Check out the following resources to set up group management with PeopleUpdate.
First, review the Active Directory Group Management and Security Overview videos at http://webactivedirectory.com/productplatform/peopleupdate/ (on the videos tab). This will help you understand how group management is delegated in PeopleUpdate.
Next, grab the PeopleUpdate Group Management Guide: v3.4 document from http://webactivedirectory.com/productplatform/peopleupdate/ (on the documents tab). This document includes instructions to set up group management in PeopleUpdate.
Finally, send your WebADConfiguration.xml file from the %Program Files%\WebActiveDirectory\PeopleUpdate\Configuration directory to firstname.lastname@example.org. The Web Active Directory support team will add group management tabs to your configuration file to save you the manual work of adding the tabs. Specify whether you want to manage groups by searching for them by name, by using the ManagedBy attribute, or both.
Note: All passwords in the configuration file are hashed and encrypted so you don’t have to worry about the data being compromised in transit.