Microsoft Entra ID: Migrate AD Authority

Key insights

• Source of Authority (SoA): The SoA is the system that controls who can create and change identity objects. Moving SoA for groups from on-premises Active Directory to Microsoft Entra ID hands control to the cloud and lets teams manage groups and policies centrally.
  
• Key benefits: Migration reduces dual management, enables stronger authentication like MFA and passwordless sign-in, and gives centralized visibility into risk and access across cloud services.
  
• Requirements to start: Update to Microsoft Entra Connect v2.5.76.0 (or the stated public preview version) and, if used, Cloud Sync to the required release. Test with a small set of objects before broader rolls.
  
• Migration approach: Begin by moving selected groups on a per-group basis to reduce risk. Use phased rollouts, keep rollback options available, and consider group writeback if legacy on-prem apps still need group objects.
  
• Automation and tools: Automate tasks with the Graph API or PowerShell, and use access packages and policy controls to enforce lifecycle rules and approvals during migration.
  
• Security and governance gains: Once SoA moves to Entra ID you get advanced identity governance features—access reviews, dynamic membership, expiration and naming policies—that reduce stale access and help meet compliance needs.
  

Overview of the video

Microsoft’s Jeremy Chapman walks viewers through a practical path for shifting the Source of Authority for groups and users from on-premises Active Directory to Microsoft Entra ID. He highlights the benefits of cloud-managed identity and explains how a phased migration can strengthen access controls while reducing local administrative burden. Consequently, the video frames this change as part of a broader cloud-first identity strategy that prioritizes security, simplicity, and modern governance.

Moreover, Chapman demonstrates key steps and tools, including how to start with groups, use automation with Microsoft Graph or PowerShell, and update Entra Connect to the required version. He also points out practical capabilities like rollback and writeback to support hybrid scenarios. Therefore, the presentation is aimed at IT teams planning a controlled transition rather than an instant cutover.

Why move the Source of Authority

Moving the SoA to Microsoft Entra ID delivers centralized governance features that are difficult to replicate on-premises, such as access reviews, entitlement management, dynamic groups, and group lifecycle policies. As a result, organizations can automate membership rules, enforce naming conventions, and expire stale groups to reduce excessive access. Additionally, cloud-first management unlocks improved visibility and risk signals across environments, which helps security teams respond faster.

At the same time, the video stresses that this transition supports stronger authentication options, including MFA and passwordless methods, and can simplify hybrid identity by removing dual management overhead. Consequently, IT operations can focus on policy and risk instead of synchronization chores. However, Chapman also underscores that migration should be staged to preserve stability for legacy applications that still rely on on-premises group control.

How to perform the migration

Chapman recommends several concrete steps: update Entra Connect to the public preview version that supports group SoA transfer, test with a small set of groups, and monitor results with existing telemetry tools. Next, administrators should select groups for migration based on business impact, application dependencies, and governance needs, moving them in controlled batches. Furthermore, the process allows for writeback if legacy systems still require on-premises group objects, and it supports rolling back SoA when necessary.

Automation plays a central role in scaling the migration, and the video demonstrates how to use scripts and APIs to make repetitive tasks reliable and auditable. For example, teams can script group selection, configure policies, and apply access packages to orchestrate membership and entitlements. Thus, automation reduces human error, speeds the rollout, and creates repeatable patterns for multi-tenanted or large enterprises.

Tradeoffs and operational challenges

Despite clear benefits, moving SoA to the cloud presents tradeoffs that organizations must evaluate carefully. On one hand, cloud management reduces local infrastructure and delivers richer governance; on the other hand, organizations may face compatibility issues with legacy apps that expect local group control, and network or compliance constraints can complicate the timing of migration. Therefore, teams should balance cloud advantages against integration needs and compliance requirements.

Operationally, challenges include managing identity sprawl, ensuring consistent policy enforcement, and maintaining performance for authentication and authorization flows during the transition. Additionally, improper automation or insufficient testing can produce unintended access changes, which highlights the need for staged rollouts, thorough monitoring, and robust rollback plans. Consequently, organizations should invest time in discovery, dependency mapping, and communication with application owners before large-scale moves.

Best practices and next steps

In closing, Chapman’s guidance emphasizes an incremental approach that begins with groups and expands to user objects, leveraging cloud-native governance and automation. Teams should update tools like Entra Connect, prepare scripts using PowerShell or Microsoft Graph, and put monitoring in place so that changes are visible and reversible. Moreover, clear stakeholder communication and targeted training reduce user friction and help IT support teams respond to issues quickly.

Ultimately, the video frames the migration as a strategic move to modernize identity while preserving compatibility through writeback and rollback options. By weighing tradeoffs, testing carefully, and using automation thoughtfully, organizations can minimize disruption and gain stronger authentication, improved governance, and reduced hybrid overhead. Therefore, for teams planning a cloud-first identity journey, this presentation provides a clear, actionable roadmap to shift the Source of Authority safely and effectively.

Keywords

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