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Single Sign-On (SSO): Definition, Working, Types, and Benefits

  • Vrinda Mathur
  • Feb 23, 2023
Single Sign-On (SSO): Definition, Working, Types, and Benefits title banner

SSO is a session and user authentication service that allows a user to access multiple applications with a single set of login credentials, such as a username and password. SSO can be used by enterprises, small and medium-sized businesses, and individuals to help them manage multiple credentials.


 

What is Single Sign-On (SSO)?

 

SSO is a user authentication service that allows a single set of login credentials to be used to access multiple applications at the same time. Users enter their credentials once at the start of their session with their "home domain" (i.e., the application for which they already have an account) and can then move to other applications without re-entering any credentials.

 

SSO is intended to alleviate the burden of managing multiple passwords for users who may be suffering from password fatigue - the feeling you get when you have to remember an excessive number of passwords for both work and personal life. Password fatigue can cause users to reuse passwords across multiple platforms, use short, easy-to-guess passwords, or store passwords in unsafe places.

 

Businesses can implement a single sign-on solution to streamline workflows, allowing employees to sign in once and access all authorized apps and websites without interruption. It also gives administrators more control, allowing them to more easily manage which users have access to which accounts.

 

SSO is an authentication method that allows users to log in to multiple applications and websites using a single set of credentials. SSO makes the authentication process easier for users. It occurs when a user logs into one application and is automatically signed in to all other connected applications, regardless of the domain, platform, or technology. This makes it easier to manage multiple usernames and passwords for various accounts and services.

 

When a user logs in to Google, their credentials are automatically authenticated across linked services such as Gmail and YouTube, eliminating the need to sign in to each separately.

 

Also Read | Passwordless Authentication: Definition, Types, and Benefits


 

How does Sign-On (SSO) Work

 

SSO operates on the basis of a trust relationship established between an application, known as the service provider, and an identity provider, such as OneLogin. This trust relationship is frequently founded on the exchange of a certificate between the identity provider and the service provider. 

 

This certificate can be used to sign identity information sent from the identity provider to the service provider, ensuring that it comes from a trusted source. In SSO, this identity data is represented by tokens, which contain identifying information about the user, such as an email address or a username.

 

A federated identity management arrangement is a single sign-on. The application of such a system is sometimes referred to as identity federation. Open Authorization (OAuth) is a framework that allows third-party services, such as Facebook, to use an end user's account information without exposing the user's password.

 

OAuth acts as an intermediary on the end user's behalf by providing the service with an access token that authorizes the sharing of specific account information. When a user attempts to access a service provider application, the service provider sends an authentication request to the identity provider. After that, the service provider validates the authentication and logs the user in.

 

An agent module on the application server retrieves specific authentication credentials for an individual user from a dedicated SSO policy server while authenticating the user against a user repository, such as a Lightweight Directory Access Protocol directory, in a basic web SSO service. The service authenticates the end user for all applications to which the user has been granted access and eliminates future password prompts for individual applications within the same session.

 

The SSO framework, like Open Authorization 2.0, falls under the umbrella concept of FIM (OAuth2). OAuth2 is a protocol that allows a user to request domain access and obtain authentication tokens on their behalf. However, OAuth2 cannot actually provide the service provider with any information about the user. This is where OpenID Connect (OIDC) enters the picture. OIDC is an OAuth2 feature that enables SSO by adding an identity layer for identification and authorization.

 

True single sign-on means that the user only needs to sign in once at the start of a session and does not need to re-enter login information or reconfirm their identity with authentication factors at any point during the session.

 

Single sign-on should not be confused with the same sign-on; while they share the same acronym, they are not the same thing. The same sign-on requires the end user to log into each application with the exact same credentials for each application they use, whereas single sign-on uses software to allow the user to navigate various applications with different credentials that have been accessed at one point with a single set of credentials.


 

Benefits of SSO:

 

Your employees and customers are unlikely to enjoy memorizing numerous credentials for various applications. Setting up, switching, and resetting passwords for users takes countless hours, IT resources, and money that could be spent elsewhere if your IT team has to support multiple apps.

 

The following are some of the reasons why you should implement SSO in your business as soon as possible.

