                 Digital Signatures for Document Workflow
                                                                              101-500
                              emps, 10%
                                                                             emps, 19%

                                   1,001-
                                    5,000                               501-1,000
                                  emps, 23%                             emps, 13%




                                                                                                                               and SharePoint
Industry Sector
Local government makes up 20% of the demographic, with the finance sector taking a further 17%. The
remaining sectors are evenly split. The participation of 3% ECM suppliers was not considered sufficient to
bias the report.
                                                 Consultants,
                            Retail, Transport,       2%          Other, 6%
                             Real Estate, 3%                                         Government &
                                                                                    Public Services-
                          Prof. Svcs, Legal &                                       State/Local, 20%
                              Media, 3%
                   IT/High Tech - ECM
                      supplier, 3%
                IT/High Tech - NOT
                 an ECM supplier,
                        3%
                 Charity, Not-for-
                    Profit, 3%
          Pharmaceu cal, 4%


                                                                                            Finance, Banking,
                     Educa on, 4%
                                                                                             Insurance, 17%
                       Healthcare, 5%

                    Manufacturing, 6%
                             Government &                                            Energy and
                             Public Services-                                       U li es, 10%
                             Federal/Na onal,              Engineering and
                                    6%                     Construc on, 6%




© AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com                                                               14
UNDERWRITTEN BY




                                                                                                                          White Paper
ARX (Algorithmic Research) is a global provider of cost-efficient digital signature solutions for industries
such as life sciences, healthcare, government, and engineering. ARX engineers and scientists have more
than 20 years of experience in security and standard digital signature application. ARX helps businesses
secure, streamline, and scale their business processes and transactions with the proper controls required
by legislation, regulation, and industry best practice.
ARX’s CoSign® digital signature solution automates approvals affordably in a compliant manner, allowing
organizations to go paperless, expedite business processes and save costs. CoSign signatures are globally
accepted by external partners and customers without the need for proprietary-validation software. CoSign
is also centrally managed through the organization’s user/customer directory for reliable control of
signature privileges, and ease of use and administration.

Learn more about ARX and CoSign at www.arx.com.

CoSign Central Digital Signature Add-on for SharePoint
The CoSign Central digital signature platform integrates with SharePoint out-of-the-box and enhances
SharePoint’s capabilities by enabling it to provide compliant signature-based approvals on PDF’s and lists.




                                                                                                                 Digital Signatures for Document Workflow
CoSign provides digital certificate and key management from a secure network-attached appliance, plus
centralized control over authorized signers (through Microsoft Active Directory or other directory services).
When implemented with SharePoint, CoSign features appear as a natural part of the familiar SharePoint
and Microsoft Office interface. This enables signature-based approval processes to remain paperless while
complying with regulations, expediting processes, and cutting costs. Because CoSign for SharePoint allows
digital signing via the SharePoint interface, it permits users to leverage their pre-existing investment in
SharePoint in order to digitally sign various Enterprise, B2B and B2C content. A flash demo of CoSign




                                                                                                                               and SharePoint
digital signatures for SharePoint is available here.




© AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com                                                               15
White Paper
                                                                                                    Digital Signatures for Document Workflow
                                                                                                                  and SharePoint
AIIM (www.aiim.org) is the community that provides education, research, and best practices to
help organizations find, control, and optimize their information.

For over 60 years, AIIM has been the leading non-profit organization focused on helping users to
understand the challenges associated with managing documents, content, records, and
business processes. Today, AIIM is international in scope, independent, implementation-focused,
and, as the representative of the entire ECM industry - including users, suppliers, and the
channel—acts as the industry’s intermediary.


