October 2025

Passwords Alone Aren’t Enough: Why Multi-Factor Authentication Is Non-Negotiable

This article is the third in Matrium Technologies’ Essential Eight Blog Series, where we unpack each of the Australian Cyber Security Centre’s (ACSC) eight key mitigation strategies. Our goal is to help business leaders understand what each control means, why it matters, and how to implement it in practical terms.

In this post, we explore Multi-Factor Authentication (MFA) - a simple yet powerful safeguard that dramatically reduces the risk of account compromise.

What “Multi-Factor Authentication” Really Means

Multi-Factor Authentication (MFA) requires users to provide two or more forms of verification before accessing a system or application. These factors typically include:

• Something you know – a password or PIN

• Something you have – a phone, security key, or token

• Something you are – a fingerprint or facial recognition

The idea is simple: even if an attacker steals or guesses a password, they can’t access the account without the second factor.

For executives, MFA is one of the most cost-effective security investments available. It protects against credential theft - still one of the top causes of data breaches globally.

Why It Matters for Your Business

• Credentials are easy targets – Attackers harvest stolen passwords from phishing campaigns, dark web dumps, and social engineering.

• Compromise equals access – Once inside, attackers can impersonate staff, access sensitive data, or move laterally across your network.

• Cloud apps expand the risk – With remote work and SaaS platforms, the “perimeter” has dissolved. MFA becomes your last line of defence.

• Regulatory and insurance requirements – Many cybersecurity frameworks and insurers now mandate MFA as a baseline control.

The statistics are compelling - according to Microsoft, MFA can block over 99% of automated account-based attacks.

Practical Steps to Implement

Building MFA maturity involves more than just enabling it on email accounts. Here’s how to approach it strategically:

1. Start with high-value targets – Enforce MFA for all privileged and administrative accounts first.

2. Expand across the organisation – Gradually roll out to all users, remote access systems, VPNs, and cloud applications.

3. Avoid SMS-based MFA where possible – Use authenticator apps or hardware tokens to mitigate SIM-swap risks.

4. Integrate with single sign-on (SSO) – Simplify the user experience while maintaining security.

5. Educate users – Explain why MFA matters; adoption improves when staff understand its purpose.

The Maturity Journey

The ACSC’s Essential Eight Maturity Model outlines clear steps for strengthening MFA implementation:

• Maturity Level 1 (Basic Protection): MFA is implemented for remote access and privileged accounts, including VPNs and administrative portals.

• Maturity Level 2 (Improved Protection): MFA is enforced for all users when accessing important data, email, or cloud-based services. SMS-based MFA is replaced with stronger methods such as authenticator apps or hardware tokens.

• Maturity Level 3 (Strongest Protection): MFA is mandatory across all systems, including on-premises, cloud, and third-party applications. Adaptive authentication (e.g. risk-based or contextual MFA) is deployed to detect anomalies such as unusual device locations or sign-in behaviour.

Each level builds confidence that a stolen password alone cannot compromise your business.

Final Word

Passwords remain one of the weakest links in cybersecurity, but MFA turns that vulnerability into resilience. It is one of the most impactful - and measurable - steps organisations can take on their Essential Eight journey.

Implementing MFA doesn’t have to be complex or disruptive. With expert guidance, businesses can balance convenience, cost, and security to achieve meaningful protection quickly.

This is the third article in Matrium’s Essential Eight Blog Series. Next, we’ll examine how to Restrict Administrative Privileges - limiting access to critical systems and reducing the blast radius of any breach.

Matrium Technologies partners with organisations to achieve and maintain Essential Eight compliance, providing tailored solutions and expertise to strengthen cyber resilience across every layer of defence.