As workplaces have become more digital, employees often find that the technology provided by their organization does not fully meet their needs. In response, they turn to their own solutions, whether it’s communication platforms, project management tools, or cloud-based storage. When employees use unauthorized software, apps, or tools, it can pose significant risks to a business’s security and stability. This concern is known as Shadow IT.
These “off the record” resources are not covered under a company’s cybersecurity protocols and are often more vulnerable to data breaches, non-compliance risks, integration challenges and cybersecurity threats. In this blog we will dive into the risks Shadow IT presents and, most importantly, how to protect your business. By being proactive and implementing the right precautions, you can prevent shadow IT from jeopardizing your operations.
The Most Common Types of Shadow IT
Shadow IT does not mean the resources are 
inherently non-secure. The issue lies in the fact that management does not know they are in use. Businesses need to be able to identify specific instances of Shadow IT to mitigate risks and prevent similar future occurrences. Some examples to look out for include:
Messaging Apps: Popular platforms like WhatsApp, Slack, Microsoft Teams, Facebook Messenger, Signal, and Skype are frequently used by employees on work devices, despite not being officially sanctioned by IT.
Personal Devices: Employees often use personal devices (BYOD), such as flash drives and smartphones, for storing and sharing sensitive business information, posing security threats.
Cloud File Storage: Many turn to convenient services like OneDrive, Dropbox, and Google Drive for file sharing without notifying the IT department, increasing the risk of data exposure.
Efficiency Tools: Tools like ChatGPT, Grammarly, Trello, Asana, Airtable, and Monday can enhance productivity but may lack integration with secure corporate IT infrastructure.
Email: Employees sometimes send work-related files through personal email accounts, introducing potential security breaches.
IoT Devices: Smart, network-connected devices like cameras, wireless printers, smart TVs, and badge readers can introduce vulnerabilities if not correctly managed by IT. Addressing Shadow IT proactively is crucial for enhancing security and maintaining control over the organization’s digital landscape.
Shadow IT Risks
Shadow IT introduces a range of 
risks to an organization, often going undetected until serious problems arise. Here are the key risks associated with shadow IT:
Loss of IT Visibility and Control: When employees use unauthorized tools and cloud-based applications, the company loses visibility over how sensitive data is accessed, stored, and shared. This lack of control makes it difficult to monitor security, manage software updates, and enforce security measures, leaving the company vulnerable to security risks.
Data Insecurity: Shadow IT often leads to sensitive data leaks as employees may use unsecured file-sharing services or store confidential information on personal devices. Since these tools bypass official security measures, the company is at a higher risk of data breaches and unauthorized access, potentially resulting in significant damage to the organization’s reputation and finances.
Compliance Issues: Using Shadow IT can inadvertently cause a company to violate data protection regulations, such as GDPR or HIPAA. Unauthorized tools may not comply with industry standards for handling sensitive data, exposing the company to legal penalties, fines, and increased scrutiny from regulatory bodies.
Business Inefficiencies: Shadow IT applications often do not integrate seamlessly with sanctioned IT systems, leading to fragmented workflows. This fragmentation can cause data inconsistencies, communication breakdowns, and operational inefficiencies, ultimately impacting employee productivity and setting back business growth.
How to Mitigate the Risks
Preventing shadow IT requires a proactive 
approach. Here are key steps to safeguard your business while equipping employees with the tools they need:
Foster open communication: Encourage a workplace culture where employees feel comfortable discussing their technology needs. Understanding these challenges allows IT teams to recommend suitable tools and reduces the likelihood of Shadow IT.
Develop clear policies: Create and communicate guidelines outlining which tools and technologies are approved. Educate employees on why these policies are essential for maintaining security, compliance and efficiency.
Provide user-friendly tools: Ensure that approved applications and systems are effective and easy to use. Regularly solicit feedback through surveys or discussions to assess employee satisfaction with the company’s technology stack.
Educate your team: Offer training sessions to help employees understand the risks of shadow IT and the importance of using approved tools. Real-world examples of security breaches and compliance violations can make the message more impactful.
Use monitoring software: Implement tools that detect the use of unauthorized applications and devices. While this should not replace trust, monitoring can identify potential risks and help IT teams address issues proactively.
Secure your Business Against Shadow IT
As experts in securing information, 
PointSolve is uniquely positioned to help you tackle the challenges of Shadow IT. We specialize in implementing tailored solutions that ensure robust security while maintaining an excellent user experience, thereby discouraging the use of unauthorized applications.
Don’t leave your company’s IT security vulnerable. Contact us today to learn how we can help safeguard your systems against the hidden risks of Shadow IT and strengthen your cybersecurity measures. Together, we can protect the critical infrastructure that forms the backbone of your business.