Are you planning to migrate from an on-premise Microsoft solution version of Dynamics, such as Dynamics AX or Dynamics CRM, to Dynamics 365, a more flexible, unified, and cloud-based solution?
If you are currently considering migrating, we have answered some of the most commonly asked questions to help you better understand the process.
Microsoft supports a direct upgrade from Dynamics AX 2012 to Dynamics 365 Finance and Operations. However, an upgrade process is not available for older versions, such as Dynamics AX, AX 4.0, or AX 2009, so you’ll have to consider a new implementation.
With support for Dynamics AX ending soon, Dynamics 365 continues to be the best choice for an ERP upgrade.
Here’s all you need to know about moving from Microsoft Dynamics AX to Dynamics 365 for Finance and Supply Chain Management: the differences between the two applications, the benefits of Dynamics 365, and how to begin planning your upgrade.
1. What are the benefits of upgrading to Dynamics 365?
- Improved accessibility
Dynamics 365 is a cloud-based platform offering easier access through a simple browser-based user interface built with a simplified architecture.
- Cross-platform UI support
The browser-based user interface can function on any device (PC, tablet, phone), any platform (Windows, Mac, etc.), and any browser (Chrome, Safari, Firefox, etc.).
- Reduced IT maintenance
You can deploy Dynamics 365 in the cloud, as there will be no need for on-premise servers and systems that require maintenance. In addition, Microsoft monitors and updates the application, reducing the need for your IT staff to maintain the ERP system.
- Powerful integration
Dynamics 365 can easily and seamlessly integrate with numerous other platforms and elements of the 365 suite.
- Highly scalable
As Dynamics 365 is cloud-based, you can scale your solution as the business grows, so you don’t have to commit to unnecessary licenses. Using powerful Business Intelligence features, you can also predict how many permits you may need in the future.
- Better security
Though Dynamics 365 is cloud-based, Azure hosts it with great security features. It is also easy to identify risks and respond to potential threats.
- Dynamics 365 pricing
Dynamics 365’s pricing is much more flexible as it is a subscription-based model requiring you to pay monthly per license (user or device). Depending on the chosen functionalities and user activities, it has several different licensing options.
2. Should I move to the cloud or stay on-premise while upgrading from AX 2009 or AX 2012 to Dynamics 365? Which is better?
If you are using AX 2009 or AX 2012, you will not have access to the latest technology required to run the On-premise version of Dynamics 365. Moving to the cloud offers additional benefits, such as cross-platform UI (PC & Mobile, any browser), real-time BI, ease of access, reduced IT maintenance, and upgrades.
3. If I migrate to the cloud, can I move back to an on-premise deployment in the future?
Yes, Microsoft provides customers the flexibility to bring their Dynamics AX application back to
On-premises, if the cloud does not suit the right platform for their business.
4. Can I customize the application and interface to third-party systems in the cloud?
Yes, you can modify the application to meet unique business needs and exchange data with external systems and cloud-based data sources.
5. Will I be able to create my own BI and visualizations?
Dynamics 365 is a user-friendly platform and consists of ‘Data Entities,’ which helps users build reports and visualizations using Power BI.
6. If I upgrade to DYNAMICS 365, what will happen to the customizations and integrations I did in AX 2009 OR 2012?
Reusing some of the existing functions, reports, and integration components is possible depending on their complexity and impact on the core processes. Also, Dynamics 365 has various functionalities and enhancements that cater to several industry demands. You can also consider many ISV solutions to address your integration or customization needs.
7. Is Dynamics 365 only available in the cloud? Is there an on-premises deployment option?
Dynamics 365 has an on-premise version, like previous versions, AX 2009 or 2012, that helps you leverage existing data center investments. However, Microsoft Dynamics Lifecycle Services (LCS), a cloud-based application lifecycle management service, requires system management and update connectivity.
The following are the requirements when you opt for On-Premise deployment:
- Configure your own disaster recovery solutions.
- Stand-up sandbox environments.
- Manage your own infrastructure.
Funding for these additional features will increase your Total Cost of Ownership (TCO). Additionally, the on-premise deployment option does not include Advanced Analytics and Azure Machine Learning capabilities.
8. What are some more benefits of moving to Dynamics 365?
- Web-based login
- A sleek, user-friendly interface
- More integrations
- Regular updates
- Extensive new dynamics features
In addition to numerous benefits, Dynamics 365 has an in-memory BI solution that provides real-time insights into your business performance. Microsoft hosts D365 and service-level agreements and updates the application with new features and bug fixes. As one of the largest ERPs on the market, Dynamics 365 is an entirely integrated, cloud-based solution that offers extensive insight into all areas of your business and proves to be the best option.
We have answered some of the most common questions, and we’ll also be happy to help if you have any additional doubts. Please reach out to us if you’d like more help and information on Dynamics AX to Dynamics 365 Upgrade.