© 2010
AIIM                                                      AIIM Europe
1100 Wayne Avenue, Suite 1100                             The IT Centre, Lowesmoor Wharf
Silver Spring, MD 20910                                   Worcester, WR1 2RR, UK
301.587.8202                                              +44 (0)1905 727600
www.aiim.org                                              www.aiim.eu




© AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com                                                  16

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Digital signatures for document workflow and share point

  • 1. White Paper Digital Signatures for Document Workflow and SharePoint Sponsored by:
  • 2. About the White Paper As the non-profit association dedicated to nurturing, growing and supporting the ECM (Enterprise Content Management) community, AIIM is proud to provide this research at no charge. In this way the education, thought leadership and direction provided by our work can be leveraged by the entire community. Our objective is to present the “wisdom of the crowds” based on our 65,000 strong community. White Paper We are happy to extend free use of the materials in this report to end-user companies and to independent consultants, but not to suppliers of ECM systems, products and services, other than ARX and its subsidiaries. Any use of this material must carry the attribution – “© AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com” Rather than redistribute a copy of this report to your colleagues, we would prefer that you direct them to www.aiim.org/research for a free download of their own. Our ability to deliver such high-quality research is made possible by the financial support of our underwriting sponsor, without whom we would have to return to a paid subscription model. For that, we hope you will join us in thanking our underwriter for this support: ARX 855 Folsom Street Suite 939 San Francisco, CA 94107 Tel: (415) 839 8161 Fax: (415) 723 7110 Digital Signatures for Document Workflow Website: www.arx.com Process used and survey demographics The survey results quoted in this report are taken from a survey carried out between 5th and 15th January 2010, with 388 responses from individual members of the AIIM community surveyed using a Web-based tool. Invitations to take the survey were sent via e-mail to a selection of AIIM’s 65,000 registered individuals. and SharePoint Respondents are predominantly from North America and cover a representative spread of industry and government sectors. About AIIM AIIM (www.aiim.org) is the community that provides education, research, and best practices to help organizations find, control and optimize their information. For more than 60 years, AIIM has been the leading non-profit organization focused on helping users to understand the challenges associated with managing documents, content, records and business processes. Today, AIIM is international in scope, independent and implementation-focused, acting as the intermediary between ECM (Enterprise Content Management) users, vendors, and the channel. About the author Doug Miles is Director of the AIIM Market Intelligence Division. He has over 25 years experience of working with users and vendors across a broad spectrum of IT applications. An early pioneer of document management systems, Doug has been involved in their evolution from technical solution to enterprise infrastructure platform. Most recently, Doug has produced a number of the AIIM survey reports on user issues and drivers for ECM, Email Management, Records Management, SharePoint and Enterprise 2.0. He has also worked closely with other enterprise-level IT systems such as ERP, CRM and BI, has an MSc in Communications Engineering and is a member in the UK of the Institute of Engineering and Technology. © 2010 © 2010 AIIM ARX 1100 Wayne Avenue, Suite 1100 855 Folsom Street, Suite 939 Silver Spring, MD 20910 San Francisco, CA 94107 301 587-8202 415 839-8161 www.aiim.org www.arx.com © AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com 2
  • 3. Table of Contents About the Research: Features, Functions and Decision About the Research ..................................... 2 Makers: White Paper Process used and survey demographics ....... 2 Features, Functions and Decision Makers 12 About AIIM ..................................................... 2 Decision Maker .............................................13 About the author ............................................ 2 Conclusion and Introduction: Recommendations: Introduction .................................................. 4 Conclusion and Recommendations ......... 13 Key findings ....................................................4 References................................................... 13 Digital Signature Primer: Appendix 1: Digital Signature Primer .............................. 5 Survey Demographics: Survey Demographics ............................... 14 Survey Background...................................... 14 Digital Signatures for Document Workflow Business Drivers: Organizational size ...................................... 14 Business Drivers.......................................... 6 Industry sector ............................................. 14 The business importance of signatures ..........6 Signatures as part of the business process ....7 SharePoint requirements ................................8 Underwritten in part by: and SharePoint ARX.............................................................. 15 AIIM.............................................................. 16 Digital Signature Adoption: Digital Signature Adoption.......................... 9 Return on Investment: Return on Investment ................................ 11 © AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com 3
