back to article 'Shadow IT' gradually sapping power and budget from CIOs

The CIO's power over IT budgets is being slowly eroded, with spend now increasingly dispersed throughout organisations, according to a survey of 1,000 IT "decision-makers". The research from BT said CIOs now face a "Darwinian moment", with 76 per cent reporting unauthorized "shadow IT" within their businesses - an element that …

  1. Anonymous Coward
    Anonymous Coward

    One Day

    Technology will catch up, systems and infrastructure will be good enough to support everyone doing their own thing in the IT field from average towers, home st.

    Unfortunately that will probably be after two or three major cock ups where "my smart TV infected the work cloud share, we didn't realise for six months", "my tablet has been acting as an open gateway and nasty people have been taking our stuff!" etc.

    Once it is locked down enough to be safe it won't be so sexy, and the price will go up and your support, well that will be online too, if they can find the time between new customers.

    1. LucreLout

      Re: One Day

      Once it is locked down enough to be safe it won't be so sexy, and the price will go up and your support, well that will be online too

      Annoyingly, where I work the IT support dept. had been online for the past 5 years. They've now replaced that with something better [1] - all online interaction is replaced with a ticketing system, and if you need to speak to a human, you can queue for 20 minutes for seomone in India to read you a script: Yes, I have rebooted, no that has not fixed the issue, yes I'm sure I should be able to do whatever it is I'm calling about.

      And all because someone did an MBA. Why do upper management of corporates not see that doing a mid-career MBA makes them graduates as opposed to qualified to change things. Graduates start at the bottom, they don't continue at the top.

      [1] Better: Defined as cheaper for the company, gives the CIO more air miles and expensive trips away, and has no noticeable downside tot hose sat in the board room. May not actually be better in the OED sense.

      1. Doctor Syntax Silver badge

        Re: One Day

        "And all because someone did an MBA."

        At some point MBA courses will start using the Sony cockup as a case study, especially if it proves terminal. When that happens MBAs will finally be given a clue that this security stuff matters.

        In the meantime it might be a good idea to start a rumour that the initial Sony break-in was via a BYOD - at best it'd be useful FUD & possibly even true (you heard it here first).

  2. Anonymous Coward
    Meh

    Obstacle or Enabler?

    Your IT department will either be seen as an obstacle or an enabler to the end users needs.

    Make life too easy and users will wonder what you do with all of your free time, which can lead to a surplus of unpaid free time.

    Too hard and they'll circumvent you.

    1. dogged

      Re: Obstacle or Enabler?

      > Too hard and they'll circumvent you.

      The unkindest cut of all.

      *wince*

    2. Hollerith 1

      Re: Obstacle or Enabler?

      I raise my hand as a bad Circumventer. My IT is so locked down that nothing can get done. They gave me a CMS (I'm the web person) that didn't work in the company browser, but I was forbidden to download a browser where it would work. Well...I did it anyway. They couldn't allow me to do this, that and the other, even after I had pointed out that I had done upteen security checks and it did not even cross the firewall yadda yadda, so I did it anyway, delighted a bunch of senior managers, became known as the 'go-to' guy and I can't even pretend to weep crocodile tears. Guys in their 50s with a world-view from 2003 have to catch up or be left behind. I would love to work within a safe, sensible, security environment, but since I don't have one, I have to meet business needs the best way I know how.

      1. Anonymous Coward
        Anonymous Coward

        @Hollerith 1 - Re: Obstacle or Enabler?

        You will never get to work into the kind of environment you dream except maybe at Sony Pictures. Your attitude will help you get fired faster than you can spell "security policies".

        I'm sure you did a good job and you proved yourself valuable but how about the time when you will move to another job ? Did you clearly documented your solution ? Who's going to maintain it ? Relying on an individual to patch and maintain a browser nobody knows was installed is insane. Do you realize what security risk you are for an organization ? You want people to catch up with what, with your cowboy style of doing things ?

