They are also talking about a home computer. In my company, VPN access is limited to trusted devices; therefore, sensitive systems can only be accessed from a corporate machine.
Security at LastPass seems substandard for a company storing security credentials. Unfortunately, from my experience, this is relatively common, and regulators need to start issuing significant fines or prison sentences for this to improve. Unfortunately, it is too easy for CTO/CISO to find a scapegoat and avoid scrutiny.
Once you get password vault, it's very likely that you also get creds necessary to set up VPN. Besides, there are ways to bypass (poorly implemented) VPN and relying on VPNs isn't even the best practice nowadays.
I agree with you that a few CISOs getting sentences would be the fastest way to raise the bar across the tech sector, but that's never going to happen.
Until somebody pulls out their personal cell phone, and takes a photo of a screen containing highly confidential data, to then send it to someone else, because, dang it, they had to get something done NOW and it seemed very convenient.
I tend to disagree. The potential for any single employee to do substantial harm to any business is incredible and designing a system to make that not possible is nigh impossible.
It's neither the humans nor the institutions fault. It's just that systems involving humans are incredibly hard stuff. You are constantly weighing rigidity of the system with the potential to do harm within the system. How much way can it give to make it possible for humans to do their job in a complicated world?
If you go down the path of "we need a process for everything" you are going to end up with a lot of processes. The inherent problem with that approach is that (for most businesses that are not exactly amazon) a lot of processes can not not feasibly be systematically enforced and rely on being honoured by a human a juncture points, to an extent that makes you very uncomfortable when you consider what mechanisms you system has, for when they just don't.
As of now, most system simply rely on humans to do the right thing at the right time, for no other reason than it being the right thing and they also knowing that, for the whole world to not go up in flames.