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Taking an up-to-date approach, when it comes to password policies, doesn't have to be complex... Utilising Entra ID, our Microsoft expert Lewis, will take you through his latest recommendations.
Too much of the focus today is still on how the actual password is composed, rather than adopting multi-factor authentication and Self-Service Password Reset.
8 characters or more, some special, throw some numbers in there, and rotate often.
Pretty much the standard advice for creating passwords for as long as computer systems have existed. I want to talk about why this logic isnโt important anymore, providing youโve got other controls and training in place.
Microsoft Defaults
In Active Directory, the Default Domain Group Policy Object will have a password policy with the following settings:
Enforce password history: 24
Maximum password age: 42 days
Minimum password age: 1 day
Minimum password length: 7
Complexity requirements: Enabled
How many of you look at that now and wince a bit?
In Entra ID (formerly Azure Active Directory) the standards are:
Enforce password history: 1
Maximum password age: 90 days
Minimum password age: 0 days
Minimum password length: 8
Complexity requirements: Enabled
Slightly better, but still not what good looks like.
While this has been โbest practiceโ for many years, too much of the focus today is still on how the actual password is composed, rather than adopting multi-factor authentication and Self-Service Password Reset.
Many organisations out there today will have highly specific requirements: some might want 12 characters minimum, others encourage passphrases, and if youโre really unlucky, ridiculously short expiry times.
Passwords arenโt the important bit anymore
As Gabe Newell demonstrated with the introduction of Steam Guard over 10 years ago, itโs the MFA element that protects him.
Our industry has not yet caught up with this idea, hence the slew of external regulators and insurers demanding standards that they havenโt questioned or revised recently.
What you should be doing
If Entra ID is your identity provider:
Leave the default password creation policy as it is โ go configure aย banned password listย if you really want to
Create a Conditional Access policy to enforce MFA for All Cloud Apps for All Users*
Disable password expiry from the M365 Admin Portal
Configure Self-Service Password Reset and target it toย ALL USERS
*There are legitimate exceptions to make in Conditional Access, but they are not to be made for end-users (Your C-Levels are just like everybody else).
โฆThere are other CA policies Iโd recommend, but that isnโt for this post.
Expanding on those suggestions
Conditional Access Policy
Pretty straightforward, although if youโve never implemented this before, mit ight be best to use โreport-onlyโ for a week or two.
Disabling Password Expiry
This option is over at https://admin.microsoft.com โ> Org Settings โ> Security & Privacy
SELF-SERVICE PASSWORD RESET
Assuming youโve made the migration to Entra ID Authentication Methods, youโll have a few options to choose from for users to use to reset their own passwords without calling the helpdesk:
Microsoft Authenticator
SMS
Third-party software OATH tokens
Voice call
Email OTP
(Eventually, Security Questions will be available too, although some of those are pretty weak. I recently saw a custom one added, which was: โWhat is your favourite colour?โ)
I always recommend requiring two of the above methods for a password reset.
Once configured, users will be able to add methods for SSPR over at https://aka.ms/mfasetup
End-users
Itโs all well and good being the sysadmin creating these strong policies, but you also need to tell people about them.ย Number-matching MFAย has done a lot to prevent mistakes of people approving prompts without thinking; however, users need to be informed about the new login experience.
For example, tell them:
Donโt approve or proceed with anything you arenโt expecting
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Microsoft is reshaping its licensing strategy with the introduction of Microsoft 365 E7, new pricing changes, continued Teams separation, and additional security and AI functionality being bundled into existing licences. For organisations investing in AI, automation, security, and compliance, these changes could significantly affect licensing costs, procurement decisions, and long-term Microsoft 365 strategy.
This report provides an inโdepth analysis of the Tycoon2FA phishingโasโaโservice platform, including how it bypasses MFA and harvests credentials through session authentication cookies. In addition, the report outlines recommended mitigation strategies to help prevent and detect this phishing technique.
In this intel we set out to understand the changing landscape of trust, in a digital world where AI-generated code is permeating the software supply chain at scale and AI-enabled phishing is making adversarial infrastructure harder than ever to distinguish from the real thing.
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