3.6 Azure Governance Features: Putting It All Together

Key Takeaways

  • Azure governance combines Management Groups, Azure Policy, RBAC, Resource Locks, Tags, and Blueprints to enforce organizational standards.
  • Management Groups provide governance scope across multiple subscriptions; Azure Policy enforces rules on resources.
  • RBAC controls who can access resources; Azure Policy controls what resources can do — they work together.
  • Microsoft Purview Compliance Manager provides a compliance score and actionable recommendations for improving compliance posture.
  • A well-designed governance strategy prevents unauthorized resource creation, enforces compliance, and controls costs.
Last updated: March 2026

Azure Governance Features: Putting It All Together

Quick Answer: Governance in Azure = Management Groups (scope) + Azure Policy (rules) + RBAC (access) + Resource Locks (protection) + Tags (organization). These tools work together to enforce standards across your Azure environment.

The Azure Governance Stack

Effective governance in Azure requires combining multiple features. Each feature has a specific role:

FeaturePurposeExample
Management GroupsOrganize subscriptions for governanceGroup all production subscriptions under "Production" management group
Azure PolicyEnforce rules on resource configuration"All storage accounts must use HTTPS"
RBACControl who can access resources"Jane is a Contributor on the Production subscription"
Resource LocksPrevent accidental deletion/modificationCanNotDelete lock on production databases
TagsOrganize and track resources"CostCenter: CC-1001" on all Finance department resources
Budgets & AlertsControl spendingAlert when spending reaches 80% of monthly budget

How Governance Features Interact

Policy + RBAC (Complementary)

  • RBAC answers: "Can this user create a VM?" (access control)
  • Policy answers: "Can a VM be created in this region/size?" (resource rules)
  • A user with Owner role might be BLOCKED by Policy from creating a VM in a restricted region
  • Both are enforced through Azure Resource Manager

Management Groups + Policy (Inheritance)

  • Apply a Policy at the Management Group level
  • All subscriptions, resource groups, and resources below INHERIT the policy
  • Example: "Deny VM creation > 8 vCPUs" at the Dev Management Group prevents all dev subscriptions from creating large VMs

Tags + Cost Management (Tracking)

  • Apply tags to resources: "Department: Marketing"
  • Filter Azure Cost Management by tag to see Marketing's spending
  • Set tag-scoped budgets and alerts

Locks + Lifecycle Management (Protection)

  • Apply CanNotDelete to production resource groups
  • Resources can still be modified but not accidentally deleted
  • Combines with RBAC to create layered protection

Governance Decision Matrix

"I want to..."Use This Feature
Organize subscriptions hierarchicallyManagement Groups
Restrict which regions resources can be created inAzure Policy (Allowed Locations)
Control who can manage Azure resourcesRBAC (Role Assignments)
Prevent accidental deletion of critical resourcesResource Locks (CanNotDelete)
Track costs by department or projectTags + Cost Management
Ensure all VMs are encryptedAzure Policy
Get compliance posture across standardsMicrosoft Purview Compliance Manager
Enforce tagging on all new resourcesAzure Policy (Require Tag)
Set spending limits with notificationsBudgets and Alerts

On the Exam: Governance questions often describe a scenario and ask which feature to use. Focus on the INTENT: controlling access = RBAC, enforcing resource rules = Policy, preventing deletion = Locks, organizing for cost = Tags.

Test Your Knowledge

A company wants to prevent developers from creating VMs larger than 4 vCPUs across all development subscriptions. Which governance approach should they use?

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Test Your Knowledge

Which combination of features would you use to control WHO can create resources AND WHAT types of resources they can create?

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Test Your Knowledge

A user with the Owner RBAC role tries to create a storage account without HTTPS, but an Azure Policy requires HTTPS on all storage accounts. What happens?

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D