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The apps and AI your team uses that you can't see

Your people sign up for apps and lean on AI to get work done, usually without anyone tracking it. It's rarely rule-breaking, it's just moving fast. On a smaller team, where nobody's job is to watch for this, the quiet risk and the wasted spend add up faster than you'd think.
This is the exposure most small and mid-sized teams aren't watching. Unmanaged apps and unapproved AI are where company data slips out, where compliance gaps open up, and where you keep paying for software nobody opens. We help you see it clearly, claw back the waste, and close the gaps, without turning into the department of no.

What we mean by shadow SaaS and shadow AI

Both come from the same place: a team trying to solve a real problem faster than IT can help. The names just describe what slipped past the radar.
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Shadow SaaS

Shadow SaaS

Cloud apps your team starts using without IT's say-so. A free trial on a company card, a personal login for a file-sharing or note-taking tool, a project tracker a department picked on its own. Easy to start in under a minute, and invisible to whoever's meant to be looking after your systems.
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Shadow AI

Shadow AI

AI used without approval. Pasting work into a personal ChatGPT or Gemini account, switching on the AI feature inside another app, or adding a browser extension that reads what's on the page. It's the newest and fastest-growing corner of the problem, and the hardest to spot.

It's not a big-company problem

If anything, it's worse for a smaller team, because nobody's job is to watch for it. These figures come from across the market, but the pattern holds at 15 people as much as 1,500.
1 in 5
breaches now involve shadow AI
One in five data breaches now involves AI a company didn't know its people were using.
97%
of those firms had no AI controls
Almost every business breached through AI had no controls on it at all. Smaller teams almost never do.
80%+
of workers use unapproved AI
Most people already use AI tools at work that were never approved, and about half use them regularly.
1 in 3
apps run without IT's approval
Roughly a third of the apps a company runs were never approved or vetted by anyone responsible for security.
Source: Zylo, 2025

Shadow AI is a different kind of risk

With shadow SaaS, your data usually sits inside an app you didn't choose. That's a real risk, but a contained one. With shadow AI, the data is actively sent out to a third-party model that can keep it, learn from it, and surface it somewhere else. You can't pull it back, and these incidents tend to go unnoticed for longer. That's why we treat AI as its own track, not a footnote to the app problem.

Where the exposure shows up

01

Spend that quietly leaks

Duplicate tools and forgotten subscriptions pile up, and around half of SaaS licences sit unused. Finding them often pays for the work by itself, before you even count the risk.
Source: Zylo, 2025
02

Your data leaves the building

Customer records, contracts, and financials get pasted into tools nobody vetted. With AI, that information can be retained or used to train a model, and you can't get it back.
03

You can't protect what you can't see

No single sign-on, no MFA, no monitoring on an app IT doesn't know exists. Each unmanaged tool is one more unguarded door into your business.
04

Compliance and PIPEDA gaps

Personal and client information flowing through unvetted tools can put you offside of PIPEDA and customer contracts, usually without anyone realizing until it matters.
05

Access that outlives the person

People leave, the app stays. Around a third of companies have had a former employee still reach data in a SaaS tool after they were gone.
06

Decisions on unchecked output

AI answers used without a second look, in a customer reply or a piece of analysis, can be confidently wrong. Wrong information in the right document does real damage.

How exposed are you?

Five quick questions, an honest read in return. No email needed to see where you stand. It's a rough self-check, not an audit, but it'll tell you whether this is worth a closer look.
Your setup today
Could you list every app and AI tool your team uses right now?
Does everyone sign in through single sign-on with MFA?
When someone leaves, are their logins reliably shut off the same day?
Is there a simple, known rule for what staff can put into AI tools?
Has anyone checked your subscriptions for duplicates or unused licences in the past year?
Thank you! Your submission has been received!
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Where you stand
Answer the questions to see where you stand.
Where you stand
3 of 5 gaps
Real exposure
Normal, and quick to close before they cause trouble. Worth tidying up while it's small.
  • No clear list of the apps and AI in use
  • Logins aren't all behind single sign-on and MFA
  • Access isn't reliably shut off when people leave
  • No simple rule for what goes into AI tools
  • Subscriptions haven't been reviewed for waste lately

Assess, resolve, and keep it that way

You don't fix this by banning things. People just find another workaround. We do it in three steps: get a clear picture, sort out what matters, and put light-touch habits in place so it doesn't drift back. This is about your systems and your data, not watching your people. Most clients start with the assessment and decide from there.

See what's really running

  • Discover the SaaS apps and AI tools actually in use, including the ones on personal logins
  • Map which tools are in use and where company or client data is going
  • Flag the real risks: data exposure, missing logins, compliance gaps, and access that should have been shut off
  • Surface duplicate and unused subscriptions that are quietly costing you
You get: a plain-language inventory and a prioritized list of what to fix first, with the likely savings alongside the risks.

Close the gaps that matter

  • Retire or consolidate risky and duplicate apps, and move people onto tools you trust
  • Put a governed AI workspace in place so the team has one safe, private place to use AI instead of personal accounts
  • Tighten access with single sign-on and MFA, and shut down orphaned logins
  • Set a few simple, human policies people will actually follow
You get: a tidier, safer stack, reclaimed spend, and our Managed AI platform standing in for the shadow AI we found.

Keep it from creeping back

  • Ongoing discovery so new apps and AI tools surface early, not at audit time
  • Alerts on risky data flows and access that shouldn't be there
  • Regular reviews of what's in use, what it costs, and what's worth keeping
  • A quick, friendly way for staff to ask for new tools, so they don't go around you
You get: a stack that stays clean, with a calm path for the team to get what they need the right way.

Sense-check this with your own AI

We sell this platform, so of course we'd frame it our way. Here's the fix: paste these into ChatGPT, Claude, or Gemini and see what an independent answer looks like. If it doesn't line up, tell us, and we'll talk it through.
How exposed are we?
I run a small or mid-sized business in Canada. Without sales language, explain the real risks of  "shadow SaaS" and "shadow AI", meaning staff  using apps and AI tools we never approved. What  are the most likely ways company data leaks, what  does it cost when it goes wrong, and what's the  practical first step to get visibility? Cite benchmarks  where you can.
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Why is shadow AI worse?
Explain how shadow AI is different from, and in  some ways riskier than, traditional shadow SaaS.  Cover where the data actually goes, whether it can  be retained or used to train models, how hard it is  to detect, and what that means for privacy  obligations under PIPEDA in Canada. Be straight  with me.
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What should an assessment find?
If I hire an IT provider to assess shadow SaaS and  shadow AI across my company, what should a  thorough assessment actually discover and hand  me? What deliverables should I expect, and what  questions should I ask to tell a real discovery from a  surface-level scan?
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Start by seeing what's actually running

The first step is simple: a short conversation and a clear look at the apps and AI in use across your team. You'll come away with a real picture and no obligation.

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