Sending an encrypted email
To send an encrypted email from Outlook follow these steps:
Within your email go to the Option tab
Click on the Encrypt button
Select the Encrypt-Only option from the list.
You will know that your email has been encrypted when you see this message (below)
You can now send your email as normal.
Receiving an encrypted Email
If the recipient of your encrypted email is using Outlook, either online or the app, then the email will open normally and they will only be able to tell that it has been encrypted via a header bar along the top.
If, the recipient is using another mail app then they will receive the encrypted message and will be prompted to log in to O365 to read the message.