What is “Shadow IT”?

Shadow IT refers to hardware, software, applications, or services that employees use without the knowledge or explicit approval of the central IT department. With the rise of remote and hybrid work environments, employees have increasingly turned to their own tools, such as Google Docs, Zoom, Dropbox, or niche SaaS platforms, to get work done faster and more flexibly. While often well-intentioned, this practice introduces security risks, compliance issues, and visibility challenges for CIOs and IT leaders.

Legacy software running in outdated environments within the company’s infrastructure

38.79%

IT systems or software used without IT department approval

22.98%

Temporary IT infrastructure set up during peak usage periods that is later decommissioned

19.77%

Unauthorized hacking attempts by internal staff members

18.46%