Modern businesses might use hundreds of tools to get work done, each of which can require unique credentials for every employee, customer and partner. Managing access and authentication manually can introduce an array of problems like security vulnerabilities, inefficiencies and frustration.

An identity and access management (IAM) solution allows users across and outside of the organization to quickly access platforms while improving the company’s security. Its impacts can affect everything from IT demands to employee satisfaction.

7 Benefits of IAM for Businesses

It’s tough to overstate the importance of identity management and access because it is a key part of effectively overseeing a large network of employees and programs. Below are some of the biggest benefits of IAM.

1. Security

Naturally, IAM offers exceptional security protocols and tools. It enables features like multi-factor authentication (MFA) and behavioral biometric authentication, which can improve the security of login credentials and identity verification. IAM can also support single sign-on (SSO), a login technology that allows a user to use one set of credentials for multiple websites and apps. SSO can reduce the number of passwords a user needs and minimize the risk of possible data breaches.

IAM can improve security through various administrative measures, too. For example, it can offer automated enforcement of password policies and provide robust insight into user activity. If a security incident occurs, administrators can see exactly who logged in and how. These enhanced monitoring capabilities are especially useful in highly regulated industries that might require access logs.

Every business is unique, and IAM solutions come in many flavors. You can configure these systems to the landscape of your business for the optimal balance of ease of access and security.

2. Reduced IT Infrastructure

A strong IAM system is simpler for users and the business. It limits the need for complex security protocols, like manually requesting password resets or staying on top of every user’s access. It can also bypass complex authentication and authorization protocols and reduce threats. Consequently, it can diminish the need for IT teams to investigate security risks or incidents.

IAM provides a massively streamlined solution for IT infrastructure with lower costs and staffing demands.

3. Flexibility and Scalability

The best IAM solution for your organization should offer extensive flexibility. Users can log in more easily, and administrators can make changes in no time. Centralized IAM allows businesses to make large-scale changes from a single system. You might use IAM for:

  • Adjusting access settings.
  • Determining user privileges.
  • Enforcing security upgrades.
  • Customizing authorization requirements.

If the business grows, changes or upgrades its security demands, strong IAM can evolve with it. You can take a more agile approach with an IAM solution that responds flexibly.

Improved User experience focus stats

4. Improved User Experience

Users appreciate a streamlined experience. Good IAM can help them access their apps faster and avoid putting their security at risk. For instance, SSO can eliminate the process of logging in multiple times and managing unique passwords for each application. It might be the difference between a customer who logs in and uses a rewards account and one who checks out as a guest because they can’t remember their password. The business can more readily engage the logged-in customer with perks like order tracking and targeted marketing.

Moving forward, a positive user experience is one of the top considerations for IAM solutions. Research shows that organizations that focus on it outperform their competitors by 25%</a > in both customer and employee satisfaction metrics. IAM is crucial to building positive experiences, especially across multiple channels.

5. Speed

IAM can significantly improve speed across the organization. Customers can quickly and reliably log into their accounts — a crucial benefit for today’s fast-paced consumers — and employees can minimize time spent on low-value tasks like finding passwords or requesting a reset from IT. Administrators also save time with simplified management and highly secure technologies. IAM can offer speed in scalability, too. Onboarding new employees is quick yet secure.

Customers and partners, who may use their accounts less frequently than employees, can especially benefit from password management capabilities, including passwordless options and SSO, that limit the time required to interact with your program.

IAM’s contributions to organizational efficiency also come from its high level of security. With a good IAM, IT teams can spend less time fixing errors or addressing security risks and violations. They can instead focus on higher-value tasks that have the employees working at the top of their pay grades.

6. Improved Employee Satisfaction

A smooth IAM solution can help boost employee satisfaction. No one wants to work with outdated tools or be slowed down by frustrating IT problems. While it might seem subtle, IAM’s importance in employee satisfaction is significant. Without it, employees might fight with identity and access management all day long and get a fresh reminder every time they need to use a new app.

IAM can offer a more modern approach and resources that support an efficient, enjoyable workday. It supports desirable workplace qualities, too, like working from home or using different devices. Employees often want these options, but ensuring security for them can be difficult for businesses to accomplish. IAM enables more access and management options without sacrificing security.

With greater employee satisfaction, businesses might find themselves with:

  • Better engagement
  • Lower turnover
  • More profitability
  • Improved loyalty

7. Cost Savings

These benefits can help businesses save on costs in diverse ways, from reducing expensive turnover to maintaining a lean IT team. It can allow you to remain agile and respond to industry demands appropriately, all while working more efficiently. Happy customers and employees can improve your reputation and productivity.

IAM’s high security can also help you avoid internal and external costs associated with security incidents. A violation of industry regulations could come with a hefty fine, or you might rack up expenses as you mitigate a security risk within the company. By helping you avoid these situations, IAM solutions can offer impressive financial benefits.

Explore Optimal IdM

Explore IAM Solutions With Optimal IdM

IAM is crucial for modern businesses, especially those looking to grow. It adds necessary security, efficiency, satisfaction and much more that employees, customers and partners want to see. Optimal IdM offers comprehensive IAM solutions and support so you can better position yourself to meet your goals. We have on-premise and hosted solutions and serve a wide range of businesses, including those in highly regulated industries.

If you’re ready to implement SSO, MFA or one of our many other IAM solutions, our knowledgeable team is ready to help. Reach out to us today to learn more about our IAM technologies or to try out the OptimalCloud service for 30 days at no cost.


  • The database in which all of your organization’s sensitive identity data is stored.
  • A digital ledger in which digital transactions are recorded chronologically and publicly.
  • Securely managing customer identity and profile data, and controlling customer access to applications and services.
  • The means of linking a person's electronic identity and attributes, stored across multiple distinct identity management systems.
  • A legal framework that sets guidelines for the collection and processing of personal information of individuals within the EU.
  • The policy-based centralized orchestration of user identity management and access control.
  • An authentication infrastructure that is built, hosted and managed by a third-party service provider.
  • A security system that requires more than one method of authentication from independent categories of credentials to verify the user's identity for a login or other transaction.
  • A global provider of innovative and affordable identity access management solutions. 
  • Managing and auditing account and data access by privileged users.
  • Tools and technologies for controlling user access to critical information within an organization.
  • An authentication process that allows a user to access multiple applications with one set of login credentials.