AI tools like ChatGPT, Copilot and Gemini are transforming the way we work. The technology is exciting, the possibilities are huge, and it’s easy to see why so many people are diving in. But as with any powerful new technology, the risks need to be understood. Many users adopt AI without realising the potential security, accuracy and compliance implications and businesses must ensure these are considered from the very start.
This rapid adoption has led to the rise of Shadow AI, the unapproved use of AI tools by employees without guidance or oversight. Most of the time it’s done with good intentions, as people look for ways to work faster or improve quality. But without proper controls, even well-meaning use can expose organisations to data leakage, bias, misinformation, and compliance risks.
Below, we explore what Shadow AI is, why it matters, and how companies can embrace AI safely without slowing productivity.
What is Shadow AI?
Shadow AI refers to any AI tool or service used in a business without approval from IT or leadership. This can include:
Public AI websites used to summarise or rewrite content
AI-powered browser extensions
Mobile apps with built-in AI features
AI meeting bots or transcription tools
Personal ChatGPT accounts used for work
Unapproved AI plug-ins inside existing applications
Because these tools are so accessible, employees often use them without considering how the data is processed or whether it’s safe.
The Hidden Risks of Shadow AI
1. Accidental data leaks
When staff paste sensitive information into an AI tool, that data may be:
Stored outside the UK
Logged for months
Used to train future models
Accessible to third parties
This can happen even when the interface feels private and secure.
2. GDPR and compliance issues
Sharing personal data, client information or internal documents with unapproved AI platforms can:
Breach GDPR
Conflict with company policies
Violate contractual obligations
Expose regulated data
Even small fragments of data can create compliance issues.
3. AI-generated inaccuracies (“hallucinations”)
AI tools are known for producing information that is:
Factually wrong
Invented
Outdated
Overly confident
Because the output looks polished, people may rely on incorrect information without realising.
4. Bias in AI outputs
AI tools learn from the data they were trained on — and that data can contain:
Cultural bias
Stereotypes
Uneven representation
This can result in text that unintentionally favours certain groups or viewpoints, creating ethical and reputational risks.
5. Advice that contradicts company policies or ethics
By default, AI doesn’t understand:
Your internal processes
Your security standards
Your tone of voice
Your ethical framework
As a result, AI may give guidance that conflicts with your organisation’s values, rules, or compliance requirements.
6. Malicious AI tools and browser extensions
Cybercriminals increasingly disguise malware as:
“AI productivity assistants”
“AI writing tools”
“Copilot upgrades”
“ChatGPT Pro features”
These tools may request broad permissions and then steal passwords, emails or browsing data.
7. No visibility or audit trail
If businesses don’t know which AI tools employees are using, they cannot:
Track data exposure
Enforce policies
Block risky tools
Respond to incidents
Manage access
Lack of oversight is the biggest risk of all.
How Employees Can Stay Safe: Five Simple Tips
1. Don’t paste sensitive or confidential data into AI tools.
If you’re unsure whether something is safe to share, assume it isn’t.
2. Use only approved AI applications.
Authorised tools like Microsoft Copilot operate inside your organisation’s security boundary.
3. Double-check AI-generated content before using it.
Verify facts, tone, and alignment with company policies — AI can be confidently wrong.
4. Avoid installing unapproved AI extensions or apps.
If something asks for excessive permissions, it’s a red flag.
5. Report anything suspicious.
Especially unexpected AI pop-ups, extensions, or emails offering “AI upgrades”.
Building a Safer, More Productive AI Environment
AI can be transformative when used responsibly. The goal isn’t to slow people down it’s to give them the right tools and guidance so AI can be used safely and effectively.
A secure approach to AI should include:
A list of approved tools
Clear usage guidelines
Strong identity and access controls
Data governance
Regular reviews of app permissions
User training on responsible AI use
With the right foundation, AI becomes a competitive advantage — not a risk.
How Roadmap Can Help
Roadmap’s certified team can help your organisation adopt AI safely by implementing:
AI Risk Assessments
AI Policy Creation
AI End User Training
AI Secure Platform and Connections Configuration
Mobile Device Management
Identity and Access Management
Malicious App and Browser Extension Detection
If you’d like support using AI securely and responsibly within your business, please get in touch, we’re here to help.