  • 4. Introduction For this report we have measured the potential productivity benefits of a modern digital signature system and the implementation issues that may arise. In particular, we have found that freeing electronic workflows from the interruptions and process delays incurred by physical signing on paper of otherwise electronic documents can produce considerable efficiency improvements. White Paper Today’s digital signature systems, with well designed user and certificate management, can be readily extended across the enterprise, and indeed to the extended enterprise of customers and partners. Benefits can be achieved in all the key areas – better customer service, improved staff productivity and reduced administration costs. Existing users report payback periods that are much better than expected and are mostly within a single budget cycle. Based on our survey data, we look at the regulatory requirement for signature approvals across different industry sectors, the drivers and issues for selecting a solution, the barriers to adoption, and the business benefits reported by existing users. We take a specific look at the increasing popularity of Microsoft SharePoint as a process workflow platform, and whether the prevalence of self-implemented installations could either compromise regulatory requirements or result in sub-optimum processes. Key Findings • Speeding up the approval process and saving staff time are considered to be the biggest benefits by those who have implemented a digital signature solution. • 63% of digital signature users achieved ROI in 12 months or less. Digital Signatures for Document Workflow • For 40% of non-users, half or more of their electronic document workflows are interrupted by the need for physical sign offs. For 23% of non-users, this results in a week or more of process delay on average. • In 63% of organizations without digital signature systems, more than half of the printed process documents are printed just to add a signature. • On average, 3.5 additional photocopies or fax copies of process documents are produced just to collect signatures. and SharePoint • 60% of respondents consider authorization signatures to be essential in their regulatory environment, particularly in national government, healthcare and pharmaceutical. • For 40% of organizations, over half of their main business processes and documents require formal signature. • 43% of SharePoint users would like to apply digital signatures to SharePoint workflow processes. • 24% of survey respondents are already using digital signatures. A further 21% plan to implement them in the next 12 months. © AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com 4
  • 5. Digital Signature Primer For those who are unfamiliar with the technology, we need to establish the difference between electronic signatures and digital signatures. Some standards bodies and government regulations use the term “electronic signature” interchangeably between, say, scanned or fax signature images (i.e., “digitized images”) and public-key encryption-based digital signatures. In the US, usage and legal admissibility is White Paper fairly consistent. An “electronic signature” is likely to be a bit-map representation, either from a scanned image, a fax copy or a picture of someone’s signature, or may even be a typed acknowledgement or acceptance. A digital signature is “extra data appended to a message which identifies and authenticates the sender and message data using public-key encryption”1. Some digital signature systems will combine the authenticated signature data with an associated bit-map image. Many types of signature are acceptable in law, subject to the judgement that the process used to apply the signature to the document and subsequently to present the document, has authenticity, integrity, enforceability and non-refutability – i.e., that the right person applied the signature, that it can be recognized as their intent to endorse the document and that the document hasn’t been subsequently tampered with. Establishing this in a court of law is obviously going to be somewhat easier with a digital signature than with a mere electronic one, although the legal admissibility of scanned documents is well covered in best practices and standards2,3,4. Indeed, the same considerations would apply to a paper document with a physical signature. Some organizations go to elaborate lengths to password-protect