The company said its new SignatureServer SmartCard fitted with a Sign-and-Crypt-for-SAP software module can be integrated easily into existing R/3-based business processes.

Jackie Groves of Utimaco said the development stems from work carried out by a division of the business that deals with transaction security, certificates and Public Key Infrastructure projects. She said the system is designed to comply with European electronic signature laws.

SAP users can already use digital signatures and document encryption to secure documents with products like the Java Cryptographic Toolkit and the SAP Secure Store and Forward mechanisms, and protect messages regardless of where they are stored or how they are transported.

These systems in effect wrap data and digital documents in a secure format before they are forwarded. Utimaco said that via the SSF interface, a number of other external security products from the SAP Security Library can be implemented in parallel with its new SignatureServer SmartCard. Pricing for the system will start at 25,000 euros (about $34,000), plus a monthly charge determined by the number of signatures used.

The advantages of signature servers lie in the area of performance. Smartcards are not only slower, but in parts also not suited for big data amounts. Additionally, a hardware security module provides space for additional applications like the integration of time-stamp functionalities or payment transaction protocols for transaction-based security. The signature application and the signature key are both secured in the hardware security module.

Invoice processes that rely on a mix of electronic data transfer and the usual printout and despatch via mail, can cost on average about 1.40 euros ($1.90) per invoice. If the invoicing is done exclusively electronically, the cost is likely to fall by as much as 1 euro ($1.35).

A digital signature is comparable to a handwritten signature on a paper document and can be applied to any digital document or message. The digital signature uniquely identifies the signer, is not forgeable, and also protects the integrity of the document. If the document is changed after being signed, the digital signature is no longer valid.