What is meant by eSignature?

The term "eSignature" (electronic signature) is a broad concept encompassing all types of methods used to sign electronic documents. It serves as the digital counterpart to handwritten signatures and is used for authentication and legal assurance in electronic business processes. There are different levels of eSignatures, each varying in security and legal validity:

Simple Electronic Signature (SES): e.g., a scanned signature or clicking an “I agree” checkbox. Offers basic authentication.
Advanced Electronic Signature (AES): uniquely linked to the signer, tamper-evident, and requires identity verification.
Qualified Electronic Signature (QES): based on a qualified certificate and created with a secure signature creation device. Legally equivalent to a handwritten signature.

The digital signature is a technical implementation of AES or QES, using cryptographic methods (such as asymmetric encryption) to ensure document authenticity and integrity.

Typical software functions in the area of "eSignature":

Document Upload: Providing documents for electronic signing in formats like PDF or DOCX.
Signature Generation: Applying the desired type of signature (simple, advanced, qualified).
Identity Verification: Integration of verification methods (e.g., eID, VideoIdent, SMS-TAN), depending on the required level.
Digital Signature Technology: Using cryptographic methods to generate and validate signatures.
Multi-step Signing Workflows: Supporting signature sequences involving multiple signers across locations.
Timestamping: Legally valid logging of the exact time of signature.
Integrity Checks: Ensuring that signed documents remain unchanged after signing.
Compliant Archiving: Tamper-proof storage and audit trail of all signing activities.
System Integration: API-based connectivity with ERP, CRM, DMS, or contract management systems.
Notifications & Reminders: Automated alerts about pending or completed signing processes.

Examples of "eSignature":

A software company has project contracts signed by customers using a qualified eSignature.
An HR team sends employment contracts electronically for signing with identity verification.
A supplier agreement is signed in a digital, multi-party workflow.
A managing director uses a signature platform with timestamping to legally approve annual reports.
An integrated CRM system automatically triggers signature requests for new customer agreements.