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Table of contents


MICROSOFT ENTRA SECURITY OPERATIONS GUIDE FOR APPLICATIONS

 * Article
 * 10/23/2023
 * 7 contributors

Feedback



IN THIS ARTICLE

    
 1. What to look for
    
 2. Where to look
    
 3. Application credentials
    
 4. Application permissions
    
 5. Application authentication flows
    
 6. Application configuration changes
    
 7. Resources
    
 8. Next steps
    

Show 4 more

Applications have an attack surface for security breaches and must be monitored.
While not targeted as often as user accounts, breaches can occur. Because
applications often run without human intervention, the attacks may be harder to
detect.

This article provides guidance to monitor and alert on application events. It's
regularly updated to help ensure you:

 * Prevent malicious applications from getting unwarranted access to data

 * Prevent applications from being compromised by bad actors

 * Gather insights that enable you to build and configure new applications more
   securely

If you're unfamiliar with how applications work in Microsoft Entra ID, see Apps
and service principals in Microsoft Entra ID.

Note

If you have not yet reviewed the Microsoft Entra security operations overview,
consider doing so now.


WHAT TO LOOK FOR

As you monitor your application logs for security incidents, review the
following list to help differentiate normal activity from malicious activity.
The following events might indicate security concerns. Each is covered in the
article.

 * Any changes occurring outside normal business processes and schedules

 * Application credentials changes

 * Application permissions
   
   * Service principal assigned to a Microsoft Entra ID or an Azure role-based
     access control (RBAC) role
   
   * Applications granted highly privileged permissions
   
   * Azure Key Vault changes
   
   * End user granting applications consent
   
   * Stopped end-user consent based on level of risk

 * Application configuration changes
   
   * Universal resource identifier (URI) changed or non-standard
   
   * Changes to application owners
   
   * Log-out URLs modified


WHERE TO LOOK

The log files you use for investigation and monitoring are:

 * Microsoft Entra audit logs

 * Sign-in logs

 * Microsoft 365 Audit logs

 * Azure Key Vault logs

From the Azure portal, you can view the Microsoft Entra audit logs and download
as comma-separated value (CSV) or JavaScript Object Notation (JSON) files. The
Azure portal has several ways to integrate Microsoft Entra logs with other
tools, which allow more automation of monitoring and alerting:

 * Microsoft Sentinel – enables intelligent security analytics at the enterprise
   level with security information and event management (SIEM) capabilities.

 * Sigma rules - Sigma is an evolving open standard for writing rules and
   templates that automated management tools can use to parse log files. Where
   there are Sigma templates for our recommended search criteria, we've added a
   link to the Sigma repo. The Sigma templates aren't written, tested, and
   managed by Microsoft. Rather, the repo and templates are created and
   collected by the worldwide IT security community.

 * Azure Monitor – automated monitoring and alerting of various conditions. Can
   create or use workbooks to combine data from different sources.

 * Azure Event Hubs integrated with a SIEM- Microsoft Entra logs can be
   integrated to other SIEMs such as Splunk, ArcSight, QRadar, and Sumo Logic
   via the Azure Event Hubs integration.

 * Microsoft Defender for Cloud Apps – discover and manage apps, govern across
   apps and resources, and check your cloud apps’ compliance.

 * Securing workload identities with Identity Protection Preview - detects risk
   on workload identities across sign-in behavior and offline indicators of
   compromise.

Much of what you monitor and alert on are the effects of your Conditional Access
policies. You can use the Conditional Access insights and reporting workbook to
examine the effects of one or more Conditional Access policies on your sign-ins,
and the results of policies, including device state. Use the workbook to view a
summary, and identify the effects over a time period. You can use the workbook
to investigate the sign-ins of a specific user.

The remainder of this article is what we recommend you monitor and alert on.
It's organized by the type of threat. Where there are pre-built solutions, we
link to them or provide samples after the table. Otherwise, you can build alerts
using the preceding tools.


APPLICATION CREDENTIALS

Many applications use credentials to authenticate in Microsoft Entra ID. Any
other credentials added outside expected processes could be a malicious actor
using those credentials. We recommend using X509 certificates issued by trusted
authorities or Managed Identities instead of using client secrets. However, if
you need to use client secrets, follow good hygiene practices to keep
applications safe. Note, application and service principal updates are logged as
two entries in the audit log.

 * Monitor applications to identify long credential expiration times.

