By Rishikesh Kamat, Senior Director – Products & Services, NTT Ltd in India
SaaS has become a popular model for delivering software applications to customers over the Internet. An average enterprise, today, uses a number of SaaS applications for performing different activities. However, as with any technology, there are potential security risks associated with SaaS. A recent report by a SaaS security firm, DoControl, confirms this fact. The firm’s recently released 2023 SaaS Security Threat Landscape Report, found out that 50% of enterprises and 75% of mid-market organizations had exposed public SaaS assets.
Some of the top threats include:
· Insider threats:
By design or by mistake, insiders can expose confidential intellectual property to external partners or outsiders. For example, the SaaS security firm, cited above, found out that 81% of medium-sized companies and 78% of large companies have encryption files stored in Google Drive/Workspace. Further, 61% of companies had employees who shared company-owned assets with their personal email. This can lead to data breaches and loss of data.
· Third-party risks:
Many SaaS applications rely on third-party vendors for various services, such as payment processing and data storage. These third-party vendors may have their security vulnerabilities, which can pose a significant risk to the organization.
· Lack of visibility and control:
With SaaS applications, businesses often have limited visibility and control over their data and applications. This lack of control can make it difficult to monitor for any security risks or take action to prevent them. This can also lead to Shadow IT, which refers to the use of SaaS applications within an organization without the knowledge or approval of the IT department. This poses a significant security risk as these applications may not have appropriate security measures in place, and the IT department may not be able to monitor and manage them effectively. Shadow IT SaaS applications may also not have appropriate security measures in place, such as encryption, access controls, or regular security updates. This can make them vulnerable to data breaches, which can result in sensitive business or customer data being compromised.
· Zero day vulnerabilities:
Zero day vulnerabilities refer to security vulnerabilities in SaaS applications that are unknown to the software vendor and have not yet been patched. These vulnerabilities can be exploited by cybercriminals to gain unauthorized access to sensitive data, disrupt business operations, and carry out other malicious activities. The term “zero day” refers to the fact that the vulnerability is being exploited on the same day that it is discovered. This means that the software vendor has zero days to develop and release a patch to fix the vulnerability before it can be exploited by cybercriminals. SaaS zero day vulnerabilities are a serious concern for organizations that rely on SaaS applications for their business operations. The potential impact of a successful exploit can be significant, including data breaches, loss of sensitive information, and financial losses.
· Compliance Risks:
Many SaaS applications are subject to industry-specific regulations, such as HIPAA or GDPR. Shadow IT SaaS applications may not comply with these regulations, putting the organization at risk of fines, legal action, and reputational damage.
· Insecure APIs:
This can be exploited by hackers to gain unauthorized access to sensitive data stored by the SaaS provider or their customers. Insecure APIs can also be used to distribute malware, such as viruses or trojans that can infect the SaaS provider’s network or its customers’ systems. Insecure APIs can be used in denial of service (DoS) attacks, where attackers flood the SaaS provider’s network with traffic, causing it to become unavailable for legitimate users.
Recommended best practices
To mitigate the associated risks, organizations should implement the following best practices:
· Implement strong access controls
Strong access controls are crucial for protecting sensitive information in SaaS applications. Businesses should implement multi-factor authentication, restrict access based on job roles, and regularly review and update access privileges.
· Encrypt data
Encryption is a critical tool for protecting sensitive data in SaaS applications. Businesses should implement strong encryption protocols, such as AES-256, for data in transit and at rest.
· Implement a Shadow IT Monitoring Policy
A clear and comprehensive policy on the use of SaaS applications within the organization can help prevent the use of shadow IT SaaS applications. The policy should outline the approved SaaS applications, the process for requesting approval for new applications, and the consequences of using shadow IT SaaS applications
· Regularly monitor for unusual activity
Regularly monitoring SaaS applications for unusual activity can help identify potential security risks. Businesses should implement security monitoring tools that can identify unusual activity, such as unauthorized access attempts, and take action to prevent any potential breaches.
· Use SaaS Security Tools
SaaS security tools, such as cloud access security brokers (CASBs), can help manage and secure SaaS applications used within the organization. These tools provide visibility into SaaS applications, enforce security policies, and monitor for any security risks. Stay up-to-date on security advisories
Organizations should regularly monitor security advisories from SaaS vendors and promptly apply any patches or updates to their systems.
· Conduct regular security awareness training
Employees are often the first line of defence against security risks in SaaS applications. Regular security awareness training can help employees identify potential risks and take action to prevent them.
· Conduct regular security audits
Regular security audits can help identify potential security risks and ensure compliance with relevant regulations. Businesses should conduct security audits at least once a year and use the results to update their security policies and procedures.
To conclude, SaaS applications offer many benefits to businesses, but they also come with some security risks. Organizations can mitigate these risks and protect their sensitive data by implementing the best practices outlined above. It is also important for organizations to stay up-to-date on the latest threats and best practices, as the security of SaaS applications is constantly evolving. SaaS security is a shared responsibility between the SaaS provider and the organization. The SaaS provider is responsible for the security of the underlying platform, while the organization is responsible for the security of its data and applications. By working together, SaaS providers and organizations can create a secure environment for SaaS applications.
