How do companies keep passwords safe?

Each company has a different approach to keeping passwords safe. Some of these strategies are safe and recommended by cybersecurity experts.

Yet, many companies believe they use good data management practices while the reality is somewhat different.

So what is considered the right way for companies to keep passwords safe?

Let’s find that out.

How do companies manage passwords?

Various companies use different strategies to manage passwords. For instance, every second employee uses the same password for personal and work accounts.

And while this strategy might seem convenient (you do not forget passwords), it puts all accounts at significant risk. And while you could tolerate such risk in your personal life, breaching business accounts can be extortionately expensive.

Another way employees manage passwords is by keeping credentials in memory or using an old pen and paper method.

While these methods are not that dangerous per se, they are highly inconvenient – it is easier to forget than to remember dozens of passwords. Naturally, this makes people reuse passwords.

Similarly, when employees write down passwords on sticky notes, they risk exposing them, losing them, or accidentally sharing them with people who cannot access the account.

What is the best strategy to keep passwords safe ?

The best strategy to keep passwords safe for all sizes of companies is to use a password manager.

This tool is designed to replace all insecure data management practices and provide a safe, easy-to-use, and reliable way to store and share passwords.

Currently, only around a third of companies use password managers to keep passwords safe. However, the usage of password managers is steadily growing, and it is expected to exceed three billion U.S. dollars in revenue by 2025.

While many other password security solutions exist (such as passwordless authentication), password managers remain the most reliable form of protection. It helps companies to protect passwords that grant access to company infrastructure.

How does a password manager help to keep passwords safe ?

A password manager is an excellent tool for companies to keep passwords safe. A password manager serves as a vault where a company can safely store all its credentials, notes, servers, databases, and other types of information.

A team-oriented tool not only protects data against cyber threats but also provides a secure way to share data with colleagues and clients outside the organization.

The password manager protects passwords with a military-grade encryption method, widely used and acknowledged in the market. The Zero-knowledge protocol ensures that only people inside the organization (the password owners) can access their credentials.

A good password manager replaces the need to manage passwords following insecure practices.

For instance, the tool eliminates the need to reuse credentials. Whenever an employee creates an account, the password manager saves it inside the vault. The next time a person visits a website, the password manager fills in login data automatically.

Consequently, employees do not need to bother to remember their credentials. The tool does the job for them.

How to choose the most suitable tool for your company?

Choosing a suitable password manager might be challenging. With so many options available in the market, picking a single tool can become a time-demanding task.

Here are the criteria that should help you to decide faster and more confidently. When picking a password manager, look for:

• Security.

Choose only a password manager that prioritizes the security of users’ data. It should include a market standard AES-256 encryption method, Zero-knowledge proof, and support multi-factor authentication.

• Convenient sharing.

A password manager should replace the need for employees to share credentials inside chats or emails. A reliable password manager (like PassCamp) offers a secure and convenient sharing option inside the team and with external users (f. e., clients or business partners).

• Improved productivity.

A password manager should also facilitate data management processes and help employees do tasks more quicker. A tool that automatically saves and fills credentials and allows users to generate passwords speeds up data protection processes and improves productivity.

While there are many additional solutions that each password manager provides, we strongly suggest first evaluating the core features that help to keep passwords safe.

If a password manager focuses on security, convenient sharing, and productivity (like PassCamp), it is a tool you should consider.