I could not find a new AD user in Office 365. I went to the DirSync server to force a synchronization by opening powershell and navigated to the folder:

C:\Program Files\Microsoft Online Directory Sync.

Then start the Directory Sync Configuration Shell by typing:
.\DirSyncConfigShell.psc1powershell-dirsync

That launched the Dir Sync powershell window.  Once opened I typed:

Start-OnlineCoexistenceSync
start-onlinecoexistencesync

 

After this point I still was missing the user, so I launched the Synchronization Service Manager:

C:\Program Files\Microsoft Online Directory Sync\SYNCBUS\Synchronization Service\UIShell

server-down

From here I noticed all the “stopped-server-down” messages on the TargetWebService line.

After some digging I noticed that the service account password had changed the same day DirSync stopped working.  To update the service account password from within the Synchronization Service Manager go to

Management Agents > right click TargetWebService, hit properties…

management agents

Then go to Configure Connection Information. Update the user and password in the connection information box.

configureconnectioninformation

After this, repeat the steps to do a DirSync from above, and everything should be back to normal.