Work has evolved beyond the traditional office. Digital transformation forces companies to adapt, reshaping communication, business operations, and workplaces. Applications, data, and users are now distributed across cloud platforms, mobile devices, and remote environments. This shift requires a modern approach to identity and access management – one that is agile, scalable, and built for the cloud era.

This brings us to cloud identity. It’s the process of managing user identities and accessing permissions within cloud environments. It leverages cloud-based services to authenticate users, control resource access, and enforce security policies. All these processes ensure seamless and secure operations of not only your workplace, but also the activities of your clients, whether you run a small, medium, or large organisation.

In this article, you’ll learn about the most important aspects of cloud identity for your end-clients and find out how to implement it in your organisation. 

What are the risks of a lack of cloud identity management?

The lack of effective cloud identity management creates several risks to your organisation. Here are some of them.

Increased vulnerability to data leaks

Without proper cloud identity management, organisations lack access controls. In other words, they don’t have control over who can access sensitive data. This increases the risk of unauthorised access, which can lead to data breaches and leaks.

Another issue is insufficient monitoring of user activities. This makes it difficult to detect and respond to potential data leaks before it’s too late which can result in data exposure before any action is taken.

Lack of comprehensive access control

One of the most popular issues organisations struggle with is over-permissioning. 

Granting users or services more permissions than necessary can lead to a larger attack surface. If these identities are compromised, attackers can exploit excessive permissions to access sensitive resources.

This stems from inconsistent policies. Without centralised identity management, enforcing consistent access policies across different cloud services becomes challenging. This inconsistency can lead to data breaches.

Risk of unauthorised access to systems

The lack of cloud identity management results in weak authentication. 

The absence of authentication mechanisms, such as multi-factor authentication (MFA), makes it easier for attackers to gain unauthorised access using stolen credentials.

The issue of orphaned or unmanaged identities can provide potential entry points for attackers.

Problems with user identity management

Managing multiple unsynchronized accounts across different cloud services can lead to identity sprawl, making it difficult to track user activities and permissions.

On the other hand, there are possible compliance issues. Organisations may struggle to demonstrate who has access to sensitive data and resources, which is crucial for regulatory compliance.

Benefits of cloud identity management

Apart from minimising the above risks, cloud identity management offers more benefits.

  • Centralised management of access to resources: This involves managing all access points from a single platform, ensuring that resources are correctly and securely allocated. It simplifies the process of granting or revoking access, reducing administrative burdens and ensuring that resources are used appropriately.
  • Enhanced data security: Centralised management allows for robust security protocols to be implemented across all resources, protecting sensitive data from unauthorised access. This reduces the risk of data breaches.
  • Simplified access control: Streamlining the process of managing user permissions ensures that each user has the appropriate level of access based on their role. It reduces errors in permission assignment and ensures that users can only access necessary resources, minimising potential security risks.
  • Ability to quickly add and remove users: Allows administrators to easily manage user accounts, adapting to changes in personnel or roles. This makes it easy to give new users access and to take it away from those who are no longer using the system. This helps maintain security and compliance.
  • Monitoring user activity: Provides real-time insights into user behaviour, helping to identify potential security threats or misuse of resources. It offers proactive measures to prevent unauthorised actions and assure compliance with organisational policies.
  • Reduction of cyber-attack risk: By centralising access management and enhancing security protocols, the system reduces vulnerabilities that could be exploited by cyber-attackers. This protects your organisation and end-clients from various types of cyber threats.

Important considerations 

Before deciding on how to implement cloud identity, there’s a couple of aspects you need to clarify. They boil down to the structure and needs of your organisation, as well as to available solutions. 

Organisation size

The size of your organisation determines the scale of identity management required. Larger organisations typically require more complex solutions to manage a large number of users and resources.

Smaller businesses may benefit from simpler, cost-effective solutions. Enterprises often need scalable and robust systems capable of handling high user volumes and diverse access requirements.

Number of users

The number of users directly impacts the complexity of identity management, including user provisioning, authentication, and access control.

Solutions must accommodate current user counts and be scalable to support future growth. Multi-factor authentication (MFA) and Single Sign-On (SSO) are often essential for managing large user bases securely and efficiently.

IT infrastructure complexity

The complexity of the existing IT infrastructure influences how easily a cloud identity solution can be integrated.

Organisations with hybrid or multi-cloud environments must ensure compatibility across platforms. Solutions should support standards like SAML or OAuth to avoid vendor lock-in and facilitate seamless integration.

Specific business requirements

Unique business needs, such as regulatory compliance or industry-specific workflows, dictate the features required in a cloud identity solution.

Organisations in regulated industries must prioritise solutions that offer strong audit capabilities, logging, and compliance with standards like GDPR or HIPAA.

