Avoiding Costs Of The 'Rogue Cloud'

Image courtesy of Egnyte. Image courtesy of Egnyte.

Rogue cloud computing occurs when staff within your nonprofit use a cloud service without consulting with your IT or information security department.

In fact, 83% of large organizations surveyed admit rogue cloud computing occurs, and 70% of smaller organizations say the same, in a survey sponsored by Symantec. According to Network World, this can have negative affects, such as:

  1. Increased cloud costs
    While the cloud can save nonprofits thousands of dollars in services, and server and hardware maintenance, organizations using confirmed cloud storage and rogue services, are only using 7-26% of their storage, resulting in a costly loss. It's like paying for more data than you use per month on your phone.

  2. Security risks
    Using the cloud to store confidential donor information, funding data, and employee information, without the knowledge of a CIO or IT professional could result in a security breach, if the cloud vendor were to be hacked. Not all cloud service providers can offer the same level of security.

  3. Data loss
    Similar to a breach of security, not all cloud vendors offer data recovery. 68% of businesses reported an information recovery failure when trying to access a back-up of their information. Therefore, storing your nonprofit's information with a cloud service that your organization did not draw-up an explicit contract with is very risky.

  4. E-discovery
    In legal situations, some of your nonprofit's electronic data may be requested. However, if this data is scattered about in legitimate cloud services utilized by your organization and rogue cloud services used by a few staff members, you might not be able to find it all. Of the 34% of organizations that received e-discovery requests, 66% missed the deadline and 41% were unable to find the information requested.

To avoid future hassles, take a "cloud inventory" at your nonprofit. Ask your staff what services they are using, how they are using it, and what information they are storing.

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