However, there are certainly cases when you need a feature that your GUI tools lack. I suppose, the vast majority of sys admins will continue managing Group Policy with GUI tools. Basically, you can perform all Group Policy management tasks on the command line or in a script: Create, remove, backup and import Group Policy Objects (GPOs), manage associations of GPOs with Active Directory containers, setting inheritance flags and permissions on Active Directory organizational units, configure registry-based policy settings and Group Policy Preferences Registry settings, and manage Start GPOs (pre-defined GPO templates).
The biggest advantage of this new Windows 7 feature is that the cmdlets are now integrated in the OS. SDM Software's cmdlets were more or less the model for those you can now find in Windows 7. You should also check out their Group Policy Automation Engine, which supports scripting of many more policy areas. A more convenient option are the free cmdlets from SDM Software.
You could already manage Group Policy before Windows 7 with PowerShell. I think, the new PowerShell Group Policy cmdlets are the most important enhancement in Windows 7 and Windows Server 2008 R2. Windows PowerShell Cmdlets for Group Policy ^