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Microsoft Purview Information Protection

Microsoft 365 Microsoft Purview Sensitivity Labels Auto-Labeling License: MIT

Senior Infrastructure Engineer lab demonstrating Microsoft Purview Information Protection — covering sensitivity label taxonomy, manual and automatic labeling, encryption-based access control, and label policy publishing across Microsoft 365 workloads.


Business Problem

Organizations generate sensitive data across Microsoft 365 every day — emails, Word documents, Excel files, SharePoint content, and Teams messages. Without a formal classification and protection framework, that data is exposed to:

  • Accidental external sharing
  • Unauthorized downloads and access
  • Data exfiltration via unprotected email
  • Regulatory non-compliance (GDPR, ISO 27001, industry standards)
  • Inconsistent protection across workloads

Manual controls alone are not scalable. Users forget to apply labels, apply incorrect classifications, or work without awareness of what is sensitive.


Business Requirement

The organization requires a data classification and protection framework that:

  • Classifies sensitive information using a consistent, enterprise-standard taxonomy
  • Applies encryption and access control to confidential content
  • Enables manual user-driven labeling for day-to-day classification
  • Automates detection and labeling of sensitive information patterns (financial, personal, legal)
  • Covers all primary Microsoft 365 workloads: Exchange Online, SharePoint, OneDrive, Teams, and Office apps
  • Provides a foundation for downstream DLP and compliance controls

Microsoft Solution

Microsoft Purview Information Protection — the information governance and data protection layer built into Microsoft 365 and the Microsoft Purview compliance portal.

Capability Purpose
Sensitivity Labels Classify and protect content with named tiers
Label Policies Publish labels to users and workloads
Manual Labeling User-driven classification via Office apps and Outlook
Auto-Labeling Policies Automatic detection using Sensitive Information Types
Encryption (IRM) Restrict access by authorized users and groups
Content Marking Visual headers, footers, and watermarks
Trainable Classifiers AI-powered document-type detection

Lab Scope

Area Status
Purview portal access (compliance.microsoft.com) ✅ Verified
Default sensitivity label taxonomy reviewed ✅ Verified
Custom sensitivity labels created ✅ Configured
Label scope: Files and Emails ✅ Configured
Protection settings: Encryption + Access Control ✅ Configured
Label policy published to all users ✅ Published
Auto-labeling policy: Credit Card detection ✅ Configured
Auto-labeling label: Finance Confidential ✅ Configured
Groups & Sites scope ⚠️ Unavailable in lab tenant — requires additional Entra/M365 integration
Content marking (watermarks/headers) ⚠️ Not enabled in foundational lab — kept simple
Cloud Discovery / MCAS integration Out of scope for this repo

Sensitivity Label Taxonomy

Label Scope Protection
Public Files, Emails No encryption
General Files, Emails No encryption
Confidential Files, Emails Encryption + access control
Highly Confidential Files, Emails Encryption + restricted permissions
Internal Projects Files, Emails Encryption for internal audience
Client Confidential Files, Emails Encryption + customer-scoped permissions
Finance Restricted Files, Emails Encryption + finance-scoped permissions
Executive Confidential Files, Emails Encryption + leadership-only permissions

Auto-Labeling Target: Finance Confidential label applied automatically when Credit Card Number (Sensitive Information Type) is detected.


Enterprise Perspective

Stage Detail
Business Problem Unclassified sensitive data across Microsoft 365 — exposed to accidental sharing and regulatory risk
Business Requirement Consistent classification taxonomy + encryption-based protection across all M365 workloads
Microsoft Solution Microsoft Purview Sensitivity Labels + Auto-Labeling Policies
Configuration Label taxonomy created, policies published, auto-labeling rule for Credit Card Numbers
Validation Label availability confirmed in Office apps; auto-label policy reviewed in Purview portal
Outcome Sensitive content automatically classified and protected — reducing human error and governance gaps

