Shadow IT is the term commonly used to describe the use of unauthorized applications within a corporate environment, and the processing or storage of business information on unapproved devices., Organizations should look to restore identity and access management and auditing of web-based applications that are equivalent to traditional on-premise application management policies in order to combat computer fraud and maintain security and compliance, while gaining the productivity benefits of the cloud. This approach will allow CIOs to maintain compliance by detecting and preventing insider misuse of applications whether inadvertent, such as sharing log-in details with colleagues, or intentional, such as copying or forwarding sensitive financial details or customer lists. Technologies are emerging to address the challenges of managing and auditing web applications, while still allowing businesses to benefit from the scalability and portability of cloud-based applications.