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Lesson 04 β€” IAM Groups

Learning Path

☁️ Phase 2 – AWS Cloud Security

πŸ“˜ Module 02 – Identity & Access Management (IAM)


By the end of this lesson, you will be able to:

  • Understand the purpose of IAM Groups.
  • Create and manage IAM Groups.
  • Add and remove users from Groups.
  • Apply permissions using Groups instead of individual users.
  • Implement Role-Based Access Control (RBAC).
  • Manage enterprise access efficiently.

πŸ“š Lesson Information

Estimated Time: 3 Hours

Difficulty: Beginner

Prerequisites: Lesson 03 – IAM Users

Hands-on Lab: Yes

Assignment: Yes


Imagine CloudNova Technologies has:

  • 600 Employees
  • 80 Developers
  • 40 Cloud Engineers
  • 20 Security Engineers
  • 15 Finance Users
  • 12 Auditors

If permissions are assigned directly to every individual user:

  • Administration becomes difficult.
  • Human errors increase.
  • Auditing becomes complex.
  • Employees receive inconsistent permissions.

IAM Groups solve this problem by allowing permissions to be assigned once and inherited by every member of the group.


CloudNova Technologies has grown rapidly.

Currently every employee has permissions assigned directly to their IAM User.

The CISO identifies several problems:

  • Difficult to manage
  • Inconsistent permissions
  • Users with excessive access
  • Time-consuming onboarding

Your task is to redesign access using IAM Groups.


An IAM Group is a collection of IAM Users.

Permissions are assigned to the Group rather than individual users.

Every user in the Group automatically inherits those permissions.


Without Groups

Developer 1
β”‚
β”œβ”€β”€ EC2 Access
β”œβ”€β”€ S3 Access
└── CloudWatch Access
Developer 2
β”‚
β”œβ”€β”€ EC2 Access
β”œβ”€β”€ S3 Access
└── CloudWatch Access
Developer 3
β”‚
β”œβ”€β”€ EC2 Access
β”œβ”€β”€ S3 Access
└── CloudWatch Access

Permissions must be managed separately.


With Groups

Developers Group
β”‚
β”œβ”€β”€ EC2 Access
β”œβ”€β”€ S3 Access
└── CloudWatch Access
β”‚
β”Œβ”€β”€β”€β”€β”€β”€β”€β”€β”€β”Όβ”€β”€β”€β”€β”€β”€β”€β”€β”€β”
β–Ό β–Ό β–Ό
Alice John David

One change updates permissions for every developer.


  • Easier administration
  • Consistent permissions
  • Simplified onboarding
  • Simplified offboarding
  • Easier auditing
  • Supports Least Privilege
  • Reduces human error

For this course, CloudNova uses the following Groups.

Group Purpose
Cloud-Admins AWS Administrators
Cloud-Engineers Infrastructure
Developers Application Deployment
Security-Team Security Services
SOC-Team Monitoring
Finance Billing
Auditors Read-Only Access

RBAC assigns permissions based on job roles rather than individuals.

Example:

Employee
↓
Department
↓
IAM Group
↓
Permissions
↓
AWS Resources

Instead of assigning permissions directly to Alice, assign Alice to the Developers Group.


IAM User IAM Group
Individual Identity Collection of Users
Has Credentials No Credentials
Can Sign In Cannot Sign In
Represents One Person Represents a Team
Receives Permissions Shares Permissions

CloudNova IAM Structure

CloudNova
β”‚
β”œβ”€β”€ Cloud-Admins
β”œβ”€β”€ Cloud-Engineers
β”œβ”€β”€ Developers
β”œβ”€β”€ Security-Team
β”œβ”€β”€ SOC-Team
β”œβ”€β”€ Finance
└── Auditors

Every employee belongs to one or more Groups.


❌ Assign AdministratorAccess to every user.

❌ Create one Group for every employee.

❌ Use Groups without naming standards.

❌ Leave inactive users in Groups.

❌ Assign permissions directly to users whenever possible.


  • Assign permissions to Groups.
  • Add users to Groups.
  • Review Group membership regularly.
  • Use descriptive names.
  • Follow Least Privilege.
  • Remove users immediately when they leave.
  • Document Group ownership.

πŸ§ͺ Enterprise Mission 01 β€” View Existing Groups

Section titled β€œπŸ§ͺ Enterprise Mission 01 β€” View Existing Groups”

Open AWS Console.

Navigate:

IAM
↓
User Groups

Review:

  • Group Names
  • Number of Members
  • Attached Policies

Questions:

  • How many Groups exist?
  • Which departments already have Groups?

πŸ§ͺ Enterprise Mission 02 β€” Create a Group (Console)

Section titled β€œπŸ§ͺ Enterprise Mission 02 β€” Create a Group (Console)”

Navigate:

IAM
↓
User Groups
↓
Create Group

Create the following Groups:

Cloud-Admins
Cloud-Engineers
Developers
Security-Team
SOC-Team
Finance
Auditors

Do not attach policies yet.


