To move a user from on-premises Active Directory (AD) to Microsoft Entra ID (Azure AD) as a cloud-only account and then decommission the on-premises account, follow a staged approach:
- Plan the source of authority change
- Decide whether the organization is moving broadly from on-premises identity to cloud identity (for example, decommissioning AD FS, Exchange, Skype for Business, or even AD DS itself) or just handling a single user.
- If the long-term goal is to decommission on-premises identity infrastructure, plan for:
- Migrating authentication from AD FS or other federation to cloud authentication in Microsoft Entra ID.
- Migrating applications and groups to Microsoft Entra ID.
- Ensure the user is fully represented in Microsoft Entra ID
- If directory synchronization is still enabled (Entra Connect or Cloud Sync), the user object in Entra ID is typically mastered on-premises.
- Before turning the user into a cloud-only identity, ensure:
- All required attributes and group memberships are known.
- Any application provisioning flows that depend on on-premises AD are identified and, where possible, moved to Entra ID–based provisioning.
- Move group and application provisioning logic to Entra ID
- For groups used only for cloud access, transfer the group Source of Authority (SOA) to the cloud and manage membership in Entra ID:
- For groups that no longer need an on-premises footprint, use Group SOA transfer to make them cloud-only and then delete the corresponding group from AD DS.
- For groups that still need an on-premises footprint, convert them to universal groups, use Group SOA to make them cloud-editable, and configure group provisioning back to AD DS so on-premises membership stays in sync.
- Where possible, replace on-premises business logic that assigns users to groups with:
- Dynamic membership groups in Entra ID.
- Self-service group management instead of Microsoft Identity Manager–based self-managed groups.
- For application provisioning:
- Prefer apps that integrate with the Microsoft Entra application gallery.
- Use SCIM 2.0–based provisioning for compatible SaaS apps.
- Use Microsoft Entra on-premises application provisioning for on-premises apps that support ECMA connectors.
- Convert the user to cloud-only
- When ready to remove on-premises dependency for the user:
- Turn off directory synchronization for the tenant only when the broader migration is complete and the organization is ready to manage users directly in Entra ID.
- After sync is disabled and the user object is no longer mastered on-premises, the user becomes manageable as a cloud-only object.
- Clear legacy on-premises attributes on the user
- After the user is cloud-only and sync is disabled, clear on-premises attributes that can cause issues in Windows, Intune, Outlook, and hybrid device join scenarios.
- Use Microsoft Graph (beta) Update User to set the following attributes to null for the migrated user:
- onPremisesDistinguishedName
- onPremisesDomainName
- onPremisesImmutableId
- onPremisesSamAccountName
- onPremisesSecurityIdentifier
- onPremisesUserPrincipalName
- Required roles in Entra ID to update these attributes:
- User Administrator, or
- Hybrid Identity Administrator
- Required application permission for automation:
- Decommission or disable the on-premises AD account
- Once the user is fully functional as a cloud-only identity and all required access is provided via Entra ID:
- Disable the corresponding on-premises AD account first and monitor for any breakage (line-of-business apps, legacy file shares, etc.).
- If no dependencies remain and the broader strategy is to remove on-premises identity, delete the on-premises account as part of decommissioning AD DS.
- Broader decommissioning considerations (optional but related)
- If the environment also uses AD FS, Exchange, or Skype for Business, align the user migration with:
- Migration from AD FS to cloud authentication in Microsoft Entra ID.
- Migration of applications from AD FS to Microsoft Entra ID.
- Cleanup of Skype for Business or other hybrid attributes and decommissioning of those on-premises services.
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