Managing Users and Groups with Windows PowerShell

The Manage Users and Groups with Windows Powershell IT Pro Challenges lab gives hands-on experience creating user accounts and groups, in addition to modifying licenses and group membership. Skills from this virtual lab helps learners advance in an Office 365 environment, including as a technical support specialist and a system administrator.

1 hour
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This lab, a thirty-minute one and the fourth unit of the Microsoft 365: Identity and Services Challenge series, covers adding users and groups, in addition to updating user licenses and group membership. Learners must complete the first unit, Provision an Office 365 E5 Trial Subscription to get a free thirty-day Office 365 administrator account, needed to finish this Manage Users and Groups virtual lab, for beginners. Learners would also benefit from completing prior labs in the series for strategies to test the Powershell script is correct.

Windows PowerShell has the power of simultaneously adding and updating multiple users and groups very quickly. Learners who apply their hands-on experience in this virtual Office 365 environment obtain knowledge towards administering user accounts and managing access rights to systems and applications available over the network. System administrator and technical support specialist career paths benefit capabilities demonstrated upon completing this lab.

Create Users by Using the MSOnline PowerShell Module:

The first exercise in this lab teaches how to add users and assign a location and license for them, as an administrator, from the PowerShell cmd module. When creating a new Office 365 user, a principal name must be assigned using the format @. Before licensing an account, specify the UsageLocation attribute, as some countries only allow for specific Office 365 features. A correct Office 365 license is required before anyone can start using the application suite.

Learners confirm successful user account addition, through using PowerShell commands, the Microsoft 365 admin center, or logging in as the new user in a private web browser.

Create an Office 365 Security Group by Using Windows PowerShell:

Learners create a security group and make the users, available from the previous exercise, members of this group. This exercise familiarizes participants with the New-MsolGroup and Add-MsolGroupMember command. Learners can check their work through Powershell, the Microsoft 365 admin center, or logging in as a group member to test access.

Security groups help define access that multiple users need on the job while securing other non-essential Office365 functions. For example, a team of accountants may require payroll information to pay employees, but would not need the benefits information more pertinent to an HR manager. Defining group permissions facilitates compliance with government regulations and enterprise best practices while making the necessary tools available to get work done.


This virtual lab using Windows PowerShell teaches how to manage users and groups through demonstrating three tasks.

  • Adding user accounts and groups
  • Assigning and updating licenses
  • Making users members of a group.

Learners need to take other virtual labs to complete the Microsoft 365: Identity and Services Challenge series, including six, guided, three advanced, and one expert challenge.

  • GUIDED CHALLENGE: Use a Custom Domain
  • GUIDED CHALLENGE: Manage Users and Groups
  • ADVANCED CHALLENGE: Can You Manage Multiple Users?
  • GUIDED CHALLENGE: Assign Admin Roles
  • GUIDED CHALLENGE: Manage Passwords
  • ADVANCED CHALLENGE: Can You Restore Users and Configure Password Policies?
  • GUIDED CHALLENGE: Configure Exchange Online
  • GUIDED CHALLENGE: Configure SharePoint Online
  • ADVANCED CHALLENGE: Can You Configure Rights Management?
  • EXPERT CHALLENGE: Can You Manage Office 365?