Enterprise identity management has evolved far beyond local accounts and Active Directory logins, especially with Apple devices entering the mix. This article breaks down Apple’s current approach to identity and device management, how managed Apple Accounts fit in, and why integrating with services such as Apple Business Manager and mobile device management (MDM) tools is key to simplifying Mac and iOS administration.

The legacy of directory binding

Back in the early 2000s, Apple added support for Active Directory in Mac OS X Panther, making it relatively easy to integrate Macs into enterprise networks. Apple also ran its own directory service, Open Directory.

However, Apple later deprecated and discontinued Open Directory. While macOS can still authenticate with Active Directory, this process is considered outdated. To effectively manage Macs today, you’ll need MDM tools.

Apple Business Manager and managed Apple Accounts

Apple Business Manager (ABM) is the central hub for managing Apple devices, apps, and user identities. Through ABM, organizations can:

• Create and manage user identities using managed Apple Accounts (formerly Apple IDs) that are typically linked to federated identity providers such as Microsoft Entra, Okta, and Ping Identity. 
• Integrate with MDM platforms for device enrollment, provisioning, and policy enforcement.
• Assign and distribute App Store licenses.

Managed Apple Accounts act as a bridge between personal and corporate usage. They support iCloud features, secure access on both personal (bring your own device, or BYOD) and corporate devices, and enable app and data management across Apple platforms.

However, some businesses still use outdated practices, such as using personal Apple Accounts for work, inevitably creating challenges. While Apple offers some tools to convert these accounts, its identity ecosystem, which spans iCloud, Apple IDs, and Managed Apple IDs, still lacks a fully unified experience, particularly for Mac users.

Challenges with shared Macs, FileVault, and SSO

Apple identity management becomes more complex in a business setting because of the multiuser nature of macOS. Unlike iPhones and unshared iPads — which are designed for single users — Macs support multiple user accounts, each with distinct home directories and local data. This difference gives macOS more flexibility but also introduces complexity to syncing preferences, policy enforcement, and consistent identity handling across multiple devices.

Even with ABM and identity federation in place, macOS requires a local user account, which leads to a few key challenges involving:

Shared Macs

When multiple users access the same Mac, each one creates a local account on every machine they access. These accounts retain user-specific settings, files, and preferences, which are not shared or synced across devices, leading to variations in the user experience depending on which machine is being used. 

While managed Apple Accounts can now sync more data via iCloud, this doesn’t completely solve the problem of shared-user environments.

FileVault management

FileVault, Apple’s disk encryption tool, requires a local account with the proper permissions to unlock the system at boot or restart. This poses challenges when managing shared Macs, especially if access isn’t consistently provisioned.

Single sign-on (SSO)

Apple’s Platform SSO enables authentication via federated identity providers and supports features such as multifactor authentication. However, it works best for single-user or BYOD environments. It doesn’t fully replace the seamless SSO experience previously available with directory binding in shared-use scenarios.

Thankfully, third-party tools such as Jamf Connect, Kandji Passport, and SimpleMDM provide more robust SSO solutions for enterprise Macs, but they introduce added complexity and cost.

The role of MDM in identity management

MDM solutions bridge the gap between ABM and your identity provider. They enforce policies, deploy configurations, provision devices, and manage app installations. But they don’t handle identity directly — that’s where integration with ABM and your identity provider comes in.

Think of it like this:

• ABM holds the managed Apple Accounts and handles device assignments.
• Identity providers authenticate users and define access rules.
• MDM platforms enforce those rules on the devices themselves.

Making these systems work together smoothly is one of the biggest challenges for IT teams managing Apple fleets.

Confronting complexity in enterprise identity

Apple’s enterprise identity framework has developed incrementally over time, rather than being specifically designed for the demands of the cloud era. It began with directory binding, the process of devices to existing user directories. MDM was then added for more comprehensive control. After that, managed Apple Accounts were layered on to standardize Apple service access. Most recently, Platform SSO was implemented for an easier sign-on process for users.

But because Apple had been addressing issues only as they arose, businesses were often left piecing together systems that weren’t designed to work together from day one.

What to do next: Best practices for Apple devices in enterprises

If your organization has the flexibility to start fresh, follow these best practices for Apple identity management:

1. Use a federated identity provider that reflects your current user directory.
2. Set up ABM and create managed Apple Accounts.
3. Deploy an MDM solution that integrates with both ABM and your identity provider.
4. Layer in Platform SSO (and third-party tools if needed) for improved login experiences, especially on Macs.

For organizations with legacy systems or a patchwork of Apple IDs and user setups, it’ll take more work — and some compromises — to modernize. But understanding how these pieces connect is the first step toward a more streamlined, secure, and scalable Apple identity framework.

Need help managing your Apple environment? Contact our IT experts to learn how to simplify Apple device management in your organization.