Privileged Access Management (PAM)

6% of security incidents in 2025 were linked to compromised privileged identities, according to the 2025 Verizon Data Breach Investigations Report.

Cybercriminals frequently target privileged accounts to gain access to an organization’s most sensitive data and critical systems. A single compromised administrator account can lead to devastating financial, operational, and reputational damage.

In this blog, we’ll explore the fundamentals of privileged access management, its key benefits, and best practices to enhance your organization’s security posture.

What is Privileged Access Management (PAM)?

Privileged Access Management (PAM) is a framework that restricts and monitors access to critical accounts in an organization. These accounts, often held by administrators, developers, and IT personnel, have elevated privileges that could bypass traditional security controls.

PAM solutions safeguard these accounts by implementing a strategy that manages access to sensitive systems, supports privileged session management, and enhances password management practices.

PAM solutions safeguard these accounts by:

1. Controlling Access: Limiting the use of privileged accounts to authorized personnel only.
2. Monitoring Activity: Tracking and recording sessions to detect unauthorized actions.
3. Rotating Credentials: Enforcing strong password policies and frequent credential updates.

Why is Privileged Access Management Critical in Today’s Threat Landscape?

Privileged Access Management stands at the forefront of modern cybersecurity strategies, acting as a safeguard against both external breaches and internal misuse. By tightly controlling and monitoring privileged access, PAM enables organizations to significantly reduce risk, improve compliance posture, and build a more resilient security framework.

1. Mitigating Insider Threats

Not all threats come from external actors. According to a Ponemon Institute report, insider threats cost organizations an average of $15.4 million annually. PAM reduces this risk by limiting access to sensitive data and providing audit trails to detect anomalies.

2. Reducing Attack Surface

Privileged accounts are prime targets for attackers. PAM minimizes the attack surface by enforcing the principle of least privilege, ensuring users have access only to what they need to perform their roles.

3. Ensuring Compliance

Regulations like GDPR, HIPAA, and PCI-DSS mandate strict controls on access to sensitive data. Implementing PAM helps organizations demonstrate compliance and avoid hefty fines.

Key Statistics, Trends on Privileged Access Managament

Here are some privileged access management statistics and trends that organizations must be aware of:

• 74% of data breaches involve the abuse of privileged credentials (Source).
• 33% of security incidents in 2024 were linked to compromised privileged identities, up from 28% in 2023 (Source).
• 89% of privilege misuse cases are financially motivated (Source).
• 82% of insider misuse-related data breaches took over a week to detect (Source).
• The global PAM market was valued at $3.6 billion in 2024 and is projected to grow at a 23.3% CAGR from 2025 to 2034 (Source).
• 43% revenue increase in Q1 2025, reaching nearly $318 million (Source).
• Legacy PAM solutions are insufficient for complex cloud environments, leading to a shift toward automated and consolidated PAM approaches (Source).

Key Components of an Effective Privileged Access Management Strategy

An effective Privileged Access Management strategy is built on a foundation of proactive control, visibility, and accountability. By implementing the following core components, organizations can significantly enhance their ability to manage and protect privileged accounts, reduce attack surfaces, and maintain regulatory compliance.

1. Password Vaulting

At the core of any PAM strategy is password vaulting, which ensures that privileged credentials are securely stored, encrypted, and rotated on a regular basis.

This practice helps prevent unauthorized access and limits the risk of credential theft. Modern vaulting solutions also support password check-in/check-out procedures and session initiation directly from the vault, further enhancing operational security.

2. Session Monitoring and Recording

Effective PAM solutions offer real-time session monitoring and full session recording to provide visibility into privileged user activities.

This capability enables security teams to detect suspicious behavior, investigate incidents more efficiently, and maintain accountability through detailed audit trails. Session playback also supports forensic analysis and ensures compliance with industry regulations.

3. Just-in-Time (JIT) Access

JIT access grants temporary, time-bound access to privileged accounts only when needed, significantly reducing the window of opportunity for misuse.

By eliminating standing privileges, organizations minimize attack surfaces and limit exposure to internal and external threats. This approach aligns with the principle of least privilege and enhances operational agility.

4. Privileged Account Discovery

Before securing privileged accounts, organizations must first identify them. Privileged account discovery tools scan across networks, endpoints, cloud platforms, and applications to locate unmanaged or orphaned accounts that pose hidden risks.

Once discovered, these accounts can be brought under centralized management and secured in line with PAM policies.

