Dynamic Host Configuration Protocol (DHCP) protocol is used for assigning dynamic IP addresses to systems on a network. Dynamic addressing allows a system to have an IP address each time it connects to the network. DHCP makes network administration easier by removing the need to manually assign a unique IP address every time a new system is added to the network. It is especially useful to manage mobile users. Once a system is configured to use DHCP, it can be automatically configured on any network that has a DHCP server.