Large, multi-brand companies have many apps — and I mean MANY apps. This is both for their workforce and for their consumer markets around the globe. Plus their landscape is only getting more complex as the number of mergers and acquisitions increase — IT’s responsibility is growing everyday. As a result we saw the digital identity industry at a $9.8B market size in 2022 that will more than triple in size over the next 10 years. As the needs for workforce and consumer identity increases, security and compliance is taking more of a center stage. Larger companies will spend 15% of their revenue on security and compliance related incidents this year, not to mention a hefty chunk of that ($4M) just mitigating login attacks alone.

So, to safeguard their reputation, customer trust, and market position, big companies must embrace an Identity Managed Service (IMS) as an essential pillar of their cybersecurity strategy. In this post, we delve into why having the best identity provider isn’t enough for the enterprise and 3 reasons why big companies need an IMS to keep their apps secure and in compliance.

1. Streamlining Access Management Across Complex Ecosystems

Big companies often manage a multitude of applications, platforms, and services spread across various departments and regions. Maintaining consistent and secure access controls across this complex ecosystem becomes a challenging endeavor. An IMS centralizes identity management, making it easier to manage user identities, permissions, and entitlements. This centralized approach simplifies administration and ensures that the right individuals have access to the right resources, reducing the potential for human errors and unauthorized access.

Managing these users’ permissions manually can be time-consuming, prone to errors, and challenging to track. An IMS facilitates the implementation of least privilege principles, where users are granted the minimum permissions required to perform their tasks. Moreover, it enables session monitoring and automatic revocation of access rights when necessary, minimizing the risk of insider threats and misuse of privileges.

2. Ensuring Compliance with Increasingly Stringent Regulations

Compliance with industry regulations and data protection laws is no longer a choice but a mandatory requirement. Not only does failure to comply lead to hefty fines and legal consequences, but in the sharing economy, consumers are expecting great services and a breach of compliance means a loss of customer trust. An IMS helps big companies meet compliance obligations by providing ongoing granular access controls, detailed audit logs, and real-time monitoring of user activities. This level of visibility not only ensures compliance but also simplifies the auditing process, making it easier to demonstrate adherence to regulatory standards. This can be particularly important for customer identity strategies.

3. Enhancing User Experience and Productivity

While robust security and compliance are paramount, user experience and productivity should not be sacrificed. Big companies require a fine balance between stringent security measures and seamless user access. An IMS achieves this balance by providing a unified authentication experience, enabling SSO for multiple applications. This streamlined approach reduces the need for users to remember multiple passwords and enhances their productivity without compromising security. Depending on whether the primary use-case for the IMS is workforce identity (IAM) or consumer identity (CIAM) — or others in between like partner identity — the model that is applied can vary greatly. Take these key differences between IAM and CIAM:

• CIAM = Millions of users vs. IAM = hundreds-thousands
• CIAM = Conversion to from unknown user to known vs. IAM = a known from the beginning
• CIAM = more closely tied to revenue vs. IAM = tied to productivity and job satisfaction
• CIAM = Use-cases more varied since user journeys have different requirements
• CIAM = Consumers use any device vs. IAM = work issued laptops or monitored mobile devices

The Takeaway

Big companies are starting to prioritize the security and compliance of their applications. An Identity Managed Service (IMS) offers a comprehensive solution, fortifying their corporate fortress against data breaches, cyberattacks, and compliance violations. By implementing an IMS, big companies can enjoy the benefits of streamlined access management, enhanced user experience, and, most importantly, the peace of mind that their valuable assets and reputations are well-protected. Investing in an IMS is not just an option; it’s a strategic imperative for success in the digital landscape.

This industry is currently a bit manual, which is why nextidentity.io aims to automate much of that process to make governance easier to manage. Whether the IMS is a home-grown custom solution or a professional IMS is brought to help, the fundamental pieces remain the same — which is to create a service that reduces as much friction as possible regarding application onboarding and access management.

Feel free to contact us for a free consultation on how an IMS can help your organization. We have flexible packages that go anywhere from a retained Customer Squad, to a full managed service, to an integrated support function.

Next Reason — nextreason.com