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Guided SC-300 Domain 2
Domain 2 — Module 3 of 7 43%
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SC-300 Study Guide

Domain 1: Implement and Manage User Identities

  • Your Entra Tenant: Branding, Settings & Domains
  • Entra Roles & Administrative Units
  • Managing Users & Groups
  • Device Registration & Licensing
  • External Identities: Guest Access & B2B
  • Cross-Tenant Access & Synchronisation
  • Hybrid Identity: Connect Sync vs Cloud Sync
  • Hybrid Authentication: PHS, PTA & Seamless SSO

Domain 2: Implement Authentication and Access Management

  • Authentication Methods: Plan & Implement
  • Passwordless & Windows Hello for Business
  • MFA, SSPR & Password Protection
  • Conditional Access: Plan & Build Policies
  • Conditional Access: Advanced Controls & Troubleshooting
  • Entra ID Protection: Risk-Based Security
  • Global Secure Access: Zero Trust Networking

Domain 3: Plan and Implement Workload Identities

  • Workload Identities: Managed Identities & Service Principals
  • Enterprise Apps: SSO, App Proxy & Integration
  • Enterprise Apps: Users, Consent & Collections
  • App Registrations: Build & Secure
  • Defender for Cloud Apps: Discover & Control
  • Defender for Cloud Apps: Policies & OAuth Governance

Domain 4: Plan and Automate Identity Governance

  • Entitlement Management: Catalogs & Access Packages Free
  • Access Requests, Terms of Use & External Lifecycle Free
  • Access Reviews: Plan, Create & Monitor Free
  • PIM: Protect Your Privileged Roles Free
  • PIM: Azure Resources, Groups & Audit Free
  • Identity Monitoring: Logs, KQL & Secure Score Free

SC-300 Study Guide

Domain 1: Implement and Manage User Identities

  • Your Entra Tenant: Branding, Settings & Domains
  • Entra Roles & Administrative Units
  • Managing Users & Groups
  • Device Registration & Licensing
  • External Identities: Guest Access & B2B
  • Cross-Tenant Access & Synchronisation
  • Hybrid Identity: Connect Sync vs Cloud Sync
  • Hybrid Authentication: PHS, PTA & Seamless SSO

Domain 2: Implement Authentication and Access Management

  • Authentication Methods: Plan & Implement
  • Passwordless & Windows Hello for Business
  • MFA, SSPR & Password Protection
  • Conditional Access: Plan & Build Policies
  • Conditional Access: Advanced Controls & Troubleshooting
  • Entra ID Protection: Risk-Based Security
  • Global Secure Access: Zero Trust Networking

Domain 3: Plan and Implement Workload Identities

  • Workload Identities: Managed Identities & Service Principals
  • Enterprise Apps: SSO, App Proxy & Integration
  • Enterprise Apps: Users, Consent & Collections
  • App Registrations: Build & Secure
  • Defender for Cloud Apps: Discover & Control
  • Defender for Cloud Apps: Policies & OAuth Governance

Domain 4: Plan and Automate Identity Governance

  • Entitlement Management: Catalogs & Access Packages Free
  • Access Requests, Terms of Use & External Lifecycle Free
  • Access Reviews: Plan, Create & Monitor Free
  • PIM: Protect Your Privileged Roles Free
  • PIM: Azure Resources, Groups & Audit Free
  • Identity Monitoring: Logs, KQL & Secure Score Free
Domain 2: Implement Authentication and Access Management Premium ⏱ ~13 min read

MFA, SSPR & Password Protection

Configure tenant-wide MFA settings, deploy self-service password reset, disable compromised accounts, and protect against weak passwords with Entra password protection.

MFA: the non-negotiable baseline

☕ Simple explanation

MFA is like a door that needs two different keys to open.

Your password is one key. But if someone steals it (phishing, breach, sticky note), they still can’t get in because they need the second key — your phone, your fingerprint, or a hardware token. No single stolen key is enough.

SSPR is the “forgot your keys?” desk downstairs. Instead of calling the building manager (IT helpdesk) every time, you prove who you are another way and get a new key yourself. Saves everyone time.

Multi-factor authentication (MFA) requires users to provide two or more verification factors: something they know (password), something they have (device, key), or something they are (biometric). Microsoft reports that MFA blocks 99.2% of account compromise attacks.

Self-service password reset (SSPR) allows users to reset their own passwords without helpdesk involvement, using pre-registered authentication methods. In hybrid environments, SSPR can write passwords back to on-premises AD.

Entra password protection prevents users from setting weak, commonly breached, or organisation-specific banned passwords — both in the cloud and on-premises.

