One of the most confusing tasks that must be completed when creating an Organic Group is the configuration of OG Field Settings.
This task is confusing for a few different reasons:
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For Drupal architects who are new to D7, we're going to encounter Entities and Bundles, which are new concepts starting with Drupal 7.
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There are actually two different places where configurations have to be made for OG Fields. The first set is within the OG administration dashboard and the second set is within the content type.
Things get a little convoluted, especially due to the fact that you will be pulled between a couple of different environments inside of your Drupal site. Workflow wise, it's suggested that you add all of your OG Fields in one shot and then go to into your group node type and finish any desired field configurations there (the default settings, in most cases, should work just fine for you).
The important thing to remember here, is that when you add OG Fields through the OG Field Settings panel, you are adding pre-built fields onto your actual node type.