Managing Data Loss Prevention in Microsoft 365


Intro & Overview
Course Conclusion

This course is designed to give you a solid understanding of data loss prevention (DLP) in Microsoft 365. You will learn how data loss prevention works and why you as a Microsoft 365 administrator would want to implement it.

After a general DLP overview, you will be guided through a series of demonstrations that will show you how to create, test, and edit DLP policies, report on DLP and view alerts, and automatically apply labels based on data loss policy matches.

Learning Objectives 

  • Obtain a foundational understanding of data loss prevention
  • Learn how to implement data loss prevention in Microsoft 365
  • Learn how to report on data loss prevention policies

Intended Audience

This course is intended for anyone preparing for the MS-101 or MS-500 exam or who simply wants to learn about data loss prevention in Microsoft 365.


To get the most out of this course, you should have some basic experience using Microsoft 365.

Additional Resources

Microsoft Licensing Guide: 


Hi everyone. My name's Jake Gardner, and I'll be taking you through this course on Microsoft 365 Data Loss Prevention. I'm based in Australia and I'm an IT manager for a local managed service provider, where we work as outsourced IT providers to local businesses. I've been in the industry for nine years and have worked with clients through a wide range of industries, from manufacturing to retail, to professional services. Just to let you know, if you have any issues with the course or have any questions, please send us through an email on and one of our team members will be happy to help.

All right, so let's run through a quick agenda of what will be covered throughout this course. We will start with an overview of Microsoft 365 Data Loss Prevention, which is otherwise known as DLP. Then I will show you how to create and design DLP policies. This will be done using Microsoft's pre-made templates.

We will then test out the DLP policy and you will see how it works from the client or end users side. Then we'll run through how to edit DLP policies that are already created. This can be useful, because often, when you create DLP policies, they will need changing or tweaking as time goes on. We will then run through and create a custom DLP policy from scratch.

Once we have gone through all that way, we will then have a look at how we can report on DLP policies through the DLP Alert Management Dashboard, and then we'll have a look at applying labels and setting up retention policies based off these labels.

To get the most out of this course, you should have some experience using Microsoft 365. One thing to note is that in late 2020, Microsoft started transitioning the names of Office 365 to Microsoft 365. So if you have experience with Office 365, that still counts as experience with Microsoft 365.

We will be using the terminology of Microsoft 365 moving forward with this course, just because that's the current terminology used by Microsoft. So we will not be referring to Office 365, we will be calling it Microsoft 365. So yeah, you should have some familiarity with Microsoft 365. You would need to know what Exchange, SharePoint, OneDrive and Teams are, and also have a basic understanding of how they work and how to use these Microsoft 365 services.

It will be an advantage if you have a Microsoft 365 subscription to test this out on so you can follow along. If you do not have one, then you can sign up for a 30 day trial of Microsoft 365 for free, just Google Microsoft 365 trial and pick a plan and then sign up.

About the Author

Jake is an IT manager for a managed services company that works with small- to medium-size businesses and manages their IT. He mainly works with a Microsoft Stack, from Servers to Microsoft 365 & Azure. He also specializes in business process improvement helping businesses to leverage technology to speed up their workflows. Jake really enjoys testing out new technologies and seeing what they can do. Outside of work he enjoys kayak fishing, gardening, and going to the gym.