In the security of most businesses, passwords are of utmost importance. They can also be significant expenses, though. Passwords cost you money, from the numerous hours that your service desk spends resetting passwords and unlocking accounts to the prohibitive costs associated with security breaches or data breaches.
Most organizations do n’t want to completely eliminate passwords, but there are ways you can do it that are both more affordable and secure.
We’ll talk about the hidden costs associated with managing passwords and what steps can you take to reduce costs while increasing their security.
Hidden expenses associated with managing passwords
Password management tasks frequently cost a lot, from potential productivity loss to the real costs of hiring help desk staff.
Productivity loss: Â Password issues, such as forgotten passwords, expired passwords, and password resets, can impair productivity and waste time and money on businesses. According to Bloomberg, employees remember or reset passwords for an average of 11 hours annually.
According to Statista, password-related productivity issues cost businesses an average of$ 480.26 per employee.
Costs associated with support and help desk queries: Password problems cause an increase in the number of queries handled by the help desk. According to Gartner, 20 to 50 % of all help desk calls are password resets, according to research from , and Forrester estimates that each one cost about$ 70.
It’s obvious how quickly these employees can add up to a sizable financial burden in an organization with many employees.
Additionally, according to Salary .com, the average salary for a help desk technician in the US in 2023 exceeded$ 49, 000, which indicates that having a support team for password-related issues raises your operating costs.
Security risks: Â Use of weak or re-used passwords makes your organization more vulnerable to data breaches. According to the Verizon 2023 Data Breach Investigations Report, 86 % of breaches involved stealing credential data. Additionally, a data breach has significant financial repercussions, including significant fines, legal fees, and reputational damage.
The average cost of a data breach in 2023 increased by 15 % over the course of three years, according to IBM.
reducing costs associated with password management
Although passwords are a key component of your organization’s cybersecurity foundation, they also come with additional costs that can strain your resources. Costs associated with lower productivity, higher security risk, and helpdesk overhead can quickly add up.
Thankfully, there are steps that IT teams can take to reduce and control password-related costs while enhancing security.
By adopting technologies like MFA and SSO, teaching and training staff, actively monitoring and responding to potential authentication issues, and investing in password software, IT leaders can lower rising costs.
Your organization can improve its security by making the right choices and investments while lowering the costs associated with password management. Here, we’ll go over some of the best choices.
Implement multi-factor authentication ( MFA ).
Beyond passwords, MFA adds an additional layer of security. MFA can block between 30 % and 50 % of account compromise attacks, according to Cybercrime Magazine. MFA can ease your IT support team’s workload by adding an additional layer of protection, reducing the number of security-related issues that call for intervention.  ,
However, be aware that attackers still need to use password security as a first step because they have several ways to circumvent MFA.
adopt solutions with single sign-on ( SSO ) encryption
SSO reduces password fatigue and the need for numerous password resets by allowing users to access multiple applications with one set of credentials. By reducing the number of help desk calls, this can improve the experience for the end user and lessen the workload on your support staff.
However, be wary of the potential for password reuse, as employees may reuse their master password on compromised websites and applications without realizing it and unintentionally compromise their work password.
Educate and instruct staff members
The prevalence of weak passwords can be reduced with regular training on best password management techniques. Improve your overall security by teaching your staff about the value of strong passwords and the potential for re-use. A proactive approach to education and training can help your organization foster a sense of security and reduce potential costs.
Firstly, it lowers the likelihood of costly security breaches.
Second, well-informed employees typically demand fewer password resets, which lessens the workload on IT support teams and lowers operating costs.
Install password-protection software
Over time, purchasing password security software will save money. With continuous monitoring ( and blocking ) of compromised passwords, a solution like Specops Password Policy can automate stronger password enforcement.
This proactive approach can stop minor issues from becoming costly security incidents.
Instead of making it simple and secure for end users to reset their own passwords, technology can also help relieve service desks of the burden of password problems. Your users can quickly and securely reset their own passwords using self-service password reset tools like Specops uReset and Specops uReset, even when they are n’t using the VPN.
Reach out to an expert today to find out how Specops Software products could lower your password-related costs.  ,