Overview: This enhanced strategy builds upon the existing Azure AD sign-in and phishing prevention plan by introducing additional identity security controls, user behavior analytics, and detection/response capabilities. It aligns with Zero Trust principles (verify explicitly, least privilege, assume breach) and addresses compliance requirements (e.g. NIST 800-53, ISO 27001, HIPAA, GDPR) using Microsoft-native solutions only. All recommendations are mapped to the required Microsoft 365 licensing (e.g. Azure AD Premium P2, Microsoft 365 E5, Intune Suite, Defender plans) for clarity.

(Azure threat protection | Microsoft Learn) Diagram: Identity Protection uses machine-learning to detect risky sign-ins (e.g. leaked credentials, suspicious locations) and triggers risk-based policies like MFA challenges (Azure threat protection | Microsoft Learn) (Azure threat protection | Microsoft Learn).

Adaptive Risk Detection: Leverage Microsoft Entra ID Protection (formerly Azure AD Identity Protection) to automatically detect and remediate identity risks. This P2 capability uses Microsoft’s machine learning to flag anomalies such as leaked credentials, brute-force attacks, atypical travel, or malware-linked sign-ins (Azure threat protection | Microsoft Learn) (Azure threat protection | Microsoft Learn). Administrators should enable risk-based Conditional Access policies that respond to these detections – for example: require password reset or MFA for medium risk sign-ins, and block access for high-risk users (Azure threat protection | Microsoft Learn) (Azure threat protection | Microsoft Learn). Entra ID Protection provides rich reporting on risky sign-ins and users, enabling security teams to investigate alerts and confirm compromises.

• License: Identity Protection requires Azure AD Premium P2 (included in Microsoft 365 E5). P2 licensing is needed to use risk policies and view detailed risk reports. (E5 contains P2, so any user with M365 E5 is covered for Identity Protection.)

MFA Registration and Phishing-Resistant MFA: Enforce MFA for all users with specific emphasis on phishing-resistant methods. Azure AD Identity Protection can require users to register for MFA when a risk threshold is met (Azure threat protection | Microsoft Learn), ensuring new and existing users enroll in MFA promptly. Go beyond basic MFA (phone/text) by requiring phishing-resistant MFA for sensitive accounts – e.g. FIDO2 security keys, certificate-based auth, or Windows Hello, which are resilient against OTP phishing. In Conditional Access, use Authentication Strength policies to enforce that high-value or privileged roles must authenticate with passwordless or phishing-resistant MFA (instead of weaker factors). For example, define an authentication strength that only allows FIDO2 or Certificate-based MFA and apply it to admins or executives.

• License: Azure Conditional Access requires Premium P1 or higher (included in E3/E5). The Authentication Strength feature is available under Conditional Access (P1) with supported authentication methods; however, using risk-based conditions (user risk or sign-in risk) in policies requires P2. Phishing-resistant MFA methods like FIDO2 or Certificate-based auth are supported with Azure AD and may require additional infrastructure (e.g. a certificate authority for CBA).

Privileged Identity Management (PIM): To harden admin accounts against phishing and abuse, use Microsoft Entra Privileged Identity Management to enforce Just-In-Time access for Azure AD and Azure roles. PIM allows admin roles to be normally inactive and only activated when needed with MFA and approval workflows. This limits the exposure of global admin credentials and ensures that even if an attacker phishes an admin’s password, they cannot activate privileged access without additional verification. PIM also provides access reviews and alerts for suspicious admin behavior, aligning with NIST’s least privilege (AC-6) and ISO 27001 A.9 (access control policies).

• License: PIM is an Azure AD Premium P2 feature (also in M365 E5). Each admin user leveraging PIM must be licensed for P2 (or covered by an organization’s E5).

