Effective Tools and Best Practices for Managing Identity Risks in 2024

In today’s highly digital world, identity risk management plays a critical role in aligning employees, workflows, and technologies to safeguard an organization’s values and mitigate identity-related risks.

As cybersecurity threats become increasingly complex, cybercriminals target privileged identities to gain access to an organization’s most sensitive data. These privileged identities remain a common attack vector, with attackers leveraging them to breach business networks. According to the 2024 report by the Identity Defined Security Alliance, "Trends in Securing Digital Identities," 89% of respondents are concerned about how recent privacy regulations could affect their identity security strategies.

This article explores the essentials of identity risk management, the tools designed to strengthen identity and access management, and best practices for minimizing identity-related threats.

What is Identity Risk Management?

Identity risk management is a strategic approach used by organizations to protect corporate identities, particularly within official communications. Its primary goal is to prevent unauthorized access to sensitive data, including login credentials and personal or financial information. For effective digital identity protection, security teams must assess potential risks and enforce a solid security framework.

Factors Driving the Surge in Identity Risks

Several factors contribute to the growing risks associated with identity theft in the digital-first era. Remote desktop protocol (RDP) credentials are often readily available for purchase on the dark web, increasing the vulnerability of organizations that enable remote work. Cloud migrations also require numerous privileged credentials, which cybercriminals can exploit to access sensitive accounts. Additionally, legacy applications often lack modern security features, making them susceptible to advanced threats.

Tools for Effective Identity and Access Management

Here are some tools organizations can adopt to bolster their security measures:

1. Privileged Access Management (PAM)

PAM solutions ensure that privileged account passwords are securely stored in password vaults, accessible only to authorized individuals. This system helps protect sensitive credentials from malicious actors. While PAM offers a strong layer of security, it may not provide comprehensive visibility into evolving employee risk levels.

2. Identity and Access Management (IAM)

IAM involves managing identities and access rights to prevent unauthorized access to sensitive data. It integrates various technologies, workflows, and systems. However, IAM can lead to "password fatigue" due to the need for unique passwords for each application, which may reduce its overall effectiveness.

3. Single Sign-On (SSO)

SSO simplifies identity risk management by allowing users to log into multiple applications with a single set of credentials. However, strong credentials are necessary to prevent a single compromised password from granting access to multiple accounts.

4. Multi-Factor Authentication (MFA)

MFA adds an extra layer of security by requiring users to complete multiple verification steps to access systems. While some organizations find MFA unsuitable for certain accounts or systems, it remains a robust tool for preventing unauthorized access.

Best Practices for Managing Identity Risks

To effectively manage identity risks, organizations should consider the following strategies:

1. Proactively Prevent Risks

The best way to manage identity risks is through prevention. Regularly updating security measures and monitoring for potential threats can help prevent attackers from exploiting vulnerabilities. Security teams should routinely assess and update their security frameworks to address evolving risks, such as unused entitlements, which can be exploited by cybercriminals.

2. Conduct Ongoing Monitoring for Threat Detection

Ongoing monitoring is essential for detecting compromised identities. Implementing policies for both internal and external users allows organizations to identify risks and monitor policy violations, helping mitigate threats before they escalate.

3. Implement a Robust Risk Remediation Plan

Organizations should establish a clear risk remediation plan to quickly address vulnerabilities. Predefined actions, such as disabling user IDs with compromised credentials, can mitigate potential damage and prevent further access by malicious actors.

Conclusion

Identity risk management is crucial for protecting an organization’s most valuable assets. Cybercriminals frequently use identity-based attacks to breach networks, making it essential for businesses to adopt comprehensive identity risk management tools and practices to minimize the risk of costly data breaches.

By leveraging tools like PAM, IAM, SSO, and MFA, and following best practices for risk prevention, detection, and remediation, businesses can strengthen their defenses against identity-related threats.