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The Hidden Risks of AI in Business: Understanding the Survey Findings

A recent survey conducted by Nokod sheds light on the evolving challenges faced by security teams in enterprises dealing with AI applications. With the rapid adoption of AI and its integration into business processes, a staggering 80% of security teams reported that they lack full visibility into the applications and AI agents created by their staff. This blind spot raises questions about the security and governance of these tools, especially as business users take the helm in application development.

Overview of the Survey

Nokod's survey focused on 200 enterprise Chief Information Security Officers (CISOs) and reveals critical insights into how business tools are being developed and the ensuing security implications. Specifically, the findings indicate that there are four business users for every professional software developer, with some organizations reporting ratios soaring to 10:1. This shift signals a new frontier in enterprise application development, where business users—often without formal security oversight—are creating applications that can handle sensitive data.

The Shadow Engineering Revolution

The rise of AI platforms such as Microsoft Copilot Studio, ServiceNow, Power Automate, and UiPath has sparked a phenomenon called 'shadow engineering'. This term defines the scenario where business users can develop applications rapidly, bypassing traditional software development protocols and security measures. Consequently, these applications might pose unrecognized risks, expanding the attack surface significantly.

The impact of this trend is evident in the statistics: over 80% of security teams reported that they cannot fully track the applications and AI agents being created, with organizations only able to monitor 44% of tools that manage critical company information.

Governance and Awareness

The pressing need for governance in this new landscape is further emphasized by the fact that 90% of security leaders anticipate implementing governance policies aimed at citizen development by the end of 2026. This acknowledgment highlights the growing recognition of the need to formalize oversight and security measures surrounding tools developed by business users.

In addition to governance, budgeting for securing these business-built applications is on the rise, with 67% of organizations already allocating funds specifically for this purpose. This is expected to grow by 15% in the coming year, demonstrating that enterprises are increasingly prioritizing security in the face of burgeoning risks.

The Role of Nokod

Yair Finzi, CEO and Co-Founder of Nokod, articulated the urgency of addressing these challenges, stating, "Security teams are losing a race they don't even realize they are in. New layers of enterprise logic are developing outside of traditional oversight, creating a jungle of untapped risks."

The solution Nokod offers is crucial for navigating this complex environment. By providing tools that ensure visibility, governance, and risk detection for business-built applications, Nokod empowers organizations to manage these new assets effectively without stifling innovation. The platform also enables security teams to automatically remediate vulnerabilities, ensuring that business users can continue to create and innovate with confidence.

Conclusion

The survey from Nokod underscores the imperative need for businesses to understand and manage the dynamics of AI applications and automation tools crafted by their own employees. As enterprises continue to embrace AI in their operations, a proactive and robust approach to security governance will be essential to protect sensitive data and critical infrastructure. Nokod's insights and solutions aim to transform hidden risks into managed innovation, enabling a balance of security and creativity in the workplace.

In a world where the landscape of business applications is rapidly evolving, staying ahead of potential vulnerabilities has never been more vital. The full report from this survey offers an in-depth view of the current state of security in business-built applications and serves as a wake-up call for enterprises to act swiftly to secure their digital transformations.