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Microsoft Entra ID: Identity and Access Management (IAM) Overview

In May 2022, Microsoft unveiled a new vision for secure access, introducing Microsoft Entra as a comprehensive suite aimed at simplifying identity and network access management across diverse platforms and clouds. One of the most significant changes in this transformation was the renaming of Azure Active Directory (Azure AD) to Microsoft Entra ID, signifying Microsoft’s commitment to delivering a simplified secure access experience in multi-cloud and multi-platform settings.

In this article, we’ll explore everything IT leaders and managers need to know about Microsoft Entra ID, from its core components to its significance for various teams within an organisation.

Core Components of Microsoft Entra ID

Identity Protection

Microsoft Entra ID’s identity protection capabilities are at the forefront of ensuring secure access. Leveraging advanced machine learning algorithms, it detects potential identity-based threats and provides risk-based Conditional Access policies to mitigate them. This proactive approach safeguards your organisation from malicious login attempts, protecting sensitive data.

Access Management

Access management is crucial for any organisation’s security. Microsoft Entra ID provides secure, seamless access to applications from anywhere, on any device. Features like Single Sign-On (SSO) and Multi-Factor Authentication (MFA) ensure that only authorized individuals can access your resources, enhancing overall security.

Privileged Identity Management

Microsoft Entra ID includes privileged identity management capabilities, giving you greater control over administrative tasks and resources. This component enables you to manage, control, and monitor access to important resources, reducing the risk of security breaches.

Identity Governance

Effective identity governance is essential for organisations. Microsoft Entra ID helps ensure that the right people have the right access to the right resources. It provides comprehensive insights into access patterns and behavior, making it easier to spot anomalies and take immediate action.

B2B and B2C Identity Services

Microsoft Entra ID isn’t limited to internal users; it also offers B2B and B2C identity services. These services enable secure sharing of applications with business partners and customers while maintaining control over access permissions.

Benefits of Microsoft Entra ID

Before the name change, Azure Active Directory has already significantly accelerated thousands of organisations’ Zero Trust journey, delivering high value-add at lower cost, according to a 2020 Forrester Total Economic Impact™ study, Securing Apps with Microsoft Azure Active Directory.

Accelerating Zero Trust Journeys: Microsoft Entra ID plays a pivotal role in accelerating organisations’ journeys towards adopting the Zero Trust security model. As evidenced by the 2020 Forrester study, organisations securing their applications with Microsoft Entra ID have realized 123% returns on investment (ROI) with a payback period as short as six months. This acceleration towards Zero Trust is underpinned by a robust set of security features and policies that safeguard identities and access, reducing risks and enhancing overall security.

Enhanced Worker Productivity: The transition to remote work has underscored the importance of seamless and secure access to applications. Microsoft Entra ID’s single sign-on (SSO) capabilities streamline access, allowing employees to sign in once and access multiple applications effortlessly. This consolidation of identity and access management (IAM) not only saves time but also translates into significant productivity gains: a 50 percent reduction in overall management effort for an IAM team. Forrester estimates that each employee can save approximately 10 minutes a week, valued at an impressive $7.1 million over three years for composite organisations studied. 

Reduced Data Breach Risks: Data breaches pose substantial financial and reputational risks to organisations. Entra ID addresses this concern comprehensively by securing all applications, making it considerably more challenging for attackers to compromise credentials. Through measures such as banning common passwords, blocking legacy authentication, and protecting privileged identities, the platform significantly reduces the risk of data breaches. According to Forrester, organisations leveraging these features achieved a 45 percent reduction in the likelihood of a data breach, potentially saving $2.2 million over a three-year period.

Who Uses Microsoft Entra ID?

Microsoft Entra ID caters to various members of an organisation based on their roles:

IT Admins: For IT administrators, Microsoft Entra ID is a powerful tool for controlling access to applications and resources based on business needs. It allows enforcement of multi-factor authentication and automates user provisioning, streamlining administrative tasks and enhancing security.

Developers: Developers can leverage Microsoft Entra ID as a standards-based authentication provider, simplifying the addition of single sign-on (SSO) to applications. It also provides APIs for creating personalized experiences using organisational data, adding functionality and customization to apps.

Microsoft 365, Azure, and Dynamics 365 Subscribers: Subscribers to Microsoft 365, Azure, or Dynamics 365 already benefit from Microsoft Entra ID. It allows instant access management for integrated cloud apps.

Empowering IT Administrators

Microsoft Entra ID is a dynamic tool for IT administrators, offering precise control over application and resource access based on your organisation’s needs. Imagine the ability to enforce multi-factor authentication (MFA) for crucial organisational resources, enhancing security. Additionally, Microsoft Entra ID simplifies user provisioning by seamlessly integrating Windows Server Active Directory (AD) with cloud apps, such as Microsoft 365. This automation boosts efficiency and ensures timely access.

Moreover, Microsoft Entra ID equips IT administrators with robust identity protection tools. Advanced machine learning algorithms proactively detect identity-based threats, enabling swift responses to mitigate risks. Access governance requirements are also effortlessly fulfilled, ensuring consistent policy enforcement and adherence to security protocols. In essence, Microsoft Entra ID acts as a personal security guard and efficiency expert for IT administrators.

Developers’ Path to Integration

For application developers, the IAM platform offers a gateway to seamless integration. It serves as a standards-based authentication provider, simplifying the addition of single sign-on (SSO) capabilities to applications. The beauty of this solution lies in its compatibility with existing user credentials, reducing friction during the authentication process.

Furthermore, developers can harness the power of Microsoft Entra ID’s APIs to create personalized and feature-rich experiences within their applications. These APIs grant access to organisational data, enabling developers to customize applications and align them with users’ unique needs.

Pricing and Licensing

Despite the name change, the pricing and licensing plans for Microsoft Entra ID remain unchanged. Existing Azure AD plans can be easily mapped to the corresponding Microsoft Entra ID plans. Microsoft 365 E3 and E5 plans now include Microsoft Entra ID (formerly Azure AD), with new SKU display names rolling out from September 1, 2023.

Impact on Microsoft 365 and Azure AD for Office 365

For Microsoft 365 and Azure AD for Office 365 users, the transition brings some exciting enhancements. Microsoft Entra ID Free now offers unique features previously exclusive to Office 365 apps, such as company branding and self-service sign-in activity search. Microsoft 365 E3 users will continue to enjoy Microsoft Entra ID P1, while E5 customers gain access to new identity protection capabilities under Microsoft Entra ID P2.


Microsoft Entra ID, with its comprehensive suite of identity management services, provides a robust, scalable, and secure solution for organisations of all sizes. Its core components work together to create a seamless and secure digital experience, ensuring that the right people have the right access at the right time.

If you need assistance with identity and access management (IAM) for your user base, then contact A1 Technologies for more information or to set up a consultation. We can help design a plan and strategy to provide easy access for the right users while reinforcing the security of your most sensitive data and systems.

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