Microsoft Teams: How to disable Teams Creation

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When enabling the Teams license in Office 365, every member within the organisation can create new Teams. Giving your employees the possibility to create Teams themselves and according to their needs increases acceptance of the newly introduced tool. Nevertheless, it can lead to problems if many employees have high permission levels. Often it is not clearly defined when it is necessary to create a Team and when a channel or even just a chat is sufficient. It can also lead to Teams with the same purpose being created more than once. It can quickly cause uncontrolled growth that confuses your employees with many Teams without any real benefit. To prevent uncontrolled growth of Teams, it is a best practice to disable the creation of Teams and put in place a provisioning engine like Collaboration Manager 365 or the new Teams Manager instead. If you are still unsure about how to handle the creation of Teams, read on here.

Since the standard O365 UI does not provide the option to disable Teams creation, a Powershell script has to be used.

Note: In order to execute the script, you need the preview module for Powershell ‘AzureADPreview’. If you already have installed the AzureAD module, you need to uninstall it first.

Execute the following script to disable the creation of Teams:

Connect-AzureAD
Get-AzureADGroup -SearchString "Name of your security group"

$Template = Get-AzureADDirectorySettingTemplate | where {$_.DisplayName -eq 'Group.Unified'}

$Setting = $Template.CreateDirectorySetting()

New-AzureADDirectorySetting -DirectorySetting $Setting

$Setting = Get-AzureADDirectorySetting -Id (Get-AzureADDirectorySetting | where -Property DisplayName -Value "Group.Unified" -EQ).id
$Setting["EnableGroupCreation"] = $False
$Setting["GroupCreationAllowedGroupId"] = (Get-AzureADGroup -SearchString "Name of your security group").objectid

Set-AzureADDirectorySetting -Id (Get-AzureADDirectorySetting | where -Property DisplayName -Value "Group.Unified" -EQ).id -DirectorySetting $Setting
(Get-AzureADDirectorySetting).Values

The creation of Teams is now disabled for users.

This AzureAD Security Group will be the only one that can later create Teams.

Note that Global Admin members can also create Microsoft Teams.

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