What is Dynamics 365 used for?
Dynamic 365 is one of Microsoft’s most successful SaaS products, comprising bundles of business applications in one package. The solution is designed with ERP, CRM, and HCM capabilities, broken down into smaller apps so businesses, from small to enterprises, can choose what is best for them.
Dynamics can do everything from customer relationships, financial planning, supply chain to human resources management. Every data is centered and stored under Azure, making sure it is safe and sound while being internally shared between your app stacks.
At the same time, you can integrate this extensive business hub into other Microsoft apps, which is a huge plus if you are a current customer looking for a CRM or ERP solution.
Key modules of Microsoft Dynamics 365
Microsoft classifies their solution package based on business size and industry. But you can also pick whatever is best for you. Here, we will look into Dynamics 365 apps for SMEs and enterprises!
For SMEs
1. Business Central
Dynamics 365 Business Central is an adaptable all-in-one business solution that connects finance, sales, customer services, operations, and even business intelligence.
If you have a limited budget and are looking for a compact tool, Business Central is a decent choice, instead of throwing a budget for an extensive system with unnecessary functions.
2. Sales
True to its name, Dynamics 365 Sales solely focuses on improving sales team function by automating repeated tasks and extracting meaningful customer insights. At the end of the day, it’s all about winning more deals.
One thing that makes D365 Sales stand out is the context-dependent AI that can identify sales opportunities and client pain points through successful sales calls.
Dynamics 365 Sales can be too much for small business. Especially when Business Central has already covered the basic function. Therefore, it’s more suitable for mid-sized and large enterprises. They usually combine Sales with other tools, which we will explain later.
3. Low-code Development: Power Platform
Despite not being a direct Dynamic 365 product, many combine Power Platform with Sales or Business Central to create a customized solution suits their business model.
This technology utilizes drag-and-drop elements, pre-built code blocks, and designed templates to quickly assemble a website or mobile app.
Because of this, low-code is more cost-effective than building something from scratch. The Power Platform is also voted to be the leader of this sector, reducing the development time and human resources of a project.
For Enterprise
Microsoft does not have a specific package for enterprises like Business Central for SMEs, as they have complex workflows, challenging business structures, and a vast database to deal with.
They usually choose each specialized product and connect them through an API for data transfer and management. Here are what you can use:
1. Sales
As mentioned, Microsoft Dynamics 365 Sales is an all-around sidekick for the sales team, promising to deliver a 215% ROI after 3 years and a 15% increase in sales team collaboration’s efficiency.
2. Marketing
Much like D365 Sales, the Marketing modules also support closing more deals and enhancing customer engagement. This is why Sales and Marketing usually work closely together. However, Microsoft Dynamics 365 Marketing puts more focus on lead generation and making sure your marketing campaign brings results.
3. Services
Not just customer services, Microsoft Dynamics 365 also supports field services and remote assistant. Let’s look at what these modules can do:
- Customer service: Build omnichannel customer support, automatically handle and resolve routine requests, a seamless helpdesk experience with self-service portals and effective customer care process.
- Field service: Automatically transfer field care requests to the appointed employee, making sure there’s minimal wait time.
- Remote assist: Technicians can work together from everywhere, getting help from other experts and ensuring overall quality.
4. Supply Chain
The Supply Chain module is a part of Microsoft Dynamics ERP solution. Embedding AI and IoT, you can easily manage and optimize your supply chain, from forecasting demand, planning, production, inventory management and delivery.
The Forrester study on the benefit of using D365 Supply Chain for 3 years showed that:
- A $24.3 million boost of production throughput.
- Saving around $1.5 million from having less downtime.
- Improve product quality and save more than $6.8 million.
5. Finance
Provides worldwide financial management tools such as financial planning, reporting, and analytics to assist firms to make educated financial decisions and increase profitability.
This module is among the most loved ones of Microsoft Dynamics 365, Forrester studied that after 3 years of using this robust solution, you get an average:
- 122% return on investment.
- Improve finance personal productivity by up to 55%.
- Thanks to cloud architecture, businesses saved over $ 3.5 million on legacy modernization.
6. HR
Build a healthy workplace where your team can thrive with the help of faster HR processes with automation, a centralized employee database, accurate payroll solutions, performance management, and operation analytics tools.
Microsoft Dynamics 365 isn’t stop here! They also offer many more mini solutions for niche use cases such as eCommerce, 3D hologram, Training, or Surveys.
