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Company Password Policy: Managing the Risks of Sharing Passwords at Work

The security of sensitive data is paramount in today’s digitally driven business world. Whether your company operates in the legal or accounting and finance industry, you’re constantly protecting protected information from cyber attacks.

Unfortunately, some of this risk is created when your employees share passwords between each other at work. So how do you counter these threats?

A good old, robust company password policy is a great start. And adding multi factor authentication (MFA) strategies into the mix.

After working with numerous businesses, Swift Chip has proven how crucial a strong corporate password policy is in protecting your firm’s sensitive data. And in this blog, we’ll share some of our expertise so that you can stress less about the security of your firm.

Schedule a free consultation with Swift Chip Today!

Let’s get into all of the best ways to improve passwords, build a strong company password policy, and ensure cyber attack risks are minimized.

The Importance of Individualized Password Security

At an unnamed organization where a senior manager was allowed to collect the log-on and email passwords, there was a blatant violation of the basic IT security policy.

This practice had been justified on the basis of the unit’s unique mission and objectives. But this action stands in direct contradiction to the international standard internal controls.

Not being allowed to share passwords is essential. This principle protects employees from unjust suspicion if an account is misused!

For instance, when two cashiers share a cash drawer, and one commits theft, both come under scrutiny. Likewise, if passwords are shared, accountability is compromised, and a false accusation may follow.

Trust and Password Security

Trusted employees may inadvertently share passwords, but this neither justifies the act nor renders it intelligent. Every employee who has ever been convicted of theft, embezzlement, or other crimes was once trusted. 

The issue goes beyond personal trust…

Consider a recent incident at a law firm where a previously trusted employee, licensed to practice law, was terminated in connection to a violation. This underscores the necessity of adhering to robust security policies, irrespective of an individual’s standing within the organization.

The Threat of Password Sharing and Solutions

Password sharing creates issues with accountability and non-repudiation. For example, when an employee on planned leave needs emails forwarded, or in emergency situations, the sharing of credentials may seem practical. 

But, in line with what we believe at Swift Chip Way, there are alternatives. And these alternatives are much better!

The most robust method to enhance IT security is multi factor authentication. MFA might not prevent passwords from being shared, but an additional authentication barrier ensures only the rightful owner can access the network.

How do you access a second authentication factor? You’ll receive a code received via an application like Google Authenticator to serve as the second authentication factor.

Add In Contextual Access Controls

Swift Chip believes the combination of MFA with contextual access controls for a more powerful approach to corporate password policies. 

What we mean by this is creating restrictions. Access can be restricted outside certain hours or only allowed from a specific machine, limiting the number of simultaneous logins.

In industries like yours, whether you’re in IT, legal, non-profits, or even financing, data sensitivity is high. Meaning implementing these strategies ensures compliance and robust cybersecurity services that will lessen stress internally and eventually boost trust with your customers externally.

This approach to security guarantees that the sharing of passwords, whether inadvertent or deliberate, is minimized. By utilizing MFA in conjunction with contextual access controls, a comprehensive corporate password policy is created, ensuring there is a barrier against cyber threats.

To discover more about how Swift Chip can enhance your organization’s security through proficiency in compliance cybersecurity services, set up a free consultation with our knowledgeable team.