Dynamics 365 for Finance and Operations: On-premises vs. Online

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Amongst the myriad of enterprise resource planning vendors in the market today, expected to be worth more than $49.50 billion by 2020, the world of Microsoft Dynamics 365 for Finance and Operations offers an exciting range of new features and functionality with scalability and flexibility like never before. Use machine learning and analytics to make data driven financial decisions, optimize your manufacturing processes using intelligent business process apps, and streamline your supply chain using advanced warehouse and inventory management modules - all this and more with D365 for Finance and Operations. The integrated suite of business applications allows you to break down silos between your processes and teams, and drive intelligent decisions in a bid to transform your outcomes.

Dynamics 365 for Finance and Operations is offered through two deployment options including cloud and on-premises and each comes with a host of unique functionalities. If you are one of the many companies considering implementing an ERP system such as Microsoft Dynamics 365 for Finance and Operations, you will wonder if you should opt for the online or the on-premises version. Read on to find out the similarities and differences between the two options:

The Differences

Although the on-premises and online versions of Microsoft Dynamics 365 for Finance and Operations offer a host of similar services, they are also distinctly different in a lot of aspects.  

Comparing the two Versions

Let’s look at a comparison chart of the differences:

Making the Decision

The decision between online and on-premises is important, and should be made by considering your whole organization, your industry, and your customers. While the cloud model allows you to easily scale up or down, with the on-premises version you can leverage existing data center investments. Understand the core application functionality of both models, in addition to extensibility, mobility, and integration capabilities. Depending on what features you require, choose the right ERP system and rest assured, conducting business will be a piece of cake!

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Manoj Nair
About the Author - Manoj Nair

Manoj Nair is a seasoned IT professional with over 12 years of experience in Software Consultancy, ERP Implementation, Testing, ISV Development & Client Management. He is a Senior Project Manager at Indusa and is responsible of managing various software programs through cross functional coordination.


Contibuting Author: Malavika Nityanandam

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