TL;DR
- 85% of businesses have suffered cybersecurity incidents linked to Shadow IT in the past two years.
- 65% of SaaS applications used in companies are not approved by IT ([Zluri]).
- Shadow IT can boost productivity and innovation but exposes organisations to major security and compliance risks ([Wiz]; [Syteca]).
- An effective policy relies on detection, risk assessment and collaboration between IT and business units ([Reco]; [Talend]).
- Specialised tools today allow you to monitor and frame the use of unauthorised applications without stifling team agility ([Reco];[Talend]).
1. Shadow IT: understanding the phenomenon
Shadow IT refers to employees using software, cloud apps or digital tools without validation or supervision from the IT department. This phenomenon is exploding with remote work and the proliferation of SaaS.
Employees primarily seek tools that are simple, quick to implement and adapted to their business needs, even if this means sidestepping internal processes considered too slow or restrictive.
2. The benefits of Shadow IT: agility and innovation
Although Shadow IT is worrying, it also offers advantages:
- Increased productivity: 80% of employees adopt these tools to save time and work more efficiently ([Syteca]).
Innovation: experimenting with new services can sometimes reveal innovative solutions that IT hadn''t identified ([Wiz]).
Enhanced collaboration: some unofficial tools make communication and cooperation easier, particularly with external partners ([Syteca]).
Autonomy: teams feel empowered and able to quickly solve their business problems ([Wiz]).
3. The risks of Shadow IT: security, compliance and inefficiency
But these benefits have a downside:
- Security: nearly one out of two cyberattacks is linked to Shadow IT, with an average cost of US$4.2 million to remediate ([Zluri]). Unapproved apps are rarely audited or maintained.
Compliance: the lack of control over data flows exposes organisations to regulatory penalties, as illustrated by the US$1.1 billion fine imposed on several financial institutions for using unauthorised messaging tools.
Fragmentation: the proliferation of uncoordinated tools creates data silos, complicates collaboration and generates operational inefficiencies ([Securing The Universe]).
4. Succeeding in the transition: key steps for managed oversight
Managing Shadow IT is not about banning it but about accompaniment:
- Detect and map: use discovery tools to identify all applications used, whether approved or not ([Reco]; [Reco]).
- Assess risks: rank tools according to their criticality (access to sensitive data, compliance, security) to prioritise actions ([Reco]).
- Dialogue and co‑construction: bring IT and business units together to define an acceptable level of risk and possible trade‑offs ([Talend]).
- Implement governance solutions: deploy SaaS management platforms or security tools (CASB, SSPM) to monitor, frame and automate compliance without stifling innovation.
- Train and raise awareness: involve employees in the process so they understand the issues and become actors of security.
Blue Fox’s message
At Blue Fox, we believe Shadow IT is above all the symptom of a need for agility and innovation. Our mission: help organisations turn this challenge into an opportunity, reconciling security, compliance and operational efficiency. With a pragmatic approach and the right tools, we support our clients towards a modern, open and resilient IT governance.
#ShadowIT #Cybersecurity #DigitalTransformation #Innovation #ITGovernance #BlueFox
Sources:
Zluri, Shadow IT Statistics: Key facts to learn in 2025
Wiz, What Is Shadow IT? Causes, Risks, and Examples
Talend, Shadow IT: definition and guide for managing risks
Reco, What is Shadow IT? Causes, Risks & Best Practices
Reco, Managing Shadow IT: Top Strategies for 2025
Syteca, What is Shadow IT? Definition, Risks, and Examples
Securing The Universe, Shadow IT: A Comprehensive Guide for 2025