scanned signatures, or to establish the authenticity of a check-box sign-off within a workflow process. Indeed, if this were contested, it would be the rigor and consistency of the process that would be challenged in the court, not the electronic-signature mechanism per se. Digital Signatures for Document Workflow Digital signatures, on the other hand, provide a convenient mechanism whereby the unique application of the signature by the signee is established by the combination of applying their private signing key along with their personal ID certificate containing their public key. The subsequent verification of this signing process by any third party requires just the public key ID certificate. In addition, a checksum mechanism confirms that there have been no modifications to the content. The public-private key combination is generally self- generated but its associated certificate is issued (purchased) from a trusted Certificate Authority (CA). Self- certified public keys are possible, but require a “leap of faith” from others because they do not establish the and SharePoint verifiable identity of the signee. Digital signature standards are mature and converging internationally5,6. Confusion frequently arises between the usage of digital signatures and document encryption. Full document encryption ensures that only those co-operating persons who possess a shared secret key can read the contents of the document, thereby securing it against any third party access. Alternatively, especially for emails, both parties can agree to mutually trust one or more CAs who will underwrite a personal digital certificate for each party. Unless it is absolutely essential, full document encryption is often advised against for use within electronic records management systems as it prevents full-text indexing, and requires that the decryption keys (and application) are available for any future access. Furthermore, if the decryption key is lost or an employee leaves without passing it on, encrypted documents and records will in effect be electronically shredded as no one will be able to read them. Correctly certified digital signatures do not prevent unauthorized persons reading a document nor are they intended to. They do confirm that the person who signed it is who they say they are, and that the document has not been altered since they signed it. Within a records management system a digital signature is often considered to be an important part of the metadata of a document, confirming both its heritage and its integrity. Administering digital signatures in an ad-hoc way within a corporate environment can prove to be something of an overhead - enrolling and revoking users, obtaining certificates from a trusted certificate authority, providing user access licences to signature-supporting applications, administering password protection, and retiring the certificates of staff who have moved on. There are more systematic ways to manage certificates and signatures. This may involve a service agreement, or the outright purchase of a certification management product, which may be integrated with an ECM system, linked to the Active Directory service or administered as a stand-alone function. Ideally, the enterprise should have a root certificate that is trusted by all, and centrally issue certificates to all users. © AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com 5
  • 6. Business Drivers The business importance of signatures Like hand-shakes, signatures pervade all parts of business. They may no longer be made with a fountain pen on velum paper, but they are still an important stamp of authority and approval. When we asked in our White Paper survey “How important are authorization signatures in your organization?” over 60% of respondents considered them to be “essential” with a further 22% considering them to be “very important”. We qualified this against the industry sector, and as we see in Figure 1, the more heavily regulated areas - national government, healthcare, pharmaceuticals and finance - take the lead. Figure 1: With regard to the regulatory environment or business practices in your industry, would you say that authorization signatures within your organization are “Essential”? (N=234, % answering “Essential”, rather than “Very Important”, “Somewhat Important”, “Important” or “Not that important”) 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% Government & Public Services - Federal/Na onal Healthcare Pharmaceu cal Finance, Banking, Insurance Government & Public Services - State/Local Energy and U li es Digital Signatures for Document Workflow Educa on Consultants Engineering and Construc on Charity, Not-for-Profit Manufacturing Retail, Transport, Real Estate and SharePoint IT/High Tech Professional Services, Legal & Media We then evaluated how prevalent formal signatures are in day-to-day business. Taking all sectors together, a surprising 40% of organizations consider more than half their main business processes and documents require formal signatures, with a further 32% opting for a fifth to a half of documents and processes. © AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com 6
