The fine-grained password policy (FGPP) is specific to Microsoft Active Directory. The password settings in a group policy object (GPO) are applied at the domain level only. If you have multiple organizational units (OU or departments) or groups, you cannot enforce password settings at the OU or group level. That’s why the fine-grained policy comes in. By modifying the Active Directory schema, the AD administrators can apply password settings at a smaller granular level.