Assigning IP addresses to all the end devices in the network is the main task of the DHCP. So called DHCP server is assigning the IP addresses and terminating those when they are not required anymore. DHCP server stores and modifies information about IPs that already are in use, that will be available soon, and which are not allowed. In the OSI the DHCP is located at the Application level. DHCP allows to automate IP assignment process, reducing time that is necessary for network administrator to configure TCP/IP of the network. Automated system also reduces the chance of an error in IP assignment, since the human factor is not involved in the process. The chance of DHCP servers to assign wrong IP or create IP conflict situation is very low.
When the IPs are assigned remotely, there is no need to configure each workstation manually which allows high level of flexibility for changing network structure. Workstations can be moved from network to network, without changing configuration. New network end devices can be added, removed, and relocated. Temporary IPs can be assigned to mobile or temporary users automatically.
