Shadow IT refers to the unauthorized use of IT systems, hardware, software, or cloud services without the knowledge or approval of an organization’s IT department. Examples range from using services like Dropbox to more complex unauthorized implementations, leading to numerous security and compliance risks.

Risks of Shadow IT:

1. Security Risks: Since the IT department is unaware of the use of these systems, it introduces vulnerabilities and security loopholes, particularly with SaaS applications that exchange sensitive data.

2. Inefficiency in Collaboration: Using different applications across departments affects collaboration. An average organization may use 55-60 file-sharing systems, which can be reduced to improve efficiency.

3. Configuration Management Risks: Shadow IT leads to mismanagement in configuration as unauthorized applications are not documented in the organization's database.

4. Cost Risks: Shadow IT can increase costs as projects require additional resources, driving up expenses unnecessarily.

Mitigating the Risks with Attack Surface Management:

1. Communication: Clear and transparent communication between IT professionals and users is essential for understanding IT needs and preventing Shadow IT.

2. Employee Education: Educating employees on the risks of Shadow IT helps them understand its dangers and take preventive measures.

3. Technology Use: Implementing technologies to detect unauthorized IT systems is crucial in addressing Shadow IT.

4. Continuous Evaluation: Ongoing assessments to find new ways to mitigate the risks of Shadow IT are necessary as not all Shadow IT systems pose the same level of risk.

About Genesis:

Genesis is a cyber risk management platform that combines attack surface and third-party risk management. Businesses can monitor cybersecurity posture, map digital assets, and reduce attack surfaces, helping to prevent data breaches and discover potential threats.