What is Privileged Access Management?

What is Privileged Access Management and why is it important?

Privileged Access Management (PAM) is a subset of identity security that focuses on monitoring, securing, and controlling access to critical systems by users with elevated privileges. These users—commonly system administrators, network engineers, and DevOps personnel—possess accounts that can bypass traditional security restrictions, install software, modify configurations, and access sensitive data. PAM is designed to ensure that this powerful access is granted only when necessary, used responsibly, and monitored continuously to detect misuse or malicious behavior.

The importance of PAM lies in the sheer potential for damage that privileged accounts can cause if compromised. According to cybersecurity research, a significant number of breaches involve the misuse of privileged credentials. Without PAM, attackers who gain access to an admin account can move laterally across systems, escalate their privileges, and exfiltrate data with little resistance.

PAM mitigates this risk by applying the principle of least privilege—ensuring users only have the access they absolutely need to perform their tasks. It also helps enforce time-bound access, requiring users to request privileges for a limited period, often with approval workflows. PAM solutions log all privileged session activity, enabling audits, forensic investigations, and compliance reporting.

In today’s complex IT environments—including on-premises infrastructure, cloud services, and hybrid networks—PAM has become essential. It helps organizations meet regulatory requirements (such as HIPAA, PCI-DSS, and SOX), enforce Zero Trust security models, and reduce insider threats. By implementing PAM, businesses gain visibility into who is accessing what, when, and why—creating a tighter, more secure IT ecosystem.

How does Privileged Access Management differ from Identity and Access Management (IAM)?

While both PAM and Identity and Access Management (IAM) play critical roles in enterprise security, they address different facets of identity and access control.

IAM is the broader discipline that manages digital identities and regulates access to resources across an organization. It ensures that the right users (employees, partners, contractors) have access to the right systems at the right times for the right reasons. IAM encompasses authentication (e.g., SSO, MFA), authorization policies, user provisioning, and lifecycle management.

PAM, on the other hand, is a specialized area within IAM that focuses solely on privileged accounts—those with elevated access that can significantly impact IT systems. PAM tools manage and monitor access to sensitive infrastructure, such as domain controllers, root accounts, and network devices.

The primary differences include:

• Scope: IAM covers all users and access scenarios; PAM targets only privileged accounts.

• Access Level: IAM grants general access; PAM controls high-risk access.

• Control Methods: IAM uses roles and policies; PAM adds credential vaulting, session recording, and just-in-time access.

• Security Focus: IAM prevents unauthorized user access; PAM prevents abuse of legitimate, elevated access.

Together, IAM and PAM form a comprehensive access control framework. IAM manages who users are and what they can access, while PAM ensures that high-level access is both secure and accountable. Organizations aiming to adopt a Zero Trust model or meet regulatory demands must implement both strategies to maintain strong identity security.

What are examples of privileged accounts that need to be managed?

Privileged accounts are those that grant elevated access to critical systems, applications, and data. These accounts often bypass standard access controls and can perform powerful actions, such as modifying configurations, managing users, and extracting sensitive information. Because of the risks associated with these accounts, identifying and managing them is a foundational step in any Privileged Access Management (PAM) strategy.

Here are the most common types of privileged accounts that should be closely managed:

• Local Administrator Accounts: These exist on individual endpoints (servers, desktops, laptops) and can control system settings, install software, and manage user access. They are often targeted by attackers for lateral movement.

• Domain Administrator Accounts: Found in Windows Active Directory environments, these accounts have sweeping control over entire networks, including all connected systems and user accounts. A compromised domain admin account can spell disaster.

• Root Accounts: Common in Unix/Linux systems, the root account has unrestricted access to the entire system. It can execute any command, change configurations, and delete or copy data—making it highly sensitive.

• Service Accounts: These are non-human accounts used by applications or services to interact with operating systems or other applications. They often have high privileges and persistent access, and are frequently overlooked in audits.

• Application Accounts: These are used by software applications to access databases, APIs, and other services. Like service accounts, they often have elevated permissions and are vulnerable to hardcoded credentials.

• Privileged Business Users: These are non-IT personnel with elevated access to financial systems, HR tools, or intellectual property—often executives or department heads.

• Emergency Accounts (Break Glass Accounts): Used in emergency situations to bypass standard controls and access systems when normal methods fail. These accounts must be tightly controlled, logged, and audited.

• Cloud Admin Accounts: With the rise of cloud computing, accounts with administrative privileges on platforms like AWS, Azure, and Google Cloud are increasingly important to secure.

Each of these accounts can serve as a backdoor to critical systems if not properly secured. PAM solutions help manage them by enforcing credential rotation, vaulting passwords, implementing session monitoring, and applying the principle of least privilege.

What are best practices for implementing Privileged Access Management?

Implementing Privileged Access Management (PAM) effectively requires a structured approach that balances security with usability. Organizations that follow best practices can reduce the risk of insider threats, external attacks, and compliance failures. Below are some of the most important best practices for PAM implementation:

1. Inventory All Privileged Accounts: Start by identifying all privileged accounts across your environment—including local, domain, root, service, and cloud-based accounts. You can’t secure what you don’t know exists.

2. Apply the Principle of Least Privilege (PoLP): Limit privileges to the minimum necessary for users to perform their jobs. This reduces the attack surface and helps prevent privilege escalation.

3. Use Just-in-Time (JIT) Access: Instead of granting standing privileges, allow temporary, time-limited access based on approval workflows. This minimizes exposure and helps track usage.

4. Implement Credential Vaulting: Store passwords and secrets in a secure, encrypted vault. PAM solutions can rotate credentials automatically and provide access only when needed.

5. Monitor and Record Sessions: PAM tools can record privileged user sessions, offering visibility into actions taken during elevated access. This is vital for forensic analysis and audit readiness.

6. Enforce Multi-Factor Authentication (MFA): Add another layer of security to privileged access by requiring MFA. This reduces the likelihood of unauthorized access through stolen credentials.

7. Automate Password Rotation: Regularly rotating credentials for service and admin accounts prevents reuse and helps comply with security policies.

8. Integrate with SIEM Tools: Feed PAM logs into Security Information and Event Management (SIEM) platforms to enable real-time threat detection and compliance reporting.

9. Educate and Train Staff: Technical controls alone aren’t enough. Ensure that IT staff and privileged users understand security policies, access procedures, and the risks of misuse.

10. Regularly Audit and Review Access: Periodically review privileged accounts and access levels to ensure they remain appropriate. Remove stale accounts and update access based on role changes.

A well-implemented PAM program strengthens your organization’s security posture, helps meet regulatory requirements, and reduces the chance of a catastrophic breach. It’s not just a set-it-and-forget-it solution—PAM requires continuous management, visibility, and adjustment as your infrastructure evolves.