  • 7. When we look at this by industry sector we see a slightly different picture in that “Engineering & construction”, and “Professional services & legal”, have very signature-orientated business processes. Figure 2: Would you say that more than 50% of the main business processes/documents in your organizational unit require formal signatures? (N=192, % answering “More than 50%” from a selection of bands up to 50%) White Paper 0% 10% 20% 30% 40% 50% 60% Engineering and Construc on Professional Services, Legal & Media Educa on Retail, Transport, Real Estate Government & Public Services - Local Healthcare Government & Public Services - Na onal Finance, Banking, Insurance Energy and U li es IT/High Tech Consultants Manufacturing Charity, Not-for-Profit Digital Signatures for Document Workflow Pharmaceu cal Signatures as part of the business process We know that within modern business, the majority of documents are created digitally, and spend most of their lifecycle in digital form. This in itself enables business to be carried on in a much more geographically dispersed manner, both within businesses and between businesses. However, the requirement for a and SharePoint physical signature can frequently disrupt and hold up these processes. Senior executives travel more and more these days, but can still stay in close touch with the office. It can therefore be very frustrating when physical signatures are required on urgent processes or documents. Figure 3: As part of your main business workflows, who of the following are required to sign and return documents or approve process steps? (N=385 all respondents) 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% Local managers Senior execu ves who frequently travel Customers or clients Suppliers, sub-contractors or partners Authorizing professionals (eg, doctors, inspectors, surveyors, etc.) Field-based staff Employees in remote/overseas offices © AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com 7
  • 8. If documents have to be printed, posted, faxed, physically signed and rescanned, this adds costs, delays and staff inefficiencies. As we can see from Figure 4, in 42% of organizations without digital signature solutions, three-quarters or more of the printed process documents are being printed just to add a signature. Averaging the figure over all non-user organizations, 59% of all process documents would not need to be printed if a digital signature system was in place. White Paper Figure 4: Considering the documents that are printed out as part of your formal approval processes, what proportion would you say are printed for the purpose of adding one or more signatures? (N=290 non-users) % of Organiza ons 0% 5% 10% 15% 20% 25% 90-100% % of Documents 75-90% 50-75% 25-50% 10-25% 0-10% In many established business processes, multiple signatures are required – and in 15% of organizations, contracts and agreements are initialled on every page, with a further 23% doing so in some geographies. Digital Signatures for Document Workflow We also found that on average, 3.5 additional photocopies or fax copies are needed in order to collect signatures. For an unfortunate 3% of organizations, the average is more than 20 copies. We also asked non-users what proportion of their electronic or scanned document workflows are interrupted or prematurely completed by the necessity of physically signing off. For 40%, half or more of their workflows are impacted. In Figure 5 we see the result of this on process times, with at least a day added on average for 68%, and a whole week added on average for 23% - probably indicating that a postal exchange is involved. and SharePoint Figure 5: On average, how much time would you say is added to the end-to-end process as a result of this physical sign-off? (N=196 non-users with no plans) 0% 5% 10% 15% 20% 25% 30% 35% 1/2 day or less 1 day 2 days 3 days One week Two weeks Three weeks More than 1 month SharePoint requirements SharePoint is a particularly interesting application as regards signature requirements. It is becoming ubiquitous, and is relatively straightforward to use for a whole host of workflow processes including staff claims, purchase requisitions, project reports, etc. Generally, a tick box is used, under password protection, to indicate approval. However, as applications become more business critical, processes which are part of a regulatory regime, or with legal implications, are increasingly likely to find their way onto SharePoint. At that point it is important to have a more rigorous sign-off mechanism. It is in the nature of SharePoint that local IT departments will likely create their own electronic or digital signature solution around SharePoint, but this may be found wanting in terms of both convenience and security. © AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com 8
