IAM Academy is your go-to column for all things IAM, where our experts provide answers to your queries. This is an extended version of an article that originally appeared in our magazine, IAM 360. It focuses on a significant shift in workforce management: passwordless authentication. Sarah Lefavrais, who leads multiple passwordless initiatives at Thales, shares insights on transitioning to a password-free digital environment for employees, consumers and partners.
Passwordless authentication is an identity verification method that eliminates the need for traditional passwords by using secure, user-friendly alternatives like biometrics (e.g., fingerprint or facial recognition), hardware security keys, and possession-based factors. This minimizes the attack surface, making it exponentially more difficult for malicious actors to gain unauthorized access.
Traditional password-based authentication, once considered a reliable security measure, has become increasingly vulnerable to cyber threats such as brute-force attacks, phishing scams, and credential stuffing.
Passwords highlight a dangerous intersection where outdated technology, flawed processes, and human limitations collide to undermine security. In fact, the Thales Data Threat Report found that 31% of cloud data breaches were the result of human error, and 17% occurred due to a failure to apply multi-factor authentication to privileged accounts.
Aside from being the weakest link in the cybersecurity chain, passwords are incredibly tricky for employees and administrators to manage. Just imagine the costs and productivity gains by eliminating the #1 reason for IT support calls: password resets.
Implementing passwordless authentication can lead to noticeable benefits within months for organizations, including fewer account takeovers, improved efficiency, and fewer headaches for administrative teams. Organizations can reduce costs associated with password resets, help desk support, and credential management.
Passwordless methods also improve the user experience for consumers, partners, and employees by delivering a seamless, frustration-free login experience.
The process typically involves the following steps for a passwordless login.
Hardware USB Tokens and smart cards are physical devices that employees can simply plug in to their laptop or tap to their mobile phone to authenticate themselves. Smart cards can combine physical access and digital access making them a reliable choice for high-security working environments.
The new generation of hardware authenticators support the modern FIDO standard (Fast Identity Online) and offers the best defense against phishing attacks and Man in The Middle Attacks.
Software authenticators are convenient solutions that help keep your accounts safe without needing extra devices. That means employees can just use an app on their phone. When they try to log in, the app sends you a notification that you just tap to approve, while temporary or frontline workers use web and pattern-based authentication to access medium sensitive resources.
Here are a few of the various passwordless authentication methods available:
I have many, but if you’re looking for a super convenient and secure way to log in across different devices, I recommend checking out the SafeNet IDPrime FIDO Bio Smart Card. It combines biometrics with NFC, so instead of your employees having to remember a ton of passwords (and bothering IT when they forget), they can simply use their fingerprint to authenticate, and they’re in.
There is a difference due to varying priorities and market regulation in each industry. Retailers often prioritize convenience and productivity for their frontline workers, who need quick access to customer data. Lack of productivity and cumbersome authentication mechanisms have a direct impact on retailers’ businesses, so they need to be swift. Financial services, driven by stringent regulations, place a higher priority on security.
However, it’s important to note that passwordless use cases differ primarily due to the sensitivity of the data accessed, the type of users, and the operations being carried out.
While retailers may choose to equip their frontline workers with passwordless authentication methods like mobile or web apps, it’s crucial that they provide privileged users, such as VPs and IT administrators, with strong hardware-based authenticators to protect sensitive data.
For environments where mobile devices are restricted due to potential interference (Healthcare, Manufacturing) or lack of network connection (critical infrastructures, offshore platforms ...) there are secure passwordless alternatives available:
These options allow you to maintain strong security without traditional passwords, supporting the passwordless approach even in environments with sensitive equipment restrictions. This enhances both security and user convenience, while reducing risks associated with password management.
Addressing a few key challenges along the way can pave a path to a smooth transition to passwordless authentication.
Many organizations depend on older systems and applications that aren’t equipped to support modern passwordless methods. Integrating new authentication technologies with these existing setups can be complicated and expensive, creating a barrier to adoption.
Compatibility can also be an issue, as some passwordless methods may not work smoothly across all devices, platforms, or browsers, which can create usability and access challenges for both employees and customers.
Rolling out passwordless authentication also requires educating users about the new processes. Employees may be hesitant to adopt changes, so thorough training is essential, to succeed the shift to passwordless systems.
Costs are another key factor; the initial investment in hardware, software, and training, along with ongoing expenses, can be a hurdle, especially for organizations with tight budgets.
Despite these challenges, organizations can successfully overcome them and enjoy significant benefits by implementing a sound passwordless strategy:
This isn’t a straightforward answer because passwordless solutions are not one-size-fits-all. Organizations looking to transition to passwordless should begin by conducting a thorough assessment of their current systems and focus on these essential elements:
At Thales, we’ve created a framework called Passwordless 360° that helps companies make the appropriate next steps toward passwordless authentication. Key steps include user ecosystem mapping, establishing risk-based assurance levels, and completing a gap analysis.
My advice is to start with a pilot program to test the new technology on a limited number of use cases within a small, controlled group, then expand step by step. Engage key stakeholders and provide comprehensive training to ensure a smooth transition.
Adoption time can vary, but many organizations see significant progress within a few months. Full deployment is typically achievable within 6-12 months, depending on the organization’s size and complexity. The timeline can be influenced by factors such as the existing IT infrastructure, the scale of integration required, and the readiness of the workforce.
As technology continues to evolve, the landscape of modern authentication is poised for further advancements and innovations. Here are some emerging trends and predictions shaping the future of modern authentication:
From biometric verification to mobile-based options, hardware tokens, and advanced cryptographic methods such as passkeys , modern authentication methods offer tailored solutions for diverse organizational needs. Proven effective across industries, these methods enhance security, user experience, and reduce IT costs. As innovations continue, it's crucial for organizations to adopt these solutions, ensuring a secure, password-free future.
The Thales IAM team and I are available to support your passwordless journey. As a next step, I recommend reading about our passwordless adoption framework, Passwordless 360°.
Traditional password-based authentication is fundamentally broken. Consumers, employees, and third-party partners demand a secure and frictionless approach to digital interactions.