Configuring Your Network Settings
Before we begin the crucial step of setting up Active Directory, we should first configure the networking settings of the server. Specifically, the TCP/IP network connection that your server utilizes should be set to “manually configured” and you should specifically define the IP address of your server and its DNS settings.
To do this, go to Start -> Control Panel -> Network Connections -> Your network connection, and then click on Properties. Next, click on Internet Protocol and click Properties. Finally, choose “Use the following IP address” and “Use the following DNS server address.” Define these settings to your heart’s content, and click on OK, and then OK, and then Close.
Setting Up Active Directory
Now that you have installed and activated Windows Server, it is time to setup what is arguably the most crucial feature in the Windows Server releases – Active Directory. Active Directory allows a group of connected client PC’s to authenticate and share resources through a central server, known as the domain controller. Before a server can be a domain controller, however, there must first be a domain. Let us set up the domain using Windows “Active Directory Setup” wizard. Start by clicking Start -> Administrative Tools -> Configure Your Server Wizard. When the window appears, click Next, then Next again, and wait while Windows intelligently detects your network settings. Now, a rather long list of possible services should appear. For now, we are interested in implementing only one – Domain Controller (Active Directory). Choose likewise and press Next. Press Next to open the Active Directory wizard.
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When the wizard appears, press Next. (Has anybody noticed a common theme here?) Choose “Domain controller for a new domain” and press Next. This sets up a brand new domain and is generally what you want to do. Next, choose “Domain in a new forest.” Although the terms tree, domain, and forest may be somewhat foreign to you, they are simply organizational levels of domains – the highest level is a forest, followed by a tree, and finally the domain sits below the tree. For our purposes, we want to create one independent domain, and that is marked by creating a Domain in a new forest. Click Next.
Now, it is time to type in the DNS name of your new domain. This can be confusing to some, so here’s how it goes. Just because you type in “www.microsoft.com” as your DNS name DOES NOT necessarily indicate that your computer somehow corresponds to the giant software company’s web site. Rather, the DNS name is more of a useful way of identifying your domain among many. Because most people are not creating their domains to actually handle DNS inquiries, I would recommend choosing a name that is 8 characters or less and rather easy to remember. After you think of this name, I would type “.local” after it to mark that this domain is limited to the local network. An example of a full name, therefore, might be “foxden.local” or any other such name. Click Next.
The next screen asks you what you would like to call your Domain for NetBIOS use. I strongly recommend, for ease of use, calling the domain the same name that you did in the previous screen sans the “.local” ; so, if your domain name is “foxden.local,” I would suggest using “FOXDEN” as your NetBIOS name. Click Next.
The next screen asks you where you would like to store your Active Directory database and log. Microsoft suggests that you store the two on separate disk drives, and I recommend the same. However, this is left to your own discretion. Decide and click Next.
The next part asks you where you would like to put the SYSVOL folder. I recommend using the default suggestion and clicking Next.
You will next see a screen that asks you about “DNS Registration Diagnostics.” I will not spend a large deal of time explaining DNS, but I will tell you that you should let Windows install and configure the DNS server (which is usually the recommended option anyway). Click Next.
The next screen asks you just how much information about your domain you would like to advertise. For security reasons, choose the bottom option UNLESS you have Windows 95/98/ME/NT clients that connect to your domain. Click Next.
You are next asked to choose a Directory Services Restore Mode password. This is a special recovery mode account that allows you to quickly get your domain back running, provided that you can login. Choose a strong password and click Next.
You should be done with the Wizard, so click Finish or click Next until your heart stops.

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