Your employees could pose the greatest cybersecurity threat to your organization, not merely due to their tendency to click on phishing emails or reuse passwords. The real issue lies in their use of applications that your IT department is unaware of.
This phenomenon is known as Shadow IT, and it represents one of the most rapidly growing security threats for businesses today. Employees often download and utilize unauthorized applications, software, and cloud services—often with good intentions—but in doing so, they inadvertently create significant security vulnerabilities.
What Is Shadow IT?
Shadow IT encompasses any technology employed within a business that hasn't received approval, assessment, or security measures from the IT department. Examples include:
- Employees utilizing personal Google Drive or Dropbox accounts for storing and sharing work documents.
- Teams subscribing to unapproved project management tools such as Trello, Asana, or Slack without IT oversight.
- Workers installing messaging applications like WhatsApp or Telegram on company devices to communicate outside of official channels.
- Marketing teams utilizing AI content generators or automation tools without verifying their security.
Why Is Shadow IT So Dangerous?
The lack of visibility and control over these tools leaves IT teams unable to secure them, exposing businesses to various threats.
- Unsecured Data Sharing: Employees using personal cloud storage, email accounts, or messaging apps may inadvertently leak sensitive company information, making it easier for cybercriminals to intercept.
- No Security Updates: While IT departments regularly update approved software to address vulnerabilities, unauthorized applications often go unchecked, leaving systems vulnerable to hackers.
- Compliance Violations: Businesses subject to regulations like HIPAA, GDPR, or PCI-DSS may face noncompliance, fines, and legal issues by using unapproved applications.
- Increased Phishing and Malware Risks: Employees may unknowingly download malicious applications that appear legitimate but contain malware or ransomware.
- Account Hijacking: Utilizing unauthorized tools without multifactor authentication can expose employee credentials, enabling hackers to access company systems.
Why Do Employees Use Shadow IT?
In most cases, employees do not act maliciously. For instance, the recent "Vapor" app scandal revealed an extensive ad fraud scheme, with over 300 malicious applications found on the Google Play Store that were downloaded more than 60 million times. These apps masqueraded as utilities and health tools but were designed to display disruptive ads and, in some instances, phish for user credentials and credit card information. Once installed, they concealed their icons and inundated users with full-screen ads, rendering devices nearly inoperative. This incident underscores how easily unauthorized applications can compromise security.
Employees may also resort to unauthorized applications because:
- They find company-approved tools frustrating or outdated.
- They seek to work faster and more efficiently.
- They are unaware of the associated security risks.
- They believe that obtaining IT approval takes too long, leading them to take shortcuts.
Unfortunately, these shortcuts can have serious consequences for your business in the event of a data breach.
How To Stop Shadow IT Before It Hurts Your Business
Addressing Shadow IT requires a proactive approach, as you cannot manage what you cannot see. Here are steps to get started:
1. Create An Approved Software List
Collaborate with your IT team to compile a list of trusted, secure applications that employees can use, ensuring it is regularly updated with new approved tools.
2. Restrict Unauthorized App Downloads
Establish device policies that prevent employees from installing unapproved software on company devices. They should seek IT approval before acquiring any tools.
3. Educate Employees About The Risks
Employees must understand that Shadow IT poses security risks, not merely productivity shortcuts. Provide regular training on the dangers of unauthorized applications.
4. Monitor Network Traffic For Unapproved Apps
IT teams should employ network-monitoring tools to identify unauthorized software use and flag potential security threats before they escalate.
5. Implement Strong Endpoint Security
Utilize endpoint detection and response solutions to monitor software usage, prevent unauthorized access, and detect suspicious activity in real time.
Don't Let Shadow IT Become A Security Nightmare
The most effective way to combat Shadow IT is to proactively address it before it results in a data breach or compliance failure.
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