Integration with Risk Insights: Connect Identity Protection with monitoring tools. Forward risk detection logs to a SIEM like Microsoft Sentinel (integrated via diagnostic settings) for advanced correlation and long-term audit storage. This helps meet compliance (e.g. HIPAA Security Rule’s monitoring requirements) by retaining sign-in risk events and enabling automated incident response. Sentinel (or Azure Monitor) can trigger playbooks – for example, disabling an account or alerting an analyst when high risk sign-ins occur repeatedly. (Note: Sentinel is a separate service; Azure AD log integration is included with AAD P1/P2, but Sentinel itself requires a consumption-based license.)

Comprehensive Conditional Access Policies: Build layered Conditional Access (CA) policies to address various risk scenarios and enforce Zero Trust “verify explicitly” at each sign-in:

• Block Legacy Authentication: Disable legacy protocols (POP/IMAP, older Office clients) that don’t support MFA. This can be done via CA conditions excluding “Legacy Authentication” clients, or via Security defaults. Blocking legacy auth thwarts password-spray and replay attacks that bypass MFA (aligns with NIST IA-2(1) requiring MFA for network access).

• Named Locations & Country Block: Use CA named locations to block sign-ins from countries where your organization never operates, and to restrict high-risk countries by requiring additional controls (like MFA every time). For example, create a policy: “Deny all access from {Blocked Countries}” with exceptions for specific needs. Another policy can require MFA on every sign-in from unfamiliar countries (no session persistence). This limits attacker success even if credentials are phished from abroad.

• Device Compliance & App Protection: Require that access to Office 365 apps is only allowed from managed, compliant devices (Intune compliant PCs or mobile devices with app protection). A CA policy can enforce “Require device to be marked as compliant” or require App Protection policy for mobile apps. This ties into device management – only devices meeting security standards (encryption, AV, patching via Intune) can be used. It supports HIPAA and ISO 27001 requirements for device security when accessing ePHI or sensitive data.

• Session Controls for Unmanaged Devices: Enable Conditional Access Session Controls to limit user actions from unmanaged or risky sessions. For example, use “Application Enforced Restrictions” for SharePoint and Exchange Online. This allows users on personal devices to access web email or documents in a read-only, web-only mode (no downloads or syncing). Integrate with Defender for Cloud Apps (MDCA) for rich session controls: route sessions through MDCA’s proxy to block downloads, cut/copy, or require file encryption on download. These controls prevent data exfiltration if a user is phished and the attacker tries to mass-download data. (Defender for Cloud Apps’ session control acts as a CASB, aligning with GDPR’s requirement to prevent unauthorized data disclosure.)

• Authentication Session Management: Configure sign-in frequency for sensitive apps. By default, Azure AD allows a 90-day refresh token lifetime with continuous validation. For highly sensitive applications (financial systems, admin portals), set a CA policy to require sign-in every X hours or every session (e.g. Sign-in Frequency = 12 hours). Also consider disabling “persistent browser session” for these apps – ensuring users must re-authenticate after closing the browser. This reduces the window for attackers and supports compliance (PCI DSS, for instance, requires re-auth after inactivity).

• Continuous Access Evaluation (CAE): Take advantage of Continuous Access Evaluation, which is automatically enabled in Azure AD. CAE allows near-real-time token invalidation when critical events occur (user disabled, password change, high risk detected, etc.). This feature, part of Azure AD’s resilience design, means an attacker’s session will be interrupted within minutes if an admin flags the account or risky activity is found (Session controls in Conditional Access policy - Microsoft Entra ID | Microsoft Learn). Ensure CAE is left enabled (the default) for all users to maximize security.

• Token Theft Protection: Enable the preview feature Conditional Access Token Protection for sign-in sessions. This binds access tokens to the device, so a token stolen via man-in-the-middle or malware cannot be replayed from another device. Currently in preview, this is a cutting-edge defense against session cookie theft. It aligns with the Zero Trust “assume breach” principle by limiting the impact of a breached token. (When this feature becomes generally available, it will likely require Azure AD P1/P2 – as of now, consider it part of CA capabilities in preview.)

