On the domain controllers: Install the Azure Monitor agent. In Azure: Create an Azure Log Analytics workspace.

Centrally managing performance alerts in Azure for on-premises domain controllers is done by connecting those servers to Azure Monitor: the Azure Monitor agent is installed on each domain controller (onboarded to Azure Arc for non-Azure servers, or directly if they are Azure VMs) to collect performance counters and event data, and that telemetry is sent to an Azure Log Analytics workspace, which is the resource that stores the collected data and against which performance-based alert rules are then defined and centrally managed. Creating a Data Collector Set in Performance Monitor and modifying the Performance Monitor Users group are both local, per-server administrative actions that never send any data to Azure and cannot support central, Azure-based alerting. An Azure SQL database, a Storage Sync Service, and an Azure Storage account are all Azure resources, but none of them is the telemetry store that Azure Monitor ' s alerting pipeline is built on -- only a Log Analytics workspace serves that role. Therefore, installing the Azure Monitor agent on the domain controllers and creating an Azure Log Analytics workspace are the two required actions.