Best Practices for Implementing PAM

Implementing Privileged Access Management successfully requires more than just deploying technology—it demands a strategic approach that aligns with your organization’s security objectives and operational workflows.

Below are industry-recognized best practices designed to strengthen your PAM framework, improve accountability, and reduce the risk of privilege misuse.

1. Start with an Audit

Begin by conducting a comprehensive audit of all privileged accounts, credentials, and entitlements across your environment. This includes on-premises infrastructure, cloud platforms, SaaS applications, and DevOps pipelines.

The goal is to identify who has elevated access, whether it’s still needed, and how these privileges are currently managed. This foundational step reveals security gaps and informs the scope of your PAM program.

2. Adopt the Principle of Least Privilege (PoLP)

Limit user access rights to the bare minimum required for their roles and responsibilities. By enforcing PoLP, organizations reduce the potential damage caused by insider threats or compromised credentials.

Regularly review and adjust privileges to ensure they align with evolving job functions and access requirements.

3. Implement Multi-Factor Authentication (MFA)

Strengthen security controls by requiring at least two forms of authentication before granting access to privileged accounts.

MFA adds a critical barrier against unauthorized access, especially in cases where passwords are stolen or leaked. Integrating MFA into your PAM solution ensures that identity verification is both continuous and adaptive.

4. Invest in Robust PAM Tools

Choose PAM tools that integrate seamlessly with your existing IT ecosystem and support scalability, automation, and policy enforcement.

Modern solutions should provide capabilities such as automated credential rotation, real-time activity monitoring, risk scoring, and policy-based access control. Investing in the right tools not only simplifies management but also ensures compliance with regulatory standards.

How Keepnet Strengthens Your Privileged Access Management Strategy

While traditional Privileged Access Management solutions focus on securing access points and credentials, Keepnet Human Risk Management takes your security posture a step further by addressing the human element—often the most exploited vulnerability in cyberattacks.

Keepnet’s platform is uniquely positioned to complement and strengthen your PAM strategy through advanced human risk management, real-time behavior analytics, and automated awareness interventions.

1. Bridging the Gap Between Technology and Human Behavior

PAM systems excel at controlling who gets access to what, but they often lack visibility into why certain actions are taken or how human errors occur. Keepnet’s Human Risk Management Platform identifies risky user behavior—such as credential sharing, phishing link clicks—before they escalate into full-blown security incidents. This feeds directly into PAM policies, enabling more informed decisions around privilege assignments and access controls.

2. Real-Time Threat Response and Insider Risk Mitigation

Insider threats, whether malicious or accidental, are among the most difficult to detect. Keepnet’s behavioral analytics engine monitors user actions through various phishing simulations and correlates them with known threat patterns.

Keepnet triggers automated alerts based on employee behavior and, if integrated, can even prompt your PAM solution to revoke or restrict access in real-time.

3. Security Awareness Training Aligned with PAM Goals

A critical yet overlooked component of a successful PAM strategy is employee awareness education. Keepnet offers targeted security awareness training tailored to privileged users, IT administrators, and developers. Through gamified contents, phishing tests, and real-world scenarios (including deepfake phishing and MFA fatigue simulations), Keepnet ensures that high-risk users understand the importance of secure access practices and are capable of recognizing social engineering threats that target privileged credentials.

4. Automated User Risk Scoring to Prioritize Privileged Account Monitoring

Keepnet assigns dynamic user risk scores to users based on their behavior, training completion status, and incident history. When integrated with your PAM solution, these scores help prioritize which privileged accounts require closer monitoring, temporary access restrictions, or additional authentication layers. This enables security teams to focus their efforts where the risk is highest, optimizing both performance and protection.

5. Seamless Integration Across Security Ecosystems

Keepnet’s platform is designed with interoperability in mind. Whether you’re using BeyondTrust, CyberArk, Thycotic, or other PAM vendors, Keepnet integrates effortlessly through APIs and SIEMs to enrich access logs with human risk insights. This provides a 360-degree view of privileged activity—from technical access records to behavioral context—helping organizations build a smarter, adaptive security model.

In essence, Keepnet doesn’t replace your PAM solution—it enhances it. By weaving human-centric cybersecurity into your access controls, Keepnet empowers organizations to build a truly resilient privileged access environment that is aware, adaptive, and aligned with modern cyber risk realities.

Editor's Note: This blog was updated on May 20, 2025.