TL;DR: Microsoft 365 environments expose sensitive data across mail, files, collaboration, and endpoints, so DSPM complements identity and access controls by finding where data lives and who can reach it, according to Netwrix. The governance gap is not just access, but visibility into data exposure and risky permissions that IAM programmes alone do not resolve.
NHIMG editorial — based on content published by Netwrix: How Netwrix DSPM complements Microsoft 365
Questions worth separating out
Q: How should security teams use DSPM alongside Microsoft 365 access reviews?
A: Security teams should use DSPM to identify where sensitive data lives, then combine that visibility with access reviews to judge whether permissions are justified.
Q: Why do Microsoft 365 permissions and data security need separate controls?
A: Permissions answer who can reach content, while data security answers whether the content should be reachable in the first place.
Q: What breaks when organisations rely on IAM alone in Microsoft 365?
A: What breaks is visibility into where sensitive data has spread and which permissions now expose it.
Practitioner guidance
- Map sensitive data locations before recertification Run DSPM discovery across Microsoft 365 repositories before quarterly access reviews so reviewers can see whether permissions touch regulated or business-critical content.
- Tie external sharing to data classification Require classification-aware controls for external sharing links and guest access so broadly shared files are not evaluated as generic collaboration objects.
- Review inherited permissions as a data risk signal Look for folders, sites, and workspaces where inherited access has expanded the audience for sensitive content beyond the original business intent.
What's in the full article
Netwrix's full blog covers the operational detail this post intentionally leaves for the source:
- Concrete DSPM use cases for Microsoft 365 storage, mail, and collaboration surfaces.
- Product-specific workflow detail for finding and classifying sensitive content across the tenant.
- Operational guidance on how the platform complements access governance and reporting.
- The source article's own explanation of the Microsoft 365 and DSPM relationship for implementation-stage readers.
👉 Read Netwrix's blog on how DSPM complements Microsoft 365 →
DSPM and Microsoft 365: what IAM teams need to know?
Explore further
DSPM is the missing data layer in Microsoft 365 governance. IAM and PAM can constrain access, but they do not reliably reveal whether sensitive information is already sitting in collaboration surfaces, shared broadly, or exposed through inherited permissions. Microsoft 365 governance fails when teams treat entitlement control as a substitute for data visibility. Practitioners need to read identity state and data state together, or they will keep certifying access without understanding what that access actually reaches.
A few things that frame the scale:
- 97% of NHIs carry excessive privileges, increasing unauthorised access and broadening the attack surface, according to the Ultimate Guide to NHIs.
- Only 5.7% of organisations have full visibility into their service accounts, which shows how often governance starts from incomplete identity data.
A question worth separating out:
Q: How can teams tell whether DSPM is improving Microsoft 365 governance?
A: Teams should look for fewer unknown data stores, fewer over-shared workspaces, and tighter alignment between data sensitivity and access scope. If DSPM is working, recertification should become more evidence-driven because reviewers can see where sensitive content sits and who can reach it. The signal is better decision quality, not just more alerts.
👉 Read our full editorial: How DSPM complements Microsoft 365 for data security governance