 * Replace long-lived credentials with a short life span. Ensure credentials
   don't get committed in code repositories, and are stored securely.

Expand table

What to monitor Risk Level Where Filter/sub-filter Notes Added credentials to
existing applications High Microsoft Entra audit logs Service-Core Directory,
Category-ApplicationManagement
Activity: Update Application-Certificates and secrets management
-and-
Activity: Update Service principal/Update Application Alert when credentials
are: added outside of normal business hours or workflows, of types not used in
your environment, or added to a non-SAML flow supporting service principal.
Microsoft Sentinel template

Sigma rules Credentials with a lifetime longer than your policies allow. Medium
Microsoft Graph State and end date of Application Key credentials
-and-
Application password credentials You can use MS Graph API to find the start and
end date of credentials, and evaluate longer-than-allowed lifetimes. See
PowerShell script following this table.

The following pre-built monitoring and alerts are available:

 * Microsoft Sentinel – Alert when new app or service principle credentials
   added

 * Azure Monitor – Microsoft Entra workbook to help you assess Solorigate risk -
   Microsoft Tech Community

 * Defender for Cloud Apps – Defender for Cloud Apps anomaly detection alerts
   investigation guide

 * PowerShell - Sample PowerShell script to find credential lifetime.


APPLICATION PERMISSIONS

Like an administrator account, applications can be assigned privileged roles.
Apps can be assigned Microsoft Entra roles, such as Global Administrator, or
Azure RBAC roles such as Subscription Owner. Because they can run without a
user, and as a background service, closely monitor when an application is
granted a highly privileged role or permission.


SERVICE PRINCIPAL ASSIGNED TO A ROLE

Expand table

What to monitor Risk Level Where Filter/sub-filter Notes App assigned to Azure
RBAC role, or Microsoft Entra role High to Medium Microsoft Entra audit logs
Type: service principal
Activity: “Add member to role” or “Add eligible member to role”
-or-
“Add scoped member to role.” For highly privileged roles such as Global
Administrator, risk is high. For lower privileged roles risk is medium. Alert
anytime an application is assigned to an Azure role or Microsoft Entra role
outside of normal change management or configuration procedures.
Microsoft Sentinel template

Sigma rules


APPLICATION GRANTED HIGHLY PRIVILEGED PERMISSIONS

Applications should follow the principle of least privilege. Investigate
application permissions to ensure they're needed. You can create an app consent
grant report to help identify applications and highlight privileged permissions.

Expand table

What to monitor Risk Level Where Filter/sub-filter Notes App granted highly
privileged permissions, such as permissions with “.All”
(Directory.ReadWrite.All) or wide ranging permissions (Mail.) High Microsoft
Entra audit logs “Add app role assignment to service principal”,
- where-
Target(s) identifies an API with sensitive data (such as Microsoft Graph)
-and-
AppRole.Value identifies a highly privileged application permission (app role).
Apps granted broad permissions such as “.All” (Directory.ReadWrite.All) or wide
ranging permissions (Mail.)
Microsoft Sentinel template

Sigma rules Administrator granting either application permissions (app roles) or
highly privileged delegated permissions High Microsoft 365 portal “Add app role
assignment to service principal”,
-where-
Target(s) identifies an API with sensitive data (such as Microsoft Graph)
“Add delegated permission grant”,
-where-
Target(s) identifies an API with sensitive data (such as Microsoft Graph)
-and-
DelegatedPermissionGrant.Scope includes high-privilege permissions. Alert when a
global administrator, application administrator, or cloud application
administrator consents to an application. Especially look for consent outside of
normal activity and change procedures.
Microsoft Sentinel template
Microsoft Sentinel template
Microsoft Sentinel template

Sigma rules Application is granted permissions for Microsoft Graph, Exchange,
SharePoint, or Microsoft Entra ID. High Microsoft Entra audit logs “Add
delegated permission grant”
-or-
“Add app role assignment to service principal”,
-where-
Target(s) identifies an API with sensitive data (such as Microsoft Graph,
Exchange Online, and so on) Alert as in the preceding row.
Microsoft Sentinel template

Sigma rules Application permissions (app roles) for other APIs are granted
Medium Microsoft Entra audit logs “Add app role assignment to service
principal”,
-where-
Target(s) identifies any other API. Alert as in the preceding row.
Sigma rules Highly privileged delegated permissions are granted on behalf of all
users High Microsoft Entra audit logs “Add delegated permission grant”, where
Target(s) identifies an API with sensitive data (such as Microsoft Graph),
DelegatedPermissionGrant.Scope includes high-privilege permissions,
-and-
DelegatedPermissionGrant.ConsentType is “AllPrincipals”. Alert as in the
preceding row.
Microsoft Sentinel template
Microsoft Sentinel template
Microsoft Sentinel template

Sigma rules

For more information on monitoring app permissions, see this tutorial:
Investigate and remediate risky OAuth apps.


