The hidden risks of shadow AI

When staff paste customer records into an unapproved chatbot, they rarely think of themselves as a security risk. They think of themselves as efficient. That gap between intention and impact is where shadow AI thrives.

Blanket bans don't work — they push usage underground. The organisations getting this right publish a short list of approved tools, make the safe path the easy path, and explain in plain language what data must never leave the organisation.

EC3's guidance for organisations includes a template AI usage policy and a one-page briefing for boards, available from our advice & guidance section.