April 10, 2025 • Nelson Cicchitto

The Business Value of Modernizing Identity Governance & Administration: Why Leading Enterprises Are Making The Switch

Discover how modernizing your identity governance delivers measurable ROI through automated workflows, and streamlined compliance

blog-Building-Business-Value-with-Employee-Experience

Identity governance and administration (IGA) has evolved from a back-office IT function to a strategic business imperative. As organizations expand their digital footprints across cloud, hybrid, and on-premises environments, legacy identity management systems are increasingly becoming bottlenecks rather than enablers of business agility.

Modern IGA solutions like Avatier’s Identity Anywhere Lifecycle Management deliver measurable business value by addressing the core challenges enterprises face: complex access management, security vulnerabilities, productivity drains, compliance burden, and the inability to scale efficiently.

The Compelling Case for IGA Modernization

The identity landscape has fundamentally changed. According to Gartner, by 2025, 80% of enterprises will have consolidated identity management to a single vendor solution, up from 35% in 2021. This consolidation is driven by concrete business benefits that directly impact the bottom line.

1. Financial Returns of Modern IGA

Modern identity governance investments deliver substantial ROI through:

  • Reduction in IT operational costs: Organizations using modern, automated identity management solutions report a 60% reduction in help desk tickets related to access requests and password resets.
  • Dramatic productivity improvements: SailPoint research shows a 50% reduction in the time to provision new employees, meaning faster time-to-productivity for new hires.
  • Reduced security breach costs: IBM’s Cost of a Data Breach Report indicates the average cost of a data breach is $4.45 million, with compromised credentials being the most common attack vector. Modern IGA solutions that implement robust access controls and governance significantly mitigate this risk.
  • Lower compliance costs: Organizations with automated compliance controls spend 50% less time on audit preparation and reporting than those with manual processes.

2. Enhanced Security Posture Through Modern Identity Governance

Today’s sophisticated threat landscape demands a modern approach to identity security:

  • Zero-trust implementation: Modern identity governance is foundational to zero-trust architecture, ensuring continuous verification rather than one-time authentication.
  • Reduction in privileged access risks: 80% of security breaches involve privileged credentials. Modern IGA platforms provide granular control and oversight of privileged access.
  • AI-driven threat detection: Advanced IGA solutions leverage artificial intelligence to identify anomalous access patterns that might indicate compromise, often before a breach occurs.
  • Unified visibility across environments: Comprehensive identity governance eliminates security blind spots by providing a single pane of glass for all identity data across cloud, on-premises, and hybrid environments.

3. Operational Efficiency and User Experience Benefits

Modern IGA delivers substantial efficiency gains:

  • Self-service capabilities: Avatier’s Self-Service Identity Manager empowers users to manage their own access needs, reducing IT burden while improving user satisfaction.
  • Workflow automation: Automated provisioning workflows reduce access fulfillment times from days to minutes, eliminating productivity bottlenecks.
  • Streamlined onboarding/offboarding: Modern IGA solutions automate the complex process of granting and revoking access as employees join, move within, or leave the organization.
  • Mobile-friendly identity management: Today’s workforce expects mobile-friendly tools. Modern IGA platforms extend identity management to mobile devices, enabling approvals and access management from anywhere.

Measuring the Business Impact of Modern IGA

The business value of modern identity governance can be measured across several key dimensions:

1. Quantifiable Cost Reductions

Organizations that implement modern identity governance solutions report:

  • 75% reduction in time spent on access certification campaigns
  • 60% decrease in help desk costs related to password resets
  • 80% reduction in manual provisioning efforts
  • 50% decrease in audit preparation time

These efficiency gains translate directly to cost savings. For a typical enterprise with 5,000 employees, this can mean hundreds of thousands of dollars in annual savings from operational efficiencies alone.

