Examine groups in Microsoft 365

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Groups can be used to manage sets of users at the same time. For example, if a team is assigned to a group, the group can be used to apply permissions on a SharePoint team site. The group can also be used to distribute messages to everyone who's a member of the group. The following table provides an overview of all group types, and where they can be created in Microsoft 365.

Group Type

Description

When to use?

Where to create it?

Microsoft 365 group

This option is the recommended group type. It's similar to distribution groups because it has its own mailbox and its members receive email messages that are sent to the group. However, it differs from distribution groups in that it allows teams to collaborate by providing them a shared workspace for email, conversations, files, and calendar events.

When you want to provide distribution list capabilities and other collaboration features. The best option for team work.

Microsoft 365 admin center, Microsoft 365 admin app, Groups app, Exchange admin center, and Outlook

Distribution group

Can only be used for sending email. An email sent to a distribution list is sent to all members of the group.In Exchange, this group type is called distribution group.

When you want to distribute messages using the group only.

Microsoft 365 admin center, Microsoft 365 admin app, or Exchange admin center

Mail-enabled security group

Can be used for sending email. However, you can also assign group permissions; for example, to Exchange Public Folders or OneDrive.

When you want to use the group for both permissions and mail distribution.

Microsoft 365 admin center, Microsoft 365 admin app, or Exchange admin center

Security group

Can be used to grant access permissions to resources such as OneDrive.

When you only require a group to grant permissions.

Microsoft 365 admin center or Microsoft 365 admin app

Dynamic distribution group (Exchange only)

Can use recipient filters and conditions that you define to dynamically determine membership. These groups don't have a predefined member list.

When you want to have a flexible distribution list that changes membership automatically.

Exchange admin center

A Microsoft 365 group consists of the following objects:

  • a shared Outlook inbox
  • a shared calendar
  • a SharePoint document library
  • Planner
  • Power BI
  • Yammer (if the group was created from Yammer)
  • a Team (if the group was created from Teams)
  • a roadmap (if you have Project for the web)

diagram that shows the objects from the prior list, all of which are included in an Office 365 group

Knowledge check

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1.

As Contoso's Enterprise Administrator, you're planning to set up some groups in your Microsoft 365 tenant. You want to create a group that enables your Manufacturing team members to collaborate with one another. The group will provide them a shared workspace for email, conversations, files, and calendar events. What type of group should you create?