Exploring the Benefits of Privileged Access Management for Enterprises

Stolen credentials account for 86% of security breaches according to Google Cloud’s 2023 Threat Horizons Report. Verizon’s 2023 Data Breach Investigations Report confirms the data by disclosing that 74% of all breaches involve the human element, including privilege misuse and the use of stolen credentials.

These credential issues could be resolved with stronger identity management guardrails, such as privileged access management solutions. This article explores PAM, how it works and what to look for in an ideal solution.

What Is Privileged Access Management (PAM)?

Privileged access management (PAM) refers to organisations’ cybersecurity strategies and technologies that prevent unauthorised privileged access to critical resources. Privilege access refers to elevated secure access given to authorised users so they can perform administrative tasks that impact the whole organisation or access highly sensitive and confidential data.

While there are different privileged access management tools, the central goal is to enforce the least privilege by restricting access to only the minimum necessary to perform authorised activities.

By using PAM, organisations can reduce their attack surface and mitigate the damage from internal and external threats. These strategies apply to users, accounts, devices, computing processes and systems across the organisation’s IT environment.

PAM is also sometimes called privileged account management, privileged identity management (PIM) or privilege management. It falls within identity and access management (IAM) and identity security.

How Does Privileged Access Management Work?

A privileged access management solution starts by identifying privileged user access, which includes admin accounts, service accounts and any other accounts with elevated access rights. These accounts must then use various authentication mechanisms like MFA (multi-factor authentication), biometrics or advanced authentication methods to ensure that only authorised users access sensitive processes and data.

As mentioned, privileged access management software enforces least privilege access policies, which limit access to only the minimum levels required for users to perform their tasks. It also monitors and controls privileged sessions in real time so organisations can track suspicious activities.

In case users need to temporarily access additional privileges, PAM provides controlled mechanisms for privilege elevation or just enough access, ensuring elevated privileges are granted only when necessary and subject to approval. Other privileged access management capabilities include integration with other security tools and systems for more comprehensive security coverage.

Types of Privileged Accounts

Organisations usually have several types of privileged accounts that are used for different functions. Most of the time, employees only use standard user accounts for routine tasks and will log into super admin accounts for privileged administrative access.

Users of privileged accounts can either be human users or machines like applications and may have only a slightly higher level of access compared to a standard user account.

Here are several types of privileged accounts:

• Local administrator – the default administration account on a computer that provides local administrative privileges for routine computing
• Domain administrative accounts – has unrestricted access to virtually any and every asset in the organisation, making these accounts the highest value for a threat actor
• Privileged user accounts – can be broad or granular depending on different entitlements
• Application accounts – enables application-to-application or application-to-database communications
• Service accounts – typically a form of shared account that must be synchronised to work correctly and prevent security holes from missed services
• Break glass accounts – also called emergency accounts or firewall accounts because they elevate privileges so a user can immediately access an account they’re not normally authorised to access

Privileged Access Management Best Practices

Implementing privileged access management requires several best practices to ensure you effectively protect sensitive systems and data. Check out the following tips:

1. Implement strong authentication mechanisms such as MFA and increase password complexity for accessing secure privileged accounts. Regularly rotate passwords using automated password rotation tools to reduce the risks of password-based attacks.
2. Always have a thorough inventory of privileged accounts within the organisation and regularly evaluate the necessity of an employee using these accounts. Manage access by revoking any unnecessary privileges and only grant permissions that align with users’ roles and responsibilities.
3. Control privileged access and avoid assigning unnecessary privileges by giving users the minimum level of access needed to perform their tasks. Automatically restrict privileges in case of a security breach or unauthorised user access.
4. Use a centralised PAM solution to manage and enforce access controls across all privileged accounts. Centralisation also improves visibility and control over all privileged access activities.
5. Monitor access and maintain detailed audit logs. Track any suspicious behaviour and unauthorised access attempts.
6. Encrypt any sessions and data transmitted between users and privileged systems. This prevents eavesdropping and data interception by unauthorised parties.
7. Train employees, especially users, on the importance of privileged access management and security best practices.
8. Integrate PAM with other security tools and systems like SIEM platforms and endpoint security solutions for enhanced threat detection and incident response capabilities.