 

  1. Improved Productivity:

 

Employee productivity is increased by reducing the time spent signing on and dealing with passwords. Employees require access to numerous apps throughout the course of their workday, and they must spend time logging in to each of them, as well as attempting to remember which password goes to which, as well as changing and resetting passwords when one is forgotten. The squandered time adds up.

 

Users who use a single password to access all of their apps can save time on logging in. They will also require less password support, and SSO solutions frequently provide them with access to a convenient dock where all of their apps are at their fingertips.


 

  1. Stronger Security: 

 

SSO encourages users to create stronger passwords for their accounts. It also prevents them from using the same password on multiple accounts. The use of a single login password for multiple services makes it easier for users to remember their passwords. This also reduces the risk of cyber attacks on organizations because websites must store less user credential information.
 

Passwords, on the other hand, should at the very least be supported by two-factor authentication (2FA), which provides additional assurance that the user is who they claim to be. When a user logs in with their username and password, 2FA requires them to provide an additional verification factor, such as their fingerprint or a code from a phone authenticator app. Additional authentication factors are required before granting a user access.


 

  1. Reduced IT Costs:

 

According to a recent Gartner study, password issues account for more than half of all help desk calls. According to another Forrester study, password resets can cost businesses up to $70 per fix. Because the more passwords a user has, the more likely they are to forget them, SSO reduces help desk costs by reducing the number of required passwords to just one.

 

Furthermore, some organizations have implemented specific password requirements such as length and special characters, which may make passwords more difficult for users to remember—a trade-off between more secure passwords and more password resets. SSO can help to offset some of these costs


 

  1. Works in tandem with Risk-Based Authentication (RBA):

 

Here's how combining RBA with SSO adds an extra layer of security.

 

  • As previously stated, SSO provides your customer or end-user with a single "key" that allows them to sign in to multiple web properties, mobile apps, and third-party systems using a single identity.

 

  • SSO can be combined with risk-based authentication to increase security even further (RBA). You and your security team can monitor user habits using RBA. This way, if you notice any unusual user behavior, such as the incorrect IP address or multiple login failures, you can request additional identification verification. If the user fails to do so, you can deny them access.

 

  • This potent combination can keep cybercriminals from stealing data, causing damage to your website, or draining your IT resources.


 

  1. Improved Customer Experience:

 

One of the most important advantages of implementing SSO is improved customer experience. According to a recent study, up to 18.75% of users abandon their carts due to password reset issues or forgotten passwords. 

 

SSO will help you alleviate these issues and give your customers access to everything they need with just one sign-on, whether you're a retailer, a healthcare provider, or a bank offering multiple services. They'll have a more pleasant experience with less friction and frustration. Immediate advantages of improved user experiences include increased customer loyalty, higher conversion rates, and increased brand visibility.

 

Also Read | Top 7 Customer Experience Trends of 2022


 

Types of SSO:

 

SSO solutions use various standards and protocols to validate and authenticate user credentials. Here are some common types of SSO used:

 

  1. SAML:

 

The Security Assertion Markup Language (SAML) protocol or set of rules is used by applications to exchange authentication information with the SSO service. To exchange user identification data, SAML employs XML, a browser-friendly markup language. Because applications do not need to store user credentials on their system, SAML-based SSO services provide greater security and flexibility.


 

  1. Smart card authentication:

 

In addition to traditional SSO, hardware such as physical smart card devices that users plug into their computers can facilitate the same process. To authenticate the user, software on the computer interacts with cryptographic keys on the smart card. While smart cards are highly secure and require a PIN to operate, they must be physically carried by the user, risking loss, and can be costly to operate.


 

  1. OAuth:

 

OAuth, or Open Authorization, is an open standard that enables applications to securely access user information from other websites without requiring a password. Applications use OAuth to gain user permission to access password-protected data rather than requesting user passwords. OAuth creates trust between applications via API, allowing the application to send and respond to authentication requests within a predefined framework.


 

  1. Kerberos:

 

Kerberos is a protocol that allows mutual authentication, in which both the user and the server verify the identity of the other on insecure network connections. It authenticates users and software applications such as email clients and wiki servers by using a ticket-granting service that issues tokens.

 

In conclusion, single sign-on can be a contentious issue. Some will praise it for its potential increased security and ease of use, while others will see it as a potential avenue for data breaches and financial loss.

 

If you want to use SSO in your business to improve user experience and productivity, having additional security measures installed alongside reduces compromise via attack vectors.

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