Free Whitepaper

Modeling your Organizational Resource Hierachy in Azure

Begin your journey to Microsoft Azure by defining an account setup and structuring your organizational hierarchy within Azure. Our whitepaper provides you with best practices, explores various options, and delves into their implications for billing, identity and access management (IAM), and multi-cloud governance.

Language: English
Target Group: Platform Engineers & Enterprise Architects

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Cover of the Whitepaper Modeling your Organizational Resource Hierachy in Azure

How is a Microsoft Azure Resource Group (RG) defined?

How to target management groups with policy assigments?

How to model Management Group Hierarchies?
Cover of the Whitepaper Modeling your Organizational Resource Hierachy in Azure

How to Model your Organizational Hierarchy in Azure?


As part of the Cloud Adoption Framework, Microsoft Azure offers guidance on crafting management group hierarchies that cater to diverse organizational requirements.

Drawing from our vast experience working with large-scale enterprises with intricate divisional structures, we propose an approach that aligns the management group hierarchy with the desired set of landing zones.

To minimize complexity and streamline audits of the ensuing cloud infrastructure, it is best to keep resource hierarchies as flat as possible. This approach fosters centralized governance, with only one self-service delegation unit (subscriptions), thus averting the introduction of intermediate “self-service” units like “department” management groups.

Cloud Foundation Teams aspiring to transition from resource groups to subscriptions, for facilitating self-service cloud tenant environments, can capitalize on Azure’s capability to transfer resource groups to a new subscription. This process can be automated for efficiency.


Azure Resource Hierarchy Subscriptions vs. Resource Groups. Learn the pros and cons of Microsoft Azure Resource Groups (RG) as self-service cloud environments for application teams.

This whitepaper will talk about:

  • Resource container
  • Isolation of cloud tenants
  • Identity and access management (IAM)
  • Policy assignments
  • Billing and cost reporting
  • Integration of Azure resource groups with Azure services
  • Cloud tenants in multi-cloud management