The Importance of Privileged Access Management

Human error is the biggest threat to system security and results in over 80% of data breaches. Using privileged access management solutions, organisations can identify malicious activities due to privilege abuse and immediately stop the attack or eliminate security risks.

If a breach occurs, PAM can limit its reach in your system. It works on limiting access by reducing entrances and pathways. A PAM solution will eliminate standing privileges before an attack can spread. PAM also creates an audit-friendly environment where audit logs help monitor and detect suspicious activities.

Privileged access management solutions help you meet regulatory compliance like PCI DSS, HIPAA, SOX and GDPR. It also increases trust and confidence from customers, partners and stakeholders since they know you’re a reliable custodian of sensitive information.

Overall, PAM improves your organisation’s security posture and is a great tool for mitigating security risks.

How to Implement PAM Security

These are the core setup and operations steps to implement PAM.

1.     Identify existing and high-risk accounts

Discovery is crucial for successful PAM since you can’t protect what you don’t know. You need to go over your entire system and look for users, applications and devices with privileged access. These can be accounts that no longer need privileged access or those that shouldn’t have them in the first place.

It’s also common to find orphan accounts, which are privileged accounts with no identified user. Evaluate existing controls and assess potential risks. It’s impossible to hit 100% security so look for high-risk accounts and prioritise them.

2.     Define PAM policies and procedures

Develop clear policies and procedures for privileged access management, including guidelines for granting, revoking and monitoring privileged access. Document roles and responsibilities, escalation procedures and incident response protocols.

Apply the principle of least privilege and regularly review and update access permissions to ensure they align with users’ roles and responsibilities. Create a policy covering employees who join, move or leave the business. Consider timed access where admin access is only available for a set duration.

3.     Select and deploy PAM solutions

Evaluate and select a suitable PAM solution based on your organisation’s requirements, budget and existing infrastructure. Deploy the chosen PAM solution, ensuring compatibility with your systems and applications.

Configure strong authentication mechanisms and access controls within the PAM solution to enforce granular access policies. Implement workflow approvals and privilege elevation mechanisms for granting temporary access to additional privileges.

Enable session monitoring and recording capabilities within the PAM solution and integrate PAM with existing identity and access management (IAM), security information and event management (SIEM) and endpoint security solutions.

4.     Regularly review and update privileged access

PAM isn’t set and forget. You need to conduct regular reviews of privileged access rights, access controls and audit logs to identify and remediate any security gaps or compliance issues. Continuously update and improve your PAM security posture based on emerging threats and evolving business requirements.

Monitor privileged access activities and respond promptly to security incidents or policy violations. Implement incident response procedures to investigate and mitigate security breaches effectively.

5.     Train employees and ensure accountability for privileged accounts

Regardless of the size of your organisation, someone has to be responsible for PAM. They will oversee the tools and policies and regularly review them. These are often security teams, who ensure that concerned users get the proper training they need.

You should also provide training and awareness programs to educate users about the importance of PAM. Ensure they understand their responsibilities when accessing privileged accounts and systems.

What’s the Difference Between Privileged Access Management and Identity Management?

Privileged access management and identity management are often used interchangeably since they both provide detailed control, visibility and audibility of all credentials, privileges and access. They are subsets of IAM and are crucial components of cybersecurity, but they focus on different aspects of access control and user management.

Privileged identity management (PIM) focuses on resource management and defining the roles or attributes that determine which user gains access to a specific resource. An example of a PIM-related policy is identifying which resources a new employee needs to access during onboarding. It determines which users receive secure access rights.

PAM is more focused on security policies and tools that help store and encrypt credentials. It validates if users have the necessary permits to require privileged access to certain resources. It emphasises methods for securing access so only valid identities gain access to privileged secure systems.

PAM solutions manage user credentials, authenticate user identities and provide just enough access to users who won’t normally access specific resources. Privileged identity management determines the parameters of what access is needed for each user identity based on their roles.

