Shadow IT - What is it, why it happens and how to resolve
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Shadow IT refers to the use of unauthorized technology resources by business units without the approval or knowledge of the IT department. This often occurs because business units see the IT department as too slow or bureaucratic to meet their needs, or because of overzealous employees. While business units argue that Shadow IT allows them to achieve goals more quickly, IT departments counter that it poses security and operational risks to the organization. The document recommends that IT departments and business units improve communication and work together collaboratively to resolve issues with Shadow IT in a way that supports both business and technical needs.
Shadow IT - What is it, why it happens and how to resolve
- 1. Bringing IT out of the shadows
- 2. What is Shadow IT? The act of purchasing or using technology for the workplace without the approval or knowledge of the IT department is called Shadow IT.
- 3. Examples • DevOps team purchasing an instance of a caching server to balance load bypassing IT in order to not have users suffer downtime • Sales team sharing crucial customer data, even internally, using a personal account of Google Drive • Using an unauthorised pen drive. Yep!
- 4. WHY DOES THIS HAPPEN? • IT Department is considered slow and bureaucratic by business units in some organizations. • With the market moving at breakneck speed, business units don’t want to wait for IT to fulfil service requests. • Overzealous employees with (mostly) good intentions Why does this happen?
- 5. The catalysts • Cloud technology • eCommerce • Tech savvy credit card toting managers • Consumerization of technology
- 6. Is the practice of Shadow IT bad? Business says NO. IT says YES.
- 7. Business IT We don’t have ,me to fill forms If you don’t fill forms, there will be miscommunica,on We can do our own tech research, thank you. We do that too. And we are paid to do it. IT is s,ll stuck in with 80s soBware. Stable soBware, anyone? We have the latest soBware at our finger,ps Good luck troubleshoo,ng. I’d rather take ad-‐hoc decision to keep business afloat than wait for IT Following processes is good for the long term.
- 8. Business units • The need to get things done ASAP. • Decentralisation of decision making the norm. • Decreased bureaucracy • Lean organisations and flatter hierarchies.
- 9. IT say If IT is expected to help you with your tech, they need to be aware of the techs you use. If IT is expected to firefight, they also need to define security guidelines to prevent the fires. Proactive is the way to go. Reactive is so 2004.
- 10. Risks involved • Acquisition of software from dubious sources – download sites, cloud services with poor security • Ill-researched information leading to bad tech choices • Bug infested software • Obvious data security risks • Risk of malware or virus infiltrating the corporate network
- 11. “By 2015, 35% of enterprise IT expenditures for most organisations will be managed outside the IT department’s budget.” 35% Source
- 12. How to resolve • Broad-minded CIO The CIO is to the IT organization what the CEO is to the business. • Openness of the IT department Processes should be designed around the business and not the other way round. • Communication Let business know the repercussions of bypassing IT. Earn their respect. • Protect and to serve After all, IT can’t fight something if we don’t know what we are fighting.
- 13. In conclusion • Shadow IT is necessary evil. • Look at Shadow IT as something that takes burden off IT while ensuring necessary processes are followed. • IT and business units should work together to ensure a smooth and productive work environment. Bring IT out of the shadows.
- 14. This article was originally published in Learn more about managing assets in your organisation here. freshservice.com hello@freshservice.com