Budget

Budget constraints determine the range of available solutions, from basic Identity-as-a-Service (IDaaS) offerings to comprehensive enterprise-grade systems.

While cost-effective solutions may suffice for smaller organisations, enterprises should invest in larger systems that provide long-term scalability, security, and functionality.

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Available solutions

Have a look at some of the leading identity management solutions, their key features, and benefits.

Google Workspace

Google Workspace offers user provisioning, single sign-on (SSO), multi-factor authentication (MFA), and OAuth 2.0 for secure authorisation. It integrates well with external identity providers (IdPs) and supports Security Assertion Markup Language (SAML) for seamless authentication across various applications.

It enhances security with automatic defences powered by Google AI, supports compliance with major regulations like GDPR and HIPAA, and provides centralised management of user identities.

Microsoft 365

Microsoft 365 uses Azure Active Directory (Azure AD) for identity management, offering features like conditional access, identity risk management, and privileged identity management. It supports hybrid identity management, integrating on-premises and cloud-based resources.

This solution supports operational efficiency by integrating with a wide range of Microsoft services.

Okta

Okta is renowned for its customer identity cloud, offering universal login, passwordless authentication, social login, and adaptive multi-factor authentication (MFA). It provides customisable identity flows and strong security features like bot detection and breached password detection.

OneLogin

OneLogin offers SSO, MFA, and user provisioning. It integrates with a wide range of applications and supports real-time threat detection.

It simplifies access management, reduces IT overhead, and enhances security by providing real-time threat intelligence and automated policy enforcement.

Ping Identity

Ping Identity provides SSO, MFA, and identity governance. It supports hybrid environments and integrates with various IdPs.

Which one is best for you?

Choosing the right solution requires a thorough audit, identification of security gaps, and an implementation strategy.

Audit 

The first step in implementing cloud identity is conducting a comprehensive audit to assess your organisation’s current identity management practices and security posture. This audit includes:

Consultative interview: A discussion with key stakeholders to understand business requirements, security concerns, and existing access management challenges.

Current infrastructure analysis: A review of your organisation’s IT environment, including existing identity management systems, authentication methods, and access policies.

Security gap identification: An assessment to pinpoint vulnerabilities in user authentication, access controls, and identity verification processes.

Solution proposal: Based on the findings, a tailored cloud identity solution is recommended, ensuring it aligns with business goals and security requirements.

Implementation plan: A roadmap outlining the steps for deploying the chosen cloud identity solution, minimising operational disruptions while maximising security benefits.

Necessary information

To ensure a smooth and effective implementation, several key factors must be considered:

  • Current organisational structure: Defining user roles, departments, and access hierarchies to establish proper identity governance.
  • Number of users: Determining the scale of implementation based on the total number of employees, contractors, third-party collaborators, and clients requiring access.
  • IT systems in use: Identifying all applications, cloud platforms, and on-premise systems that need integration with the cloud identity solution.
  • Security requirements: Understanding industry-specific compliance regulations (e.g., GDPR, HIPAA) and internal security policies.
  • Business-specific needs: Addressing unique operational requirements, such as remote workforce support, multi-factor authentication, and role-based access control.

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Examples of integrated applications

When implementing a cloud identity solution, it is crucial to integrate both in-house and third-party applications. Organisations typically use a mix of:

In-house applications, which include:

  • ERP systems for managing business processes
  • CRM software to handle customer relationships
  • Production tools for operational efficiency, and
  • Custom business solutions tailored to specific company needs

Popular third-party tools, which commonly include:

  • Google Workspace and Microsoft 365 for productivity and collaboration
  • Salesforce for customer relationship management
  • Slack and Jira for team communication and project management
  • Confluence for documentation and knowledge sharing
  • GitHub for version control and software development
  • Dropbox for secure file storage and sharing

Available solutions 

Choosing the right cloud identity solution is essential. Leading cloud identity providers include AWS IAM Identity Center, Azure Active Directory, Google cloud identity, Okta, Ping Identity, and OneLogin.

AWS IAM Identity Center: Formerly known as AWS SSO, this solution enables centralised management of access across multiple AWS accounts and integrated cloud applications. It supports seamless integration with existing identity sources, making it a natural choice for organisations heavily invested in the AWS ecosystem.

