how to display user pictures in MS Outlook

In some environments they have MS outlook configured so that you can see the picture of the user within the company, when they send you email.

is this configured on exchange server or Active directory ?

Thank you
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It's part of Active Directory, the easiest way I've seen and I use this a lot is:
Its free and makes loading pictures into your AD easy.
Alan CoxSr. Systems Engineer | Lead Microsoft CIE Qualified FacilitatorCommented:
Here is how I've done it. worked great for me.

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You'll find that the Exclaimer Outlook Photos is much easier and faster. You can do bulk imports very quickly. But acox65807's answer will certainly work as well.
jskfan, Have you made any headway on your project?
jskfanAuthor Commented:
Thank you Guys!
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