How Can Employees Minimize Human Error in SMEs’ Information Security?

From sending sensitive data to the wrong recipient to falling for cleverly disguised phishing scams, seemingly small mistakes can have severe consequences for SMEs. For businesses where every customer, contract, and transaction matters, a single misstep can expose critical information, violate privacy laws, and shatter hard-earned trust.

While technology can help strengthen defenses, it cannot prevent human errors — simple mistakes, lapses in judgment or careless handling of sensitive information. These errors pose a significant threat to information security, with SMEs being especially vulnerable due to their smaller attack surface. Attackers often target smaller businesses because they know these organizations are less likely to have strong security measures in place. Additionally, employees in SMEs may not recognize their role in maintaining security, making them an easier target for social engineering tactics.

This article examines five common human errors in information security and offers actionable, easy-to-implement solutions designed specifically for SMEs.

Password-Related Practices

One of the most overlooked risks in SMEs is weak or reused passwords. Employees often choose convenience over security by using simple passwords like “123456,” “password,” or reusing the same password across multiple systems. Some store passwords carelessly—writing them on sticky notes or saving them in unsecured locations, such as a shared spreadsheet or in the notes app on their personal phone. These practices create an easy path for unauthorized individuals to access sensitive systems or data.

For instance, imagine you work at a small business and have access to several internal systems, like the payroll software, the company’s project management tool, and the CRM system for client data. Without a password manager, you might resort to writing down passwords or reusing them across different systems, which could make it easy for someone to hack into multiple accounts if they get access to just one. However, by using a password manager, you can store each system’s password securely, generate strong and unique passwords for each account, and access them easily without the need to remember every detail. This ensures your company’s sensitive information remains protected, even if you’re juggling multiple systems on a daily basis.

How to Minimize the Risk in Password-related Practices?

• Use passphrases over traditional passwords. Passphrases are longer, more secure, and easier to remember. For example, a phrase like “Pizza#PartyAt7pm@!” is memorable and secure due to its length and complexity.
• Use password managers. Instead of writing passwords down, store and manage all your passwords securely in one place. This ensures passwords remain secure and accessible only to authorized users. Additionally, password managers allow you to set the complexity of your passwords, making it easier to generate strong, unique passwords for every account.
• Turn on MFA for all accounts that support it. This adds a second layer of security, like a code sent to your phone or email.

Falling for Phishing Scams

Phishing scams prey on human error by mimicking legitimate communication to trick employees into revealing sensitive information. By creating a sense of urgency, these scams pressure individuals into acting quickly without verifying the legitimacy of the request. However, no matter how hurried or stressed you feel, it’s crucial to pause and verify the authenticity of the communication before taking any action. Today’s phishing tactics go beyond basic emails, leveraging phone calls, text messages, fake websites, and even AI-powered techniques like deepfake audio or highly personalized messages to deceive employees. A single error can expose the entire business to hackers.

For instance, imagine you receive an email that looks like it’s from your boss, asking you to urgently download an attachment for an important project. The email is generic, opening with “Dear Employee” instead of using your name. The attachment is a .zip file, which is unusual for your typical work communications. These are all red flags. A closer look might reveal that the sender’s email address looks suspicious, or the tone of the message feels off. In this case, it turns out to be a phishing attempt, trying to trick you into downloading malware or stealing your login credentials.

How to Minimize the Risk of Phishing Scams?

• Always verify email requests for sensitive information. If it seems to be from someone important, like the CEO, confirm directly through a known, official channel.
• Look out for red flags. Be cautious of emails with generic greetings, urgent requests, or attachments with strange file types like .exe or .zip
• Hover over links to check their true destination before clicking. If it looks suspicious, don’t click!
• Stay alert: Participate in phishing tests and learn from the feedback to avoid falling for real scams.

Neglecting Updates

We’ve all dismissed those “Update Now” notifications at some point, thinking, I’ll handle it later. But this isn’t just procrastination—it’s creating security vulnerabilities. As an employee, you play a vital role in system security through how you manage updates. When you delay updates because you’re busy or ignore notifications from alert fatigue, you leave security gaps that attackers can exploit. Don’t assume updates are automated or that IT handles everything. Even skipping updates on your personal devices or not reporting error messages is risky. Protect your organization by understanding why updates matter, following update instructions carefully, and acting promptly when notifications appear.

