You should definitely be using electronic signatures in procurement. Why? Because electronic signatures are fast becoming the standard way of signing. This is especially true in countries where the level of digital literacy is exceptionally high. However, far and wide, the adoption of electronic signatures is increasing.
People are dropping their pen and pencil in favor of signing on their chosen electronic device. This is the case for a variety of industries, but one, in particular, is procurement. Why are electronic signatures in procurement becoming more common? And why should you using electronic signatures in procurement? Well, there’s a myriad of reasons.
Efficiency and Time Savings
Electronic signatures in procurement streamline the procurement workflow by eliminating the need for physical paperwork and manual signing. This significantly reduces administrative tasks, such as printing, scanning, and mailing documents, leading to faster turnaround times and increased efficiency in the procurement process. It’s a way to speed things up as collecting signatures no longer requires a lot of back and forth.
Electronic signatures in procurement eliminate the costs associated with printing, paper, ink, postage, and storage space for physical documents. By going paperless, organizations can save money on supplies and operational expenses, making procurement more cost-effective in the long run. Procurement is all about securing the best materials at the best price. When using electronic signatures in procurement, you’re able to negotiate more effectively to get the end result that you and your business want.
Improved Accessibility and Convenience
With using electronic signatures in procurement, stakeholders can sign documents from anywhere, at any time, as long as they have access to an internet-connected device. This accessibility and convenience accelerate the signing process, especially when dealing with multiple parties located in different geographical locations. The increased accessibility allows for the procurement process to take place anywhere, and with people operating all over the globe. We used to have to fax, then email documents back and forth for signature collection. Now, when using electronic signatures in procurement, it’s just as easy as sending them a Oneflow contract.
Enhanced Security and Compliance
Advanced electronic signature solutions employ robust security measures to ensure the integrity, authenticity, and non-repudiation of signed documents. Encryption, audit trails, and user authentication mechanisms protect the confidentiality of sensitive procurement information and provide a higher level of security compared to traditional signatures. Additionally, electronic signatures often comply with legal frameworks such as the Electronic Signatures in Global and National Commerce (ESIGN) Act in the United States and the eIDAS Regulation in the European Union.
Improved Tracking and Accountability
Electronic signatures in procurement enable better tracking and monitoring of the procurement process. Organizations can easily track the status of documents, including when they were signed, by whom, and any changes made. This transparency improves accountability and reduces the risk of disputes or misunderstandings. Especially when large sums or massive amounts of materials are involved. The little details when it comes to deals like this are incredibly important. You don’t want to leave any stone unturned, so ensure that every I is dotted and T is crossed. That’s something that can be accomplished by using electronic signatures in procurement.
By reducing paper consumption, electronic signatures contribute to environmental sustainability efforts. Going digital in procurement aligns with the broader goal of organizations to adopt greener practices and reduce their carbon footprint. We all know the importance of protecting the environment, and using electronic signatures in procurement can have that effect. Going paperless and signing less documents is a good thing. Both internally for your organization and externally. It’s a win win
It’s important to note that the specific advantages and benefits will of course vary depending on which company decides to use electronic signatures in procurement, but it’s bound to have a notable effect on the way you work. Some industries or companies may see increased margins or lower prices just due to the economies of scale. But it’s definitely a product worth checking out, and a tool worth implementing as it can have a noticeable effect right away.