  • 9. Figure 6: Do you have any of the following requirements within SharePoint? (Check all that apply) (N=231 SharePoint users) 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% Adding a digital signature to a workflow process White Paper or form approval Adding a single digital signature within a document and securing it Adding mul ple-signatures to a secured document Signing off on SharePoint list items on a per item basis Signing a document externally/automa cally without checking it out Digital Signature Adoption Our survey response was self-elected, and so at 24%, it is likely to overestimate those already using digital signatures, and in particular those 21% planning to. Even so, this result points to a very high level of potential take up in the next 12 months. Digital Signatures for Document Workflow Figure 7: How would you describe the use of digital signatures in your organizational unit? (N=385 all respondents) We are already We don’t see using digital the need for and SharePoint signatures digital today, 24% signatures, 5% We see the We plan to need for digital implement signatures but digital have no plans signatures in at present, 49% the next 12 months, 21% Barriers to adoption For those not planning to buy a system, 42% have a requirement to sign off completions or approvals within their main business process, and 41% have a need to sign off within SharePoint. Despite this, 28% consider that their senior management do not consider digital signatures to be a worthwhile investment. However, ignoring IT priorities, lack of familiarity with the technology shows very highly as a barrier to adoption, endorsing our view that discussion in the past has been about the intricacies of how the two-key encryption system works rather than the benefits available. Convenience of use also plays a part in the reluctance of staff to move away from time-honored physical methods. It also seems likely that incorporating a scanned image of a physical signature within the digital signature mark would prove reassuring. © AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com 9
  • 10. There is an understandable concern on extending signatures beyond the firewall, or persuading customers and partners to use them, although the acceptance and admissibility issues do at least seem to have been overcome. Cost and convenience of certificate management is not seen as a big issue by non-users. Figure 8: What would you say are the most prevalent reasons that digital signatures are not used in your organizational unit — maximum THREE? (N=203 non-users) White Paper 0% 10% 20% 30% 40% 50% 60% We have higher priority IT projects right now Not familiar with the technology Staff prefer me-honored manual signatures that they understand Senior management do not consider it a worthwhile investment We require signatures from external customers and partners in our workflow The cer ficates are too expensive to acquire Managing the cer ficates for all the staff is too me-consuming Digital Signatures for Document Workflow They are not legally admissible in court We don’t see the business benefits Our regulators will not accept them and SharePoint They would confuse our customers © AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com 10
  • 11. Return on Investment Implementing a digital signature system can bring a number of hard dollar and soft dollar benefits. Based on the existing users in our survey, speeding up the approval process and saving of staff time in scanning, copying and routing documents are the most immediate benefits, followed by the costs of prints, photocopies, faxes and post. The reassurance of proven compliance for audit and archive counts as a White Paper significant benefit too. Ease of signing for staff who are not in the local office is an important factor, and would also have an influence on the number of lost documents. Figure 9: Which THREE of the following would you describe as the biggest benefits of your digital signatures system? (N=84 users) 0% 10% 20% 30% 40% 50% 60% 70% 80% Speeding up of approval process me Saving of staff me scanning, copying and rou ng documents Saving of paper-handling costs (eg, prints, photocopies, faxes and post) Proven compliance for audit and electronic archive Ease of signing for remote, overseas, travelling or field-based staff Digital Signatures for Document Workflow Fewer lost documents Ability to include external approvers in the electronic cycle Easier management of user cer ficates via Ac ve Directory and SharePoint The expectations of those planning a system were very similar, except for a slightly higher expectation for the hard dollar benefits of cost saving on paper handling, with less on time savings. When asked to put a financial figure on the benefits compared to the set up costs, nearly two-thirds of users achieved ROI in 12 months or less, and 78% in 18 months or less. This was well ahead of the expectations of those planning an installation, and represents an excellent return for any IT project. Figure 10: Considering financial, operational and customer-service benefits, what would you consider to be the payback period from your investment in digital signature systems? (N=84 Users, 78 Planned users) 0% 5% 10% 15% 20% 25% 30% 35% 40% 6 months or less 12 months Users 18 months Planned users 2 years 3 years More than 3 years © AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com 11
