Editorial photograph of a security team reviewing a Microsoft 365 audit checklist in a SOC
Spoke / Microsoft Security

Microsoft 365 security audit checklist.

Microsoft 365 security audit posture in 2026 spans identity, mailbox, files, endpoints, and the wider Defender stack. This checklist gives security and audit leaders the buyer side baseline.

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Article · Microsoft 365

Microsoft 365 security audit. The tenant checklist.

Audit failure rarely traces back to one missing control. It traces back to a quarterly review nobody actually ran. Work the tenant end to end: identity, mailbox, data protection, endpoints, audit logs, and posture, and tick each control as you verify it, not as you assume it.

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01Identity

MFA, Conditional Access, break glass

Identity is the perimeter now. The break glass accounts are where careful tenants quietly fail.

  • MFA enforced for every Global Admin and every user
  • Conditional Access covering compliant device and trusted location for all users
  • Legacy authentication blocked
  • Privileged Identity Management for just in time elevation
  • At least two break glass accounts, excluded from CA blocking, stored offline
  • Quarterly break glass sign in test and password rotation
02Identity

Guest and external access

Guest lifecycle is the silent identity risk in most tenants.

  • Entitlement management governs guest invitations
  • Quarterly access reviews for all guest users
  • B2B collaboration scoped by partner domain
03Mailbox

Mailbox audit and retention

Commonly misconfigured in older tenants, and invisible until legal asks for evidence.

  • Mailbox audit enabled tenant wide
  • MailItemsAccessed enabled for E5 users
  • Audit retention aligned with the retention policy
  • Default retention policy applied; litigation hold for relevant roles
  • Deleted item recovery window documented
04Data

DLP, labels, and sharing scope

External sharing settings must reflect the data protection stance, not the collaboration default.

  • Sensitivity labels deployed and actually adopted
  • DLP policies covering the sensitive data classes
  • External sharing scoped by label
  • Anonymous link sharing disabled for sensitive sites
  • Guest link expiration windows applied
  • Site level sharing settings reviewed quarterly
05Endpoints

Intune and Defender together

Device compliance and endpoint protection must work together, not against each other.

  • Intune compliance policies define what counts as a compliant device
  • Defender for Endpoint Plan 2 deployed with tamper protection enforced
  • MAM and MDM policies aligned with the data protection model
06Evidence

Audit logs and posture

Logs must be operational, not theoretical, and posture must be reviewed on a calendar.

  • Purview Audit Standard or Premium active with appropriate retention
  • Sentinel ingesting the audit feed where longer retention or correlation is needed
  • Secure Score target defined per domain and reviewed monthly
  • Compliance Manager mapped to your regulatory frameworks, used as evidence
  • The quarterly review actually scheduled, owned, and run
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Beyond the tenant

Security posture and license posture are the same conversation.

E3 vs E5 decides which of these controls are native and which need add ons, which makes the security checklist a licensing decision too. Read M365 audit logs explained, the Microsoft audit defense guide, and M365 license optimization, or have Redress run both reviews together. Fixed fee or contingency: no savings, no fee.

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50+
Control Items
8
Audit Domains
E5
Reference Baseline
Quarterly
Review Cadence
100%
Buyer Side

A clean Microsoft 365 audit posture is not a single configuration switch. It is a quarterly governance habit across identity, data, and endpoints.

Morten Andersen
Co Founder, Redress Compliance
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