Create a Group that Consists of Employees and Contacts

1. Login as the Administrator.
2. Navigate to Setup > Company > General Preferences.
3. Show Employees as Contacts = T.
4. Click Save.
5. Navigate to Lists > Search > Saved Searches > New.
6. Select Contact.
7. In the Criteria tab > Standard subtab > Filter = Internal ID.
Note: Select the Internal ID of the Employees and Contacts (The Internal ID of the Employee is the same with the Contact record after marking the Show Employees as Contacts = T)
8. Click Preview and hit Save if satisfied.
9. Navigate back to Lists > Relationships > Groups > New.
10. Select Dynamic .
11. In the What Kind of Member your would like to include field, select = Contact.
12. Click Continue.
13. Enter a Name for this Group.
14. In the Saved Search field, select the Saved Search created above.
Note: Group Members auto populate.
15. Click Save.