How to Prepare for the Transition to e-DN and How Signy Is Useful for Organizers and Participants – Interview With Yuliia Tarasenko

 

The Signy e-document service is one of SmartTender's products. Users can use it to exchange e-documents immediately in the platform environment. Signy recently became one of the providers of electronic delivery notes (e-DN), which will already be mandatory in Ukraine in the summer. We spoke with Yuliia Tarasenko, Signy's project manager, to find out the advantages of using e-DNs, how companies can prepare for their use, and how Signy can benefit businesses.

 

1. Please Tell Us What Signy Is and What Tasks Does It Help Companies to Solve?

Signy is a cloud-based solution for the online exchange of legally significant documents, which allows you to receive a fully legitimate document signed by electronic signatures of all counterparties in a matter of minutes. The service requires no additional software installation and is accessible from any device connected to the internet.

 

With Signy, you can fully digitize the document exchange process in a company or enterprise. The user has the option of using ready-made templates to create documents as well as adding their own unique forms. It is also possible to set up personal business processes of approval and signing of documents (both parallel – when counterparties perform actions simultaneously, and sequential – when counterparties perform actions one after another) and easily track the whole life cycle of a document.

 

2. How Can Signy Be Useful to Participants and Organizers of Public and Commercial Procurements and Auctions?

I will talk separately about each of the activities on the platform:

 

Suppliers are able to prepare tender offer documents for a procurement conveniently and quickly: download already signed electronic documents from the internal Electronic Document Management (hereinafter referred to as EDM) System, approve and sign files in a few clicks, giving them legal validity. You can also use Signy to quickly sign acts from Smarttender LLC.

 

Organizers and bidders of Prozorro.Sale auctions constantly use our service to sign agreements and protocols between the organizer and the winning bidder, as well as acts from Smarttender LLC.

When a winning participant has been selected, commercial purchasers can start the contract formation and signing process immediately from Smart Procurement – the document will automatically be sent via the seamlessly integrated Signy service to the supplier.

 

You can also quickly exchange supporting documentation with the participant by going to the Signy cabinet. This saves considerable time and money compared to sending similar documents by postal operator.

 

3. How Has Martial Law Affected the Operation of Your Service and Customers’ Activity?

As with all Ukrainian businesses, the start of a large-scale military invasion affected the fate of Signy service. In the first days of the war of course the activity of customers decreased, but later thanks to our technicians, managers, and consultants who continued to work and support our customers from different parts of Ukraine, the work was stabilized.

 

There were cases when users called and asked for help with signing, while they were at the factory of their company directly under fire. And at such times, their need for qualified and, most importantly, prompt assistance from our specialists was particularly acute. We tried to solve such cases as quickly as possible and supported our clients.

 

In the future, despite the martial law and the situation in the country as a whole, we continued to develop the service and add new functionality, as well as attract new major clients. For example, over the last year, we have been joined by companies such as Comfy Trade LLS, Group Seb Ukraine LLC, and others.

 

It was during the martial law period that our team developed two new mechanisms for integration with EDM systems like Deals and Document.Online together with our existing connectors Vchasno and M.E.Doc. This enabled us to become the only EDM systems aggregator on the Ukrainian market. That is, Signy users can seamlessly exchange documents with clients of any other service (you can learn more about this from the recording of our report at the "Legal Talks: implementation of electronic document management in IT companies" online event).

 

4. Tell Us More About Signy's Ability to Integrate With Other EDM Services

Usually, a company that constantly exchanges e-documents with its counterparties has to use different interfaces, the choice of which often depends not on its wishes, but on the requirements of the counterparties.

 

We decided to save our users from this problem, so for today, Signy is the only service on the Ukrainian market that can provide the exchange of documents between several different EDM systems. Our specialists have developed special integration modules, which allow users to send and receive documents together with legally significant signatures from counterparties, even if they work from other EDM systems. Additionally, it is possible to exchange document statuses, comments, and refusals. Read more about this here.

 

5. Signy Is a Participant in the Project to Introduce e-DN in Ukraine. Why Is the Transition to an Electronic Format of Such Documents Important?

The main advantage of e-DN implementation, in my opinion, is a significant cost saving on the preparation and transmission of the package of transport documents, as well as the transparency of the transport system.

 

Previously, for a complete transport process, a package of documents was prepared which included three copies of the delivery note – the basic primary document containing information about the transport, the scope of transport, and who was responsible for it (for each transport participant separately) – as well as the accompanying documentation. This package of documents would be carried by the carrier, and after delivery and signature by the consignee, the documentation would have to be handed back to the consignor. It was not uncommon for this documentation to be lost in transit. Or the process of obtaining a complete signed set of documents after delivery took a long time, which in turn could delay the settlement of payments between the parties.

