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Shining a Light on Shadow IT: The Hidden Threat to Your Business

Shortcuts are synonymous with efficiency these days. For businesses, though, that’s not always a good thing. Unknown or unapproved IT, or shadow IT, might make things easier in the short term, but the flip side is that it also increases your business’s vulnerability to cyber threats.

This blog will provide you with a comprehensive understanding of shadow IT, helping you recognise and reduce the risks it poses. By delving into what shadow IT is and isn’t, exploring why it can be dangerous, and offering practical steps to prevent it, this blog will guide you on how to ensure innocuous bypasses don’t bring your business to a standstill.

What is Shadow IT?

Shadow IT refers to the use of systems, devices, software, applications, and services without explicit approval from the company’s IT department. This phenomenon typically occurs when employees use personal devices or unauthorised applications to complete their work tasks. Although this might seem harmless, it poses significant risks to your business’s cyber security and overall operations.

For instance, an employee might use a personal file-sharing app to send large files because it’s more convenient than the company-approved method. Or they might use unvetted software to manage projects because it offers features, they find more useful than what’s provided. These actions, while well-intentioned, can lead to serious security vulnerabilities and data breaches.

What Shadow IT Isn’t

It’s important to distinguish shadow IT from other IT-related activities that might seem similar but are far safer. Shadow IT isn’t the same thing as:

BYOD (Bring Your Own Device)

BYOD policies allow employees to use their personal devices for work purposes. Unlike shadow IT, BYOD is an authorised practice where the IT department ensures that personal devices meet specific security standards before being used for work.

These policies don’t constitute shadow IT in their own right, using personal devices for work without following them does.

Sanctioned Third-Party Software

Sometimes, businesses use third-party software or cloud services that are approved by the IT department—Microsoft 365 is a common example. This is distinct from shadow IT because these tools have been vetted and approved for use, ensuring they comply with the company’s cyber security policies.

Open-Source Software

In addition to third-party software, employees might use open-source software that’s officially sanctioned by the company. As long as the use of this is approved and monitored by the IT department, it doesn’t fall under shadow IT.

Understanding these distinctions helps in accurately identifying shadow IT activities and addressing them appropriately.

Why Shadow IT is a Danger to Businesses

Shadow IT can endanger your business in several ways:

Security Risks: Unauthorised applications and devices may lack necessary security features for your (or your industry’s) standards, making them vulnerable to cyber-attacks—so vulnerable, in fact, that almost half of cyber-attacks are the result of shadow IT. This can lead to data breaches, loss of sensitive information, and compromised systems.

Compliance Issues: Businesses must adhere to various regulations regarding data protection. Overlooking shadow IT can lead to non-compliance, resulting in hefty fines and legal complications.

Data Loss: Without proper oversight, data stored on unchecked applications can be easily lost or inaccessible. This could severely impact your business operations and client trust.

Inconsistent Technology: Using a mix of unsanctioned tools can lead to compatibility issues, inefficient workflows, and difficulty in managing your IT resources effectively.

Disruptions: Shadow IT is often driven by businesses prioritising operations over security—which is ironic, because doing so is almost guaranteed to cause security disruptions that ground your team.

Increased IT Costs: When IT support teams in London, Essex, or Herts have to deal with the aftermath of shadow IT activities, it can lead to increased IT costs. Addressing any of the above issues reactively will always incur more expense than taking pre-emptive steps to prevent them.

Stop Shadow IT Posing a Risk to Your Business

Use the following strategies to prevent shadow IT and ensure resilient cyber security in your organisation:

  1. Educate Employees: Regularly educate your team about the risks of shadow IT and the importance of using approved tools and systems. Awareness is the first step in preventing unauthorised IT usage.
  2. Streamline IT Approval Processes: Make it easy for employees to request and receive approval for new tools and applications. Delays and difficulties in the approval process is one of the biggest reasons staff seek alternative solutions in the first place.
  3. Implement Strong Security Policies: Establish clear security policies and ensure they’re communicated effectively across the organisation. These policies should include guidelines for acceptable use of devices and software.
  4. Use Monitoring Tools: Deploy monitoring tools to detect unauthorised applications and devices within your network. This helps in identifying shadow IT activities early and addressing them promptly.
  5. Regular Audits: Conduct regular IT audits to assess the technology being used throughout the business. This helps in uncovering any unvetted tools and ensuring compliance with security policies.
  6. Engage IT Support: Partner with reliable IT support in London, Essex, or Hertfordshire to provide ongoing monitoring, support, and management of your IT infrastructure. These experts can help in identifying and mitigating shadow IT risks effectively.
  7. Encourage Open Communication: Foster an environment where employees feel comfortable discussing their IT needs and challenges with the IT department. Open communication can help in finding suitable, secure solutions that meet their needs without resorting to shadow IT.

Say Goodbye to Shadow IT

Shadow IT represents a hidden threat that can compromise your business’s cyber security and operational integrity. By understanding what shadow IT is and how it differs from other IT practices, you can take proactive steps to minimise its risks. Informed employees, streamlined approval processes, strong security policies, and reliable IT support in London, Essex, or Hertfordshire are all vital facets of protecting your business from the dangers of shadow IT.

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