By Sethu Meenakshisundaram
Image created with Microsoft CopilotIn just a year and a half, Gen AI has already revolutionized how businesses operate by enabling unprecedented levels of efficiency and productivity. Yet, this innovation has also created an entirely new set of challenges, one of which is security. Enter Shadow AI, which is defined as the unauthorized use of AI applications within an organization, often occurring without the knowledge or oversight of IT and security teams.
Shadow AI is like the Wild West of the tech world: a lawless frontier where sensitive data can be shared with reckless abandon and the various consequences of gen AI misuse are unpredictable. Employees can easily accidentally share confidential information while using gen AI tools to draft emails, create content, or analyze data, often completely unaware of the potential security implications. The lack of visibility and control over employees’ gen AI usage can lead to numerous complications such as data breaches, compliance violations, and reputational damage.
Organizations should take a proactive and detailed approach to address the challenges posed by Shadow AI while also still tapping into the innovation and productivity gen AI enables:
Step One: Discovery Gaining visibility into the AI applications being used within the organization. By leveraging methods such as SSO integration, IAM tools, and browser agent monitoring, IT and security teams can identify unauthorized AI applications and assess the risks they pose.
Step Two: Gather Intelligence Gathering intelligence on these applications, which includes understanding who has access to them, what data is being shared, and how frequently they are being used. With this information, organizations can categorize AI applications based on their risk level and establish policies and guidelines for their usage.
Step Three: Control Organizations must implement processes to enforce policies and restrict access to unauthorized AI applications. They can achieve this through a combination of user education, policy enforcement, and technical controls, such as access management, access reviews, and data protection solutions. By establishing this framework of responding, reviewing, and reinforcing, organizations can more effectively manage the risks associated with Shadow AI.
The landscape, however, is constantly evolving; a one-size-fits-all approach may not be sufficient for every organization. Organizations must collaborate between IT, security, and business teams to strike a balance between security and productivity. Regular communication, training, and awareness programs can also help employees understand the risks associated with AI usage and empower them to make informed decisions.
As we venture further into the AI frontier, it is important to remember that while the risks of gen AI are significant, so too are the opportunities it creates. By proactively addressing the challenges posed by Shadow AI, organizations can harness the power of AI while keeping their data and systems safe from harm.
About the author
Sethu is a co-founder at Zluri. He works with IT, compliance and financial leaders across the globe to help them get 100% visibility across their SaaS apps, users and access – so they can sleep at night and not worry about any shadow IT issues lurking in the darkness.
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