In the modern tech-driven era, where protecting sensitive data is of utmost importance, organizations are placing greater reliance on strong security frameworks to safeguard their assets and maintain compliance. Among these frameworks, three critical components are Identity and Access Management (IAM), Identity Governance and Administration (IGA), and Privileged Access Management (PAM). While these terms are often used interchangeably, they each serve distinct functions within an organization’s security strategy.
Understanding the key distinctions between these three paradigms not only enhances an organization’s security posture but also reinforces its ability to meet regulatory requirements and mitigate potential threats. In this article, we will explore the core features of IAM, IGA, and PAM, highlighting their interconnections and their roles in building a holistic security framework.
Basic functions of Identity and Access Management
In the world of identity and access management (IAM) terminology, it is easy to lose track. Even experts often find it difficult to differentiate between the individual sub-areas and acronyms. IAM itself is initially a collection of processes and technologies that support companies in managing digital identities and their access requests. In general, however, IAM can be divided into three basic functions:
- Access management (AM)
- Identity governance and administration (IGA)
- Access management for users with high access rights (PAM – Privileged Access Management).
The idea of IAM is to merge the different parts to provide secure access for end users. These features give security forces more monitoring capabilities and allow controls for compliance and audit requirements. In this way, they are always aware of when people access certain assets, how often they do so, what types of actions they perform on systems, where they log in from and at what times they log in.
What is Access Management?
Although only one letter separates the two terms IAM and AM, AM is just one of the three aspects of IAM alongside IGA and PAM. So what exactly is the difference?
Access management enables companies to identify, track, control and manage user access to systems and applications on the network. The goal is to ensure that users can securely authenticate and log in to access the applications available to them. The most important aspects of verifying an access management identity are multi-factor authentication (MFA) and single sign-on (SSO). MFA can be performed in three ways:
- With a parameter that only the user knows, for example the combination of user name and password.
- With the help of the end device that the user is using, for example via a push message to the cell phone.
- By scanning a biologically unique parameter for the user, such as a fingerprint or iris.
An example of AM would be a finance manager from accounts receivable who logs into an app to check the status of an unpaid invoice. In addition to her user name and password, she must verify access by entering a code that is sent to her work phone via text message. After entering the code, she gains access to the system and can continue her work.
Another tried and tested, but less secure method is single sign-on. SSO allows users to log in once and gain direct access to all work-related systems and applications without any further detours.
What is Identity Governance and Administration and how it differs from IAM and PAM?
Identity Governance and Administration (IGA) is a crucial subset of Identity and Access Management (IAM) that focuses on managing and governing digital identities within an organization. While IAM encompasses a broad range of activities related to user authentication, authorization, and access control, IGA specializes in defining and enforcing policies for who should have access to what, how that access is granted, and ensuring compliance with security standards and regulatory requirements. IGA goes beyond simply managing user access by introducing governance mechanisms that ensure proper oversight and control over identity-related processes.
Unlike IAM, which primarily deals with authentication and immediate access, IGA emphasizes long-term identity lifecycle management. It governs how identities are created, modified, and deactivated throughout their lifecycle within the organization. For instance, when an employee joins, changes roles, or leaves, IGA automates access provisioning and de-provisioning based on predefined policies, reducing the risk of lingering access rights. This level of automation not only enhances security but also improves operational efficiency by minimizing manual intervention and human error.
In comparison to Privileged Access Management (PAM), which concentrates on securing elevated access to critical systems, IGA applies governance principles across all identities within an organization, regardless of privilege level. IGA ensures that every user—whether a regular employee, contractor, or partner—has the right access at the right time. It also helps organizations enforce principles like segregation of duties (SoD), preventing users from accumulating conflicting access rights that could lead to fraud or security vulnerabilities. By integrating identity governance with identity administration, IGA provides a robust framework for managing access risks across an organization’s entire identity ecosystem.
What is Privileged Access Management and how it differs from IAM and IAG?
Privileged Access Management (PAM) is a critical component of an organization’s security strategy, designed specifically to manage and secure access to privileged accounts. These accounts typically have elevated permissions that allow users to make significant changes to systems, applications, or networks, such as system administrators or database managers. PAM focuses on ensuring that this powerful access is tightly controlled, monitored, and audited to prevent misuse, whether accidental or malicious. Core PAM capabilities include password vaulting, session management, and real-time monitoring of privileged account activities to detect and respond to suspicious behavior.
In contrast to Identity and Access Management (IAM) and Identity Governance and Administration (IGA), PAM operates in a more specialized scope, concentrating exclusively on the security of high-risk accounts that, if compromised, could lead to catastrophic breaches. While IAM provides authentication and authorization for general users and IGA governs access policies and compliance across all identities, PAM zeroes in on protecting privileged credentials. It does so by enforcing least privilege principles, where users only gain temporary, just-in-time access to perform specific tasks, ensuring that privileged accounts are not left exposed. This makes PAM a vital tool for organizations aiming to minimize the risks associated with insider threats and advanced persistent attacks.
Benefits of AM, IGA and PAM tools
IAM as a generic term for these three pillars includes not only the authorization at login that AM provides, but also the administrative aspect of IGA, i.e. the establishment of transparency of who is allowed to access what. Both pillars are complemented by stricter controls, such as session recording or the extended access rights that come with PAM.
Еach of these tools offers enormous benefits for companies: They increase security, improve business processes as well as employee productivity and meet compliance requirements for audits. In tandem, the three solutions then have even greater value, as AM, IGA and PAM tools, when used correctly, provide all identities with easy, yet secure, access to everything they need to do their jobs without compromising defenses. However, for higher risk identities, for example domain level administrators and resources such as Active Directory and cloud management portals, additional controls can and should be built in. In summary, AM, IGA and PAM help companies to successfully implement their overall IAM strategy and ensure IT security, productivity and compliance.