AWS IAM Explained: Simplifying Identity and Access Management

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AWS cloud platforms offer users a secure and virtual environment to deploy their applications. AWS provides enhanced data protection at a lower cost compared to traditional on-premises setups. One of the most commonly used security services in AWS is AWS Identity and Access Management.

This service allows you to securely manage access to AWS resources and services. With IAM, you can create users and groups, assign them specific permissions, and control who has access to what within your AWS environment.

Let’s look into AWS IAM by first discussing AWS security.

What is AWS Security?

In AWS, security is the top priority. When you run your operations in the cloud, you rely on a network architecture designed to meet the strictest security requirements. AWS offers this high-level security on a pay-as-you-go basis, making it much more affordable than traditional, on-premises security measures.

Amazon Web Services offers several security solutions, including:

• IAM (Identity and Access Management)
• KMS (Key Management Service)
• Cognito
• WAF (Web Access Firewall)

For this tutorial, we’ll focus on IAM.

IAM lets you manage who has access to your AWS resources. You can make groups of users and give them permissions, monitoring which resources or services they can use.

Why IAM?

Before AWS and IAM, sharing passwords within companies was often insecure. Passwords were passed around via phone calls or email; sometimes, only one person had the authority to reset them. This method exposed businesses to security risks since anyone could overhear passwords or gain unauthorized access.

Now, tools like Slack, hosted on AWS, offer a much safer way to share information, helping reduce the risk of eavesdropping.

Next, let’s dive into what IAM is and how it works.

What is IAM?

AWS Identity and Access Management (IAM) is a service that securely controls access to AWS resources. It allows you to authenticate users and restrict access, ensuring that only specific people or services can use your AWS resources.

How Does IAM Work?

Here’s an overview of the IAM workflow:

Principal

In this, the entity (role, application, or user) that executes actions on AWS assets.

Authentication

Verifying the principal’s identity and attempting to access AWS resources. This is done using credentials or keys.

Request

The principal transfers a request to AWS, briefing the action they must perform and on which resource.

Authorization

By default, AWS denies all requests. IAM only approves a request if it matches a policy that allows the specific action. Once the request is authenticated and authorized, the action is approved.

Actions

These are the operations like viewing, creating, or deleting resources.

Resources

Above are the AWS different resources on which actions can be executed.

Getting Started with IAM

To begin using AWS Identity and Access Management (IAM), first create your AWS account and sign in.

In the AWS Management Console, type “IAM” in the search bar and select the IAM service from the results. This will take you to the IAM Dashboard, where you can manage all IAM components, such as users, roles, and policies.

The left-hand panel of the dashboard allows you to easily create users, roles, and policies. Additionally, you can access tools for management, monitoring, and reports. In the dashboard’s center, you’ll often see security recommendations, with AWS providing extensive guidance on best practices.

AWS IAM Policies

One of the most important concepts of AWS IAM is its policies, so let’s discuss it here: 

What are IAM Policies?

IAM policies define what actions are permitted or denied on your AWS resources. These policies are written in JSON format and include several key elements.

Version: Demonstrate the version of the policy language.

Statement: The policy’s main part may include multiple statements. Each statement contains:

Effect: Highlights either the action is allowed or dismissed.

Action: Defines the actions permitted or denied. These vary based on the AWS service.

Resource: Specifies the resources the policy applies to using Amazon Resource Names (ARNs).

Types of Policies

Managed policies: These can be AWS-managed or customer-managed. AWS manages these policies and is best for regular use cases. Also, the customer-managed policies provide flexibility to form custom policies.

Inline policies: Directly attached to a specific user, group, or role, inline policies are useful for controlling tightly defined permissions. However, managing a large number of inline policies can become complicated.

AWS IAM Roles

These roles give a way to control permissions for AWS applications and services. Unlike users, roles can be assumed by any entity (like AWS services or users from other accounts). Roles use temporary credentials, which makes them more secure.

How Do IAM Roles Work?

When creating a role, you define:

Trust policies: Define which entities (such as an EC2 instance or Lambda function) can assume the role.

Permissions policies: Specify what actions the role can perform, similar to user policies.

When an entity considers a role, Amazon Web Services offers short-term credentials via the Security Token Service (STS), which are legitimate for a restricted time.

AWS IAM Best Practices

To keep your AWS environment secure, following best practices for Identity and Access Management (IAM) is important. Here are some key practices to implement:

Enable Multi-Factor Authentication

 MFA adds an extra layer of security to your account. Even if someone gets your password, they’d still need the second form of verification to gain access. Set this up for the root account and any other important users.

Utilize IAM Roles Not IAM Users Whenever Possible 

IAM roles provide temporary credentials that automatically rotate, reducing the risk of exposing long-term credentials. For example, when running applications on EC2 instances, using roles rather than hardcoding access keys is better.

Follow the Principle of Least Privilege 

Only grant users and roles the minimum permissions to perform their tasks. This reduces the possibility of accidental or unauthorized actions. Continuously monitor and update permissions to ensure they’re necessary.

Regularly Rotate Access Keys

If access keys are required, rotate them frequently. AWS allows you to have two active keys per user, so you can create a new key, update your applications, and disable the old key with no downtime.

Use IAM Groups to Manage Permissions

Assign permissions to groups instead of individual users. This approach simplifies management as your user base grows, making assigning or updating permissions for multiple users at once easier.

Monitor and Audit IAM Activities 

Enable AWS CloudTrail to log all API calls made by IAM users. Regularly review these logs to identify any unusual or unauthorized activity, which helps maintain security and compliance.

Apply Strong Password Policies 

Implement powerful password needs, including a mix of lowercase and uppercase letters,, special characters, and numbers. Additionally, requires regular password changes and prevents users from reusing old passwords.

Limit the Use of the Root Account 

The root account has full access to all AWS resources. Use it sparingly and create IAM users for everyday tasks. Always enable MFA for the root account.

Advanced AWS IAM Features

If you’re using AWS IAM in a corporate setting, consider leveraging some advanced features:

Identity Federation 

Identity federation allows users to sign in to AWS using credentials from other providers (like your corporate directory or social identity providers). This eliminates the need to create separate IAM users for everyone. When users authenticate with the external identity provider, they receive temporary credentials managed by AWS Security Token Service (STS), which expire after a short period, reducing the risk of long-term exposure.

IAM Identity Center (AWS Single Sign-On) 

The IAM Identity Center, also known as AWS SSO, simplifies access management by centralizing who can access which AWS accounts and resources. Users can log in using credentials from providers like Microsoft Active Directory or any identity provider supporting SAML 2.0. Once logged in, users can switch between different AWS accounts and applications without re-authenticating. AWS offers a seamless setup process with the help of the Management Console.

Conclusion

Mastering IAM is essential for securing your AWS environment. By controlling access to your resources and regularly reviewing permissions, you protect your data and reduce the risk of unauthorized access. Following these best practices ensures your AWS environment remains secure while making it easier to manage as it grows.

PureLogics has a top-tier team of certified AWS experts who can help you build secure and quality AWS solutions. We are an Amazon Partner Network and AWS Consulting Partner, which makes us reliable in handling your business operations. Give us a call today!