The USERGROUP OPERATOR privilege authorizes a user to change the settings for a user group, and to add and remove users to/from a user group. Users with the USERGROUP OPERATOR privilege can also create and drop users, but only within the user group on which they have the USERGROUP OPERATOR privilege (CREATE USER <user_name> SET USERGROUP <usergroup_name>).
A user can have the USERGROUP OPERATOR privilege on more than one user group, and a user group can have more than one user with the USERGROUP OPERATOR privilege on it.

Creating User Groups
A global user administrator (system privilege USER ADMIN) creates a user group.
Optionally, the user administrator can set up the user group for "exclusive administration".
A role developer includes the new object privilege USERGROUP OPERATOR on the user group in a role.
A role administrator assigns the role to one or more users, who will be the group operators of the new user group.
Creating New Users
When a new user is created, a user group can (optionally) be specified. A user can belong to only one user group, but users do not need to belong to any user groups.
Configure the Base Setup for User Groups
You can use a wizard to quickly apply a basic configuration for user groups.
Instead of manually configuring user groups, you can use a wizard to apply SAP's recommended configuration settings. This allows you to quickly start working with user groups.
For a registered database, the UI notifies you if user group configuration was not completed using the base setup wizards. You have the option to disable these notifications.

Note
The base setup does not guarantee that the configuration is optimal for your particular system. To optimize the configuration, it may be advisable to manually configure specific settings.