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Demystifying Security: The Importance of SSO for Businesses of All Sizes

· 8 min read
Jens Langhammer
Jens Langhammer
CTO at Authentik Security Inc

In today's digital world, security is a critical aspect of any organization's operations. While some may perceive security as an enterprise-level feature, it is essential for businesses of all sizes to prioritize and implement robust security measures. One of the most common security measures is to implement Single Sign-On (SSO), a digital authentication method that uses a single set of credentials to access multiple applications.

Traditionally, SSO has been associated with large enterprises that manage numerous systems and applications across their infrastructure. SSO enables users to authenticate themselves once, and then gain access to multiple resources without the need to enter separate login credentials for each system. This streamlines the user experience, improves productivity, and simplifies user management for IT administrators.

However, even small companies should strongly consider adopting SSO. Small businesses may not have the same scale, resources, or complexity as large enterprises, but they still handle sensitive data and face real security risks. That's why implementing SSO for your users is advisable; and not only does it enhance a company’s security posture, it also streamlines authentication processes for a more efficient workflow.

The Growing Need for SSO in Small and Medium-Sized Businesses (SMBs)​

In recent years, the number of cyber incidents targeting SMBs has increased exponentially. A study by Cisco showed that an alarming 74% of SMBs in India and New Zealand have already suffered a cyber incident in 2021 alone, with a whopping 85% of them losing customer information to malicious actors. This is not just a matter of protecting your business, but also your customers' sensitive data. Implementing security measures such as SSO can go a long way in safeguarding your business from cyber threats.

Why SMBs Are Ideal Targets for Cyberattacks​

As a small business grows, teams proliferate, leading to increased app usage. While this may be beneficial for productivity, it can also create more security vulnerabilities. Factors such as weak passwords, poorly maintained access management, and unauthenticated log in processes often lead to financial and reputational damage. Furthermore, SMBs often experience limitations in resources, time, and capital, complicating the security process even more.

SMBs also face additional threats from "bring your own device" (BYOD) policies. When employees connect their personal devices to the business network, the company has neither assurance nor control over how secure the device is.

Potential Consequences of Security Breaches for SMBs​

When an attack occurs, stolen data can be held for hefty ransoms or sold on the dark net. In some cases, hackers engage in doxing, releasing private and sensitive information about an organization or an individual. Business plan leaks and premature product releases, especially in the tech industry, can lead to a failed product launch. Moreover, recovery from a cyberattack requires rebuilding all systems from scratch. As a result of the reputational and financial damage, downtime, and revenue loss, many small businesses fail after a breach.

Key Benefits of Implementing SSO for SMBs​

  1. Enhanced Security: The primary purpose of SSO is to provide better security for your business. A Google survey found that at least 65% of people reuse passwords across multiple sites. SSO provides the option to use one strong login credential for all apps, making it easier for users to access various personal and official apps every day. SSO can also be combined with stronger authentication tools like MFA and security policies to better protect your organization.
  2. Improved Workplace Experience: In small and growing businesses, employees often have to wear many hats. On average, 27% of small businesses use an average of five apps per day, and this number grows as the business grows. SSO reduces the probability of breaches due to weak and recycled passwords, enabling employees to switch between apps smoothly with fewer security issues.
  3. Prevention of Financial Damage: According to the 2021 Cost of a Data Breach report by IBM and the Ponemon Institute, the average cost of a data breach for small organizations (fewer than 500 employees) increased from $2.35 million to $2.98 million between 2020 and 2021. By reducing the chances of a password breach, SSO provides SMBs with essential protection.
  4. Time Savings: Not only does using SSO save time for employees by reducing the amount of time spent typing in passwords or resetting them, but it also helps eliminate downtime caused by data breaches. With SSO, employees can focus on their work without worrying about cybersecurity threats, which is a huge relief in today's tech-driven world. By implementing SSO, companies can streamline their workflow and create a more efficient work environment.

Essential Features in an SSO Solution for Small Businesses​

When considering implementing SSO, small organizations should look for the following features:

  1. Scalability: When considering an SSO solution for your organization, it is essential to look for one that offers features capable of supporting your business' growth. As your company expands, your authentication needs may change, so it's crucial to find an SSO solution that can easily adapt to those evolving requirements. Additionally, flexibility in subscription plans is vital, especially for small businesses. Opting for a "pay-as-you-go" option allows you to assess the software's suitability and effectiveness before making a long-term commitment. This way, you can ensure that the chosen SSO solution aligns perfectly with your organization's needs without locking you into a potentially unsuitable arrangement.

  2. Extensive Catalog of Apps: When selecting an identity provider for your SSO solution, it is crucial to consider its integration capabilities. An ideal identity provider should offer seamless integration with a wide range of service providers from different vendors. This integration flexibility enables you to connect your SSO solution with various applications, simplifying the process of switching or adopting new software without the need for a completely new SSO application. By choosing an identity provider with extensive integration options, you can maintain a centralized and consistent authentication experience across your organization, regardless of the diverse set of applications you may utilize. This adaptability ensures that your SSO solution remains agile and can easily accommodate future changes in your software ecosystem.

  3. Mobile Application: An SSO mobile app is crucial for remote work or jobs that require frequent travel. With more and more people working from home or traveling for work, it's become increasingly important to have a secure way of accessing company resources and maintaining identity security while you are on-the-go. An SSO mobile app does just that. You'll be able to access all your important files, tools, and applications with ease, without having to worry about any security breaches.

  4. Ease of Use, Intuitive UI, Solid Documentation, and Support: When considering an SSO solution, it is crucial to prioritize ease of use, setup, and maintenance. Look for a provider that offers an intuitive user interface (UI) and straightforward navigation, as these factors greatly contribute to user adoption and efficiency. A well-designed UI reduces the learning curve and ensures a seamless experience for both administrators and end-users. Additionally, comprehensive and well-written help guides or documentation are valuable resources for troubleshooting and self-service support. It's also essential to select an SSO provider that offers a responsive and knowledgeable support team. Having access to timely assistance and expert guidance can significantly expedite issue resolution and minimize downtime. By choosing an SSO solution with user-friendly features and robust support, you can ensure a smooth implementation and ongoing management, making it easier for your organization to derive maximum value from the solution.

  5. Caters to SMB Needs: While there are numerous SSO solutions available in the market, it is important to recognize that many of them are designed with larger enterprise companies in mind. Consequently, the specific needs and requirements of small businesses are often overlooked. However, for small businesses, an SSO solution that is easy to implement and tailored to their unique needs is crucial. It is essential to find an SSO provider that understands the challenges faced by small businesses and offers a solution that can be seamlessly integrated into their existing infrastructure. Such a solution should be cost-effective, scalable, and provide a streamlined user experience without overwhelming complexity. By choosing an SSO solution that caters to the specific features small businesses require, organizations can enhance their security, efficiency, and productivity while ensuring a smooth and hassle-free implementation process.

Final Thoughts​

The phrase "prevention is better than cure" is particularly true when it comes to business security - and protecting your business identity is no exception. It's crucial to educate yourself about potential risks and have a contingency plan in place to save yourself time, money, and of course, stress.

Single Sign On is an excellent start to protecting your business identity from potential threats. By treating security as an integral part of their products and services, companies can uphold ethical standards, provide a safer user experience, and minimize the risk of security breaches.