• Emergency Access and Resilience: Maintain break-glass accounts exempt from CA (per Microsoft’s recommendations) to ensure admin access during outages. However, Azure AD’s Resilience Defaults should generally remain enabled so that during an Azure AD outage, existing sessions are not immediately cut off. Only consider disabling resilience if you prefer security over availability (meaning if Azure AD cannot enforce policy, users are blocked). Default is to allow a grace period during outages.

• License: Most CA features require Azure AD Premium P1 (included in M365 E3/E5). However, risk-based conditions (user risk, sign-in risk) and Identity Protection policies require Premium P2 (Azure threat protection | Microsoft Learn). Defender for Cloud Apps integration for session controls requires a Defender for Cloud Apps license (included in M365 E5 or available as standalone). Azure AD MFA is included with any Premium license; however, features like per-user MFA registration policy are P2 (Identity Protection). Continuous Access Evaluation and basic session controls are covered by P1. (In summary, a Microsoft 365 E5 license covers all these advanced CA scenarios, since it includes AAD P2 and MDCA.)

Access Reviews and Attestation: Implement Azure AD Access Reviews for high-risk groups and roles. Access Reviews (a P2 feature) prompt resource owners or auditors to regularly review group memberships, app assignments, and privileged role assignments. For example, review members of the “Global Administrators” and finance data access groups every 90 days, removing users who no longer need access. This supports least privilege (ISO 27001 A.9.2, NIST AC-2) by ensuring access isn’t perpetually accumulating. Access Reviews are particularly useful for guest users (to clean up unused B2B accounts) and for compliance with SOX or GDPR data minimization (revoking access when not needed).

• License: Azure AD Access Reviews require AAD Premium P2 (or Entra ID Governance add-on). Included in M365 E5.

Privileged Identity Management (PIM) for JIT Admin: (Mentioned above in Identity Protection but reiterated here as a governance control.) PIM not only provides JIT elevation but also delivers an audit trail of admin activations and the ability to enforce approval workflows. Set PIM to require justification and MFA on role activation, and enable PIM alerts (e.g. notify when an unusually long admin session is activated). This governance ensures administrative access is auditable and ephemeral, aligning with CSA CCM and NIST AC-5 (separation of duties).

Entitlement Management: Use Azure AD Entitlement Management to govern access package workflows for onboarding and business-to-business collaboration. Access Packages let you create a bundle of resources (groups, Teams, apps) that users can request access to with a defined approval process and time-bound assignments. For example, a new hire can automatically get an “Onboarding Access Package” that grants required 365 groups, SharePoint sites, and applications for their role, with an expiration in 90 days unless renewed. This reduces the reliance on ad-hoc user admin grants and ensures access recertification happens by design (great for ISO 27001 and SOX compliance). External collaborators can be managed with access packages that auto-expire their access after a project ends.

• License: Entitlement Management is included in AAD P2. (Note: Microsoft Entra ID Governance add-on enhances Entitlement Mgmt and Lifecycle workflows but base entitlement features are P2.)

Lifecycle Workflows (Joiner-Mover-Leaver): Leverage the new Microsoft Entra ID Lifecycle Workflows to automate user onboarding and offboarding processes. Lifecycle Workflows enable creating rules that trigger when user attributes change (e.g. employeeHireDate reached, or accountTerminationDate set) to execute a series of tasks. For onboarding (Joiner): automatically add new employees to appropriate groups, send welcome emails or training tasks, and enforce MFA registration on day 1. For transfers (Mover): trigger an access review or adjust group memberships when users change departments (ensuring least privilege as they shift roles). For offboarding (Leaver): automatically disable account, remove licenses, wipe Intune-managed devices, reset passwords, and notify managers upon termination. These automated workflows reduce the chance of human error (e.g. forgetting to remove access) and provide logs for compliance audits.

