The first management group created in the directory could take up to 15 minutes to complete. There
are processes that run the first time to set up the management groups service within Azure for your
directory. You receive a notification when the process is complete. For more information, see
initial setup of management groups.
Prerequisites
If you don't have an Azure subscription, create a free
account before you begin.
Before you start, make sure that the latest version of Azure PowerShell is installed. See
Install Azure PowerShell module for detailed information.
Any Microsoft Entra ID user in the tenant can create a management group without the management group write
permission assigned to that user if
hierarchy protection
isn't enabled. This new management group becomes a child of the Root Management Group or the
default management group
and the creator is given an Owner role assignment. Management group service allows this ability
so that role assignments aren't needed at the root level. When the Root
Management Group is created, users don't have access to it. To start using management groups, the service allows the creation of the initial management groups at the root level. For more information, see Root management group for each directory.
Azure Cloud Shell
Azure hosts Azure Cloud Shell, an interactive shell environment that you can use through your browser. You can use either Bash or PowerShell with Cloud Shell to work with Azure services. You can use the Cloud Shell preinstalled commands to run the code in this article, without having to install anything on your local environment.
To start Azure Cloud Shell:
Option
Example/Link
Select Try It in the upper-right corner of a code or command block. Selecting Try It doesn't automatically copy the code or command to Cloud Shell.
Go to https://shell.azure.com, or select the Launch Cloud Shell button to open Cloud Shell in your browser.
Select the Cloud Shell button on the menu bar at the upper right in the Azure portal.
To use Azure Cloud Shell:
Start Cloud Shell.
Select the Copy button on a code block (or command block) to copy the code or command.
Paste the code or command into the Cloud Shell session by selecting Ctrl+Shift+V on Windows and Linux, or by selecting Cmd+Shift+V on macOS.
Select Enter to run the code or command.
Create in Azure PowerShell
For PowerShell, use the
New-AzManagementGroup cmdlet to create a
new management group. In this example, the management group GroupName is Contoso.
Azure PowerShell
New-AzManagementGroup -GroupName'Contoso'
The GroupName is a unique identifier being created. This ID is used by other commands to
reference this group and it can't be changed later.
If you want the management group to show a different name within the Azure portal, add the
DisplayName parameter. For example, to create a management group with the GroupName of Contoso
and the display name of "Contoso Group", use the following cmdlet:
In the preceding examples, the new management group is created under the root management group. To
specify a different management group as the parent, use the ParentId parameter.
In this quickstart, you created a management group to organize your resource hierarchy. The
management group can hold subscriptions or other management groups.
To learn more about management groups and how to manage your resource hierarchy, continue to: