Upgrading Dynamics CRM on-premise to Dynamics 365: The Pros, Cons, and Everything in Between
In a fast-paced digital world, businesses of all sizes rely on powerful customer relationship management (CRM) software to streamline sales, marketing, and customer service processes. If you’re currently using an on-premise installation of Dynamics CRM, upgrading to Dynamics 365 might be the next logical step to take.
But is it worth the investment? What are the benefits and potential pitfalls of upgrading to Dynamics 365? Let’s dive into the details and find out.
What is Dynamics 365?
Dynamics 365 is Microsoft’s cloud-based business applications platform that combines elements of ERP and CRM capabilities into one scalable, modular system. Dynamics 365 unifies data and processes across multiple departments, including sales, marketing, customer service, finance, and operations.
The platform provides access to a suite of apps, each designed to address specific business needs and requirements. These apps include Dynamics 365 Sales, Dynamics 365 Marketing, Dynamics 365 Customer Service, Dynamics 365 Finance, Dynamics 365 Supply Chain Management, and more.
Why Upgrade to Dynamics 365 from Dynamics CRM On-Premise?
As with any software upgrade, there are pros and cons to consider when upgrading Dynamics CRM on-premise to Dynamics 365. Here’s a closer look at the benefits and potential drawbacks.
1. Scalability: Dynamics 365 is a cloud-based solution, which means that there are no limitations on storage capacity or user licenses. As your business expands, you can easily scale up your Dynamics 365 deployment to meet your growing needs.
2. Access to the Latest Features: Microsoft regularly releases new features and updates to Dynamics 365. With an on-premise solution, you’ll need to manually install updates and patches. With Dynamics 365, you’ll always have access to the latest and greatest features without any additional effort.
3. Improved User Experience: Dynamics 365 features a modern and intuitive user interface that makes it easier for users to navigate and perform tasks. Additionally, it provides a unified user experience across all devices and platforms, making it easy to work on the go.
4. Robust Security: Microsoft invests heavily in cloud security measures to protect Dynamics 365 users from cyber threats such as malware, viruses, and ransomware.
1. Cost: Upgrading to Dynamics 365 requires an investment in monthly subscription costs, which can add up over time. However, this cost may be offset by the benefits of a cloud-based, scalable solution.
2. Customizations: If you’ve made extensive customizations to your on-premise Dynamics CRM solution, it may be more difficult to transfer these customizations to Dynamics 365. However, Microsoft provides tools and resources to help ease the transition.
3. Integration with Legacy Systems: If you have legacy systems that are not compatible with Dynamics 365, it may be necessary to invest in additional integration solutions to ensure compatibility.
How to Plan for a Smooth Upgrade to Dynamics 365
Before upgrading to Dynamics 365, it’s essential to plan carefully and thoroughly. Here are some steps to take to ensure a smooth upgrade process:
1. Evaluate your current Dynamics CRM on-premise deployment, including usage patterns, customizations, and integrations.
2. Conduct a comprehensive needs assessment to determine which Dynamics 365 apps and modules are required for your business.
3. Develop a migration plan, including timelines, budgets, and resource requirements.
4. Test the migration process in a non-production environment before performing the actual upgrade.
5. Train your users on the new Dynamics 365 system to ensure a smooth transition.
Should You Upgrade to Dynamics 365?
If you’re currently using an on-premise installation of Dynamics CRM, upgrading to Dynamics 365 may offer several benefits, including scalability, access to the latest features, improved user experience, and robust security.
However, before making the jump, it’s important to carefully evaluate the costs and potential drawbacks of a cloud-based solution. With careful planning, preparation, and execution, upgrading to Dynamics 365 can be a smooth and successful process that positions your business for growth and success in the years to come.