2. Risk Mitigation Value

The risk reduction value of modern IGA is equally compelling:

  • Reduced exposure to credential-based attacks, which account for over 80% of breaches
  • Immediate deprovisioning of access when employees leave, closing a major security gap
  • Complete visibility into who has access to what, eliminating excessive privileges
  • Proof of compliance with regulatory requirements like SOX, HIPAA, and GDPR

3. Productivity and Revenue Enablement

Modern IGA directly impacts business operations and revenue generation:

  • Faster time-to-productivity for new hires: Proper IGA can reduce onboarding time by 60%
  • Reduced business friction: Self-service access requests mean employees can quickly get the access they need without IT bottlenecks
  • Business agility: Modern IGA enables rapid adjustment to organizational changes, acquisitions, and new business initiatives

Real-World Business Value: Case Study Insights

Financial services, healthcare, manufacturing, and technology sectors have all realized significant business value from modernizing their identity governance approaches.

A global financial services organization implementing Avatier’s Access Governance solution reported:

  • 85% reduction in time required for access certification
  • 70% decrease in unauthorized access incidents
  • $1.2 million annual savings in audit preparation and compliance costs
  • Improved customer trust through demonstrable security controls

Similarly, a healthcare organization modernizing its identity governance reported:

  • 90% reduction in access provisioning time
  • 65% decrease in compliance-related findings
  • Enhanced patient data protection
  • Improved clinician satisfaction with access management

Future-Proofing Your Identity Strategy

As organizations continue their digital transformation journeys, the identity governance landscape is evolving rapidly. Forward-thinking enterprises are preparing for these emerging trends:

1. AI and Machine Learning Integration

AI is revolutionizing identity governance by:

  • Providing intelligent access recommendations based on peer groups and job functions
  • Automatically detecting and responding to anomalous access patterns
  • Predicting access needs based on changing roles and responsibilities
  • Streamlining certifications by focusing reviewers on high-risk outliers

2. Identity Governance for Digital Transformation

Modern IGA solutions are essential enablers of digital transformation initiatives:

  • Supporting cloud adoption with consistent identity controls across environments
  • Enabling secure remote work by extending identity governance beyond traditional perimeters
  • Facilitating secure partner and customer access to digital resources
  • Supporting DevOps with identity controls for development environments and CI/CD pipelines

3. The Convergence of IGA with PAM and CIEM

The most forward-thinking organizations are breaking down silos between:

  • Identity Governance and Administration (IGA)
  • Privileged Access Management (PAM)
  • Cloud Infrastructure Entitlement Management (CIEM)

This convergence provides a unified approach to securing human and non-human identities across all environments, dramatically improving security posture while reducing complexity.

Making the Business Case for IGA Modernization

To build a compelling business case for modernizing identity governance, organizations should:

  1. Assess current state costs and risks: Document manual efforts, security incidents, compliance failures, and productivity bottlenecks related to identity management.
  2. Quantify expected benefits: Use industry benchmarks to estimate cost savings, efficiency gains, and risk reduction value.
  3. Consider both hard and soft benefits: Include quantifiable cost savings and qualitative benefits like improved user experience and business agility.
  4. Plan for phased implementation: Prioritize high-value use cases for initial implementation to demonstrate quick wins.
  5. Establish meaningful metrics: Define KPIs for measuring success, such as reduced provisioning time, decreased help desk tickets, and improved audit outcomes.

Conclusion: Identity as a Business Enabler

Modern identity governance has evolved from a technical necessity to a strategic business enabler. Organizations that invest in modernizing their identity governance and administration capabilities gain a competitive advantage through enhanced security, improved operational efficiency, reduced compliance burden, and greater business agility.

As digital transformation accelerates and the workforce becomes increasingly distributed, the business value of modern identity governance will only grow. Forward-thinking organizations are recognizing that identity is not merely an IT function but a foundational element of business strategy in the digital age.

By implementing a comprehensive, automated, and intelligent identity governance solution, enterprises can not only protect themselves against evolving threats but also enable the business agility needed to thrive in today’s dynamic marketplace. The question is no longer whether organizations can afford to invest in modern identity governance, but whether they can afford not to.

For organizations looking to realize the full business value of modern identity governance, Avatier’s Identity Management Services provide comprehensive solutions that address the full spectrum of identity governance needs while delivering measurable business results.

Nelson Cicchitto