AZURE KEY VAULT

Use Azure Key Vault to store your tenant’s secrets. We recommend you pay
attention to any changes to Key Vault configuration and activities.

Expand table

What to monitor Risk Level Where Filter/sub-filter Notes How and when your Key
Vaults are accessed and by whom Medium Azure Key Vault logs Resource type: Key
Vaults Look for: any access to Key Vault outside regular processes and hours,
any changes to Key Vault ACL.
Microsoft Sentinel template

Sigma rules

After you set up Azure Key Vault, enable logging. See how and when your Key
Vaults are accessed, and configure alerts on Key Vault to notify assigned users
or distribution lists via email, phone, text, or Event Grid notification, if
health is affected. In addition, setting up monitoring with Key Vault insights
gives you a snapshot of Key Vault requests, performance, failures, and latency.
Log Analytics also has some example queries for Azure Key Vault that can be
accessed after selecting your Key Vault and then under “Monitoring” selecting
“Logs”.


END-USER CONSENT

Expand table

What to monitor Risk Level Where Filter/sub-filter Notes End-user consent to
application Low Microsoft Entra audit logs Activity: Consent to application /
ConsentContext.IsAdminConsent = false Look for: high profile or highly
privileged accounts, app requests high-risk permissions, apps with suspicious
names, for example generic, misspelled, etc.
Microsoft Sentinel template

Sigma rules

The act of consenting to an application isn't malicious. However, investigate
new end-user consent grants looking for suspicious applications. You can
restrict user consent operations.

For more information on consent operations, see the following resources:

 * Managing consent to applications and evaluating consent requests in Microsoft
   Entra ID

 * Detect and Remediate Illicit Consent Grants - Office 365

 * Incident response playbook - App consent grant investigation


END USER STOPPED DUE TO RISK-BASED CONSENT

Expand table

What to monitor Risk Level Where Filter/sub-filter Notes End-user consent
stopped due to risk-based consent Medium Microsoft Entra audit logs Core
Directory / ApplicationManagement / Consent to application
Failure status reason = Microsoft.online.Security.userConsent
BlockedForRiskyAppsExceptions Monitor and analyze any time consent is stopped
due to risk. Look for: high profile or highly privileged accounts, app requests
high-risk permissions, or apps with suspicious names, for example generic,
misspelled, etc.
Microsoft Sentinel template

Sigma rules


APPLICATION AUTHENTICATION FLOWS

There are several flows in the OAuth 2.0 protocol. The recommended flow for an
application depends on the type of application being built. In some cases,
there's a choice of flows available to the application. For this case, some
authentication flows are recommended over others. Specifically, avoid resource
owner password credentials (ROPC) because these require the user to expose their
current password credentials to the application. The application then uses the
credentials to authenticate the user against the identity provider. Most
applications should use the auth code flow, or auth code flow with Proof Key for
Code Exchange (PKCE), because this flow is recommended.

The only scenario where ROPC is suggested is for automated application testing.
See Run automated integration tests for details.

Device code flow is another OAuth 2.0 protocol flow for input-constrained
devices and isn't used in all environments. When device code flow appears in the
environment, and isn't used in an input constrained device scenario. More
investigation is warranted for a misconfigured application or potentially
something malicious. Device code flow can also be blocked or allowed in
Conditional Access. See Conditional Access authentication flows for details.

Monitor application authentication using the following formation:

Expand table

What to monitor Risk level Where Filter/sub-filter Notes Applications that are
using the ROPC authentication flow Medium Microsoft Entra sign-in log
Status=Success

Authentication Protocol-ROPC High level of trust is being placed in this
application as the credentials can be cached or stored. Move if possible to a
more secure authentication flow. This should only be used in automated testing
of applications, if at all. For more information, see Microsoft identity
platform and OAuth 2.0 Resource Owner Password Credentials

Sigma rules Applications using the Device code flow Low to medium Microsoft
Entra sign-in log Status=Success

Authentication Protocol-Device Code Device code flows are used for input
constrained devices, which may not be in all environments. If successful device
code flows appear, without a need for them, investigate for validity. For more
information, see Microsoft identity platform and the OAuth 2.0 device
authorization grant flow

Sigma rules


APPLICATION CONFIGURATION CHANGES

Monitor changes to application configuration. Specifically, configuration
changes to the uniform resource identifier (URI), ownership, and log-out URL.


