Identity as a Service (IDaaS) allows an organisation to let a specialised third-party vendor manage the operational nuts and bolts of an identity and access management solution, saving administrative overhead for the organization because there is no longer a need to manage infrastructure, provide security, install and upgrade software, back up data, etc. IDaaS offers a scalable IAM solution that accelerates digital transformation while reducing cost and risk.

Five key capabilities are required to make enterprise IDaaS solutions possible:
Single Sign-on (SSO): With single sign-on employees, partners and customers obtain easy, fast and secure access to all SaaS, mobile and enterprise applications with a single authentication using corporate credentials.

Multi-factor Authentication (MFA): MFA typically includes adaptive authentication methods—options to step up as risk increases based on situational changes, user behavior or application sensitivity.

Access Security: Access security is policy-based access management for applications and APIs to enhance security beyond SSO.
Directory: While most enterprises prefer to integrate IDaaS with their existing user stores, they may use a cloud directory, especially to support customers and/or partners.

Provisioning: Through integration connectors like SCIM provisioning to both on-premises and cloud applications. User data can also be synced with web and enterprise applications.