Microsoft Azure Active Directory Tutorial for the Beginners

  

Mark Regan
Published: June 4th, 2025 • 9 Min Read

What is Azure Active Directory?

Azure Active Directory or short form Azure AD is a cloud based Identity and Access Management service. Introduced by Microsoft it is used to enable smooth sign-in experiences and robust security controls over cloud environments like Office 365, Azure and third-party SaaS applications. Also known as Entra ID, many IT administrators, developers and experts use this program to manage access, develop the applications and maintain identities.

Although, On-premise Active Directory is also used to manage their user identities and access, it is different from the Azure Active Directory. Azure AD works on cloud computing whereas On-premise directory works on physical infrastructure. Hence, if you use Microsoft 365, Azure AD is used and when you are accessing the Windows server On-premise Active directory is working.

Key Concepts of Entra ID

Before we go through the features and functions of the Azure AD, we should know about the key terminologies in this.

• Tenant: A tenant is a dedicated and isolated space in Microsoft for your organization. Here, you will see the users, apps and settings of your account.
• User: Any individual identity in your directory is a user. Anyone can be a user who wants to access your cloud resources.
• Group: Collection of users is called group. It helps in managing multiple permissions and policies of all the users.
• Application: In Azure Active Directory, any application that is registered with the directory and enables SSO, access control and other features. Here, it contains all Microsoft apps as well as third-party apps such as Salesforce, Dropbox, etc.

Features and Functions of Azure Active Directory

What does the Azure Active Directory do? In this section, we will explain core features of the Azure ID in detail.

• Single Sign-On (SSO): To save your time and improve productivity, Entra ID allows you to log in once. Then, you can access your apps without signing in again.
• Multi-Factor Authentication (MFA): For the extra layer of security, MFA provides a second step to the users to verify their identity, such as phone code. This way you can protect your passwords and any unauthorized access.
• Self Service Password Reset (SSPR): This allows users to reset their own password without contacting IT support.
• Conditional Access: You can apply the rules to control who is going to access what and under what conditions. For example, If you want to block access from unknown locations.
• Device Management: You can track your registered device and also manage them to enforce security rules on company and personal devices.
• Application Management: Within the Azure AD, the admins easily register and manage the cloud applications securely.
• Identity Protection: It is the main feature of Azure AD where it automatically detects risky sign ins and potential threats. It uses machine language to flag unusual behavior, block or alert the admin.
• Hybrid Identity Support: Azure Active Directory easily connects with On-premise Active Directory. Where you can sync users and passwords and easily move it to the cloud platforms.
  Audits Logs and Sign in Reports: It also tracks who logged in, from where and what they accessed. With this you can easily monitor your tenant activity and find any suspicious behavior.

These are the main features Azure AD provided. By reading them you can understand the functions of the Entra ID and how it benefits your organizations. Now, let’s see how you use the Azure Directory.

Azure Active Directory Plans and Price

First you have to purchase the Azure AD to start working on it. To know which one is suitable for you we provide a comparison chart.

Implement Consideration for Azure Active Directory

Before you implement Azure Ad in your organizations. There are some points that you must consider, so below we mentioned them.

• Plan your tenant: Decide if you need single or multiple tenants. Choose your tenant name carefully as it will become part of the cloud identity.
• Identity Models: Choose whether you need cloud-only, hybrid, or federated identity models.
  • Cloud-only: There is no On-premise infrastructure.
  • Hybrid: You can sync with On-premise active directory using Azure AD connect.
  • Federated: Here, you have to use a third-party identity provider for login.
• Configure Azure AD Connect: When you are syncing your Entra ID connect, make sure you have proper setup. Also, enable password hash sync or pass-through authentication and avoid unnecessary object syncing.
• Security Measures: use MFA at the start, set up the conditional access to secure the access on risk, location or device. The security details used on small organizations if you have no complex requirements.
• Manage your Device: Properly choose if you use Azure AD Join, Hybrid Azure AD Join, or Intune enrollment. Remember to apply device compliance and access rules for mobile and desktop systems.
• Compliance and Auditing: To track activities, enable audit logs and sign-in reports. You can use Microsoft Defender for Identity and Microsoft Purview for governance. Review logs regularly for any suspicious activity.

These are very important points that you must implement when you are using the Entra ID. Now, it is time to see how you can use the program.

Getting Started with Azure AD

1. First we have to create an Azure Account, by signing up to Azure portal in Microsoft account.
2. Select your subscription and then you will get an Azure AD tenant with default domain.
3. After that, in the Azure portal, click on Azure Active Directory from the left menu.
4. Go to the Users option and click on + new User button to add or sync the users.
5. By using Group you can easily organize multiple users. Go to Enterprise Applications or App Registrations.
6. Enable Multi-Factor Authentication and configure password reset, terms of use and sign-in logs.
7. You can also enable additional features like Azure AD Connect, Conditional Access and review Audit Logs and Security Reports.

Here is the simple way to start your Azure Active Directory. Upgrade the Microsoft Entra ID when your organization is growing to advance your security. Speaking of security of your account. Azure AD alone is not enough. We are going to elaborate more below.

Why Azure Active Directory is Not Enough in Securing Office 365?

No doubt Azure AD is a powerful identity and access management platfom. With this you can monitor and ensure only the right people can access your Microsoft 365 environment. However, you cannot use it as a complete security of your account. especially when it comes to data protection and disaster recovery. Below we have mentioned why that is.

• With the help of this, you can control who can log in and what they can access. But, it does not protect the actual data within your Office 365 applications. If by accident one of the users deleted or corrupted, then it won’t help you.
• Unfortunately, Microsoft offers you default retention policy but the time period is short and once the retention period ends, data is permanently lost.
• Even you are using the best Conditional access and identity policies. There are chances of mistakes occurring in your account. such as admin may delete important groups or users, policy can be change that blog or remove the access of the apps, if there would be sync issues from Azure AD connect. Your data can be erased.
• Employees whether intentionally or unintentionally can delete the data, and did ransomware attacks to encrypt the data.

Therefore, Azure AD may block the access but it will not restore your files to their original start. So, with the Entra ID you have to also backup your data to ensure the safety of your Office 365 environment and data.

Concluding Words

After reading this article, you now know what Azure Active Directory is. This is the beginner guide for all those users who are starting to use or thinking of using it. It is very helpful for your Office 364 as it will monitor any unauthorized access and prevent them from entering the data. The Entra ID comes in a different plan which we explained to them. While this program is very useful for your organizations. You also need additional protection to your data. With backing up your data and Azure AD together can make your tenant secured.