Your Security Policy is Creating Your Black Market

Shadow IT is usually a systems problem, not a “users are reckless” problem. When IT creates friction, users route around it. A software request turns into a ticket, then a questionnaire, then procurement, then security review, then silence. But the deadline doesn't care. To stay productive, a teammate swipes a personal card, starts a "free" trial, or clicks "Sign in with Microsoft" to grant OAuth access.

This is how SaaS sprawl begins. IT usually finds out at renewal time, during an audit, or after a security breach.

Poor Process is the Root Cause of Shadow IT

If there is no clear path to get software, people invent one. If approvals take weeks, teams move without you. When a $12/month browser extension is treated with the same bureaucratic weight as a new ERP system, you get the worst of both worlds: stagnant innovation and unmanaged risk.

When the default answer is "No," the organization simply stops asking. This leads to several hidden costs:

• Duplicate Spend: Multiple departments unknowingly paying for the same software licenses.
• Compliance Gaps: Critical company data sitting in "orphaned" accounts with no oversight.
• Security Risks: Inconsistent MFA and "ghost users" who remain active long after they've left the company.

How to Fix SaaS Friction (Without Slowing Down)

The fix is boring, which is why it works: Make the safe path the easiest path. Using an open-source SaaS management platform like Saswatch allows you to automate the "boring" parts of governance so you can focus on speed.

• Automate SaaS Discovery: Use tools to see what’s actually being used in real-time. Don't wait for the credit card statement to find a leak.
• Create a "Fast Lane": Implement a risk-scoring tier. Low-risk tools move in days; high-risk tools get the deep dive.
• Measure Friction like Uptime: "Time-to-Approval" is a leading indicator for Shadow IT. If it’s rising, your black market is growing.
• Simplify Offboarding: Ensure that when someone leaves, their access is revoked across the entire stack automatically.

Shadow IT is what happens when your internal “how to get software” experience is painful. By using Saswatch to gain visibility and reduce friction, you don't just find the black market—you shrink it.