• License: Lifecycle Workflows require the Microsoft Entra ID Governance add-on license (on top of AAD P2). Organizations with Microsoft Entra Suite or Microsoft 365 E5 plus the Governance add-on can use this. (Without the add-on, basic onboarding/offboarding can be done with custom scripts or Microsoft Identity Manager, but the native Lifecycle feature simplifies it greatly.)

Secure Onboarding & Offboarding Best Practices: Complement automation with policy: Have a checklist for offboarding that includes blocking sign-in, converting mailbox to shared (for email retention), and removing tokens/sessions (use Revoke-AzureADUserAllRefreshToken via PowerShell to kill active sessions on departure). Enable retention holds on departed employees’ mail/data if required by HIPAA or GDPR (handled by Purview or Exchange retention policies). For onboarding, use Temporary Access Pass (TAP) for passwordless onboarding – TAP is a time-limited code a new hire can use to register passwordless methods on first sign-in (eliminating the need to send initial passwords via email). TAP is part of Azure AD Authentication Methods policies (requires at least P1). This improves security (new users aren’t phished with initial creds) and user experience.

Microsoft Purview Insider Risk Management (IRM): Deploy Insider Risk Management policies to detect and mitigate potential insider threats using Microsoft 365 signals. IRM, part of Microsoft Purview, correlates activities like file downloads, copy to USB, email forwarding, or abnormal data access patterns to identify risky user behavior. For example, create an IRM policy for “Departing Employees” that, when HR marks a user as leaving, monitors that user intensively for 30 days for activities such as mass file deletions or data share to personal accounts. If thresholds are exceeded, alerts are generated for a risk analyst. This helps catch data theft or policy violations by insiders in a privacy-respecting way (user identities are pseudonymized to investigators until a need-to-know reveal is approved). IRM supports compliance frameworks by addressing insider threat mandates and ensuring audit trails for user actions (important for NIST CM-6, which relates to unauthorized data access monitoring).

• License: Insider Risk Management is included in Microsoft 365 E5 (or E5 Compliance). It requires an E5-level compliance license for all users under monitoring. Organizations without E5 can purchase an Insider Risk Management add-on for users (or use E5 Compliance suite). To test, Microsoft offers a 90-day Purview trial for E5 compliance features.

Defender for Identity (UEBA for AD): Microsoft Defender for Identity (MDI) provides user behavior analytics for on-premises Active Directory by detecting abnormal patterns and known attack techniques (pass-the-ticket, DC Shadow, lateral movement, etc.). It profiles typical user behavior (work hours, accessed resources) and raises alerts for anomalies. For instance, if a user suddenly accesses 10 servers they never touched before or uses NTLM authentication in a suspicious way, MDI will flag it. These alerts feed into the Microsoft 365 Defender portal, contributing to a combined incident if related to other signals. Deploy MDI sensors on all domain controllers to capture domain traffic. This addresses compliance by monitoring account misuse (PCI and ISO 27001 require detecting and reporting incidents of unauthorized access).

• License: MDI is included in M365 E5 or can be purchased standalone (also part of EMS E5). Each user account monitored needs a license. Since E5 includes it, organizations standardizing on E5 are covered.

Defender for Cloud Apps (UEBA for SaaS): Microsoft Defender for Cloud Apps (MDCA) (formerly Cloud App Security) provides anomaly detection for cloud usage. It has built-in behavior analytics policies like impossible travel (user logs in from New York and 30 minutes later from Europe), sudden download spikes, or activity from risky IP addresses. Enable these anomaly detection policies in MDCA to complement Azure AD’s risk detection. MDCA can auto-remediate by suspending a user account or forcing re-authentication when an anomaly is confirmed. For example, MDCA can detect if a user’s OAuth token is potentially stolen (impossible travel) and suspend the user pending investigation. This is a powerful automatic response to stop further damage during a suspected breach. MDCA’s governance actions can also revoke app sessions or block a user from using cloud apps until they sign in again (disrupting potential malicious actors). All these actions use Microsoft’s native APIs to ensure suspicious sessions are cut off.

