What are the key differences?

Identity and access management (IAM) controls and manages user access, while privileged access management (PAM) is a subset of IAM, focusing on users with special privileges. So, it's safe to say that the two concepts are related, but they are not the same.

The best way for your organization to know if it needs one or both is to have a firm understanding of each of them, their advantages and disadvantages, and how they should be implemented.

What is identity and access management?

IAM policies control user access to organizational resources, such as files, databases, and applications. This vital function acts as a gateway to who is granted access, who has administrative privileges, and who is restricted.

What is privileged access management?

As a subset of IAM, PAM deals with access management specifically to sensitive resources and critical services. Certain employees may only have the right to access privileged information, such as those in IT who have administrative privileges. Similarly, executives often have privileged access to their subordinates' files and systems.

IAM vs PAM: Key Differences

While there are many differences between IAM and PAM, there are also clear similarities. Both are about access and identity. But it is your objective that makes the big difference. IAM is deployed broadly across the organization, while PAM is targeted at those who need privileged access to key organizational assets, such as database administrators, IT managers, and accounts/finance staff.

As such, IAM directly affects credentials and their validation, while PAM relies on validating access to resources using attributes that indicate the person's right to enter core systems and perform sensitive operations. IAM provides the organization with broad control over general rights across the organization. In comparison, PAM protects very specific systems, databases, and files to restrict access to a privileged few.

Additionally, IAM typically includes a broader set of features. It covers automation, authorization, single sign-on (SSO), multi-factor authentication (MFA), encryption, role-based access control (RBAC), and more. It also contains many features related to governance, compliance, risk, and integration with other security applications.

IAM vs PAM: Use Cases

To better understand the differences between IAM and PAM, it is smart to understand their different use cases.

IAM use cases

• Single sign-on (SSO) provides access to a wide range of applications through a set of credentials, streamlining authentication processes, reducing IT overhead, and improving security by creating trusted relationships that can be authenticated.
• Multi-factor authentication (MFA) requires multiple forms of identification before a user is granted access to an account; Additional layers of protection make it difficult for outsiders to access.
• IAM provides the tools to provisioning, induction and disembarkation user access.
• Role Based Access Control (RBAC) restricts access to the system based on the user's role.
• Identity governance Employs various policies, procedures, and technologies to manage digital identities and access organizational resources.

PAM use cases

• PAM identifies, tracks and manages privileged accountswhereby only certain users have access to confidential systems and applications.
• Account monitoring Issues alerts whenever new uses are added to privileged accounts, making it easy to detect unauthorized permissions.
• Application control to allow or block access, adds additional layers of protection to highly sensitive applications and databases.

IAM and PAM integration

IAM deals with who can access what, while PAM determines whether access is appropriate and in accordance with authorized use. In many organizations, these functions must be well integrated to maintain security. Some providers offer platforms that integrate both functions.

There is a risk when PAM and IAM operate in separate silos. Inconsistent access policies between IAM and PAM solutions can lead to security gaps. In addition to the underlying coding or API management required to bring AIM and PAM together, there is a need to unify the policies that both use to operate. Policies must be fully aligned so that everyone wants the same type of profile and uses the same basic workflows. Ideally, both identity stores will come together to simplify operations, reduce overhead, and eliminate blind spots in either system.

Pros and cons of IAM

Advantages of IAM

• Keeps data and identities secure with features like MFA, SSO, and encryption.
• IAM excludes unwanted visitors and provides a safe space in which collaboration can occur.
• The presence of IAM makes it easier for those working in compliance to demonstrate compliance with various regulations.
• IAM incorporates features like SSO so that once you're in, you don't have to enter credentials for other applications and systems anymore.
• IAM helps IT manage identity management centrally.

Cons of IAM

• Poor identity and access management can cause users to gain greater access privileges than they should.
• A rogue insider or disgruntled employee can abuse the system by granting rights to unauthorized users or opening systems widely and often undetected.
• Aligning all applications and users into a central identity system requires trained IT and security personnel who can do a thorough job of implementing IAM and overcoming the many barriers that stand in its way.
• Gaining administrative privileges for the IAM system itself poses risks to the entire organization.

Pros and cons of PAM

Advantages of PAM

• Organizational security postures can be improved by controlling access to privileged accounts as a way to reduce risk and prevent unauthorized access.
• Privileged accounts are monitored for security and compliance purposes to detect and prevent abuse of areas such as administrative privileges for IT changes.
• Many PAM tools include features that can monitor all privileged sessions in real time for quick response.

Cons of PAM

• Privileged accounts can span multiple divisions, devices, and applications, sometimes making them difficult to set up and maintain.
• PAM should align with other systems such as IAM and Active Directory (AD) and work seamlessly with other applications without slowing down user productivity.
• PAM can sometimes be expensive and out of reach for SMBs due to the cost of the software, the need for skilled resources to maintain it, and the training required.

Should your organization use IAM or PAM?

IAM has wide applicability in most organizations. PAM is often also needed in large organizations or in companies where the information involved is particularly sensitive or the risk of an incursion is high. For some, unified IAM and PAM suites can simplify deployment and operation. But whatever software is used, the key factor is minimizing the risk of a breach.