 

If the e-DN system is used, users receive:

1. 1. Simultaneous access to documents for consignor, consignee, and carrier.
   2. A single database of documents where the most up-to-date information is always stored.
   3. Fast monitoring and analysis of road burdens.
   4. Fast settlements for business.
   5. Future e-CMR (international e-DN) integration.
   6. Allocation of responsibility for the transshipment of the vehicle (in the case of paper delivery notes, only the transporter was responsible).

 

At the same time, this makes it possible to avoid corruption risks due to vehicle overloading and risks of tax crimes, and inappropriate tax "optimization".

 

6. Which of Your Customers Have Already Started Using e-DN and For Which Tasks?

The Signy service (formerly SmartSign) has been part of the e-DN pilot project from the beginning. It was using EDM Signy that created the e-DN, which was the first to be registered in the industrial CDB (Central Database).

 

At the moment, several of our clients have already joined the preparatory work for the implementation of e-DN and the adaptation of transport scenarios in accordance with regulatory requirements. These include INDUSTRIAL AND BUILDING GROUP "KOVALSKA" LLC, "Continental Farmers Group" LLS (they use e-DN to process intra-group shipments), and "PHARMWAY TRADING" LLC. These companies are already preparing to test the e-DN functionality and are processing and adapting their transport scenarios with our help.

 

7. In the Summer of 2023 e-DNs Will Become Mandatory in Ukraine. How Should Businesses Prepare for Their Implementation?

Firstly, I advise starting to prepare as soon as possible so that the transition to electronic delivery notes is gradual and as comfortable as possible. This will protect the company from potential fines and misunderstandings when e-DN becomes mandatory.

 

Below I will share a checklist of what you need to do:

1. 1. Choose a provider who will provide you with the technical means to create, sign and register e-DNs with the CDB. This may be Signy or another EDM service of your choice, accredited for such activities.
   2. Order qualified electronic signatures for all employees who will be involved in the shipping processes. Regulations require at least one QES for each participant in the shipment: consignor, carrier, and consignee.
   3. Instruct employees on how to use EDM service, how to fill in e-DN, and how to apply QES.
   4. Provide drivers with smartphones or tablets with internet access to work with e-DN.

 

8. How Does the Transport of Goods With e-DN Take Place?

The procedure for shipping with e-DN is quite simple:

1. 1. After loading the consignment, the consignor uses the provider's website to generate the e-DN, signs it using QES, and attaches the accompanying documents. Then the e-DN is automatically entered into the CDB (Register of Delivery Consignment Notes of the Ministry for Communities and Territories Development of Ukraine) and becomes available for all participants in the transportation process.
   2. The carrier accesses the registered e-DN, checks the consignment, and if all is well, issues a QES on the waybill. The status of e-DN in CDB automatically changes to "Cargo is on its way to consignee".
   3. Consignee, after checking the delivery, applies their QES to the e-DN and sends it to the carrier and consignor to draw up a certificate of completion and to the ordering party to pay for the transport service. The status of the e-DN changes again in the CDB.

 

 

9. Do We Have to Carry a Paper Copy of the Delivery Note?

So far, inspectors from the State Service of Ukraine for Transport Safety are not technically able to check electronic documents, so even if a hauler uses e-DN, they will need to carry a paper copy of the delivery note.

 

But as e-DN is going to be mandatory from summer onwards, this issue is going to be solved in the coming months and paper copies will no longer be needed. Representatives from the State Service of Ukraine for Transport Safety will carry out inspections via a specially designed Inspector's Office.

 

10. What to Do If the Consignor, Carrier, and Consignee Use Different EDM Services?

One of the main objectives of e-DN implementation was to ensure so-called interoperability. In other words, it will be possible for all parties to see the e-DN and the certificates with the latest data and statuses, regardless of which service provider they are using.

 

It should be explained here that e-DNs are only registered in the CDB, not stored. In other words, the central database contains only the metadata needed by the public authorities for control (e.g. information on the transport participants, vehicles, etc.).

 

The consignment notes themselves are transferred between providers and, thanks to interoperability, this happens directly, unnoticed by users and regardless of which EDM services they use.

 

How to Start Using e-DN Via the Signy Service?

The e-DN system is currently being tested and everyone is welcome to take part. If you would like to prepare in advance for the transition to electronic delivery notes, please fill in the form on this page. Signy's managers will contact you and give you full details of how to proceed.