        1. Hollerith 1

          Re: @Hollerith 1 - Obstacle or Enabler?

          I hired and trained my team (a small one) and I always listed and reported to the IT department once a year, asking them to help me replace a 'temporary' work-around with a better solution. I said if I screwed anything up I would fall on my sword. But IT were like 'well...it's low-level and it's working so...' I was not the only one downloading Chrome (huge IT risk there...) and I worked hard to give reasonably intelligent solutions to managers who really were going to instal crapware, solutions I paid for and had licences to and all of that. Yes, I was a security risk, yes, I didn't want to do it, but I wasn't paid to tell senior people 'there's no solution out there' when there was one. I've worked with great IT team-mates and we all had a 'can-do' attitude, but when I've run into the Dead Walking, my loyalties are with the profit-centres and not the IT dept. So far, I have moved from job to job with good references and rising levels of pay and I have never heard -- once -- that anything I left behind caused an iota of risk or damage. So far, so good.

      2. Doctor Syntax Silver badge

        Re: Obstacle or Enabler?

        "They gave me a CMS (I'm the web person) that didn't work in the company browser, but I was forbidden to download a browser where it would work."

        Who was "they"? If it was IT then they did a crap procurement job if they didn't ensure it would work with their approved browser (or approve an acceptable browser). If it wasn't IT then it sounds like you're a minor offender compared to whoever put in the CMS. Unless, of course, that was also you.

    3. Preston Munchensonton
      Boffin

      Re: Obstacle or Enabler?

      There is a balance to this, at least in the US (and I assume similar regulations exist elsewhere). While IT has a critical mission to meet the needs of its internal/external customers, it also gets stuck with a huge regulatory burden that doesn't tend to have simple answers for the very controls about which users complain. IT upper management needs to take responsibility for the poor compliance decisions, but tend to prefer saving their own hide from Federal prison for failing to comply with HIPAA, SOX, PCI, etc.

      All the more reason to go freelance and make sure they pay you for every single, soul-sucking hour they waste.

    4. Mark 65

      Re: Obstacle or Enabler?

      Too often central IT says no or is glacial in the pace of their progress (and eye-wateringly expensive in their chargeback) with far too many self-enforced boxes to tick to be of any use. That and purchasing overpriced and unsuitable items due to the shinyness of the sales pitch inevitably leads to business units hiring their own contractors to perform tasks. At the end of the day money needs to be made and IT is there to enable that (and prevent loss where appropriate). Often they lose sight of this and I have worked at many a firm where it seems that the tail is wagging the dog. At every one of them it ended badly. I have worked at two companies where the upper levels of IT were removed in their entirety due to poor delivery/results and one where 50% was removed in one day in the name of cuts to be replaced by more capable individuals bit by bit. Central IT is the master of its own destiny but in most cases it seems to want to steer a rudderless and unresponsive ship.

      Nowadays the first thing I do when joining a company is seek out the doers and the go to infrastructure people - the ones you always need and every firm has them - in order that when something needs doing it gets done rather than sitting in the abyss that is the Helpdesk system.

      1. Anonymous Coward
        Anonymous Coward

        Re: Obstacle or Enabler?

        "Nowadays the first thing I do when joining a company is seek out the doers and the go to infrastructure people - the ones you always need and every firm has them - in order that when something needs doing it gets done rather than sitting in the abyss that is the Helpdesk system."

        That deserves a thousand upvotes, but you'll have to be content with my one.

        But ultimately this comes back to the poor quality of the centralised IT functions. We hear the whining about cost paring accountants, and directors that don't understand, and (L)users. But it should be the job of the central IT team to deliver a damn good service, and to understand where to say no, where to say yes, and to exercise that choice carefully and wisely.

        My company's IT department spends more giving me a bad service than it would giving a good, proactive service. I know this because (like Mark 65) I know the "can do" people, I know the people who themselves know where the bodies are buried.

        But for anybody who is (or aspires to be) a business CIO, there's a message here: Be competent, be careful, be in control, but remember you're only there to help some other bugger sell stuff.

