If you are running into error below after installing S2D Management pack and trying to add a new group, then you will be happy to know what we have fixed this issue in SCOM 2016 UR7. Please install the fix from https://support.microsoft.com/en-us/help/4492182/update-rollup-7-for-system-center-2016-operations-m...

Below is the stack trace of the error.

Hope this helps.
Thanks,
Neha