If you’ve ever been concerned about the security of your business data or personal information, you might have looked into two-factor authentication. This type of authentication is a two-step identification process that you need to complete to access data on a digital device. The process is increasingly important in the modern day, particularly with the rise of cybersecurity threats to companies.
Yet, beyond countering cybersecurity threats, there are other advantages of implementing two-factor authentication (2FA). So why else is 2FA important? In our article, the professionals at our managed IT services company will explore 2FA in detail. We’ll also look closely at its benefits and explore the steps you can take to implement 2FA for your accounts and enhance the security of your company data.
What is 2FA?
Before we discuss the specifics of 2FA, let’s first define it. Two-factor authentication is an access management security method that requires a user to provide two means of identification before they can access data. It typically combines two specific factors, such as something you know (a password), a digital feature you have (a code), or something entirely unique to you (a biometric factor).
Now, each of these 2FA methods works together to secure your digital data. Here’s more information on some of these:
- SMS codes: You can arrange for SMS codes to be sent to your smartphone, which you can use and combine with another identification factor to gain access to company data or a company account. Typically, SMS codes are one-time codes delivered via text message. This means they can only be used once for each log-in attempt.
- Authentication apps: Authentication apps are applications on a mobile device that require you to verify your identity before you can access online accounts. They add a second step of verification in the form of a time-based one-time password of between six and eight digits, which is required when you sign in.
- Biometrics: Biometric authentication is a method of verifying your identity using a fingerprint, a face scan, or even a retina scan. This authentication method contains unique data points, is advanced, and would require the use of sophisticated technology to replicate the credentials.
Each of these authentication methods, when combined with a password, can add an additional layer of protection. It means that cybercriminals or unauthorized users will not be able to easily access an account or your data, so your company data is more secure with these features.
Why You Need More than Passwords
Cyber threats such as phishing attacks and ransomware threats are on the rise. As StatCan states, companies are increasingly being affected by cybersecurity incidents. The number of impacted businesses reporting experiencing ransomware attacks, for instance, rose from 11% in 2021 to 13% in 2023.
At the same time, internet users in Canada, including businesses, have experienced a range of data breach issues, with password data breaches equating to 153.98 leaked data points (the highest number of leaked data points between 2004 and 2024 compared with a password hash, username, name, or first name). This increase in cyber threats and password data breaches reflects the issue of relying only on a password for security.
Passwords are no longer enough to protect sensitive business information. Not only do threat actors have means to gain unauthorized access to accounts that only rely on password authentication, but password sharing and reuse can mean that the security of an account is flawed. For this reason, many businesses are turning to additional security measures such as 2FA and are looking to gain its many security advantages.
Advantages of 2FA
One factor to consider is that artificial intelligence (AI) and machine learning can affect how data is collected and used. In AI data collection, automated data gathering can take place through a web scraping method, which can potentially lead to the collection of significant amounts of data without explicit consent.
For this reason, there is a growing requirement for transparency in how AI-driven data collection works.
Third-Party Data Sharing
So, 2FA has multiple benefits — from enhanced security and greater protection of sensitive information to boosting trust and ensuring businesses comply with regulations. Below, we have described these benefits in more detail.
Enhanced security and data protection: Two-factor authentication enhances the security of your business accounts. Making use of this security feature can mean that even if a hacker deciphers your business account password, they will need to pass through a second layer of security if you’ve enabled 2FA.
It mitigates the risk of unauthorized access to sensitive data since malicious individuals won’t have all of the authentication methods to pass through the secure layers.
Greater compliance with regulations and increased trust: Your company can easily comply with important regulations such as the Personal Information Protection and Electronic Documents Act (PIPEDA) using 2FA approaches. PIPEDA is a law that states that commercial companies need to request consent when collecting personal information.
Since two-factor authentication can protect sensitive information from malicious individuals, it can help companies uphold the protection of personal information and adhere to PIPEDA as well as similar regulations such as GDPR.
Implementing 2FA
So if you are not currently using 2FA, and are giving this some thought, you may be wondering which methods you can use to implement it. The good news is that it doesn’t have to be a complicated process. Here, we will look at the steps you should use to implement two-factor authentication.
- Identify which accounts need 2FA: First off, you’ll need to identify which accounts need 2FA. This should include any account linked with a web-based site, since accounts that require internet access can potentially be vulnerable to cyberattacks. Some examples of accounts that require 2FA include accounting software and business online banking accounts as well as accounts that contain customer information.
- Choose the right 2FA method: You’ll then need to choose the right 2FA method that aligns with your specific requirements. For example, if you’re looking for a low-cost 2FA authentication solution, SMS codes are ideal. These are cheaper to implement and easy to access.
However, for accounts that have highly sensitive information, you may prefer to use authentication apps, which are more secure than SMS codes since they generate time-based one-time codes that refresh every 30 seconds.
- Complete 2FA integration processes: You can work with an information technology service management (ITSM) team to integrate 2FA solutions into each existing account system your business uses. The ITSM team can make updates in line with the 2FA integration, which may involve updating a login process.
When integrating 2FA security, it’s worth planning the rollout and using a phased approach. This can help you prioritize admin accounts and the accounts that contain the most sensitive information.
We also advise communicating with account users. This means training employees to make use of the 2FA solutions effectively. Training resources and step-by-step guides can be crucial, so it’s worth incorporating documents and training videos on how to utilize 2FA solutions into the training process.
Myths and Truths About 2FA
While you may have concerns about two-factor authentication, there are many misconceptions and myths about this security measure. For instance, business owners may consider that 2FA is a complex process that can be challenging to set up. They may also consider that training employees to use 2FA is difficult or that this authentication process is not guaranteed to work.
Yet, two-factor authentication is easy to use. It only requires adding one more authentication requirement beyond a password-based authentication. Users can adopt this additional authentication method easily since it retains the same, existing access system.
Each option is also an intuitive security measure to use; authenticator apps come with an intuitive user interface, SMS code use is simple since most individuals have experience with text messaging, and biometric options offer fast and easy access to accounts.
Additionally, in terms of its security advantages, 2FA can stop approximately 96% of bulk phishing attacks, and 99.9% of automated attacks.
The Future of 2FA
Increasingly, technologies are incorporating more advanced security solutions based on 2FA. So, in terms of the future of two-factor authentication, it’s expected that the main features of this crucial security measure will continue to be refined.
Multi-factor authentication (MFA) and even passwordless systems are becoming more widely used. While multi-factor authentication requires the user to provide two or more means of verification to access data, passwordless systems bypass the need for a password altogether and may include digital certificates or security tokens.
This means that despite the increasingly sophisticated cyber threats to company data, businesses can still be prepared to keep sensitive information protected with 2FA, MFA, and other security measures.
Contact Tech Masters for More Details on Using 2FA
2FA is a crucial security measure that businesses should consider to keep accounts and sensitive data secure. If you’re considering integrating 2FA security solutions, an ITSM service such as Tech Masters can help you.
We offer IT support services in Edmonton and Western Canada, and our information technology experts can provide the support and advice required to help you utilize 2FA successfully. Start integrating 2FA solutions today to keep your digital accounts secure and avoid cyber threats. Contact Tech Masters for support when integrating these crucial security measures.