  • Azure Active Directory (Azure AD): As Microsoft’s cloud-based identity and access management service (now part of Microsoft Entra ID), Azure AD provides robust SSO capabilities for both cloud and on-premises applications. It’s deeply integrated with Microsoft 365, Dynamics 365, and other Azure services, offering advanced features like conditional access and identity protection.
  • Google cloud identity: This solution from Google offers a suite of identity services, including device management and user provisioning. It’s designed to secure access to Google services and beyond, ensuring that organisations can manage user identities and enforce security policies consistently across cloud and hybrid environments.
  • Okta: Known for its cloud-first approach, Okta delivers a highly scalable identity management platform that supports SSO, MFA, and lifecycle management for employees and customers alike. Its extensive integration network makes it a popular choice for organisations that require flexibility and ease of use across various applications.
  • Ping Identity: Focused on large-scale enterprise environments, Ping Identity provides advanced identity federation, SSO, and MFA solutions. It is particularly valued for its ability to handle complex identity management scenarios, offering granular control and security across a multitude of platforms.
  • OneLogin: Offering a streamlined identity and access management experience, OneLogin combines SSO, MFA, and unified directory services into a user-friendly platform. It emphasises ease of integration with a wide array of applications and services, helping organisations reduce IT overhead while maintaining strong security protocols.

Important technologies 

Protocols and standards such as SAML, OpenID Connect, and OAuth 2.0 play a vital role in securing authentication and authorisation for users, whether for in-house or external applications. 

SAML (Security Assertion Markup Language)

What it is: SAML is an XML-based standard that facilitates the exchange of authentication and authorisation data between different systems. In IAM, it is primarily used for passing identity information between security domains, enabling Single Sign-On (SSO) functionality.

How it works: A user logs into one system (e.g., a company portal) and gains access to multiple other systems (e.g., cloud applications, in-house tools) without needing to log in again. SAML primarily operates through web browsers and is not well-suited for modern mobile or native applications.

Use in IAM: SAML is widely used in corporate environments where there is a need to integrate multiple systems while ensuring seamless authentication.

Example 1: SSO for in-house applications

  • Company XYZ uses Active Directory as a central identity repository. Employees log into their corporate computers using Active Directory credentials.
  • By implementing an SSO system based on SAML, Active Directory acts as the Identity Provider (IdP), while in-house applications serve as Service Providers (SPs).
  • After authentication, Active Directory sends a SAML assertion to in-house applications, allowing employees to access them without re-entering credentials.

Example 2: Identity Federation

  • Company ABC collaborates with Company DEF and wants to allow its employees to access certain DEF resources.
  • By using SAML-based identity federation, an employee from ABC is authenticated by ABC’s IdP, and a SAML assertion is sent to DEF’s SP, granting secure access to the necessary resources.

OpenID Connect (OIDC)

What it is: OpenID Connect is a protocol built on OAuth 2.0 that adds authentication functionality. It allows applications to obtain identity information (such as name, email address) from an identity provider (e.g., Google, Microsoft, Facebook).

How it works: A user logs in through an identity provider (e.g., Google), and the application (e.g., a mobile or web app) can retrieve identity details with the user’s consent. OIDC uses JSON Web Tokens (JWTs), making it well-suited for modern IAM systems.

Use in IAM: OpenID Connect is commonly used in web and mobile applications that require user authentication via existing accounts.

Example 1: Login to a mobile application

  • Company ABC develops a mobile app for employees and wants to allow login via Google Workspace accounts.
  • By integrating OpenID Connect, employees can sign in securely without needing separate credentials.

Example 2: Login to a web application

  • Company DEF develops a web-based project management tool and wants employees to log in using their Microsoft 365 accounts.
  • By using OpenID Connect, Microsoft 365 handles authentication, ensuring secure user login.

OAuth 2.0

What it is: OAuth 2.0 is an authorisation protocol that allows applications to access user resources (e.g., personal data, documents) on external platforms (e.g., Google, Microsoft) without sharing user passwords. Unlike authentication, OAuth 2.0 is focused on delegating access permissions rather than verifying user identity.

How it works: A user grants an application permission to access specific resources on an external platform. The application then receives an access token, which it uses to interact with the resource in the user’s name.

Use in IAM: OAuth 2.0 is widely used in mobile and web applications that integrate with cloud services, document management systems, and social media platforms.

Example 1: Accessing data from SharePoint Online

  • DEF uses Microsoft 365 and wants to allow its employees to access SharePoint Online from an internal web application.
  • After authorisation, Microsoft 365 issues an OAuth 2.0 access token, which the web application uses to retrieve SharePoint data on behalf of the user.

Example 2: CRM platform integration

Company GHI uses Salesforce and wants employees to access customer data from a mobile app.

OAuth 2.0 ensures secure data sharing between Salesforce and the mobile app without exposing user credentials.

Choosing the right protocol depends on the company’s specific requirements, and in many cases, a combination of these technologies is used to enhance security, streamline authentication, and improve user experience.

Pricing 

The cost of implementation is influenced by several key parameters. 

The number of users is a primary factor, as licensing and subscription fees often scale with the user base. Additionally, the number of integrated applications can drive costs higher, given the complexity and resources required to connect various systems. 