DANGLING URI AND REDIRECT URI CHANGES

Expand table

What to monitor Risk Level Where Filter/sub-filter Notes Dangling URI High
Microsoft Entra logs and Application Registration Service-Core Directory,
Category-ApplicationManagement
Activity: Update Application
Success – Property Name AppAddress For example, look for dangling URIs that
point to a domain name that no longer exists or one that you don’t explicitly
own.
Microsoft Sentinel template

Sigma rules Redirect URI configuration changes High Microsoft Entra logs
Service-Core Directory, Category-ApplicationManagement
Activity: Update Application
Success – Property Name AppAddress Look for URIs not using HTTPS*, URIs with
wildcards at the end or the domain of the URL, URIs that are NOT unique to the
application, URIs that point to a domain you don't control.
Microsoft Sentinel template

Sigma rules

Alert when these changes are detected.


APPID URI ADDED, MODIFIED, OR REMOVED

Expand table

What to monitor Risk Level Where Filter/sub-filter Notes Changes to AppID URI
High Microsoft Entra logs Service-Core Directory, Category-ApplicationManagement
Activity: Update
Application
Activity: Update Service principal Look for any AppID URI modifications, such as
adding, modifying, or removing the URI.
Microsoft Sentinel template

Sigma rules

Alert when these changes are detected outside approved change management
procedures.


NEW OWNER

Expand table

What to monitor Risk Level Where Filter/sub-filter Notes Changes to application
ownership Medium Microsoft Entra logs Service-Core Directory,
Category-ApplicationManagement
Activity: Add owner to application Look for any instance of a user being added
as an application owner outside of normal change management activities.
Microsoft Sentinel template

Sigma rules


LOG-OUT URL MODIFIED OR REMOVED

Expand table

What to monitor Risk Level Where Filter/sub-filter Notes Changes to log-out URL
Low Microsoft Entra logs Service-Core Directory, Category-ApplicationManagement
Activity: Update Application
-and-
Activity: Update service principle Look for any modifications to a sign-out URL.
Blank entries or entries to non-existent locations would stop a user from
terminating a session.
Microsoft Sentinel template
Sigma rules


RESOURCES

 * GitHub Microsoft Entra toolkit - https://github.com/microsoft/AzureADToolkit

 * Azure Key Vault security overview and security guidance - Azure Key Vault
   security overview

 * Solorgate risk information and tools - Microsoft Entra workbook to help you
   access Solorigate risk

 * OAuth attack detection guidance - Unusual addition of credentials to an OAuth
   app

 * Microsoft Entra monitoring configuration information for SIEMs - Partner
   tools with Azure Monitor integration


NEXT STEPS

Microsoft Entra security operations overview

Security operations for user accounts

Security operations for consumer accounts

Security operations for privileged accounts

Security operations for Privileged Identity Management

Security operations for devices

Security operations for infrastructure





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Training

Module

Monitor and maintain Microsoft Entra ID - Training

Audit and diagnostic logs within Microsoft Entra ID provide a rich view into how
users are accessing your Azure solution. Learn to monitor, troubleshoot, and
analyze sign-in data.

Certification

Microsoft Certified: Identity and Access Administrator Associate -
Certifications

Demonstrate the features of Microsoft Entra ID to modernize identity solutions,
implement hybrid solutions, and implement identity governance.



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ADDITIONAL RESOURCES



--------------------------------------------------------------------------------

Training

Module

Monitor and maintain Microsoft Entra ID - Training

Audit and diagnostic logs within Microsoft Entra ID provide a rich view into how
users are accessing your Azure solution. Learn to monitor, troubleshoot, and
analyze sign-in data.

Certification

Microsoft Certified: Identity and Access Administrator Associate -
Certifications

Demonstrate the features of Microsoft Entra ID to modernize identity solutions,
implement hybrid solutions, and implement identity governance.




IN THIS ARTICLE



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