Many businesses have embraced remote work arrangements, in which employees are given the flexibility to work from anywhere. However, this flexibility has also fueled the rise of shadow IT, or the use of hardware, software, or technology tools for work without the IT department’s knowledge, approval, or oversight. Shadow IT can encompass any unauthorized tool such as cloud storage services, collaboration platforms, and third-party apps installed on personal devices.
Why shadow IT is a concern
While employees often adopt shadow IT with good intentions, such as to improve efficiency or streamline workflows, doing so can pose significant risks to your business, including:
- Data loss: Sensitive company data may end up on unsecured platforms, which may expose it to various risks such as accidental loss or theft.
- Inefficient IT management: Without knowing what tools employees use, IT teams may become less effective at managing or securing the organization’s network.
- Security breaches: Unregulated tools may lack critical security features such as encryption, multifactor authentication (MFA), and routine vulnerability patches, leaving your business exposed to cyberthreats.
- Compliance issues: Shadow IT can lead to noncompliance with industry regulations, such as HIPAA and PCI DSS, as these tools may not be properly set up to meet required standards.
- Increased IT costs: Shadow IT can lead to unexpected expenses such as additional licensing fees, duplicate software subscriptions, or costly recovery efforts after a security breach. IT teams may also need to invest in enhanced security solutions to address these risks.
How to manage shadow IT
Effectively managing shadow IT involves an approach that addresses both security concerns and user needs. Here’s how to do it:
Build a comprehensive policy
Employees often resort to using tools other than those sanctioned by the company when they lack clear guidelines on acceptable and available resources. To address this, your organization should create a clear IT policy that not only establishes boundaries but also empowers employees to work efficiently within a secure framework.
Your IT policy should:
- Emphasize the importance of maintaining security standards and adhering to industry regulations
- Explain the risks associated with shadow IT
- Provide a straightforward process for requesting and approving new tools
Identify shadow IT assets
You can’t manage what you don’t know exists, so it’s important to gain visibility into shadow IT. The following methods can help uncover unauthorized technologies within your organization:
- Automated monitoring: Implement software that scans your network for unapproved applications.
- Risk assessments: Regularly review your systems to identify vulnerabilities, misconfigurations, and outdated software.
- Cloud security reviews: Audit cloud services to check if they follow your organization’s security policies.
Equip employees with the right tools
To minimize the use of shadow IT, provide secure and user-friendly tools for everyday tasks such as communication, file sharing, and project management. This way, you are able to empower employees to do their tasks while allowing your IT teams to maintain control and oversight over your systems.
You should also regularly gather feedback to identify technology gaps and inefficiencies in your employees’ workflows.
Implement basic security measures
Managing shadow IT effectively requires a solid security foundation. Strengthen your company’s defenses by implementing the following security measures and solutions:
- Virtual private networks: Safeguard sensitive data from unauthorized access by establishing encrypted connections for all remote users.
- MFA: Require more than one proof of identity (e.g., a password, a fingerprint, or a one-time PIN) to reduce the risk of unauthorized account access.
- Regular patch management and software updates: Consistently apply security patches and updates to address software vulnerabilities and protect against potential exploits.
- Data encryption: Convert sensitive data into an unreadable format so that only users with the decryption key can access it.
- Data backups: Create copies of your data to ensure it can be restored in case it gets lost or corrupted.
- Least-privilege access control: Limit user access to only what’s necessary for their job in order to reduce the impact of potential security breaches.
- Zero trust security model: Require continuous verification of every user and device attempting to access your network to reduce the risk of unauthorized access.
Educate your workforce
Security awareness is critical in mitigating shadow IT risks, so make sure to include the following topics in your regular cybersecurity training sessions:
- Risks of shadow IT: Explain the potential consequences such as data breaches and compliance violations.
- Secure technology practices: Teach safe browsing habits, password management, and how to identify phishing attempts.
- Threat identification and reporting: Encourage employees to recognize and report suspicious activity right away.
Managing shadow IT doesn’t have to be overwhelming. AllConnected offers tailored IT solutions to help you uncover and manage shadow IT while improving your overall security posture. Schedule a consultation with us today to create a more secure and efficient IT environment.