  • 12. Features, Functions and Decision Makers As regards to how people source their digital signature solutions, we found a fairly even balance amongst existing users between 3rd party solutions integrated with document management (DM) or ECM systems, 3rd party solutions not integrated, and in-house developed systems. Interestingly, however, those planning to purchase in the next 12 months showed a strong preference for integration with DM and ECM, perhaps White Paper reflecting a lack of simplicity in previously available offerings. Figure 11: Who provides or is likely to provide your main digital signature solution? (N=78 Users, 74 Planned users, excl 15% Don’t Knows) 0% 10% 20% 30% 40% 50% 60% 70% 80% 3rd party product or service integrated into DM/ECM system 3rd party product or service not Users integrated into DM/ECM system Planned Developed in-house Ad-hoc per-user solu on There are a number of ad hoc mechanisms for digital signatures, including those offered within Adobe Acrobat for PDF files and Microsoft Office for Word and Excel files. The simplest of these will likely involve self-certified signatures, not trusted 3rd party ones. One of the issues that arises is that if multiple signatures are required, a simple sign and encapsulate function from the first signee will prevent a subsequent signee Digital Signatures for Document Workflow being able to add their signature to the document. A further issue is corporate control of the certificates rather than individual ownership, and the management issues that go with that. Figure 12: Which of the following features do you have/will be important to have in your current/proposed digital signatures solution? Max 4 (N=84 Users, 78 Planned users) 0% 10% 20% 30% 40% 50% 60% 70% and SharePoint One click digital signature addi on and encapsula on Addi on of digital signatures to PDF Mul ple signatures onto encapsulated documents Signature addi on from outside the document Addi on of digital signatures to other Users formats, eg: Word, Excel, AutoCAD, etc. Planned users Management of user signatures as part of Ac ve Directory profile Automa c bulk signatures Digital signature approval of SharePoint process steps Finite one-off ini al purchase costs Extension of digital signatures to partners and agents One-click operation and multiple signatures are important to all respondents, with prospective purchasers of more modern systems also looking for support for multiple file formats, integration with Active Directory, and extensibility to partners and agents. One feature we did not research was the use of specific hardware signing tablets, PIN-number generators or biometrics to further validate the digital signature, although this did crop up in the free comments area of the survey. © AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com 12
  • 13. Decision Maker As indicated in Figure 13, outside of IT, it is difficult to identify a single likely decision maker. The fact that Line of Business managers are only involved as decision makers in a tenth of organizations perhaps explains why the process improvement benefits are not coming to the fore. Figure 13: Who would you say is the decision-maker in your organizational unit as regards digital signature White Paper solutions? (N=368, all respondents) 0% 5% 10% 15% 20% 25% 30% 35% Head of IT/IT Project Manager CEO Legal Counsel Line of Business Managers Head of Records/Informa on Mngmnt Head of Compliance Head of Finance Corporate Secretary Don’t know Digital Signatures for Document Workflow Conclusion and Recommendations We have shown that digital signature solutions can provide a very rapid return on investment – generally within 12 months. In our survey, 24% of responding organizations are already using digital signatures, with a very high 21% stating an intention to implement in the next 12 months. and SharePoint The primary benefit seen by existing users is in speeding up the approval process, but it also saves staff time and the cost of photocopies, post, etc. We have found that nearly 60% of all process documents would not need to be printed if a digital signature system was in place. Despite the business benefits reported by existing users, digital signature projects are not given a high priority within IT departments. Elsewhere in the business, non-familiarity with the technology and a reluctance to change time-honored ways of working are given as barriers to adoption. Convenience and simplicity of both use and administration are obvious factors here. We have seen that those intending to purchase a digital signature system are also looking for it to be easily integrated into their ECM system. With the rapid adoption of SharePoint as both a document management and a workflow approval system, we feel it is important that users adopt a rigorous digital signature system from the outset, using trusted certificates rather than self-certification. Ease of use and ease of maintenance are even more important in a SharePoint implementation due to the likely number of users spread across the enterprise. References 1. Computer Desktop Encyclopedia www.computerlanguage.com 2. ISO 15489, Section 7.2 3. BSI BIP 0008, Code of Practice for legal admissibility and evidential weight of information stored electronically 4. Electronic Signatures in Global and National Commerce, Public Law106–229—June, 2000 ref. 5. Digital Signature Standard (DSS) http://csrc.nist.gov/publications/fips/fips186-3/fips_186-3.pdf 6. ISO 32000-1 © AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com 13
