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If you want to use Active Directory for your accounts, then yes, you need to configure your machines on a virtual LAN and create an Active Directory domain. This is not a simple process and isn't really on topic for this site. You should be able to find tutorials on this process pretty easily using Google. Does every machine has to have the same ...


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Since you have a one way trust you need to use username and password as shown below: "Specify user account and password from a one way trust To specify the user name and password from a one-way trust, so that People Picker can look up this information, use the following syntax: stsadm -o setproperty -url http://<server:port> -pn ...


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Active directory groups should be of type "Security Group" to be added to SP.


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Without knowing more from your post, my guess is that these inactive users in AD still have profiles in Office 365 and assigned licenses. So you need to delete these users, free their licenses (happens upon deletion), and await the 30 day grace period. Within those 30 days, you can fully restore these deleted users and their content. So these inactive users ...


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There are password change solutions from other companies too: Harepoint, Virtosoftware



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