The overall complexity of the infrastructure, whether it involves cloud, on-premises, or hybrid environments, also plays a significant role, as more intricate setups demand additional customisation and maintenance efforts.

Lastly, the required level of support, ranging from basic assistance to comprehensive, round-the-clock enterprise support, directly affects the final pricing.

On planning the implementation 

A good implementation creates a smooth transition to cloud identity management while maintaining business continuity. The process follows a structured approach, focusing on minimising disruptions and optimising performance.

  • Migration of the least critical applications: The first step involves migrating non-essential or low-risk applications. This allows organisations to test the new system in a controlled environment, identifying potential challenges before scaling up to more critical systems. By starting with applications that have minimal impact on daily operations, IT teams can refine processes, address technical issues, and build confidence in the new infrastructure.
  • Gradual addition of other systems: After successfully integrating the least critical applications, additional systems are introduced incrementally. This step-by-step approach ensures each new system is fully operational and secure before proceeding to the next. It also allows for adjustments based on real-time feedback, reducing the likelihood of compatibility issues or security vulnerabilities.
  • Minimising disruptions to business operations: A key objective of any implementation strategy is to prevent downtime and maintain productivity. Proper planning, user training, and phased rollouts help mitigate risks and ensure employees can continue working without major interruptions. Communication with stakeholders is essential during this phase to manage expectations and provide necessary support.
  • Continuous monitoring and optimisation: Once the cloud identity solution is in place, ongoing monitoring is crucial to maintain security and efficiency. Regular audits, performance assessments, and security updates help identify potential issues and optimise system performance. Additionally, integrating automation tools can streamline identity management tasks, improving overall efficiency and compliance with industry regulations.

Do it with us, Spyrosoft

As a trusted integrator and partner with leading identity management solutions like Okta, Ping Identity Corporation, and OneLogin, we provide customised, flexible identity management solutions tailored to your unique business needs. 

We leverage our partnerships with top-tier identity management tools to find the best fit for your business.

  • Tailored solutions: We help you choose the best identity management solution based on your specific requirements. Our goal is to ensure that the tools we implement align with your organisational needs, security policies, and budget.
  • Audit of your infrastructure: To help us recommend the best solution, we perform a comprehensive audit of your current infrastructure. This process includes:
    • Assessing your current identity management systems
    • Evaluating the integration needs of your existing applications
    • Gathering key data to make informed decisions about tools and processes
    • Understanding your security policies and compliance requirements
  • Wide range of integrations: We integrate with a variety of applications, both in-house and external. The tools we recommend will depend on your organisation’s security needs, the types of applications you use, and your cloud infrastructure.
  • Benefits analysis: When evaluating options, we consider several factors, including:
    • Licensing: We help you choose the right licensing model, keeping costs in check.
    • Cloud agnosticism: Our solutions are designed to work across various cloud providers, giving you flexibility and scalability.
    • Cost efficiency: By leveraging our partnerships with cloud providers (Google Cloud, AWS, Microsoft Azure), we may be able to secure discounts, helping to reduce your operational costs.
  • Implementation process: Our implementation approach is gradual and systematic:
    • Step 1: We start with the migration of the least critical applications to minimise potential disruption.
    • Step 2: Gradually integrate additional systems and tools based on priority and business impact.
    • Step 3: Our engineers ensure seamless integration with your existing infrastructure and ensure minimal disruptions during the transition.
  • Cost estimation: The final pricing will depend on:
    • The number of users to migrate
    • The number of applications to integrate
    • The complexity of your infrastructure
  • Certified engineers and architects: We have certified engineers across all major cloud platforms (Google Cloud, AWS, Microsoft Azure). Our certified architects ensure the solution is implemented according to best practices and aligns with your organisational requirements.

Why choose us?

Apart from the above, we maintain strong partnerships with all three leading cloud providers. This enables us to offer tailored solutions and potential discounts. Our cloud-agnostic approach ensures flexibility, allowing your identity management solution to seamlessly integrate across different cloud environments. 

Also, we have a team of certified engineers across all major cloud platforms. With certified architects on board, we have the expertise to execute even the most complex migration projects. 

Marcin Szremski

Next steps

If you choose us, we schedule an initial consultation with our Head of DevOps, Marcin Szremski, during which we can:

  • Conduct a preliminary audit of your infrastructure
  • Discuss your security and application integration needs
  • Help you choose the most suitable identity management solution
  • Provide an estimate for licensing, implementation, and migration

Let us guide you through the process of selecting and implementing the best cloud Identity solution for your business. For more information or to schedule a consultation, feel free to contact us!

About the author

Marcin Szremski

Marcin Szremski

Head of DevOps