In Windows Server 2012 standard edition, it is really accommodate to configure the fine grained password policy just using the Active Directory Administrative Center.
1. Run the “dsac” or go to administrative tools.
2. On the Graphical Interface, on the left pane, click the tree view, and Expand the tree.
3. Go to System under your domain. In my case, I expand “netoverme” and go to System container.
4. Click on the Password Setting Container.
5. Right-click the Password Setting Container, and choose New and select Password Setting
6. on the figure below, you will be prompted on different setting such as Password Complexity, Minimum Password Age, etc.
7. After finish password settings, you will need to link or apply the users or groups you intend to use this password setting such as IT Admin. On Direcly Applies To, click Add button and type user or group that you need to set.