diff --git a/README.md b/README.md
index 7eb960da35375dbe86c336ecf6e55bc71a4f0645..e58ae21dbeba68b13a296020f7b335b52d939bf5 100644
--- a/README.md
+++ b/README.md
@@ -18,7 +18,9 @@ be sure to add:
 AURA_PROTO=http
 ```
 
-to  the `.env` file.
+to the `.env` file.
+
+## Configuration for development
 
 A better development setup for `steering`, that pulls the docker images for
 `dashboard`, `dashboard-clock` and `tank` from Docker Hub, builds the image for
@@ -34,6 +36,18 @@ DASHBOARD_CLOCK_VERSION=unstable
 COMPOSE_FILE=docker-compose.yml:docker-compose.steering.yml
 ```
 
+## LDAP authentication backend
+
+If you would like to add LDAP authentication backend, you need to enable it by
+setting the `STEERING_USE_LDAP_AUTH` and the `AUTH_LDAP_BIND_PASSWORD`
+environment variables in the `.env` file and configure the values of the
+`AUTH_LDAP_*` settings in the `steering/settings.py` file. 
+
+```dotenv
+STEERING_USE_LDAP_AUTH=1
+AUTH_LDAP_BIND_PASSWORD=
+```
+
 ## Testing
 
 If you want to run the test suite, you can run `pytest` in the container:
@@ -91,5 +105,5 @@ Extensions](https://django-extensions.readthedocs.io/en/latest/graph_models.html
 The following command will generate an image out of the models:
 
 ```shell
-docker compose steering run poetry run ./manage.py graph_models --pydot -g -o steering_data_model.png program profile
+$ poetry run ./manage.py graph_models --pydot -g -o steering_data_model.png program profile
 ```