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Permission Management Best Practices in Microsoft Entra ID

Reco Security Experts
June 24, 2024
June 24, 2024

Microsoft Entra Identity serves as a cornerstone in modern identity management systems, providing robust security and access control mechanisms. However, effective utilization of Entra ID requires adherence to best practices in permission management to safeguard sensitive data and ensure smooth operations. In this comprehensive guide, we delve into the intricacies of Entra ID permission management, outlining best practices to optimize security and efficiency.

To log in to the Microsoft Entra ID portal, follow these steps:

  • Open your web browser and navigate to the Entra ID portal.entra.microsoft.com.
  • Look for the login or sign-in option on the homepage.
  • Enter the username or email address associated with your Entra ID account.
  • Type in your password.
  • Click on the "Login" or "Sign In" button.
  • If you've entered the correct credentials, you should be successfully logged in and directed to your account dashboard. If not, double-check your username and password for any typos or errors.

Who Uses Microsoft Entra ID

Microsoft Entra ID provides different benefits to members of your organization based on their role:

IT admins use Microsoft Entra ID to control access to apps and app resources based on business requirements. For example, as an IT admin, you can use Microsoft Entra ID to require multi-factor authentication when accessing important organizational resources. You could also use Microsoft Entra ID to automate user provisioning between your existing Windows Server AD and your cloud apps, including Microsoft 365. Finally, Microsoft Entra ID gives you powerful tools to help protect user identities and credentials automatically and to meet your access governance requirements.

To get started, sign up for a free 30-day trial or P1 and P2. App developers can use Microsoft Entra ID as a standards-based authentication provider that helps them add single sign-on (SSO) to apps that work with a user's existing credentials. Developers can also use Microsoft Entra APIs to build personalized experiences using organizational data. To get started, sign up for a free 30-day P1 and P2 trial.

Microsoft 365, Office 365, Azure, or Dynamics CRM Online subscribers already use Microsoft Entra ID as every Microsoft 365, Office 365, Azure, and Dynamics CRM Online tenant is automatically a Microsoft Entra tenant. You can immediately start managing access to your integrated cloud apps.

What are Microsoft Entra ID Licenses?

Microsoft Online business services, such as Microsoft 365 or Microsoft Azure, use Microsoft Entra ID for sign-in activities and to help protect your identities. If you subscribe to any Microsoft Online business service, you automatically get access to Microsoft Entra ID Free.

To enhance your Microsoft Entra implementation, you can also add paid features by upgrading to Microsoft Entra ID P1 or P2 licenses or adding on licenses for products such as Microsoft Entra ID Governance.

The screenshot above shows the difference between Microsoft Entra ID Free version, PI license, P2, and Entra ID governance license.

Key Components of Microsoft Entra ID Permission Management

1. Role-Based Access Control (RBAC): RBAC forms the foundation of permission management in Microsoft Entra ID, allowing administrators to assign permissions based on predefined roles. This approach streamlines access control by associating permissions with job functions rather than individual users, reducing administrative overhead and enhancing security.

The image above shows when an admin is assigning user roles to access the Microsoft Entra portal, and other accounts and perform some tasks in the portal.

2. Attribute-Based Access Control (ABAC): ABAC extends the capabilities of RBAC by incorporating additional attributes such as user attributes, resource attributes, and environmental conditions into access control decisions. This granular approach enables fine-grained access control, ensuring that users only access resources that align with their attributes and contextual factors.

The image above shows how the condition for the attribute-based access control is configured in Microsoft Entra ID.

3. Policy Management: Entra ID offers a centralized policy management interface where administrators can define, modify, and enforce access policies across the organization. Policies can be tailored to specific user groups, resources, or applications, providing flexibility and scalability in permission management.

Example: Setting up a conditional policy for a named location

You can add a named location in Microsoft Entra as follows:

  1. Open Microsoft Entra and go to Conditional Access under Protection
  2. Choose Named Locations
  3. Click on + Countries Location
  4. Give your locations a name
  5. Select the countries that you want to add to the list
  6. Click on Create

The above screenshot shows the conditional access policy for a named location, looked up by IP address and the Netherlands as the country.

Best Practices in Microsoft Entra ID Permission Management

1. Role Hierarchy Design: Establishing a well-defined role hierarchy is crucial for effective permission management in Entra ID. Define roles based on job responsibilities and organizational structure, ensuring clarity and consistency in access control policies. Regularly review and update the role hierarchy to accommodate changes in organizational dynamics.

2. Least Privilege Principle: Adhere to the principle of least privilege when assigning permissions in Entra ID. Grant users only the permissions necessary to perform their designated tasks, minimizing the risk of unauthorized access and potential security breaches. Conduct regular access reviews to identify and revoke unnecessary permissions.

3. Segregation of Duties (SoD): Implement SoD principles to prevent conflicts of interest and reduce the likelihood of fraud or misuse. Define and enforce separation rules that prohibit users from possessing conflicting roles or permissions within Entra ID. Conduct periodic audits to ensure compliance with SoD policies.

4. Attribute-Based Policies: Leverage attribute-based policies in Entra ID to enforce dynamic access control based on user attributes, resource properties, and contextual factors. Define policy rules that consider user attributes such as role, department, and location, as well as resource attributes such as sensitivity and classification level.

5. Regular Auditing and Monitoring: Establish a robust auditing and monitoring framework to track user activities and access attempts within Entra ID. Monitor privileged actions, access patterns, and policy violations in real time to detect anomalies and unauthorized behavior. Conduct regular audits to assess compliance with access control policies and regulatory requirements.

6. User Training and Awareness: Educate users about the importance of proper permission management practices in Entra ID and their role in maintaining a secure environment. Provide training sessions, documentation, and awareness campaigns to empower users to make informed decisions regarding access requests and permissions.

7. Automation and Orchestration: Utilize automation and orchestration tools to streamline permission management processes in Entra ID. Automate user provisioning, role assignments, and access reviews to minimize manual intervention and improve operational efficiency. Integrate Entra ID with identity governance solutions for enhanced visibility and control over access permissions.


Effective permission management is essential for maximizing the security and efficiency of Entra ID deployments. By following best practices such as role hierarchy design, least privilege principle, and attribute-based policies, organizations can establish robust access control mechanisms that mitigate security risks and ensure compliance with regulatory requirements. Continuous monitoring, auditing, and user awareness are key pillars of a comprehensive permission management strategy in Entra ID, enabling organizations to adapt to evolving threats and safeguard their critical assets.

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