Collaboration among students in the course of learning plays an important role in developing communication skills. In particular, it helps for team building and brainstorming on solutions of complex problems. While an effective group organization is critical for the success of such collaborative learning, many instructors would make arbitrary decisions about student grouping. This is mainly due to the lack of in-depth studies analyzing group setup in face-to-face settings and providing recommendations and practical guidelines for group assignment and management. To address this problem, we conducted a series of experiments exploring the dynamic formation of collaborative groups among foreign language students at different proficiency levels. On the basis of the obtained results and the identified limitations of the current methods, we propose a novel technology-enhanced approach to optimized group setup and effective management. This approach provides a scaffold for integrating Tangible Technology Enhanced Learning and Computer Supported Collaborative Learning into an instructional system with advanced interaction capabilities for augmented learning and enhanced instructor support for dynamic group management.