• License: MDCA is part of M365 E5 (or available as Defender for Cloud Apps standalone license). It’s also included in the M365 E5 Security bundle. Each user monitored with MDCA needs a license. (Note: If not E5, an Azure AD P1 is still needed as a prerequisite for MDCA integration via Conditional Access).

User and Identity Analytics: Utilize Microsoft Entra ID Governance and M365 tools for user analytics. Azure AD provides an Identity Secure Score and Identity Governance insights that identify risky settings or behaviors (e.g., users with weak authentication practices). Microsoft Secure Score also covers identity aspects (like the percentage of users with MFA enabled). Regularly review these scores to track improvements in the tenant’s security posture. Additionally, Azure AD Workbooks in Azure Monitor can chart sign-in trends, MFA prompts, and location of access – useful for spotting anomalies or measuring policy impact over time (for compliance reporting). All user sign-in activities are logged in Azure AD and retained for 30 days by default; to meet strict compliance (like SEC 17a-4 or extended audit logs for GDPR/CCPA), consider enabling Azure AD Log Archive (requires Azure Monitor storage costs) or Advanced Audit in M365 (E5 Compliance) for 1-year audit log retention.

Microsoft 365 Defender XDR Correlation: By using M365 E5, all these identity signals (AAD risk alerts, MDCA anomalies, MDI alerts) feed into Microsoft 365 Defender’s unified incident console. The system automatically correlates events – e.g. a risky sign-in, followed by unusual O365 file downloads, and malware detected on the device – into a single incident for investigation. This cross-domain correlation accelerates detection and response for identity-driven attacks (CISA Zero Trust model calls for integrating signals across layers). It also helps fulfill frameworks like NIST 800-53 AU-6 (centralized incident analysis) using Microsoft’s native XDR capabilities.

Endpoint Risk-Based Access: Integrate Microsoft Defender for Endpoint (MDE) with Azure AD Conditional Access to utilize device risk signals. MDE can assess a device’s risk level (Malware detected = High risk, etc.). Create a CA policy: “If device risk = High, block access or require device isolation.” This means if a workstation is compromised, the user cannot use it to access cloud apps until the threat is remediated. This end-to-end policy ties identity access to endpoint health, a core Zero Trust principle. MDE also feeds device info into Azure AD (compliance, domain join status) that can be used in filters for devices in CA (for example, only allow sign-in from devices with a specific tag or OS version).

• License: MDE is included in M365 E5 or as standalone (Defender for Endpoint Plan 2). The Conditional Access integration (device risk) specifically requires at least Defender for Endpoint P2 on the device and Azure AD P1 on the user. M365 E5 covers both.

Endpoint Privilege Management (EPM): Use the new Intune Suite’s Endpoint Privilege Management to enforce least privilege on endpoints. Standard users occasionally need admin rights for certain tasks; EPM allows controlled elevation for approved actions without giving the user full admin rights persistently. This reduces the risk of malware or threat actors using local admin privileges (which often lead to broader compromise and credential theft). By minimizing local admin accounts, we also reduce the impact of phishing (phished standard user vs phished admin – the latter is far more damaging). EPM policies can be part of a phishing-resistant strategy on the device side.

• License: Endpoint Privilege Management is part of Microsoft Intune Suite (or Intune Plan 2). An organization needs the Intune Suite add-on for each user/device to use EPM. M365 E5 does not include the Intune Suite by default (E5 includes basic Intune). The Suite is a separate license.

Device Compliance and Mobile Threat Defense: Ensure all BYOD or mobile devices are integrated with Intune App Protection and, if needed, Defender for Endpoint mobile. The strategy should cover that a phish link opened on a mobile should trigger device risk if it leads to compromise. Defender for Endpoint on iOS/Android can detect malicious apps or man-in-the-middle attacks on mobile, and then mark the device non-compliant. This non-compliance feeds back to Conditional Access to block the session in real-time. It’s an end-to-end feedback loop for threat defense.