For instance, imagine you’re working on a tight deadline and you postpone a restart after a software update. The next day, you notice your system is running slowly, and then you receive a security alert about a potential vulnerability that was patched in that update. Because you delayed the restart, the patch wasn’t applied, leaving your system exposed to a cyberattack. Had you restarted right away, your device would have been secure and up to date.

How to Minimize Update-Related Risks?

• When you see a notification for an update, don’t ignore it. If you’re busy, set a reminder to update your system later the same day—don’t put it off indefinitely.
• If an update requires a restart, don’t delay it. Restart your device as soon as you can to complete the process.
• If an update causes errors or performance problems, inform IT or your supervisor right away instead of ignoring the issue.

Lack of Prompt Incident Reporting

Have you ever noticed something unusual at work—like a stranger in a restricted area or a misplaced document—but stayed quiet because it didn’t seem important? These minor security lapses often go unreported, growing into serious problems. For SMEs without dedicated security teams monitoring potential threats, such oversights can lead to major data breaches or compliance violations.

For instance, an employee notices an unlocked file cabinet containing customer contracts at the end of the day but assumes someone else will secure it. The next morning, a sensitive file is discovered missing, but since no one reported the unlocked cabinet, there’s no way to track who accessed it or when.

How to Minimize Incident Reporting Risks?

• Speak up without hesitation. If you notice something unusual, like an open cabinet or misplaced documents, report it immediately. Don’t assume someone else will take care of it.
• Familiarity with colleagues shouldn’t stop you from taking action. Even individuals with the best intentions can make mistakes, and it’s important to address potential risks when you notice them. By showing that you prioritize security over personal comfort, you encourage others to do the same.
• Participate in training to understand the types of incidents that need to be reported, such as lost files, unauthorized access, or suspicious behavior.
• Familiarize yourself with how to report security issues at your workplace. It could be an email, a form, or even a suggestion box.
• Remember, reporting is about protecting the company and its employees. You won’t be blamed for raising concerns.

Non-Adherence to Information Security Policies

Information security policies establish clear rules and best practices to protect an organization’s sensitive data, systems, and resources from threats. However, their effectiveness depends on how well employees adhere to them. Unfortunately, human error often undermines these policies due to simple mistakes—things like not knowing how important the policies are, finding them inconvenient, or thinking “security is IT’s job.” Sometimes people take shortcuts, like skipping steps or using unauthorized tools, because they seem faster or easier. For small businesses, these mistakes may hurt even more because they may not have the resources to bounce back quickly.

For instance, imagine an employee skips the step of encrypting a sensitive financial report before emailing it to a client, thinking it’s just easier to send it without the extra step. Later, the email gets intercepted by a hacker due to an unsecured connection, and sensitive financial data is exposed. This simple shortcut—skipping encryption—could have been avoided by following the security policy, and it would have kept that data safe from unauthorized access.

How to Minimize Risks Related to Non-Adherence to Information Security Policies?

• Take time to read and understand your organization’s information security policies. Don’t assume you know everything. Make sure you understand the rules, why they are important, and the potential consequences of non-compliance, such as data breaches or legal penalties. If anything is unclear, ask for clarification.
• Security policies may sometimes feel inconvenient, but they are there for a reason. Always follow the established procedures, whether it’s using complex passwords, encrypting sensitive files, or verifying requests before sharing information. Shortcuts or cutting corners can lead to security vulnerabilities.
• Stick to the tools and software that have been vetted and approved by your organization. Avoid using personal devices or unapproved apps for work-related tasks. Using unauthorized tools (shadow IT) can create security gaps and expose sensitive data to risk.

It all starts with the basics—like using strong passwords and following simple security rules. As you get into the habit of taking these steps seriously, you’ll naturally build a mindset that keeps security front and center, from reporting incidents to protecting sensitive information.

Final Thoughts

Human error is a reality in every workplace, but it doesn’t have to be a vulnerability. With the right approach, it can become a strength. For SMEs, where resources are often stretched thin and employees juggle multiple roles, focusing on small, consistent habits can make a big difference. Simple actions — like verifying emails, updating systems promptly, and securing sensitive information — help create a culture where security is prioritized over convenience.

It is true that security measures can feel like extra work, especially in fast-paced environments. Yet, dedicating time to follow proper protocols is vital for protecting sensitive data and preventing costly mistakes. Through small, consistent actions and adherence to procedures, employees can significantly contribute to the organization’s security and resilience.