Mainstream support for Microsoft Dynamics AX 2009, 2012, and 2012 R2 ended in October 2018.
This means that only security hotfixes will continue to be provided for these solutions until 12th October 2021, when their extended support finishes. Once the extended support period is over, Microsoft no longer fix any core issues with AX systems, and partners will be unable to as well, as they cannot access the core systems either.
This is why AX customers are being advised to invest in an expensive upgrade to the enterprise level solution, Microsoft Dynamics 365 for Finance & Operations. However, the switch to a Business Central solution might be a much better, and more cost-effective fit.
With the release of Microsoft Dynamics 365 Business Central, Microsoft now offers two ERP based solutions on Dynamics 365 – D365 Business Central and D365 for Finance & Operations.
Dynamics 365 for Finance & Operations is the replacement for AX, and is Microsoft’s top-of-the-range, most advanced ERP solution. Dynamics 365 Business Central, however, has replaced Dynamics NAV as Microsoft’s all in one business platform targeted at SME’s.
Why should I move from AX to Business Central?
From now until the 30th June 2020, Microsoft will offer a 40% discount for transitioning to Dynamics 365 Business Central from another Dynamics product, making that switch from AX to Business Central even cheaper. Also, any additional licences purchased after the transition and before the 30th June 2020 deadline will still receive the 40% discount. This means that it will undoubtedly be cheaper to transition from AX to BC, instead of making the costly move up to Finance & Operations or another solution,
Many Microsoft Dynamics AX users will not be fully utilising their vast and expensive system, and there will be many parts of the system that they have never used or touched. If this is your business, then you are actively wasting money paying for a solution that you aren’t using, when you could pay for a much cheaper solution that you would get full use out of.
Switching to a smaller solution like Business Central will allow you to use all of the solution you are paying for, getting a better ROI and at a fraction of the cost.
Reduction in one-off annual costs
The annual costs of Business Central are much cheaper than Finance & Operation’s.
Finance and Operations is Microsoft’s top-level business solution, and therefore has much more capability, at a higher price. The F&O application has advanced capability across finance, operations, manufacturing and supply chain. Additional capability is available across HR, sales, projects and customer service through the wider Dynamics 365 will the full Dynamics 365 plan. From this you can see that Finance and Operations is very much for enterprise businesses, with enterprise-level capabilities, at enterprise prices.
The Business Central application has core capability across finance, operations, supply chain, CRM and project management, and additional capability is available in service management and manufacturing via the premium package. Business Central gives your business everything it needs, at a much more competitive price.
The number of full users requiring access in your organisation has an impact on not only the access rights, but of the scale of your system.
Dynamics 365 for Finance and Operations has a minimum licence requirement of 20 full licences, showing the sort of scale you require yo even consider F&O.
Business Central does not have a licence minimum, so you could pick up just one full licence if you are a small organisation. Microsoft has reported that the average number of users they are seeing on Business Central is between 10-15, and the largest Business Central implementation is around 60 full users.
Business Central has inbuilt CRM capability, offering Outlook integration with opportunity management and customer service capability. Integration with Dynamics 365 for Sales is available for organisations looking for more CRM capability.
Finance & Operations has no CRM capability but Dynamics 365 for Sales is included with the full Dynamics 365 Purchase Plan.
Number of transactions
The number of transactions you are putting through your ERP system is another key consideration. If you are processing thousands or tens of thousands of transactions, then Dynamics 365 Business Central is more than capable of dealing with these requirements, and providing the accuracy you need to manage and report on these correctly.
When you start to reach hundreds of thousands of transactions or more, D365 for Finance & Operations is the solution you need.
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