  • 14. Appendix 1 Survey Demographics Survey Background White Paper The survey was taken by 388 individual members of the AIIM community between January 5-15, 2010, using a Web-based tool. Invitations to take the survey were sent via email to a selection of the 65,000 AIIM community members Organizational Size Survey respondents represented organizations of all sizes. Larger organizations (over 5,000 employees) represented 29%, with mid-sized organizations (500 to 5,000 employees) at 36%. Small-to-mid sized (10 to 500 employees) - were 31%. Just 4% of organizations were less than 10 employees so these are included in the results. 1-10 emps, over 4% 10,000 11-100 emps, 19% emps, 12% 5,001- 10,000 Digital Signatures for Document Workflow 101-500 emps, 10% emps, 19% 1,001- 5,000 501-1,000 emps, 23% emps, 13% and SharePoint Industry Sector Local government makes up 20% of the demographic, with the finance sector taking a further 17%. The remaining sectors are evenly split. The participation of 3% ECM suppliers was not considered sufficient to bias the report. Consultants, Retail, Transport, 2% Other, 6% Real Estate, 3% Government & Public Services- Prof. Svcs, Legal & State/Local, 20% Media, 3% IT/High Tech - ECM supplier, 3% IT/High Tech - NOT an ECM supplier, 3% Charity, Not-for- Profit, 3% Pharmaceu cal, 4% Finance, Banking, Educa on, 4% Insurance, 17% Healthcare, 5% Manufacturing, 6% Government & Energy and Public Services- U li es, 10% Federal/Na onal, Engineering and 6% Construc on, 6% © AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com 14
  • 15. UNDERWRITTEN BY White Paper ARX (Algorithmic Research) is a global provider of cost-efficient digital signature solutions for industries such as life sciences, healthcare, government, and engineering. ARX engineers and scientists have more than 20 years of experience in security and standard digital signature application. ARX helps businesses secure, streamline, and scale their business processes and transactions with the proper controls required by legislation, regulation, and industry best practice. ARX’s CoSign® digital signature solution automates approvals affordably in a compliant manner, allowing organizations to go paperless, expedite business processes and save costs. CoSign signatures are globally accepted by external partners and customers without the need for proprietary-validation software. CoSign is also centrally managed through the organization’s user/customer directory for reliable control of signature privileges, and ease of use and administration. Learn more about ARX and CoSign at www.arx.com. CoSign Central Digital Signature Add-on for SharePoint The CoSign Central digital signature platform integrates with SharePoint out-of-the-box and enhances SharePoint’s capabilities by enabling it to provide compliant signature-based approvals on PDF’s and lists. Digital Signatures for Document Workflow CoSign provides digital certificate and key management from a secure network-attached appliance, plus centralized control over authorized signers (through Microsoft Active Directory or other directory services). When implemented with SharePoint, CoSign features appear as a natural part of the familiar SharePoint and Microsoft Office interface. This enables signature-based approval processes to remain paperless while complying with regulations, expediting processes, and cutting costs. Because CoSign for SharePoint allows digital signing via the SharePoint interface, it permits users to leverage their pre-existing investment in SharePoint in order to digitally sign various Enterprise, B2B and B2C content. A flash demo of CoSign and SharePoint digital signatures for SharePoint is available here. © AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com 15
  • 16. White Paper Digital Signatures for Document Workflow and SharePoint AIIM (www.aiim.org) is the community that provides education, research, and best practices to help organizations find, control, and optimize their information. For over 60 years, AIIM has been the leading non-profit organization focused on helping users to understand the challenges associated with managing documents, content, records, and business processes. Today, AIIM is international in scope, independent, implementation-focused, and, as the representative of the entire ECM industry - including users, suppliers, and the channel—acts as the industry’s intermediary. © 2010 AIIM AIIM Europe 1100 Wayne Avenue, Suite 1100 The IT Centre, Lowesmoor Wharf Silver Spring, MD 20910 Worcester, WR1 2RR, UK 301.587.8202 +44 (0)1905 727600 www.aiim.org www.aiim.eu © AIIM 2010 www.aiim.org / © ARX 2010 www.arx.com 16