Lab Architecture

Microsoft 365 Tenant (Patchthecloud.onmicrosoft.com)
│
├── compliance.microsoft.com (Microsoft Purview Portal)
│   └── Information Protection
│       ├── Sensitivity Labels
│       │   ├── Public / General (no encryption)
│       │   ├── Confidential / Highly Confidential (encryption)
│       │   ├── Internal Projects / Client Confidential
│       │   ├── Finance Restricted / Executive Confidential
│       │   └── Finance Confidential (auto-label target)
│       │
│       ├── Label Policies
│       │   └── Published to: All Users — "Require labeling" enabled
│       │
│       └── Auto-Labeling Policies
│           └── Rule: Detect Credit Card Number (≥1 instance)
│               └── Apply: Finance Confidential
│
├── Protected Workloads
│   ├── Exchange Online (email protection)
│   ├── SharePoint Online (file protection)
│   ├── OneDrive (document protection)
│   ├── Microsoft Teams (collaboration protection)
│   └── Office Apps (Word, Excel, PowerPoint, PDF)
│
└── downstream integrations
    ├── Microsoft Purview DLP (uses label as condition)
    ├── Microsoft Purview Audit (label activity logged)
    └── Microsoft Defender for Cloud Apps (label-aware CASB)

Repository Structure

Microsoft-Purview-Information-Protection/
├── README.md
├── .gitignore
├── LICENSE
├── GITHUB-METADATA.md
├── WEBSITE-PORTFOLIO-CARD.md
├── docs/
│   ├── 01-purview-information-protection-overview.md
│   ├── 02-sensitivity-labels-taxonomy.md
│   ├── 03-label-policies-publishing.md
│   ├── 04-manual-sensitivity-labels.md
│   ├── 05-automatic-sensitivity-labels.md
│   ├── 06-protection-settings-encryption.md
│   ├── 07-validation-testing.md
│   └── screenshots-placement-guide.md
├── scripts/
│   ├── New-SensitivityLabels.ps1
│   ├── New-AutoLabelingPolicy.ps1
│   └── Get-SensitivityLabelReport.ps1
└── architecture/
    └── purview-information-protection.md

PowerShell Scripts

Script Purpose
New-SensitivityLabels.ps1 Creates full enterprise sensitivity label taxonomy via Microsoft Graph
New-AutoLabelingPolicy.ps1 Creates auto-labeling policy with Sensitive Information Type detection
Get-SensitivityLabelReport.ps1 Reports label usage, policy configuration, and labeling activity

MS-102 Exam Relevance

This lab covers the following MS-102: Microsoft 365 Administrator exam objectives:

  • Configure and manage sensitivity labels in Microsoft Purview
  • Publish sensitivity label policies to users and groups
  • Configure auto-labeling policies using Sensitive Information Types
  • Apply encryption and access control using sensitivity labels
  • Understand label scopes: Files, Emails, Groups & Sites
  • Differentiate manual vs. automatic vs. recommended labeling
  • Understand Trainable Classifiers vs. Sensitive Information Types

Zero Trust Alignment

Zero Trust Principle Implementation
Verify Explicitly Every piece of content is classified before protection is applied
Least Privilege Encryption restricts access to only authorized users and groups
Assume Breach Labels persist with content — protection survives location changes

Related Projects

Project Technology Link
P1 — Zero Trust Identity Perimeter Conditional Access, MFA, SSPR View
P3 — Zero Trust Email Security Defender for Office 365, Safe Links View
P6 — Entra ID Protection Risk-based Conditional Access View
P7 — SaaS & Data Visibility Defender for Cloud Apps View

Blog Posts (TechCertGuide)


Author

Lokesh Karnam — Senior Infrastructure Engineer | Microsoft 365 | 9+ years enterprise experience

GitHub Portfolio Blog


All configurations documented in this repository were implemented in a real Microsoft 365 E5 trial tenant (Patchthecloud.onmicrosoft.com). No configurations have been fabricated.

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Microsoft Purview Information Protection lab — sensitivity label taxonomy, manual and automatic labeling, encryption-based access control, and label policy publishing across Microsoft 365 workloads.

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