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Be careful—some folks just don't play by the rules
Let’s say you’re running a thriving business with hundreds of employees. You want all of them to perform at their best, of course, but never at the expense of your company’s security. That’s why you’ve established some clear guidelines on how they should handle company data and which IT systems and apps they can use.
The problem? Not everyone is on board with this strategy. Whether they don’t fully understand why these rules are in place or simply prefer to do things their own way, they might be (un)intentionally putting your business at risk. Being aware of this issue is the first step to addressing a problem known as “shadow IT.”
Contents:
What is “shadow IT,” exactly?
You might have figured out by now that shadow IT refers to the use of IT systems, applications, and services without the approval of the organization's IT department. In other words, it describes a situation where employees use off-the-books devices, cloud storage, or third-party solutions for work tasks without getting the green light from their employers.
What’s driving employees to turn to shadow IT?
The answer is simple: convenience. Some employees simply feel that the tools and applications their employer provides limit their ability to get things done efficiently.
The presence of shadow IT in a business often signals that the staff is unhappy with the tools available to them. So, they take matters into their own hands, and this can lead to some impressive outcomes like driving innovation, boosting productivity, and even cutting costs.
That said, we can’t ignore the fact that shadow IT is really dangerous. It can put sensitive data at risk of breaches, create compliance issues, and open up security gaps that could put the whole organization in jeopardy. Therefore, companies should not only work to prevent shadow IT but also view any signs of it as a signal that they need to improve the tools and systems they provide.
How can you detect shadow IT?
By now, you might be wondering: how can I check if employees are using unauthorized IT tools at work? Well, you’ve got a few options here, with the most popular and effective ones being:
Monitoring and auditing
By keeping an eye on network traffic and application logs through regular monitoring, you can easily spot any unauthorized systems, applications, or devices your employees might be using—and how they're using them. Additionally, setting up a routine audit schedule is a great way to detect shadow IT activity, making sure everyone is on the same page.
Using a cloud access security broker (CASB)
It’s pretty likely that your employees are using at least a few cloud-based services for work. That’s why keeping an eye on cloud usage is super important. This is where a cloud access security broker (CASB) comes in handy. It gives you a clear view of which apps your team is using so you can catch any unauthorized tools before they turn into a bigger issue.
Listening to your employees and educating them
This might seem trivial, but it could be one of the most important points on our list. As we mentioned earlier, when employees feel frustrated with the authorized tools, they often resort to breaking the rules. That’s why it’s crucial to listen to their concerns and pinpoint any bottlenecks that might lead to shadow IT practices. Additionally, investing in thorough training programs and establishing clear policies for using IT tools can make a big difference. This not only helps create a solid framework for requesting and approving new tools but also fosters a culture of transparency.
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Understanding the risks of shadow IT
Based on what we’ve discussed so far, it’s clear that shadow IT can put a company in a tough spot. But let’s dive deeper into what that really means. What are the specific dangers when employees start using unauthorized IT tools at work? Here are the biggest risks of shadow IT:
Data being exposed to unauthorized parties
When employees use tools that aren’t approved, it opens the door for sensitive information to be accessed by people who shouldn’t be able to see it.
Challenges in system updates
When team members start using different unauthorized tools, it makes keeping everything up to date a real challenge. Without a unified approach, where the IT department manages all the software and tools, it can create gaps that leave the systems vulnerable.
Risk of non-compliance
Organizations are subject to numerous regulations that must be adhered to. The use of shadow IT by employees increases the likelihood of non-compliance, which can result in significant penalties.
Potential for damage to corporate reputation
Incidents stemming from shadow IT can seriously hurt a company’s image. Today’s customers want to know their data is safe, and any slip-ups can shake their trust and confidence in the business.
Popular shadow IT examples
You might be curious about what employees engage in when they resort to shadow IT. Well, it often starts small and rather innocent—like when someone uses personal apps, such as Spotify, on a work computer just to brighten their day. But it can quickly escalate.
For instance, employees might end up using unauthorized cloud services to manage company data, which puts that information at risk of exposure. They might also turn to unapproved communication tools to share sensitive information (like passwords for company accounts) via apps that aren’t properly protected or monitored.
Another common scenario is when employees access company data on their devices. If those devices aren’t secured by the company, it can lead to serious vulnerabilities. And if someone accesses the company’s social media accounts from an unsecured device, it could result in account takeovers or even the spread of false information through official channels.
These are just a few examples, but as you can see, there are countless ways employees can introduce unauthorized tools at work and create significant risks.
How NordPass can help in this regard
While NordPass might not be a one-stop solution for all your shadow IT challenges, it can definitely help tackle some of them. How so?
First off, as a password manager, NordPass makes it easy for the IT teams to manage and share passwords, passkeys, and even company credit card details quickly and securely. Plus, it can help you enforce a strict password policy throughout the organization, ensuring everyone stays on top of this important security issue.
Another great feature is the ability to monitor and control access to company resources so that only the right people can access sensitive information using the appropriate tools.
And that’s not all—NordPass Business has plenty of other features to help keep things in check and prevent employees from relying on unauthorized solutions. If you're curious to learn more, be sure to check out our website for all the details.