What Features Should You Look for in a PAM Solution?

These are the privileged access management features every good PAM system must have:

1. Password vaulting: Privileged users shouldn’t know the actual passwords to critical systems and resources to prevent attempts of manually overriding a physical device. Instead of giving out actual passwords, PAM must have a secure vault containing privileged credentials.
2. Password management: Every time a privileged user requests access, PAM automatically generates a new password to prevent password reuse or leakage.
3. Multi-factor authentication: These are extra security layers, including OAuth authentication and proprietary tokens.
4. Session management: Privileged sessions must be recorded for compliance with regulations. Live session monitoring also enables you to quickly terminate suspicious or unauthorised sessions.
5. Emergency access: There must be “break glass” scenario configuration options in case of emergencies. Pre-determined users can request access and receive automatic approval but are still subject to audits.
6. Mobile and remote access: With remote work and mobile device systems becoming common access points, PAM should be able to provide role-based access without the need for domain credentials and integrate with secure application launchers.
7. Audits and reports: The best PAM solutions will give you risk-based scorecards so you have a complete view of who requests, receives and uses privileged account passwords. This is crucial for forensic investigations in case of a privileged account attack.

What Are the Benefits of Privileged Access Management?

As a user gains more privileges, the potential for abuse and the risk of errors increases. PAM ensures that these probabilities are minimised and limits the scope of a breach in case it happens. PAM can also dismantle multiple attach points in a cyberattack chain.

Here are several key benefits:

• A smaller attack surface due to limited pathways and entrances for exploits
• Fewer malware infections and propagations since these threats need privileged access to install or execute
• Better operational performance since restricted privileges reduce the chances of incompatibility between applications and risks of downtime
• Creation of an audit-friendly environment that satisfies regulatory compliance requirements
• Reduces cyber liability since PAM controls satisfy cyber insurance requirements

What Are Privileged Credentials?

Privileged credentials, or privileged passwords, are a subset of credentials that provide elevated access and permissions to accounts, applications and systems. They are the “keys to the IT kingdom” and are referred to as “secrets” in DevOps environments.

They provide limitless privileged access across an organisation’s most critical systems and data. One type of privileged credential is SSH keys, which are used to access servers and open pathways to highly sensitive assets.

Because of the power associated with privileged credentials, these are the most targeted and highly coveted assets by malicious actors.

PAM vs. IAM: What’s the Difference?

Identity access management (IAM) is the larger security practice that encompasses privileged access management. IAM is concerned with the identification and authorisation of all users across the entire organisation. Meanwhile, PAM is focused on privileged users who need permission to access more sensitive data.

Both methods enable enterprises to maintain high-security levels concerning access to corporate applications, especially now that remote and hybrid working arrangements have become common.

IAM usually includes SSO (single-sign-on) and MFA (multi-factor authentication) and can be delivered via the cloud or on-premises. PAM goes beyond passwords to manage privileged access and uses dynamic authentication for every user session. It can also revoke access to critical systems, so IT teams can quickly react to unanticipated vulnerabilities.

How to Choose the Right PAM Solution

Modern PAM solutions are crucial for enterprises and there are a lot of options on the market. However, they’re not created equal and you must carefully consider your needs and the features available to get the most secure and dynamic solution.

Choose a PAM solution that easily integrates with your organisation’s native administrative and IT tools. This ensures users won’t have a hard time adapting and learning the new tool. Likewise, a good solution won’t force you to change your existing workflows.

Finally, a good PAM solution is easy to deploy and modern, cloud-based ones are more cost-effective than traditional on-premises PAM solutions. You can enhance your enterprise’s security in no time and protect your organisation’s sensitive data.

Find out more about our Privileged Access Management solutions.

About the author

ProtectCyber is a leading Australian cyber security firm dedicated to safeguarding businesses and individuals from digital threats. Our expert team, with decades of combined experience in the field, provides insights and practical advice on staying secure in an increasingly connected world. Learn more about our mission and team on our
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