How to create bulk user with auto added in group using entra ID

Use Dynamic Groups (if your users have a shared attribute such as Department, Job Title, or City and you have Premium licensing of Entra ID) or Microsoft Graph PowerShell instead

# --- CONFIGURATION ---
$csvPath = "C:\temp\users.csv"
$groupObjectId = "YOUR-GROUP-OBJECT-ID-HERE"  # Replace with your Entra ID Group Object ID
# ---------------------

# 1. Install Microsoft Graph Identity Module if not already installed
if (-not (Get-Module -ListAvailable -Name Microsoft.Graph.Identity.DirectoryManagement)) {
    Write-Host "Installing Microsoft Graph module..." -ForegroundColor Cyan
    Install-Module Microsoft.Graph -Scope CurrentUser -Force
}

# 2. Connect to Microsoft Entra ID
Write-Host "Connecting to Microsoft Entra ID..." -ForegroundColor Cyan
Connect-MgGraph -Scopes "User.ReadWrite.All", "Group.ReadWrite.All"

# 3. Import the CSV file
if (-not (Test-Path $csvPath)) {
    Write-Error "CSV file not found at $csvPath. Please check the path."
    return
}
$users = Import-Csv -Path $csvPath

# 4. Loop through each user in the CSV
foreach ($user in $users) {
    Write-Host "--------------------------------------------" -ForegroundColor Tool
    Write-Host "Processing user: $($user.DisplayName)" -ForegroundColor Cyan

    # Define user parameters
    $passwordProfile = @{
        Password = $user.Password
        ForceChangePasswordNextSignIn = $true
    }

    $userParams = @{
        AccountEnabled    = $true
        DisplayName       = $user.DisplayName
        UserPrincipalName = $user.UserPrincipalName
        MailNickname      = $user.MailNickname
        GivenName         = $user.GivenName
        Surname           = $user.Surname
        Department        = $user.Department
        PasswordProfile   = $passwordProfile
    }

    try {
        # Create the user in Entra ID
        $newUser = New-MgUser @userParams
        Write-Host "Successfully created user: $($newUser.UserPrincipalName) (ID: $($newUser.Id))" -ForegroundColor Green

        # Immediately add the user to the specified group
        Write-Host "Adding user to group..." -ForegroundColor Cyan
        New-MgGroupMemberByRef -GroupId $groupObjectId -OdataId "https://microsoft.com"
        Write-Host "Successfully added to group!" -ForegroundColor Green

    } catch {
        Write-Error "Failed to process user $($user.UserPrincipalName). Error: $_"
    }
}

# 5. Disconnect session
Disconnect-MgGraph
Write-Host "Process complete and disconnected." -ForegroundColor Green

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hth

Marcin