Hi,
assuming you are using Office 2010 Standard or Office 2010 ProPlus (these are Volume License editions and are the only editions suitable for KMS).
Your Volume Licensing entitlements are available via MS VLSC website. This is where you obtain the ISO installation file source for MS Office, and also your VL product keys. You should see various keys available, including MAK pkey, and also KMShost pkey.
If you are using MAK pkey at the moment, to do manual activation, to use KMS methods, you no longer need MAK pkey.
You install your host machine (e.g. Windows 2008R2 server or whatever), then "install" the Office 2010 KMShost "pack", then "apply" / "install" the Office 2010 KMShost pkey on the host.
The easiest way for your clients (which need Office activated) to find your new KMShost, is to use your DNS.
Workgroup is ok, you do not need AD.
When installing Office on your clients, the VL editions of Office (Standard or ProPlus) are already configured with KMSclient pkeys ready to activate with your KMShost.
lots of great technical guidance is here:
Plan: http://technet.microsoft.com/en-us/library/ee705504.aspx
Deploy: http://technet.microsoft.com/en-us/library/ee624357.aspx
Don