Key difference: A workgroup is a type of peer-to-peer network. It is essentially the name for a Windows based peer-to-peer computer network. Computers in this kind of network can allow each other access to their files, printers, or Internet connection. A domain, on the other hand, is a client/server network in which the security and resource management is centralized. This means that a singular administration has control over the domain and allows which users have access to which files.

Domains and workgroups are two different methods for organizing computers in a network. The main difference between the two is in the manner they operate, chiefly how the computers and other resources on the networks are managed.

A workgroup is a type of peer-to-peer network. It is essentially the name for a Windows based peer-to-peer computer network. Computers in this kind of network can allow each other access to their files, printers, or Internet connection. In order to do this, every user must have an account on each of the workgroup’s computers that they require access to. These settings and access are managed by each computer’s user.

A domain, on the other hand, is a client/server network in which the security and resource management is centralized. This means that a singular administration has control over the domain and allows which users have access to which files. In a domain, there is a one single database for domain users. A user can log on at any workstation via their account and access the files.

Advantages of Domain over workgroup:

• Centralized administration
• User can log on at any workstation and access domain resources.
• Security of data, user and groups
• Runs on Windows 2000 and 2003 Server or advance support for server configuration
• File, folder & user and group permission can be assigned.

A side-to-side comparison of workgroup and domain:

Image Courtesy: spectorsoft.com, samba.org