In February 2024 I wrote about multitenant management in Defender, which gave the SOC one view across several tenants. It solved the security operations side. The administration and configuration side stayed hard. In August, Microsoft Entra Tenant Governance became generally available, and it addresses exactly that. This post is longer than usual, because the topic deserves it.
First, the problem. Most large organisations have several Microsoft tenants. Some come from acquisitions. Some were created to separate sensitive workloads. Some are test environments. And many are shadow IT tenants, created by someone with a credit card and a good idea, that central IT has never heard of. Each tenant has its own admins, its own settings and its own risks. An attacker who finds a forgotten tenant with a trust to your main tenant has found a side door.
Tenant Governance has four main parts.
Related tenants. Discovery of the tenants connected to your organisation, including the ones you don´t administer, based on signals such as users from your organisation signing in to them or applications shared with them. You can then classify them: govern it, investigate it, or quarantine it if it looks risky.
Governance relationships. A directional relationship where one tenant, the governing tenant, governs another. The governed tenant has to accept the request, so it is a handshake, not a takeover. One tenant can govern many, and a tenant can be governed by several, but you can´t build chains where a governed tenant governs others. A policy template defines what is provisioned when the relationship is created.
Cross tenant delegated administration. This is the part I like most from a security perspective. Admins sign in with their accounts in the governing tenant and get least privilege roles in the governed tenants. No more local admin accounts or guest admin accounts in every tenant, each with its own password, its own MFA and its own risk of being forgotten. One identity, protected once, with Conditional Access and PIM from the governing tenant.
Configuration management. You define a baseline, the desired state of a tenant in a JSON format, covering more than 200 resource types across Entra, Intune, Exchange Online, Teams, Purview and Defender. A monitor compares the actual configuration with the baseline every six hours and shows the drift: which settings changed and how. You can take a snapshot of a known good tenant and use it as a starting point.
Secure tenant creation. You decide who may create new tenants, and new tenants automatically get a governance relationship to the central tenant, so you never lose administrative access to them.
How would I deploy it? Start with discovery. You will probably be surprised. Then create policy templates with a minimal set of roles. Establish governance relationships with the tenants you already administer and move their admin access to delegated administration, removing the local admin accounts. Set up configuration baselines for the most critical settings first: Conditional Access, admin roles and external collaboration. Then deal with the unknown tenants, one by one. Finally, lock down tenant creation.
Treat the governing tenant as Tier 0, or the control plane in the enterprise access model. Whoever controls it controls all governed tenants. Protect its admins with phishing resistant MFA, PAWs and PIM, and monitor it closely.
And the compliance benefit is real. Baselines and snapshots give you documented evidence of how each tenant is configured, and drift reports show when it changed. That is exactly what auditors and supervisory authorities ask for, and what is very hard to produce manually across ten tenants.
Every tenant you don´t govern is a tenant someone else might.
Tags: Microsoft Entra, Multitenant, Tenant Governance