πŸ§ͺ Enterprise Mission 03 β€” Create Groups (AWS CLI)

Section titled β€œπŸ§ͺ Enterprise Mission 03 β€” Create Groups (AWS CLI)”

Create Developers Group

Terminal window
aws iam create-group --group-name Developers

Create Security Group

Terminal window
aws iam create-group --group-name Security-Team

Create Finance Group

Terminal window
aws iam create-group --group-name Finance

List Groups

Terminal window
aws iam list-groups

πŸ§ͺ Enterprise Mission 04 β€” Add Users to Groups

Section titled β€œπŸ§ͺ Enterprise Mission 04 β€” Add Users to Groups”

Add Alice

Terminal window
aws iam add-user-to-group \
--group-name Developers \
--user-name alice.dev

Add Rohit

Terminal window
aws iam add-user-to-group \
--group-name Cloud-Engineers \
--user-name rohit.cloud

Add John

Terminal window
aws iam add-user-to-group \
--group-name Security-Team \
--user-name john.security

Verify Group Members

Terminal window
aws iam get-group \
--group-name Developers

πŸ§ͺ Enterprise Mission 05 β€” List User Groups

Section titled β€œπŸ§ͺ Enterprise Mission 05 β€” List User Groups”

List Groups for Alice

Terminal window
aws iam list-groups-for-user \
--user-name alice.dev

Questions:

  • Which Groups is Alice a member of?
  • Should Alice belong to multiple Groups?

πŸ§ͺ Enterprise Mission 06 β€” Remove User from Group

Section titled β€œπŸ§ͺ Enterprise Mission 06 β€” Remove User from Group”

Remove Alice

Terminal window
aws iam remove-user-from-group \
--group-name Developers \
--user-name alice.dev

Verify

Terminal window
aws iam get-group \
--group-name Developers

Delete Finance Group

Terminal window
aws iam delete-group \
--group-name Finance

Verify

Terminal window
aws iam list-groups

πŸ§ͺ Enterprise Mission 08 β€” Enterprise Design Exercise

Section titled β€œπŸ§ͺ Enterprise Mission 08 β€” Enterprise Design Exercise”

CloudNova hires the following staff:

Employee Department
Emma Developer
James Security
Olivia Cloud Engineering
Liam Finance
Noah SOC

Determine:

  • Which Group each employee joins.
  • Whether additional Groups are required.
  • Which permissions each Group should receive.

πŸ§ͺ Enterprise Mission 09 β€” Review Group Membership

Section titled β€œπŸ§ͺ Enterprise Mission 09 β€” Review Group Membership”

List all users.

Terminal window
aws iam list-users

List all Groups.

Terminal window
aws iam list-groups

For each user, identify:

  • Group Membership
  • Missing Group
  • Incorrect Group

Document your findings.


CloudNova Technologies acquires another company.

150 new employees join.

Departments include:

  • Developers
  • DevOps
  • Security
  • Finance
  • Compliance
  • Support

The CIO asks:

β€œCan we onboard everyone without assigning permissions individually?”

Design a Group-based access strategy.


  1. What is an IAM Group?

  2. Why are Groups preferred over assigning permissions directly to users?

  3. Can an IAM Group sign in to AWS?

  4. Can a user belong to multiple Groups?

  5. Which command creates a Group?

  6. Which command lists all Groups?

  7. Which command adds a user to a Group?

  8. Which command removes a user from a Group?

  9. What is RBAC?

  10. Why should Group membership be reviewed regularly?


Prepare an Enterprise IAM Group Design Document.

Include:

  • IAM Group Overview
  • Benefits of IAM Groups
  • CloudNova Department Structure
  • RBAC Design
  • Group Naming Standards
  • AWS CLI Commands Used
  • Screenshots
  • Lessons Learned

Length:

4–5 Pages


Task Status
Reviewed Existing Groups ☐
Created Groups (Console) ☐
Created Groups (CLI) ☐
Added Users to Groups ☐
Verified Membership ☐
Removed User from Group ☐
Deleted Test Group ☐
Completed Enterprise Design ☐
Completed Assignment ☐

After completing this lesson, you should understand:

  • IAM Groups simplify permission management by assigning permissions to teams rather than individuals.
  • Role-Based Access Control (RBAC) helps ensure users receive access based on their job responsibilities.
  • Users can belong to multiple Groups when their responsibilities span different functions.
  • Group membership should be reviewed regularly to maintain security and support the principle of least privilege.
  • Well-designed IAM Groups make onboarding, offboarding and audits significantly easier in enterprise environments.

  • AWS IAM User Guide – User Groups
  • AWS IAM Best Practices
  • AWS Well-Architected Framework – Security Pillar
  • AWS CLI Command Reference – IAM
  • NIST RBAC Guidance

➑️ Lesson 05 β€” IAM Policies