MFA methods compared

FeatureMethodStrengthUser Experience
Microsoft Authenticator (push)Strong — NOT phishing-resistant (even with number matching)HighTap approve + enter number
FIDO2 security keyStrongest — phishing-resistantHighInsert/tap key + PIN or biometric
Windows Hello for BusinessStrongest — phishing-resistantHighFace, fingerprint, or PIN
Authenticator TOTP codeGood — not phishing-resistantMediumOpen app, type 6-digit code
Hardware OATH tokenGoodMediumRead code from hardware device
SMSWeakest — vulnerable to SIM swapLow frictionReceive text, type code
Voice callWeakLow frictionAnswer call, press #

Tenant-wide MFA settings

Where MFA is configured (three places — the exam tests this):

  1. Security defaults — one-click MFA for everyone. Good for small orgs. Cannot be customised. Requires Authenticator app.
  2. Per-user MFA (legacy) — enable/enforce MFA per user. Being deprecated. No group targeting, no Conditional Access integration.
  3. Conditional Access — the recommended approach. Target by user/group, app, risk level, location, device state. Full control.
FeatureSecurity DefaultsPer-User MFA (Legacy)Conditional Access
GranularityAll or nothingPer userPer user/group/app/condition
Method choiceAuthenticator onlyAll enabled methodsAll + authentication strength
Risk-basedNoNoYes
Licence requiredFreeFreeEntra ID P1+
CustomisableNoLimitedFull
Microsoft recommendationSmall orgs without P1Migrate away✅ Use this
💡 Exam tip: security defaults vs Conditional Access

Security defaults and Conditional Access are mutually exclusive — you cannot enable both. When you create your first CA policy, you must disable security defaults first.

If the exam asks how to enforce MFA for all users AND apply different rules for different groups, the answer is Conditional Access (security defaults can’t do per-group rules).

Self-service password reset (SSPR)

SSPR lets users reset their own passwords through a web portal (passwordreset.microsoftonline.com) or the Windows lock screen.

SSPR configuration

SettingOptionsNotes
Enabled forNone / Selected group / AllStart with a pilot group, then expand
Methods required1 or 22 is more secure — user must verify with two different methods
Methods availableAuthenticator, email, phone, security questions, etc.Choose at least the number required + 1 extra
Registration requiredYes (at next sign-in)Users register their methods before they need them
Reconfirm after0–730 daysHow often users must verify their methods are current

SSPR methods available

  • Microsoft Authenticator (notification or code)
  • Email (verification code to alternate email)
  • Mobile phone (SMS or voice call)
  • Office phone (voice call)
  • Security questions (only for SSPR, not MFA — and NOT recommended for high security)
ℹ️ Scenario: Jake configures SSPR at Coastline Creative

Coastline Creative’s 35 staff are constantly calling Jake to reset passwords — especially after holidays. He sets up SSPR:

  1. Enable SSPR for all users (small org, no need for a pilot)
  2. Require 2 methods for reset (more secure)
  3. Enable: Authenticator notification, mobile phone SMS, and alternate email
  4. Require registration at next sign-in — users pick at least 2 methods
  5. Reconfirm every 180 days — keeps methods current

Result: Password resets drop from 8 helpdesk tickets per week to near zero. Staff reset their own passwords in under a minute.

Password writeback

In hybrid environments, SSPR can write password changes back to on-premises AD — so a user who resets their password in the cloud also updates their on-prem AD password.

Requirements:

  • Entra Connect or Entra Connect cloud sync with password writeback enabled
  • Entra ID P1 or P2 licence
  • The Entra Connect service account needs appropriate AD permissions
💡 Exam tip: password writeback requires P1

Cloud-only SSPR works with Entra ID Free (limited) or P1/P2. But password writeback to on-prem AD requires Entra ID P1 or P2. If an exam question mentions hybrid and SSPR, check whether writeback is needed — that changes the licence requirement.

Disabling accounts and revoking sessions

When an account is compromised, speed matters. Two immediate actions:

1. Disable the account (block sign-in)

  • Entra admin center → Users → select user → Edit properties → Block sign-in = Yes
  • Prevents new sign-ins immediately
  • Does NOT invalidate existing tokens — the user’s current sessions may stay active until tokens expire (up to 1 hour for access tokens)

2. Revoke all sessions

  • Entra admin center → Users → select user → Revoke sessions
  • Invalidates all refresh tokens immediately
  • Forces re-authentication on all devices at next token refresh
  • Combined with blocked sign-in, this effectively locks the user out everywhere
ℹ️ Scenario: Dex handles a compromised account

Dex gets an alert from ID Protection: Ravi’s account shows a sign-in from an unusual country at 3 AM. Ravi confirms he didn’t sign in.

