Purpose

Exemption being sought

Section 8 of the Council’s Procurement and Contract Procedure
Rules set out the requirement to carry out a competitive quotation
process for any contract above £5,000 and below
£100,000 in value. An exemption is sought to directly appoint
the company DocuSign for our e-signing and sealing processes in
Oracle Fusion.

Summary

The legal services industry has continued to evolve with the
inclusion and incorporation of digital solutions to enhance
operational efficiency and improve client service.

Electronic signatures (which are legally binding in most
jurisdictions) offer a secure, efficient way to allow for legal
personnel to sign documents without requiring physical copies of
said documents or in-person meetings. The benefits are detailed
below:

(a) Improved Efficiency - Electronic signatures eliminate the need
for printing, scanning, and mailing documents, saving time, and
reducing administrative overheads.

(b) Enhanced Security - Electronic signature applications offer
advanced security features to ensure the authenticity and integrity
of signed documents, reducing the risk of fraud.

(c) Cost Savings – By reducing paper usage, printing costs,
and manual processing, electronic signatures can lead to
significant cost savings for the Council.

(d) Client Convenience - Clients can sign documents from anywhere,
at any time, using any device with an internet connection, making
the signing process more convenient and accessible.

There are three main companies that we considered as offering
appropriate electronic signature solutions:

(a) Adobe. The software allows companies to access Acrobat PDF
documents and sign them from anywhere, on mobile devices or via
desktops. Recipients can sign documents without needing a special
download or account creation, and users can scan and upload PDFs
using the free Adobe Scan mobile app.

(b) DocuSign. The software has annotation and editing tools, audit
trails, document archiving and includes the ability to incorporate
payments from within a contract, as well as capture consent with a
single click. DocuSign has pre-built integrations and will work
seamlessly with Oracle Fusion. It provides ease of integration with
operating systems within SMBC including Microsoft, Google, Zoom and
more. It securely stores all documents in the cloud, eliminating
the need for physical storage and provides a digital, modern
experience which aligns with the Council’s digital agenda.
DocuSign allows the e-signature process to cover workflows such as
finance, human resources, legal, procurement amongst others.

(c) OneSpan. OneSpan sign uses advanced digital signature
technology, an encryption method to tamper seal documents after
each signature and invalidate documents if any changes are made.
This built-in security guarantees the integrity of the e-signed
document and protects users from fraudulent attempts.

Key Criteria for Selection

Below are some key considerations which were employed in choosing
between the above three companies offering their e-signature
application:

(a) Security and Compliance - Ensuring that the e-signature
application adheres to industry-standard security protocols and
compliance requirements such as UK GDPR, encryption, audit trails,
authentication mechanisms, and compliance certifications.

(b) Ease of Use: The application should be user-friendly for both
the sender and the recipient of the document. Consider factors such
as ease of signing, document preparation, and integration with
existing workflows.

(c) Integration: The e-signature application should integrate
seamlessly with the tools and platforms the Council already
uses.

(d) Cost: The pricing structure of the e-signature application
should be competitive and provide value for money including any
monthly subscription fees, transaction fees, or additional charges
for advanced features.

(e) Support and Training: The application should provide accessible
support such as customer service availability and training
resources. Good support can be crucial for resolving issues quickly
and maximizing the application's effectiveness.

(f) User Authentication: The e-signature application should provide
verifiable robust user authentication methods to ensure the
identity of the signatories and prevent unauthorized access.

(g) Audit Trail and Legal Validity: The e-signature application
should offer features that provides a detailed audit trail of the
signing process, including timestamps and IP addresses. As well as
ensure that e-signatures created with the application are legally
binding in the jurisdiction.

Based on a review of the key features and functionality of both
platforms, the report concludes that the main disadvantages of
Adobe Acrobat Pro compared to DocuSign revolve around its broader
focus. It is acknowledged that Adobe Acrobat Pro is an all-in-one
PDF solution, making it more suitable for users who need extensive
PDF creation, editing, and annotation features. However, for users
or businesses where the primary need is a seamless, efficient
signing process with a focus on workflow automation, integration,
and compliance, DocuSign presents as the more specialised and
optimised choice.

1.9. The procurement will initially be financed from existing
budgets within Legal Services. As the proposal is designed to
deliver efficiencies of operation through a digital e-signature
solution and move away from paper-based document transactions, it
is anticipated that savings will be achieved across the wider
Council. Alongside the wider strategic benefits realised through
implementation of Oracle Fusion, there will be opportunity costs
incurred by Legal Services to be set against part of the value of
achieved savings.

Content

For the reasons set out, it is recommended
that:

(1) Approval be given to apply any necessary exemptions be made
under the Council’s Procurement & Contract Procedure
Rules to enable the course of action;

(2) The Procurement Business Partner has been consulted and their
advice is that an exemption from following the requirements of
section 8 of the Council’s Procurement and Contract Procedure
Rules is required to authorise a Direct Award of contract as set
out above. The Contract Procedure Rules allow for an exemption in
circumstances of urgency, where value for money can be
demonstrated. This is considered an essential given the
proliferation of e-sign solutions at other local authorities and
competing institutions, and how it is necessary to ensure that we
remain steady or improve when it comes to our client satisfaction,
especially when concerning the speed of the delivery of our legal
services.

(3) In accordance with the Council’s Procurement &
Contract Procedure Rules (Rule 15) an Exemption from any rule for a
contract up to the value of £100,000 must be approved by the
relevant Chief Officer following endorsement by the Interim Head of
Procurement.

(4) Having reviewed the options and using the above information as
a baseline, the following is noted:

(a) All three providers have similar capabilities and
functionalities.
(b) They can integrate with Oracle Fusion seamlessly.
(c) They have added multifactor authentication capability.

(5) There is however a significant difference in pricing structure,
security measures and integration amongst the three
companies.

(a) If we use name recognition as the main basic criteria, Adobe or
DocuSign would be the preferred option.
(b) If we use price as primary consideration, Adobe or OneSpan
would be the preferred option.
(c) We have not been able to confirm OneSpan’s claim to have
supported other local authorities with their software.

(6) After due consideration, Adobe Sign has been ruled out despite
competitive pricing.

(7) OneSpan has also been ruled out because of concerns about their
capacity and the credibility of their claim to have deployed E-Sign
software for other local authorities.

(8) It is recommended that DocuSign should be the preferred
e-signature and sealing solution. This will allow the Council to
modernise our document signing process, improve efficiency and
enhance client satisfaction using a tried and thoroughly tested
product.

(9) It is recommended that it would be better value for money if
the Council: (1) enters into a contract with DocuSign for a period
of two years and (2) 5000 envelopes each year. The cost of this
will be £36,751.60.