• License: Defender for Endpoint on mobile is part of the same MDE P2 license. Intune App Protection is included in basic Intune (so in EMS E3/E5 or M365 E3/E5). No additional license if already E5.

Adaptive Session Lifetime: Configure adaptive session lifetime policies for various scenarios. For example, allow long-lived sessions (90-day default) on low-risk, compliant devices to reduce MFA fatigue, but shorten session lifetimes for sensitive apps or untrusted conditions. Azure AD Conditional Access can set a sign-in frequency of e.g. 4 hours for finance apps, or even “every session” for highly classified info. This approach meets compliance requirements for periodic re-authentication (e.g. U.S. DoD STIGs or certain ISO 27001 controls for re-validation of sessions).

Revoke Refresh Tokens on Elevation: When a user elevates permissions (via PIM) or when certain high-risk changes happen (like password reset), use PowerShell or Graph API to revoke tokens for that user. This forces re-authentication and ensures a potential attacker cannot silently use a stolen refresh token to continue a session. Implementing Continuous Access Evaluation (CAE), as noted, already covers many scenarios automatically. For extra security, you can call the Graph API to revoke sessions as part of automated workflows (for instance, in an IRM alert playbook or during offboarding).

Session Monitoring: Use Defender for Cloud Apps to monitor active sessions for policy violations. MDCA’s user session monitoring (preview) can live-monitor a user’s actions in OAuth sessions for anomalous behavior. If a user is under investigation (risky user), their live session can be observed and automatically logged off if they attempt forbidden operations. While this is more of a cutting-edge scenario, it shows the integration of identity and session control to react in real time.

OAuth App Controls: As part of token control, monitor and govern OAuth app consents in the tenant. Attackers may phish users into granting malicious apps access to Office 365 data. Enable Admin consent workflow (so users cannot grant high-permission apps without approval) and use MDCA to detect risky OAuth apps (it can alert on apps with many permissions or those used by few users). This falls under Zero Trust “assume breach” – assume a user might accidentally grant access and have monitoring to catch it.

Compliance Note: All session management improvements tie into requirements like HIPAA’s automatic logoff (implement via session timeouts) and NIST 800-53 SC-23 session termination. By using Azure AD’s capabilities, we can meet these with cloud-based controls rather than network-based ones.

(This section ties together Identity Governance and practical steps to prevent social engineering during user entry/exit.)

Onboarding: Use Entra ID Lifecycle Workflows (as discussed) to ensure new employees are provisioned securely with minimal manual steps. Automate account creation via integration with HR (Azure AD supports HR-driven provisioning from Workday, SuccessFactors, etc., which can trigger a Workflow when a new hire appears). Immediately assign least-privilege access: e.g. automatically add to a “All Employees” group that has baseline policies (like baseline CA policy to require MFA). Issue a Temporary Access Pass for initial sign-in so that no password needs to be emailed. Have new users complete Security Training (if applicable) and phishing simulations as part of onboarding to instill security-aware behavior from day one.

Offboarding: The moment an employee is marked as leaving (e.g. terminationDate set in Azure AD or HR system), trigger workflows to block sign-in, reset their password, remove from all groups, and deactivate their device sessions. Intune can be signaled to remote wipe or retire the user’s enrolled devices (or at least remove corporate app data via app protection for BYOD). Additionally, purge user from Azure AD groups and Teams to cut off access (Lifecycle Workflows support removing group memberships for a Leaver). For Azure AD, it’s best practice to soft-delete (disable) account for a retention period rather than immediate deletion, to retain audit trail and content ownership; however, ensure no active sessions persist. Utilizing Azure AD’s “block user sign-in” and then a ** staged deletion** after 30 days can meet many regulatory requirements for data retention while eliminating access.

Offboarding Confirmation: Conduct an access review post-termination – verify no service accounts, mailbox delegates, or external systems still allow the former user access. Azure AD’s Access Reviews and audit logs can assist here. Also, monitor the departed user’s account for any sign-in attempts after departure (the account should be blocked, so any attempts indicate either a rogue attempt or something that was missed).