Dex’s response (in order):

  1. Block sign-in — prevents the attacker from signing in again
  2. Revoke all sessions — kills existing tokens so the attacker’s current session is terminated at next token refresh
  3. Reset password — ensures the compromised password can’t be reused
  4. Check sign-in logs — what did the attacker access? Any inbox rules created? Any data downloaded?
  5. Require MFA re-registration — the attacker may have registered their own MFA method
  6. Unblock sign-in once Ravi has re-registered MFA on a clean device

Why both block AND revoke? Blocking prevents new sign-ins. Revoking kills existing sessions. Without revoking, the attacker’s existing access token might work for up to another hour.

Entra password protection

Entra password protection prevents users from setting weak passwords — the kind that appear in breach lists or contain your organisation’s name.

Two layers:

  1. Global banned password list — maintained by Microsoft, contains thousands of commonly breached passwords. Always active, cannot be disabled.
  2. Custom banned password list — up to 1,000 entries you define (company name, products, city, sports teams). Case-insensitive, with fuzzy matching (l33t speak variations are caught).

How the algorithm works:

  • Normalises the password (lowercase, l33t substitutions)
  • Checks against both banned lists
  • Adds a “ban score” — if any substring matches a banned word, the whole password gets a score. If the score exceeds the threshold, the password is rejected.

On-premises password protection

For hybrid environments, Entra password protection extends to on-prem AD:

  • Deploy Entra Password Protection proxy service (on a domain-joined server)
  • Install Entra Password Protection DC agent on each domain controller
  • The proxy downloads the banned password list from Entra; the DC agent enforces it during password changes
💡 Exam tip: on-prem password protection architecture

The on-premises deployment has two components:

  • Proxy service — runs on any domain-joined server, connects to Entra to download banned lists
  • DC agent — runs on each DC, intercepts password changes and validates against the banned list

You need at least two proxies for high availability. The DC agent works even if the proxy is temporarily unavailable — it caches the last downloaded list. The exam may test this resiliency.

🎬 Video walkthrough

🎬 Video coming soon

MFA, SSPR & Password Protection — SC-300 Module 11

MFA, SSPR & Password Protection — SC-300 Module 11

~12 min

Flashcards

Question

What are the three places MFA can be configured in Entra ID?

Click or press Enter to reveal answer

Answer

1) Security defaults (all-or-nothing, no customisation). 2) Per-user MFA (legacy, being deprecated). 3) Conditional Access policies (recommended — granular, risk-based, group-targeted). Security defaults and Conditional Access are mutually exclusive.

Click to flip back

Question

What is the difference between blocking sign-in and revoking sessions?

Click or press Enter to reveal answer

Answer

Blocking sign-in prevents NEW authentications. Revoking sessions invalidates existing refresh tokens, forcing re-authentication at the next token refresh. For a compromised account, do BOTH — block prevents new sign-ins, revoke kills existing sessions. Without revoking, an active access token can work for up to an hour.

Click to flip back

Question

What is password writeback and what licence does it require?

Click or press Enter to reveal answer

Answer

Password writeback syncs cloud password changes (SSPR resets) back to on-premises AD so both passwords stay in sync. It requires Entra ID P1 or P2 licence and Entra Connect with password writeback enabled.

Click to flip back

Question

How does the custom banned password list work?

Click or press Enter to reveal answer

Answer

You add up to 1,000 words (company name, products, city, teams). Entra normalises passwords (lowercase, l33t substitutions) and checks for banned substrings with fuzzy matching. If the ban score exceeds the threshold, the password is rejected. Works in cloud and on-prem (with DC agent + proxy).

Click to flip back

Knowledge Check

Knowledge Check

An organisation wants to enforce MFA for all users, but require phishing-resistant MFA only for admins accessing the Azure portal. Security defaults are currently enabled. What should they do?

Knowledge Check

Dex receives an alert that a user account may be compromised. He blocks the user's sign-in. 30 minutes later, the user's mailbox is still being accessed from a suspicious IP. What did Dex miss?

Knowledge Check

A company wants to prevent employees from using the company name, 'Coastline', in their passwords — including variations like 'C0astl1ne' and 'COASTLINE2024'. What should Jake configure?


Next up: Conditional Access: Plan & Build Policies — learn the IF/THEN model, build policies with assignments and controls, and understand when to use report-only mode.

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Passwordless & Windows Hello for Business

Next →

Conditional Access: Plan & Build Policies

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