Comparing Dynamics 365 with other tools – Salesforce, SAP, Oracle
Instead of using dozens of apps for each function, Dynamics 365 has them all in one package. This makes them stand out among other specialized apps such as HubSpot for Marketing, Gusto for HRM, or Workday for Finance and HCM.
However, we also have Salesforce, SAP, and Oracle NetSuite, which offer a wide range of business solutions. The only difference is that Microsoft Dynamics 365 has Office 365, which consists of all the documentation and office management tools we use daily.
Using Software Advice and Forbes Advisor, here’s how real customers grade the giants in business/ enterprise management systems.
| MS D365 | NetSuite | SAP | Salesforce | |
|---|---|---|---|---|
| Ease-of-use | 4/5 | 4/5 | 4/5 | 4/5 |
| Function | 4.5/5 | 4/5 | 4.5/5 | 4.5/5 |
| Value for money | 4/5 | 4/5 | 4/5 | 4/5 |
| Support | 4/5 | 3.5/5 | 4.5 | 4/5 |
| Average Score by Reviewers | 4.4 | 4.1 | 4.3 | 4.4 |
*This article is a part of our Low-code Platform Guides and Reviews. For more information for decision-making, you can also read:
- 25 Best Low-code Platforms for Startups, SME & Enterprise
- Comparison Of Top 20+ Open-source Low-code Platforms On GitHub
- A Guiding Light To Leverage Salesforce Low-code Platform
- Microsoft Power Platform Review: What People Said About It (Pros & Cons)
Pros & Cons of using Dynamics 365
Gartner voted Microsoft Dynamics 365 as a leader in ERP and CRM in 2023. But is the solution really that perfect? Here are the good and bad things about D365 we have collected from PeerSpot, Software Advice, and other review forums.
| Pros | Cons |
|---|---|
|
|
How to use Dynamics 365: Successful stories
Microsoft provided detailed documentation on how to use each module and each function, which you can find right here!
But we understand that struggles are common, even if the instruction is in your hand. If you have any questions on how to set up Dynamics 365, customize a module for you, or integrate different modules, you can always talk to our expert!
For now, let’s learn about how other businesses use MS Dynamics 365:
Lenovo replaced their legacy Salesforce with cloud-based Dynamics Sales across all business entities. They now save $4 million per year for not having 52 third-party apps.
Using Dynamics Remote Assist and 3D Guides, Porsche’s dealer partner can easily undergo training on car maintenance without traveling back and forth.
Designer Resources, a textile provider from India, has been using Dynamic Business Central for years. They recorded a 15% reduction in operation costs and a 20% increase in sales.
With Dynamics 365, Synodus team set up and customized an all-around ERP for a pharmaceutical company, helping them make the right demand planning and streamline operation.
You can do much more with D365 like our clients
Dynamics 365 pricing: How much to invest?
| Modules | Price |
|---|---|
| Commerce | From $30 to $180/ month |
| Human Resources | From $30 to $120/ month |
| Customer Insights | From $1000 to $1700/ month |
| Project Operations | From $30 to $120/ month |
| Service | From $20 to $95/month |
| Supply chain | From $30 to $180/ month |
| Finance | From $30 to $300/month |
| Sales | From $20 to $162/month |
| Small and medium business | From $20 to $100/month |
For more details on each offer, you can visit here!
Unfortunately, this isn’t the final total. You should also consider these hidden costs:
- Budget for training and deployment, making sure involved employees know how to leverage the tool.
- Hiring an expert is needed if you want to customize your Microsoft Dynamics 365 solution, making it more fitted to your business model like our client. Pricing in Europe and America can take around $40 to $80 per hour; meanwhile, in low-cost regions like India or Vietnam, you only pay from $20 to $40.
Next step: Is Dynamics 365 the right choice for your business?
There are many Microsoft Dynamics alternatives, such as Salesforce, Oracle or SAP. To know what is best for your business, you must first understand what you need.
As a partner of Microsoft and Salesforce, our expert is ready to give you any consultation (no fog of tech, no sale, and no fee, of course!)
With 250+ well-versed technicians, we have mixed Microsoft Dynamics 365 with Office 365 and a dab of low-code, to tailor functional business solutions for clients around the world, from startups to enterprises.
Find what you can build using Microsoft Dynamics 365 and Create better results than dozens of third-party apps!
