Your employees could pose the greatest cybersecurity threat to your organization, not just because they may fall for phishing scams or reuse passwords, but because they are using applications that your IT department is unaware of.
This phenomenon is known as Shadow IT, and it is rapidly becoming one of the most significant security challenges for businesses today. Employees often download and utilize unauthorized applications, software, and cloud services, usually with good intentions, but this behavior creates substantial security risks without their knowledge.
What Is Shadow IT?
Shadow IT encompasses any technology utilized within a business that has not been approved, vetted, or secured by the IT department. This can include:
- Employees using personal Google Drive or Dropbox accounts to store and share work-related documents.
- Teams signing up for unapproved project management tools like 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 employing AI content generators or automation tools without confirming their security.
Why Is Shadow IT So Dangerous?
The lack of visibility and control over these tools means that IT teams cannot secure them, exposing businesses to various threats.
- Unsecured Data Sharing: Employees using personal cloud storage, email accounts, or messaging apps could accidentally 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 attacks.
- Compliance Violations: For businesses subject to regulations like HIPAA, GDPR, or PCI-DSS, using unapproved apps can result in noncompliance, fines, and legal issues.
- Increased Phishing and Malware Risks: Employees may unknowingly download malicious apps that appear legitimate but contain malware or ransomware.
- Account Hijacking: Using unauthorized tools without multifactor authentication can expose employee credentials, allowing hackers to access company systems.
Why Do Employees Use Shadow IT?
In most cases, the use of unauthorized applications is not malicious. For example, the "Vapor" app scandal revealed a widespread ad fraud scheme uncovered by IAS Threat Labs. In March, over 300 malicious applications were found on the Google Play Store, collectively downloaded more than 60 million times. These apps masqueraded as utilities and health tools but were designed to display intrusive 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 unusable. This incident underscores how easily unauthorized apps can compromise security.
Employees may also resort to unauthorized apps because:
- They find company-approved tools frustrating or outdated.
- They seek to work more quickly and efficiently.
- They are unaware of the associated security risks.
- They believe obtaining IT approval takes too long, prompting them to take shortcuts.
Unfortunately, these shortcuts can have significant repercussions for your business in the event of a data breach.
How To Stop Shadow IT Before It Hurts Your Business
To address Shadow IT, a proactive approach is essential since you cannot manage what you cannot see. Here are some steps to consider:
1. Create An Approved Software List
Collaborate with your IT team to compile a list of trusted, secure applications that employees can use, ensuring this list is updated regularly with new approved tools.
2. Restrict Unauthorized App Downloads
Implement device policies that prevent employees from installing unapproved software on company devices. Employees should be required to seek IT approval before acquiring new tools.
3. Educate Employees About The Risks
It is crucial for employees to understand that Shadow IT is not merely a shortcut for productivity but a significant security risk. Conduct regular training sessions to inform your team about the dangers of using unauthorized applications.
4. Monitor Network Traffic For Unapproved Apps
IT teams should employ network-monitoring tools to identify unauthorized software usage 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 any suspicious activity in real-time.
Don't Let Shadow IT Become A Security Nightmare
The most effective strategy to combat Shadow IT is to address it proactively before it results in a data breach or compliance crisis.
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