Insider Threat Mitigation in Offboarding: The Insider Risk Management “Departing employee” policy (mentioned earlier) should be active for all voluntary or involuntary leavers. This will generate alerts if, for example, the user attempted mass data copying in their last days. This way, even after offboarding, security can investigate potential data leakage and respond (e.g. legal hold on their mail, alert law enforcement if malicious intent is confirmed). This satisfies requirements from frameworks like GDPR (Art. 32: monitoring of data exfiltration) and NIST SI-4 (information system monitoring).

• License: Onboarding/offboarding uses multiple services: AAD P1/P2 for user and group management, Entra ID Governance (add-on) for Lifecycle workflows (if used), Intune (included in at least EMS E3 or M365 Business/E3/E5) for device actions, and possibly Purview Compliance (E5) for data retention or holds. All recommended steps can be accomplished with an M365 E5 + Entra ID Governance add-on. Without Entra Governance, similar automation can be done with PowerShell/Graph or Identity Manager, but with more overhead.

Every control above is mapped to the core Zero Trust principles and addresses real-world compliance requirements:

• Verify Explicitly: Strong multi-factor authentication (with phishing-resistant options) and Conditional Access policies verify user, device, and session health at every access attempt. This directly implements controls for identity verification (NIST IA family controls, ISO 27001 A.9) and ensures only authenticated, authorized access in line with HIPAA 164.312(d) (account authentication).

• Least Privilege Access: Identity Governance (PIM, access reviews, entitlement management) ensures users have only the access they need and for the time needed. Just-in-time admin access and periodic re-certification fulfill SOX and ISO 27001 requirements for access control reviews. This also helps GDPR’s data minimization by limiting data access to appropriate personnel.

• Assume Breach: Comprehensive monitoring and analytics (Entra ID risk detection, Defender for Identity/Cloud Apps/Endpoint, Insider Risk) assume that credential compromise or malicious insiders will occur, and thus constantly watch for signs of breach (Azure threat protection | Microsoft Learn). When suspicious behavior is detected, automated responses (token revocation, user suspension, device quarantine) kick in to limit the blast radius. This satisfies requirements in frameworks like NIST 800-53 (SI-4: active monitoring, IR-4: incident handling with automation) and PCI DSS 11 (detect and respond to incidents).

• End-to-End Encryption & Data Protection: Although the focus is identity, many measures like Conditional Access App Control integrate with Information Protection to encrypt or block sensitive data downloads, supporting compliance with data security standards (GDPR Art. 32, HIPAA encryption requirements). Azure AD’s integration with Microsoft Purview (for sensitivity labels, DLP) can further enforce that only compliant devices can access or download sensitive labeled content.

Compliance Frameworks: By using Microsoft 365 E5 security features, the organization benefits from built-in alignment with standards. Microsoft’s compliance offerings (e.g. Compliance Manager in Purview) have assessment templates for NIST SP 800-53, ISO 27001, HIPAA, GDPR, etc., and many of the controls above have corresponding score items. For instance, requiring MFA and using Identity Protection helps satisfy NIST AC-2(12) (account monitoring) and IA-2 (MFA), while conditional access and logging address ISO 27001 A.9 (access control) and A.12 (secure operations). Insider Risk and audit logs support GDPR’s accountability and U.S. regulations like CMMC practices. All solutions are Microsoft-native, meaning they have been evaluated under Microsoft’s compliance programs (FedRAMP, HIPAA BAA, GDPR Data Protection Addendum) – using them helps ensure the tenant’s security architecture inherits these compliance assurances.