  3. Anonymous Coward
    Anonymous Coward

    "The banking sector reports the biggest drop, with an average decrease of £625,000."

    Erm, as a percentage of what?

    1. Frankee Llonnygog

      Re: as a percentage of what

      My bonus, obs

  4. Black Plague

    "Shadow IT" is a big problem for the biz's information security arm. Everyone wants to do cloud crap, and if it's some startup's free webapp they won't even ask the IT dept to certify or vet it...then they start putting sensitive corporate/customer info up on some wanker's AWS storage. It's a compliance nightmare!

    1. LucreLout

      if it's some startup's free webapp they won't even ask the IT dept to certify or vet it...then they start putting sensitive corporate/customer info up on some wanker's AWS storage. It's a compliance nightmare!

      Not how I'd have phrased it, but I wholly agree with the sentiments. Which is why its GPM to do so where I work. All data stays behind the company firewall - you're not allowed to take printed documents out of the building and it is all but impossible to move electronic data off the corporate network. Well, it's actually trivial if you know what you're doing, but its very hard for users and if compliance do ask, impossible.

  5. Sir Sham Cad

    And they also buy the wrong thing

    "It's not working! Your network/wireless/server/coffee-machine-as-a-service must be broken!"

    "We spent 10K on this! It NEEDS to work!"

    No, you bought a piece of shit, untested and on the promise of the sales weasel, with no clue about the infrastructure you want it to work over and that's my problem how?

    We've just placed a block at Finance level, on departments buying their own [Redacted due to not being AC but see above "10K" example] kit, for instance. There are already sanity checks in place to get Central IT approval for other hardware purchases.

    It still doesn't stop me being presented with a 10 year old piece of crap that's been retrofitted with an 802.11b wireless card and being asked to find out why it's not working "because we've bought 100 of them".

    1. Anonymous Coward
      Anonymous Coward

      Re: And they also buy the wrong thing

      You've placed a block at Finance level? At the last place I worked Finance were the biggest shadow IT problem we had!

      Finance: "We've bought this NAS to store all our docs on, can you configure it for us?"

      IT: "Sure, by the way, how are you going to back it up?"

      Finance: "Why do we need to do that?"

      IT: "Because it's a single disk NAS and has no resilience?"

      Finance: "But Bill over there said it was a backup device - why do we need to backup the backup device?"

      IT: "So where are you going to keep the primary copies of all your data?"

      Finance: "On the new NAS"

      IT: "And what happens when the disk fails?"

      Finance: "Ummmmm..."

      1. NogginTheNog
        FAIL

        Re: And they also buy the wrong thing

        Finance: "We've bought this NAS to store all our docs on, can you configure it for us?"

        Even better:

        "What access control are you using for all that sensitive financial information?"

        "Access control? What's that? Bill just set up the share so that everyone could use it..."

        1. Anonymous Coward
          Anonymous Coward

          Re: And they also buy the wrong thing

          Hah-hah!

          'How are you securing this? Does it meet corporate requirements?'

          'Don't be a negative person'

      2. SJG

        Re: And they also buy the wrong thing

        It's a case of don't do as I do, do as I say.

        Finance are the worst, but they're also very good at stopping everyone else at the same time.

        1. Anonymous Coward
          Anonymous Coward

          Re: And they also buy the wrong thing

          Finance here uttered the words "there is no logic to IT, it's just a dark art" to which my inner being howled in torment "It is just logic! everything in IT can be pared down to just logic at some level, that is why people on the spectrum are drawn to the field, everything obeys the rules, you just have to learn them!"

          Finance, weird overvalued people.

          1. Anonymous Coward
            Anonymous Coward

            Re: And they also buy the wrong thing

            "Finance, weird overvalued people."

            You'll miss them when they're gone. Which sounds daft given all the horror stories, but my employers ran the finance function through the shredder to save money (which may give you some pleasure), and then outsourced the remaining function to Romania (which may give you a laugh). Problem is that now it's like getting blood out of a stone when you really need some numbers for planning, business cases, or decision making purposes.

