Errors in End User Computing (EUC) Files Are Inevitable
Research confirms that End User Computing (EUC) files are, and always will be, prone to errors. Studies have shown that over 90% of spreadsheets with at least 150 rows contain errors. No matter how diligent the employees in your organization are, errors simply cannot be avoided.
Why this happens:
Flexibility: EUC files are popular because end users can make quick and easy changes; however, their greatest advantage is also their biggest drawback. The ability to make rapid changes makes them prone to a variety of errors, and EUC files are often mistakenly perceived as simple. When used by employees working under time pressure, errors become unavoidable.
Lack of testing: EUC files lack a structured development process and are not subject to rigorous testing as other applications are.
Frequent use: Even a spreadsheet that is error-free at the outset becomes vulnerable as employees use and update it regularly.
Data integrity: EUC files are often connected to other data sources without a full understanding of what the data is or its quality. Moreover, links can break when these files are moved, deleted, or renamed, leading to data loss or disruptions to organizational processes.
Lack of security: EUC files often lack mechanisms to secure the sensitive business data they contain. This can lead to the unintentional or intentional exposure of this information.
The Cost of Errors in EUC Files Can Be High
A well-known €4.9 billion loss at one of Europe’s leading banks, Société Générale, caused by uncontrolled spreadsheets, demonstrates just how costly errors in EUC files can be. According to estimates from Chartis Research, the annual EUC risk exposure for the top 50 financial institutions is $12.1 billion, averaging $285 million per institution. A single EUC error can impact a critical transaction or spread through the system, potentially causing losses, reputational damage, and regulatory penalties.
EUC Files Pose Significant Security Risks
EUC files not only give users access to powerful tools but also to sensitive data, such as confidential financial information or customer personal data. This makes them vulnerable to a wide range of potentially costly and disruptive security breaches.
Data leakage: Confidential and sensitive information can be exposed through spreadsheets. There have been many cases where customer personal data was published online or emailed outside the company.
Fraud: The lack of controls makes data susceptible to manipulation.
External attacks: Uncontrolled EUC files are an easy target for hackers and malicious software.
EUC Files Impact Organizational Productivity
In large organizations, a significant amount of time is spent by end users, managers, and auditors working with EUC files. However, this doesn’t have to be accepted as a standard cost of doing business when automation solutions are available. It is estimated that an effective approach to managing EUC files can save employees up to 2 hours per week on tasks such as creating, modifying, reviewing, or auditing spreadsheets. This translates into organizational savings and allows employees to focus on other tasks.
How to Effectively Manage EUC Files
EUC Insight is a modular, integrated platform for managing End User Computing files.
It enables the implementation of best practices to ensure full security. Thanks to its modular design, you can start with selected features and add more as needed.
The modules include:
The EUC Insight solution supports various file types and locations, making it sufficient for managing all EUC files.
The EUC Insight platform is fully customizable, allowing it to be tailored to your company’s existing business processes and policies. It leverages the latest technologies, including Machine Learning and AI, to offer a scalable and efficient solution for any enterprise. With 25 years of experience, CIMCON Software remains a pioneer in managing EUC file risks. The solution already protects nearly 600 organizations across 30 countries.
Would you like to learn more about the EUC Insight solution or are you interested in implementing it in your organization? Fill out the contact form, and one of our experts will get in touch with you.