What exactly is Privileged Access Management (PAM)?

Privileged access is one of the biggest security risks in IT environments, and often the least visible. In this article, we explain what Privileged Access Management (PAM) is, why it is important, and how organizations can achieve better control, overview, and security with the right approach.

What is Privileged Access Management?

Privileged Access Management (PAM) is a field closely related to Identity and Access Management (IAM), which assists in managing and safeguarding access to an organization's most sensitive systems and data. It primarily focuses on users and accounts with elevated privileges—accounts that can access and alter more than standard users.

Examples of privileged accounts:

System administrators who can modify configurations and create user
Developers with access to production environments or sensitive code
External vendors with temporary access to IT systems
Service accounts and automated scripts used for system-to-system communication

Although these accounts are essential, they also pose a significant risk if access is not properly managed. A single wrong click, a stolen password, or an uncontrolled integration can grant unauthorized access to the entire IT environment.

Here is what a PAM solution can assist with:

Control who has access to what—and when
Limit access to only what is necessary
Monitor and log the use of privileged accounts
Automatically rotate access credentials and prevent sharing

In short: PAM safeguards the keys to the engine room—whether they are used by people or systems.

Want to know more about IAM? Read our article here →

Why is PAM important?

Privileged accounts are among the most sought-after access points for cybercriminals. If an attacker gains control over an account with elevated privileges, they can freely navigate systems, steal data, alter configurations, or even bring the business to a halt. The same risk applies if an internal user abuses their access, whether intentionally or accidentally.

PAM is crucial because it mitigates the risk of attacks and data breaches by restricting access to only what is necessary—and only when it is necessary. It also provides transparency regarding who has access to what and when that access is used. Additionally, it assists organizations in meeting compliance requirements such as ISO 27001 and NIS2.

Without PAM, it is challenging—or nearly impossible—to control and document the use of privileged accounts, leaving the organization vulnerable to both internal errors and external threats.

What are the common challenges without PAM?

Many organizations have developed intricate IT environments without a complete understanding of who has access to what—and why. This is particularly true for privileged accounts, which are often created for specific needs but rarely removed afterward.

Some of the common challenges faced by organizations without a PAM solution include:

Access credentials are shared among multiple individuals without documentation
Privileged accounts never expire or are never reassessed
Temporary access needs become permanent rights
It is impossible to track who did what—and when
Service accounts and scripts operate with far more privileges than necessary

The outcome is an IT infrastructure fraught with concealed vulnerabilities and heightened risks, such as human errors, insider threats, and cyberattacks. When a security breach occurs, it becomes considerably more difficult to respond promptly if there is no oversight of which accounts possess particular permissions.

Prefer listening over reading?

In our podcast, Tilgang, takk!, we discuss how PAM can aid in preventing attacks and safeguarding identities.

Listen to the episode here →

How does a PAM-solution work?

A PAM solution acts as a secure intermediary between the user and the systems requiring special access. Instead of having direct access to sensitive accounts, the user logs in through a central platform that manages the entire process in a secure and controlled manner.

Example: Secure access in practice

Suppose a system administrator needs to log into a server for maintenance. Rather than using a static password that might be shared with others, the administrator requests access via the PAM solution. Access can be granted automatically or require approval—and it is only valid for a limited time.

After access is approved, the administrator can enter the system without concern for the password. The session is fully monitored and recorded, guaranteeing that every action is documented. Upon task completion, access is terminated, and credentials are refreshed to avoid reuse.

This approach minimizes the risk of misuse while maintaining organizational control and traceability without compromising user-friendliness.

What are the benefits of implementing PAM?

When privileged access is well-managed, the organization not only achieves enhanced security but also gains significantly improved oversight and control.

With a PAM solution, you can:

Eliminate the need for storing passwords in spreadsheets, emails, or chat messages
Ensure that only the right individuals have access to sensitive systems, and only when necessary
Monitor and document all use of privileged accounts, for instance, during audits or security incidents
Restrict permissions for service accounts and scripts to the bare minimum
Automatically rotate access credentials and prevent old codes from becoming security vulnerabilities
Avoid a situation where a single employee or vendor holds "the key to everything"
Increase management and board confidence that critical access is under control
Simplify compliance with standards such as ISO 27001 and NIS2
Foster a more mature security culture and clear processes for access management