May 26, 2025
Your employees could be your biggest cybersecurity vulnerability, and it's not just about their tendency to click on phishing emails or reuse passwords. The real issue lies in the applications they use without your IT team's knowledge.
This phenomenon is known as Shadow IT, and it's rapidly becoming one of the most significant security threats for businesses today. Employees often download and use unauthorized applications, software, and cloud services, frequently with good intentions, but this behavior can create substantial security risks without their awareness.
What Is Shadow IT?
Shadow IT encompasses any technology utilized within a business that hasn't received approval, vetting, or security measures from the IT department. Examples include:
- Employees utilizing personal Google Drives or Dropbox accounts for storing and sharing work documents.
- Teams registering for unapproved project management tools like Trello, Asana, or Slack without oversight from IT.
- Workers installing messaging applications like WhatsApp or Telegram on company devices for communication outside 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 IT teams can't secure them, exposing businesses to various threats.
- Unsecured Data-Sharing: Employees using personal cloud storage, email accounts, or messaging apps can inadvertently leak sensitive company information, making it easier for cybercriminals to intercept.
- No Security Updates: IT departments routinely update approved software to fix vulnerabilities, but unauthorized applications often remain unchecked, leaving systems vulnerable to hackers.
- Compliance Violations: If your business is subject to regulations like HIPAA, GDPR, or PCI-DSS, using unapproved applications can result in noncompliance, fines, and legal issues.
- 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 (MFA) 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 instance, the "Vapor" app scandal uncovered by IAS Threat Labs revealed over 300 malicious applications 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 cases, 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 applications can infiltrate devices and 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 security risks involved.
- They believe IT approval takes too long, prompting them to take shortcuts.
Unfortunately, these shortcuts can lead to significant costs for your business in the event of a data breach.
How To Stop Shadow IT Before It Hurts Your Business
You can't address what you can't see, so managing Shadow IT requires a proactive strategy. Here are some steps to consider:
1. Create An Approved Software List
Collaborate with your IT team to develop a list of trusted, secure applications that employees can use. Ensure this list is regularly updated with newly approved tools.
2. Restrict Unauthorized App Downloads
Establish device policies that prevent employees from installing unapproved software on company devices. If they require a tool, they should seek IT approval first.
3. Educate Employees About The Risks
It's essential for employees to recognize that Shadow IT is not merely a productivity shortcut; it's a security risk. Regularly train your team on the potential 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 (EDR) 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 way to combat Shadow IT is to proactively address it before it results in a data breach or compliance crisis.
Want to know what unauthorized apps your employees are using right now? Start with a FREE 15-Minute Discovery Call. We'll identify vulnerabilities, flag security risks and help you lock down your business before it's too late.
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