The following table maps each recommended security feature or control to the required Microsoft license(s):

Security Control / Feature	Azure AD Premium P2	Microsoft 365 E5	Microsoft Entra ID Governance Add-on	Microsoft Intune Suite	Defender for Cloud Apps	Defender for Identity	Defender for Endpoint
Azure AD Identity Protection (risk policies, reports)	Yes	Yes (includes P2)	N/A	N/A	N/A	N/A	N/A
Conditional Access (baseline controls)	Yes (P1 minimum)	Yes	N/A	N/A	N/A (basic CA features)	N/A	N/A
– Risk-based CA policies (user/sign-in risk conditions)	Yes (P2)	Yes	N/A	N/A	N/A	N/A	N/A
– Authentication Strength (Phishing-resistant MFA)	P1 (CA feature)	Yes	N/A	N/A	N/A	N/A	N/A
– Session Controls (App enforced, sign-in freq, CAE)	P1 (CA feature)	Yes	N/A	N/A	Yes (for MDCA proxy)	N/A	N/A
– Token Protection (preview)	P1 (CA feature)	Yes	N/A	N/A	N/A	N/A	N/A
Multi-Factor Authentication (MFA)	P1 (incl. in P1/P2)	Yes	N/A	N/A	N/A	N/A	N/A
– Azure AD MFA Registration policy	Yes (P2)	Yes	N/A	N/A	N/A	N/A	N/A
Privileged Identity Management (PIM)	Yes (P2)	Yes	N/A	N/A	N/A	N/A	N/A
Access Reviews (AAD)	Yes (P2)	Yes	N/A	N/A	N/A	N/A	N/A
Entitlement Management	Yes (P2)	Yes	N/A (basic EM is in P2)	N/A	N/A	N/A	N/A
Lifecycle Workflows (Joiner/Mover/Leaver automation)	–	–	Yes (Entra Governance)	N/A	N/A	N/A	N/A
Insider Risk Management (Purview)	–	Yes (E5 Compliance)	–	N/A	N/A	N/A	N/A
Communication Compliance (Purview) (if used)	–	Yes (E5 Compliance)	–	N/A	N/A	N/A	N/A
Defender for Identity (on-prem AD threat protection)	–	Yes (E5 Security)	–	N/A	N/A	Yes (standalone avail.)	N/A
Defender for Cloud Apps (CASB)	–	Yes (E5 Security)	–	N/A	Yes (standalone avail.)	N/A	N/A
Defender for Endpoint (P2)	–	Yes (E5 Security)	–	N/A	N/A	N/A	Yes (standalone avail.)
Intune (Mobile Device/App Mgmt)	P1 (or basic included)	Yes (Intune included)	–	–	N/A	N/A	N/A
Intune Endpoint Privilege Management (EPM)	–	–	–	Yes (Intune Suite)	N/A	N/A	N/A
Intune Advanced Analytics/Remediations (suite)	–	–	–	Yes (Intune Suite)	N/A	N/A	N/A

Table Legend: “Yes” indicates the feature is included or requires that license. “–” means not applicable or not included. Microsoft 365 E5 includes multiple services: Azure AD P2, Defender for Identity, Defender for Cloud Apps, Defender for Endpoint P2, and full Purview compliance capabilities. E5 Security is a subset license that includes the Defender suite but not compliance. E5 Compliance includes Purview features like Insider Risk. Azure AD Premium P2 can be purchased standalone or via EMS E5 or M365 E5; it’s needed for advanced identity features. Microsoft Entra ID Governance is a new add-on for Lifecycle Workflows and other governance enhancements. Intune Suite is an add-on for advanced endpoint management (EPM, etc.).

• Microsoft Entra ID Protection Overview (Azure threat protection | Microsoft Learn) (Azure threat protection | Microsoft Learn)

• Conditional Access Session Management & Token Protection

• Azure AD Authentication Strength (Phishing-resistant MFA)

• Microsoft Defender for Cloud Apps – Policies and Governance

• Microsoft Purview Insider Risk Management Introduction

• Microsoft Entra ID Governance & Lifecycle Workflows

• Zero Trust Identity and Device Access – MS Learn Guide