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© 2026 | Iron Cove Solutions| Privacy | Simplifying Cloud-Based Intention
Identity Strategy Guide · Iron Cove Solutions
If your company runs Microsoft 365, you already have Entra ID. So why do thousands of enterprise organizations still deploy Okta alongside it? This guide breaks down the differences, the gaps, and exactly how to architect a co-existence strategy that wins.
Written for IT Directors, Security Leaders, and CISOs managing mixed SaaS environments who need a vendor-neutral answer — not a sales pitch.
The Short Answer
Microsoft Entra ID is bundled into your M365 license and handles authentication for Microsoft services beautifully. But the moment you need to manage identity across multi-cloud, non-Microsoft SaaS apps, partner portals, or customer-facing systems, Entra ID shows its limits. Okta was purpose-built for exactly that scenario. The best enterprise architectures use Entra ID as the authoritative user directory and Okta as the federation and orchestration layer — giving you the best of both platforms without duplication or risk.
Workday + Okta Integration →
Automate HR-driven provisioning
Okta Partner Services →
Licensing, implementation & support
Okta Cost Calculator →
Estimate your implementation cost
Iron Cove Solutions holds active partnerships with both Microsoft and Okta — making us one of the few consulting firms that can give you vendor-neutral advice on this decision. We've architected co-existence environments for enterprises across finance, healthcare, education, and manufacturing. See our case studies →
Head-to-Head Comparison
A practical breakdown of what each platform does well, where each falls short, and where they genuinely overlap.
Also see our Microsoft 365 plan comparison for licensing context →Identity Platform
Microsoft
Verdict
Cost
Additional license fee on top of M365. Okta starts ~$2/user/mo; advanced governance ~$5+.
Extra costCost
Included in M365 E3/E5. Entra ID P1 included with Business Premium. Zero incremental cost for basic use.
IncludedVerdict
Entra wins on paper. But factor in Okta's admin efficiency and non-Microsoft app coverage — the ROI often balances out at scale.
App Coverage
7,000+ pre-built integrations in the Okta Integration Network. Custom SAML/OIDC in minutes. Vendor-neutral by design.
Best in classApp Coverage
Excellent for Microsoft apps. ~3,000 apps via the App Gallery. Non-Microsoft coverage is noticeably thinner.
Microsoft-firstVerdict
If your stack is 80%+ Microsoft, Entra handles it. Mixed SaaS environments — Okta wins clearly.
MFA & Adaptive Access
Okta's Adaptive MFA uses contextual signals (device, location, behavior) across any app. Excellent policy granularity.
Highly flexibleMFA & Adaptive Access
Microsoft Conditional Access is powerful and deeply integrated with Defender, Intune, and M365 risk signals. Requires P1/P2.
Deep MS integrationVerdict
Both are strong. Co-existence architectures often let Entra CA govern Microsoft workloads while Okta governs everything else.
Lifecycle Management
Okta Lifecycle Management auto-provisions/deprovisions across all connected apps. Rich HR integrations (Workday, BambooHR, UKG).
HR-driven automationLifecycle Management
Entra ID Governance covers M365 and Azure resources well. Inbound provisioning from HR sources is newer and still maturing.
MaturingVerdict
Okta leads here, especially for orgs with complex HR systems. Most co-existence designs have HR → Okta → Entra ID sync.
External Identities (CIAM)
Okta Customer Identity Cloud (Auth0) is the gold standard for customer-facing apps. Developer-friendly, highly customizable.
Purpose-built for CIAMExternal Identities (CIAM)
Entra External ID (formerly B2C) handles guest access and customer identity but requires more configuration effort.
Getting betterVerdict
Okta/Auth0 is the stronger choice for customer identity. Entra External ID is viable if staying in the Microsoft ecosystem is a priority.
Admin Experience
Purpose-built admin console. Clean, intuitive, designed specifically for IAM workflows. Faster to onboard new admins.
Easiest to manageAdmin Experience
Spread across Entra admin center, M365 admin center, and Azure portal. Powerful but complex. Steeper learning curve.
Fragmented UXVerdict
Okta wins on day-to-day admin simplicity. This translates to lower IT overhead and faster incident response time.
