Company background:
DevSoft Solutions is a mid-sized software company based in Austin, Texas, employing around 150 people. They specialize in developing custom software solutions for clients across different industries.
They use over 30 software tools, including SaaS platforms like Microsoft 365 and on-premises software for specific project management and development needs.
The departure scenario:
A sales consultant, Mike, has resigned from his position at DevSoft Solutions. After spending over three years with the company, Mike decides to join a competitor.
However, due to gaps in the offboarding process, his access to company resources was not revoked properly. This oversight had catastrophic consequences for the company.
The consequences of poor offboarding (Without ULM)
Week 1: HR completes the resignation process
- HR perspective:
HR receives Mike’s resignation and completes the necessary paperwork. HR then informs IT about Mike’s last day, assuming that IT will promptly handle all access revocation.
- IT Admin’s perspective:
Due to a lack of proper automation and standardized procedures, IT is burdened with multiple priorities. The manual task of disabling Mike’s accounts is not treated with urgency. The IT admins have several other ongoing tasks, including supporting new hires, resolving user issues, and maintaining systems.
Week 2: Mike exploits the gap
- Mike’s perspective:
During his notice period, Mike realizes that his access is still active after he leaves the company. He still has credentials for critical systems like Microsoft 365, including access to SharePoint, Microsoft Teams, and the company’s CRM.
- The data theft:
Realizing that his access is unchecked, Mike downloads an Excel sheet containing valuable client leads—a resource that the sales team had spent months building and refining. He uses this information to benefit his new employer, a direct competitor of DevSoft Solutions.
Week 3: The fallout
- Financial loss and reputational damage:
The theft of client leads results in significant financial losses. DevSoft Solutions starts losing clients as they are approached by Mike’s new company with customized offers based on the stolen information. The value of these leads alone amounts to tens of thousands of dollars, but the indirect cost—lost trust and a tarnished reputation—is immeasurable.
- IT Admin’s struggle:
When the data breach is discovered, the IT admins scramble to revoke Mike’s access. They review all systems manually, which is both time-consuming and error-prone. Without a centralized way to manage user access, it’s nearly impossible to confirm that all of Mike’s access has been successfully revoked.
The owner’s perspective
- Lost opportunities:
The CEO of DevSoft Solutions, Mike (different from the employee), is devastated by the financial and reputational loss. Despite investing heavily in sales efforts, a single oversight in the offboarding process results in the loss of valuable leads and clients, undoing months of hard work.
- False economy:
The company did not implement a proper User Lifecycle Management (ULM) solution to save costs. The decision not to upgrade to a solution like Microsoft 365 Business Premium that includes Microsoft Entra and Intune for automated access management ended up costing the company far more than they saved.
What went wrong?
- Lack of centralized access management:
The company lacked a system that centrally managed all of Mike’s access. Without a proper ULM solution, there was no single point from which to revoke access to all resources—leading to gaps that Mike exploited.
- Manual offboarding processes:
The IT admins relied on manual processes, which are prone to errors, delays, and inconsistencies. There was no automated workflow to ensure that Mike’s access was revoked across all systems immediately upon his departure.
- Poor coordination between HR and IT:
HR assumed their part was done once IT was informed. IT, overwhelmed with other responsibilities, did not treat the offboarding process as an urgent task. This siloed approach led to significant vulnerabilities.
The solution: ULM with Medha Cloud
How ULM transforms offboarding:
Expert guidance and consultation:
Medha Cloud’s IT consulting services can help DevSoft Solutions implement a proper User Lifecycle Management (ULM) strategy to streamline the offboarding process.
By using an effective ULM solution, all of Mike’s access could be revoked automatically the moment his employment ended, without relying on manual intervention or coordination gaps between HR and IT.
Integrated tools for efficiency:
Medha Cloud recommends upgrading to Microsoft 365 Business Premium, which includes Microsoft Entra for identity management and intune for device management.
These tools provide automated workflows that revoke access across all devices, accounts, and systems immediately upon termination, reducing the risk of data breaches.
Immediate access removal:
With Medha Cloud’s recommendations, DevSoft Solutions could have implemented an automated ULM system to ensure that Mike’s access to all company resources was removed as soon as he left.
This includes disabling his Microsoft 365 account, removing him from Teams groups, revoking his SharePoint permissions, and ensuring no lingering access to any sensitive data.
Business outcome:
- Financial savings:
By preventing unauthorized access, the company could have avoided the loss of tens of thousands of dollars in client leads and saved the significant effort required to manage the crisis.
- Reputation management:
Automated access removal would have prevented Mike from stealing valuable data, preserving the company’s reputation and preventing client losses.
- Operational efficiency:
The IT team would be free from manually reviewing and disabling access across multiple platforms. This allows them to focus on more strategic projects rather than dealing with crises that could have been avoided with proper planning.
Final thoughts: The real cost of poor offboarding
For DevSoft Solutions, the failure to effectively offboard an employee resulted in significant financial losses, a damaged reputation, and a massive breach of trust with their clients.
Medha Cloud can help businesses like DevSoft Solutions develop robust ULM strategies that ensure every departing employee’s access is revoked immediately and thoroughly. Investing in a proper offboarding solution isn’t just about security—it’s about protecting the company’s most valuable assets: its data, clients, and reputation.
Medha Cloud provides IT consulting services that guide organizations on how to implement efficient offboarding processes, making sure the right investments are made to safeguard company information and streamline operations. Cost-saving is important, but ensuring the right measures are in place to prevent losses is crucial for business growth and stability.
Learn more about how effective User Lifecycle Management can transform your business. [Visit our complete ULM guide here
Struggling with onboarding delays? Consult Medha Cloud for a seamless User Lifecycle Management implementation. We provide the best possible solutions at the lowest cost with a quick turnaround
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