  6. Anonymous Coward
    Anonymous Coward

    Join the dark side, it's more fun

    Contracting, that is, almost universally under clients' marketing chain of command.

    IT does tend to get cut out of the loop. They're not prepared to deal with crap like Linux and WordPress though. Stuff would not get done. Yeah, I'm a little leery about the security aspect; marketing and design folks are too quick to reach for the cloudy sharing services. Fortunately the worst case scenario is just a website getting hacked. What worries me are all the doctors' offices, government agencies, etc outsourcing their record keeping to cloud providers. And ecommerce.

  7. JGT

    History repeats

    25 years ago the data center executives where screaming and hollering about the influx of PCs that was wrecking their carefully crafted setup...and stealing their budget. Sound familiar?

    1. Anonymous Coward
      Anonymous Coward

      Re: History repeats

      It bloody does! I remember CIO's carping on about user developed applications being "islands of obsolete data" and similar patronising shit, at the same time that the same "professionals" of IT were investing in IBM's token ring networking, shitty OS/2 computers, huge Unix boxes that couldn't do what the users had setup with Foxpro and a small LAN built on expense claim PCs.

      Going back not much further I recall the IT department claiming that they wouldn't pay for a colour graphics card because businesses didn't need colour. Of course the way history repeats itself on this last one is that no private buyer with any brain would now buy a computer without an SSD system disk. Yet most miserly enterprise buyers are still buying spinning rust rubbish, and happy to pay average costs of £50 an hour to people watching a little spinning blue circle.

  8. xyz Silver badge

    shadows within shadows

    The best one I've seen comprised...

    1) The official IT strategy as proposed by the IT staff which had a 5 year plan, a massive budget and was all techy and BIG METAL and had nothing to do with business functionality.

    2) The self taught guerrilla developers sniping out applications from within their own business units so the units could function.

    3) The top secret corporate IT strategy which was basically get rid of 1 and 2 by restructuring the business and moving the parts to other divisions.

    It was amazing watching the battles knowing that it didn't matter a rat's ass who won what, because The Chief Grand Fromage was about to nuke the lot of them.

  9. Anonymous Coward
    Anonymous Coward

    Nothing new

    This is nothing new, part of the ebb and flow between centralised and departmental IT. In most jobs I've had over the years there has been oen or more departments who go there own way, some with good reason (compliance) others just because that department head likes to be in control or someone in the department claims to be an IT specialist.

    At some point however they all rang up for something, usally something important like recovering their database, which usually proved problematic due to a lack of backups or if they had backups, valid ones, or ones old enough to recover a decent copy of the data. Generally they either had none or they never actually checked to see if they were done/worked let alone actually check whether they were any good.

  10. Erik4872

    It's all cyclical

    Businesses, especially those whose primary focus is not technology, are not concerned about IT and information security, full stop. All of the credit card related breaches are covered by insurance, so businesses see no need to protect payment systems. Maybe the Sony Pictures hack will ring a few bells, now that some of the corporate dirty laundry is starting to be circulated. It's a whole different thing when emails about your political opinions, what you think about your employees/customers, or other secrets come out as opposed to something your insurance company just writes a check for.

    All the breathless Gartner people talking about BYOD being the future are blissfully unaware of the fact that doing it correctly basically means a complete network transplant. It used to be that you trusted most things sitting behind the firewall. Once you start letting phones, tablets, etc. into the system, everything becomes untrusted no matter where it's connecting from. Most companies aren't willing to pay the money required to do this correctly. I would say most IT organizations are jumping around making executive iDevices work come hell or high water now. Anyone who doesn't is going to be called obstructionists like this article seems to state, and will be outsourced to India.

  11. Anonymous Coward
    Anonymous Coward

    Just installed a new router at home with a VPN facility. Just testing and it looks like I can fire up a VPN on the company provided laptop, connect to home router and then burst out onto t'interweb o' pr0n in FREEDOM!

