- A
AWS Identity and Access Management (IAM)
Why wrong: IAM manages users and permissions within a single AWS account. It cannot centrally manage permissions across multiple accounts or provide single sign-on using corporate credentials across accounts without additional configuration like role switching, which is not the centralized SSO solution described.
- B
AWS IAM Identity Center (AWS SSO)
AWS IAM Identity Center is the service that centrally manages single sign-on access to multiple AWS accounts and applications. It integrates with Microsoft Active Directory and allows employees to use their existing corporate credentials to access the AWS Management Console across all authorized accounts with a single sign-on experience, and it centralizes permission management.
- C
AWS Directory Service
Why wrong: AWS Directory Service provides managed Microsoft Active Directory in the AWS cloud. While it can be used as a source of user identities, it does not natively provide the cross-account SSO and permission management features of IAM Identity Center. It would be a component of the solution but not the service that delivers the SSO experience across multiple accounts.
- D
Amazon Cognito
Why wrong: Amazon Cognito is designed for customer identity and access management (CIAM) for web and mobile applications, such as sign-up and sign-in for end users. It is not intended for employee access to AWS accounts or for managing permissions across multiple AWS accounts.
CLF-C02 Security and Compliance Practice Question
This CLF-C02 practice question tests your understanding of security and compliance. Match the stated requirement to the specific cloud service, access model, or configuration option — many options are valid in isolation but not for this scenario. A key principle to apply: aWS IAM Identity Center provides centralized SSO to multiple AWS accounts.. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
A company manages multiple AWS accounts using AWS Organizations. The company wants employees to sign in using their existing corporate credentials from an on-premises Microsoft Active Directory. The company also needs a single sign-on (SSO) experience so that each employee can access the AWS Management Console for any authorized account without needing separate passwords. Additionally, the company wants to centrally manage permissions across all accounts. Which AWS service should the company use to meet these requirements?
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
AWS IAM Identity Center (AWS SSO)
AWS IAM Identity Center (formerly AWS SSO) is the correct service because it provides a centralized place to manage single sign-on (SSO) access to multiple AWS accounts and applications. It integrates with an on-premises Microsoft Active Directory via the AWS Directory Service or an external identity provider, allowing employees to use their existing corporate credentials. IAM Identity Center also enables you to centrally define and manage permissions across all accounts in AWS Organizations, meeting all stated requirements.
Key principle: AWS IAM Identity Center provides centralized SSO to multiple AWS accounts.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
AWS Identity and Access Management (IAM)
Why it's wrong here
IAM manages users and permissions within a single AWS account. It cannot centrally manage permissions across multiple accounts or provide single sign-on using corporate credentials across accounts without additional configuration like role switching, which is not the centralized SSO solution described.
- ✓
AWS IAM Identity Center (AWS SSO)
Why this is correct
AWS IAM Identity Center is the service that centrally manages single sign-on access to multiple AWS accounts and applications. It integrates with Microsoft Active Directory and allows employees to use their existing corporate credentials to access the AWS Management Console across all authorized accounts with a single sign-on experience, and it centralizes permission management.
Related concept
AWS IAM Identity Center provides centralized SSO to multiple AWS accounts.
- ✗
AWS Directory Service
Why it's wrong here
AWS Directory Service provides managed Microsoft Active Directory in the AWS cloud. While it can be used as a source of user identities, it does not natively provide the cross-account SSO and permission management features of IAM Identity Center. It would be a component of the solution but not the service that delivers the SSO experience across multiple accounts.
- ✗
Amazon Cognito
Why it's wrong here
Amazon Cognito is designed for customer identity and access management (CIAM) for web and mobile applications, such as sign-up and sign-in for end users. It is not intended for employee access to AWS accounts or for managing permissions across multiple AWS accounts.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates often confuse AWS Directory Service with a complete SSO solution, but Directory Service only provides the directory infrastructure, not the centralized permission management or SSO portal that IAM Identity Center delivers.
Detailed technical explanation
How to think about this question
IAM Identity Center uses the SCIM (System for Cross-domain Identity Management) v2.0 protocol to automatically sync users and groups from an external identity provider, such as Microsoft Active Directory, into its identity store. It also supports SAML 2.0 for federated authentication, enabling seamless SSO to the AWS Management Console and CLI. Under the hood, IAM Identity Center creates temporary, role-based credentials for each user session, ensuring that permissions are centrally managed via permission sets that map to IAM roles in each account.
KKey Concepts to Remember
- AWS IAM Identity Center provides centralized SSO to multiple AWS accounts.
- It integrates with corporate directories like Microsoft Active Directory.
- It allows employees to use existing corporate credentials for AWS access.
- It enables centralized permission management across an AWS Organization.
TExam Day Tips
- Watch for words such as best, first, most likely and least administrative effort.
- Review why wrong options are wrong, not only why the correct option is correct.
Key takeaway
AWS IAM Identity Center provides centralized SSO to multiple AWS accounts.
Real-world example
How this comes up in practice
A company's IT admin needs to give a contractor read-only access to production logs without sharing account credentials. Using role-based access control (RBAC) and temporary scoped permissions — not a permanent shared password — is the correct pattern. Questions like this test whether you can apply least-privilege access across cloud identity services.
What to study next
Got this wrong? Here's your next step.
Review aWS IAM Identity Center provides centralized SSO to multiple AWS accounts., then practise related CLF-C02 questions on the same topic to reinforce the concept.
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Security and Compliance — study guide chapter
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FAQ
Questions learners often ask
What does this CLF-C02 question test?
Security and Compliance — This question tests Security and Compliance — AWS IAM Identity Center provides centralized SSO to multiple AWS accounts..
What is the correct answer to this question?
The correct answer is: AWS IAM Identity Center (AWS SSO) — AWS IAM Identity Center (formerly AWS SSO) is the correct service because it provides a centralized place to manage single sign-on (SSO) access to multiple AWS accounts and applications. It integrates with an on-premises Microsoft Active Directory via the AWS Directory Service or an external identity provider, allowing employees to use their existing corporate credentials. IAM Identity Center also enables you to centrally define and manage permissions across all accounts in AWS Organizations, meeting all stated requirements.
What should I do if I get this CLF-C02 question wrong?
Review aWS IAM Identity Center provides centralized SSO to multiple AWS accounts., then practise related CLF-C02 questions on the same topic to reinforce the concept.
What is the key concept behind this question?
AWS IAM Identity Center provides centralized SSO to multiple AWS accounts.
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Last reviewed: Jun 11, 2026
This CLF-C02 practice question is part of Courseiva's free Amazon Web Services certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the CLF-C02 exam.
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