Comparison of Dynamics 365 for Finance and Operations & Business Central

Dynamics 365, the advanced platform of intelligent business applications, connects all business processes and operations. However, among the numerous Dynamics 365 apps, there are two ERP systems difficult to choose from – Microsoft Dynamics 365 Finance & Supply Chain Management (Former F&O) and Business Central.  In this article, we are discussing a comparison of Dynamics 365 ERP systems.  Handily, it can guide you to the right choice.

Dynamics 365 integrates CRM, ERP, Office, analytics and other supporting business applications into one unified, intelligent and adaptable solution. However, there is a choice between two ERP systems in this package. Although, the best fit for your business may not be obvious without a deep understanding of Microsoft products and ERP knowledge:

In this article, we are highlighting the key D365 FO and D365 BC differences. These are the core factors when considering a new ERP for your company.

So, what do you choose: Dynamics 365 Finance and Operations OR Business Central?​

The answer could be quite straight and simple. Finally, it depends on your business needs, goals, requirements and future vision.

The essential difference is that Dynamics 365  for Finance and Operations does have a lot more built-in “enterprise functionality” than Business Central. This is the key driver to consider Dynamics 365 for Finance and Operations for companies which need a deep and comprehensive ERP solution.

Compare the differences

In the table below, we present a deeper analysis of the variations of these two ERP systems.
Dynamics 365 for Finance and Operations Business Central
Microsoft positioning
Integrated enterprise class business platform for mature, growing, ERP-educated companies. The next level for organizations that have outgrown their entry-level accounting software.
Type of companies
Multinational medium to large organizations and groups of enterprises. Tailored for international development. Small to midsize enterprises.
Distribution, Manufacturing, Retail, Professional Services, Public Sector Distribution, Manufacturing, Professional Services.
Depth of Manufacturing functionality
Supports approx 95% of manufacturing functionalities. A great option for discrete, lean and process manufacturing. Other core functions, such as ATP, advanced warehousing with mobile solutions, etc. are included. With the Premium package, additional capability in service management and manufacturing is available.
Capabilities and integration with other Dynamics 365 components
Designed to work out-of-the-box with other Dynamics 365 components. Deep integrations with CRM, HR, Talent, Customer Service, Marketing and others. Fully covers traditional back-office processes. Core capabilities: connects financials, sales, purchase, inventory, projects, service and operations.
Minimum # of users
20 1
License cost per user, per month
From 190 to 210 USD (152 to 169 GBP; 169 to 187 EUR) From 70 to 100 USD (56 to 80 GBP; 62 to 89 EUR)
140 countries 91 countries
Multiple country localizations inside of a single instance. Includes out-of-the-box localizations (legal & fiscal) for 37 countries. Combined localization strategy of both Microsoft-led and partner-led models.Local functionality is partly available for 19 countries. Missing parts are delivered by 3rd party Partners via Microsoft AppSource.
Recommended for businesses processing hundred-thousands of transactions. Recommended for businesses processing thousands of transactions.
Business Analytics
Embedded Power BI – rich analytical and reporting functionality. BI tools include reporting, dashboards, and ad-hoc analysis.
Cloud or On-premise or Hybrid Cloud or On-premise
In analyzing the results of Dynamics 365 deployments, Nucleus research found that for every dollar spent, companies realized an average of $16.97 in return. View source >> 

This table probably will not answer all your questions. Therefore, the best approach would be to discuss YOUR business needs and ERP vision with your Dynamics 365 partner. Don‘t have one? Contact us for an initial discussion.

Author Daiva Jakštienė, Marketing manager at GO-ERP

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