Need help deciding which platform handles your specific stack?
Decision Guide
Six common enterprise scenarios — and the honest recommendation for each.
Choose Okta when…
01Okta's native HR integrations are unmatched. Automate user provisioning, attribute syncing, and deprovisioning directly from your HRIS — across every app in your stack, not just Microsoft. Cut onboarding from 3–5 days to 30 minutes.
See Workday + Okta integration →Lean on Entra ID when…
02If Teams, SharePoint, Azure, and M365 are your primary apps and you're not managing dozens of external SaaS tools, Entra ID with P1 licensing covers the essentials at no extra cost.
See Microsoft 365 plans →Run both when…
03Okta as the SSO hub, Entra as the authoritative directory for Microsoft workloads. Users get one login experience. IT gets centralized visibility. This is the architecture we deploy most often.
Talk to a co-existence expert →Choose Okta when…
04Okta Customer Identity Cloud (Auth0) gives developers a flexible, battle-tested CIAM platform with customizable login flows, social login, and progressive profiling — far beyond what Entra B2C offers today.
Explore Okta CIAM options →Lean on Entra ID when…
05Microsoft's tight integration between Entra ID Conditional Access, Intune MDM, and Defender for Endpoint creates a powerful device-aware security posture that's hard to replicate with third-party tools.
See Microsoft 365 security plans →Run both when…
06Okta's Universal Directory and multi-tenant architecture makes it far easier to federate external organizations than Entra's guest access model. Okta handles external identities; Entra governs internal M365 access.
See real-world examples →We'll map your app inventory, HR systems, and compliance requirements — then tell you exactly what to do.
Not sure which architecture fits your organization?
We've helped 300+ companies navigate this exact decision. Get a free 30-minute review.
Architecture Deep-Dive
The most common enterprise architecture we deploy. Not theory \u2014 this is how we've built identity environments for clients in finance, healthcare, and education. See a real-world example →
Okta Universal Directory
Master directory — provisions to all downstream systems
Entra ID (Azure AD)
Synced from Okta via AD Agent — authoritative for M365
On-Prem Active Directory
If applicable — Okta syncs to AD for legacy apps
Okta SSO
All non-Microsoft SaaS (Salesforce, ServiceNow, Slack, etc.)
Entra Conditional Access
Microsoft 365, Teams, SharePoint, Azure resources
Okta Verify / FIDO2
MFA for Okta-federated apps
Microsoft Authenticator
MFA for Microsoft workloads (can be unified via Okta)
Single Sign-On Dashboard
One login. One MFA prompt. Access to everything — Microsoft and non-Microsoft apps.
Workday → Okta Integration →
Automated HR provisioning from Workday
Estimate Integration Cost →
Use our free Okta cost calculator
Full Okta Implementation →
End-to-end deployment & support
Implementation Approach
We audit your existing directory structure — Active Directory, Entra ID configuration, current app inventory, and HR system connections. We identify every app, every group, and every authentication method in play before touching anything.
We stand up your Okta tenant and connect it to your HR system (Workday, BambooHR, etc.) to establish the HR source-of-truth flow. User profiles are created in Okta from HR data — not manually, not from AD alone.
We deploy the Okta AD Agent and configure bidirectional sync between Okta and Entra ID. Microsoft 365 continues to function without disruption. Groups, attributes, and license assignments flow correctly in both directions.
We migrate non-Microsoft applications from their existing authentication methods to Okta SSO — typically in waves, starting with the highest-risk or most-used apps. Each integration is tested before users are cut over.
We configure MFA policies, conditional access rules, and lifecycle automation (joiner/mover/leaver workflows). We document everything and train your IT team — then hand off a clean, governed environment with ongoing support available.
Get a scoped deployment plan and fixed-price SOW \u2014 no surprises, no junior staff. Or estimate cost first →
Still have questions? Our team has the answers.
Iron Cove Solutions is one of the only firms in the country that holds active partnerships with both Microsoft and Okta. We give you the real answer — not the one that's easiest to sell. Book a free 30-minute architecture review with a senior consultant.
30 minutes with a senior consultant. We'll review your current setup, identify gaps, and give you a concrete recommendation — no commitment required.
No sales pitch. Real advice from certified experts.