In-house team vs. Technology partner – Which is better for your Dynamics 365 needs?

At 2:47 AM on a Tuesday, the CFO of a $200M manufacturing company received the email no executive wants in their inbox: “Dynamics implementation delayed another six months due to developer resignation.”

Eighteen months ago, they decided to establish an in-house Microsoft Dynamics 365 team, seeking control, cultural fit, and in-house expertise. But three essential developers left mid-project, taking their knowledge with them. Hiring and training replacements took months, while operations continued to rely on outdated systems.

This story repeats across enterprises. Many invest millions in Dynamics 365 only to realize that success hinges more on implementation talent than on software features. And for many, the question becomes: Should we build that team internally or bring in a certified partner? The answer depends on more than just budget. It is about risk, scalability, and speed. We will examine both approaches.

Why Your Microsoft Dynamics 365 Implementation Approach Matters

Your Dynamics 365 implementation approach directly impacts timeline, cost, and long-term system performance across finance, operations, and customer service domains.

Time-to-Value and Speed to Go-Live

Internal teams require six to 12 months for recruitment and training before project commencement. Certified partners deploy immediately using proven frameworks, and accelerate go-live by six to 12 months. Choose internal teams when timeline flexibility exists and long-term knowledge retention outweighs speed benefits.

Total Cost of Ownership vs Upfront Investment

Internal team costs extend beyond salaries: recruitment expenses ($15,000-$25,000 per hire), training investments ($20,000-$40,000 per employee), benefits and overhead (30-40% of salary), plus turnover replacement costs. Partner engagements appear expensive upfront but eliminate ongoing employment costs, training overhead, and turnover risks. Consider 3-year TCO including hidden costs versus project-based partner investments with defined deliverables.

Option 1: Build an Internal Dynamics 365 Team

The appeal of assembling your implementation team is clear. You get direct control over timelines, complete alignment with your company culture, and the opportunity to build lasting internal expertise. For organizations that already have a strong IT department, this can seem like the natural route.

But Dynamics 365 is not a lightweight system you configure and forget. It is a powerful, modular platform that requires specialized skills across multiple areas, including finance, operations, customer service, and data migration, among others. Finding individuals with that range of experience is difficult. Keeping them is even harder.

Companies that go the in-house route often underestimate the time and cost involved. Recruiting certified Dynamics developers takes months. Once hired, team members need to understand not only the software but also your business processes. And when turnover hits, the knowledge goes out the door with the employee. That alone can stall implementations for weeks, even months.

If your timeline is flexible and you are willing to invest heavily in training, the in-house model may be a suitable option. But it is an extended play. And it comes with operational risk, especially if your internal team is unfamiliar with large-scale ERP or CRM rollouts.

Option 2: Work with a Certified Microsoft Dynamics 365 Expert

Hiring a Dynamics 365 partner changes the equation. Instead of starting from scratch, you gain access to a whole team with proven experience, including solution architects, functional consultants, developers, and project managers, all ready to get started.

The biggest advantage? Time.

Certified Dynamics 365 partners have pre-defined implementation frameworks. We are aware of the pitfalls, dependencies, and sequencing required for a successful rollout. That means your deployment can begin in weeks rather than months. This matters when your current systems are already stretched thin or when competitive pressures demand faster digital capabilities.

There’s also the cost factor. While hourly or project-based rates might seem higher upfront, the total cost of ownership is often lower with a partner. You avoid salaries, benefits, licensing overhead, and internal training costs. You also reduce the risk of delays, which can be costly in both financial terms and in terms of lost opportunities.

Beyond execution speed, partners offer perspective. We have worked across industries, helping companies solve similar challenges to yours. That cross-industry knowledge allows us to recommend practical customizations, prioritize the right features, and avoid scope creep.

Case Study: In‑House vs Microsoft Certified Partner Implementation

Here is a case study comparison of the impact of two similar projects we have encountered recently.

Scenario A: Internal Team Approach

A $400M manufacturing company spent 11 months recruiting a four-person Dynamics team. Implementation began in Month 12, but integration challenges with their MES system created delays. By Month 18, they had lost two team members to competitors and needed external consulting support to maintain progress. Total project timeline: 26 months. Final cost: $3.2M.

Scenario B: Partner-Led Implementation

A comparable $380M manufacturer engaged our team for the same scope. We assembled specialists within two weeks and leveraged pre-built manufacturing accelerators developed across more than 80 similar implementations. Integration challenges were resolved using proven approaches from previous projects. Timeline: 11 months. Cost: $1.8M.

The difference wasn’t just speed and cost; it was predictability. The partner-led project followed established methodologies with known risk mitigation strategies, while the internal team encountered problems for the first time without proven solutions.

Both companies achieved similar functional outcomes, but one invested 15 additional months and $1.4 million extra, diverting senior management’s attention from core business priorities.

Side-by-Side Comparison: In-House Team vs Dynamics 365 Partner