    1. Anonymous Coward
      Anonymous Coward

      @J J Carter

      1 Make sure your contract of employment does not state "Instant dismissal for attempts to circumvent the company firewall"

      2 That you are so damn valuable at your job that the company would wave that if they found out

      3 Don't get found out

      If after those you can safely go about your business while doing your excellent job your future in IT is probably promising.

      Posting it on Theregister though, that's something else.

    2. Anonymous Coward
      Anonymous Coward

      "burst out onto t'interweb o' pr0n in FREEDOM!"

      If you really need to be surfing porn during work hours then you're clearly not in the right job for you. However you may be making money hand over fist!

  12. JimRoyal

    Shadow nightmare

    Customer: We bought this PR software package. It's fabulous. It does exactly what we want. Can you install it on a server please.

    I.T.: OK!!!

    Later.....

    Customer: Why can't people access it on the Intranet?

    I.T.: The software is client server, it does not work in a browser.

    Later.....

    Customer: Hello, Servicedesk! I'd like to log a call please. Please build us a web interface for our PR software.

    Problem solved!!!!!!

    And in another very similar situation, I.T. were unable to build a web front end for another customer bought system. A few days later the customer was overheard saying in a meeting "Yeah, we asked I.T. to web enable it but the too difficult light came on".

    And don't get me started on 101 instances of "we've got this Access database that John wrote. John's left the company now and so you will have to support it"

  13. Anonymous Coward
    Anonymous Coward

    Balance

    The reasons a company needs to provide standardised IT has several explanations. Buying standard kit provides cost benefits if the procurement deal is setup correctly. It also allows the deployment of a standard build - this makes sure subsequent troubleshooting is simplified by having a common stack deployed.

    It also ensures the 'standard' software stack as defined by policy is applied to all deployed IT - anti-virus, software required to complete common tasks, audit/compliance tools. It also allows restrictions to be applied - such as preventing data from being copied off unencrypted to portable data devices that can be lost or stolen.This can look draconian - however, if you take a step back, it's not just dogma and belligerence at play when these systems for IT are in place.

    What happens however, is that people get excited by the new toys on the block - tablets, smart phones etc - that have features that are 'missing' from the standard IT deployment - like the ability to have portability, or touch screens, or apps that are disallowed by 'corporate standard'.

    The solution to this is not 'BYOD and secure it' - the solution is to look at what the user community wants and what they are solving using their own IT devices, and see if there is a secure, compliant, non-draconian option for providing this instead.

    Both solutions - BYOD or offering more 'flexibility' to user IT - comes at a cost, due to increased security infrastructure, testing and support required.

    In addition to this, BYOD often comes with fewer restrictions over using 'the cloud' and external applications - there are often very limited alternatives that the corporate IT provide.

    For examples:

    BYOD user - "I want to share documents easily and globally so I use Dropbox". Corporate IT response - "Have you tried our file server or sharepoint which is only accessible if you are local on our network and you have permissions in place"

    BYOD user - "I want to video chat with an external client, so I use Skype" - Corporate IT response - "Have you tried using the internal chat tool with no video that also can't connect to clients"

    If the IT department doesn't respond to the needs of the business and users, then it's not surprising it finds itself side-lined and circumvented.

  14. Anonymous Coward
    Anonymous Coward

    Make your bed

    Well, not YOU. The people who you work for.

    I've been in IT for almost 20 years. Started out in desktop and moved up to servers, infrastructure. Always did my best to counter the meme that IT is a bottleneck and can't get stuff done. Fought the forces of circumvention with service. But then I moved into a new position and became just another "customer" of IT. It didn't take long for me to reconsider the legitimacy, no, the necessity, of circumvention.

  15. Dan 10

    If you can't beat em, join em

    Which is why, despite umpteen years in corporate IT, I now find myself taking time to acquire skills in AWS...

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