Microsoft Dynamics 365 vs Dynamics 365 Business Central banner

Explore the differences between Dynamics 365 F&O and Dynamics 365 Business Central.

Both solutions are great options for companies looking to move to a Cloud ERP solution with Microsoft Dynamics. Below we drill into the details of whether Dynamics 365 Business Central (made for SMB & SMC market) or Dynamics 365 Finance & Operations (made for Enterprise market) is a better fit for your organization.

Microsoft Dynamics 365
Business Central

Dynamics 365 Business Central
  • Small to midsize organizations
  • Available in:
    • 38 countries,
    • partner localizations,
    • 24 Languages
  • Deployment: 1-8 months
  • Vertical-industry capabilities available through Partner Network
  • Thousands of transactions
  • Only available through a CSP
  • Licensing –
    • Full $70/$100,
    • Team $8,
    • Device $40
  • No user min
  • Multi-companies are handled with separate companies. No cross-company data sharing. Intercompany is available
  • IT guy

Shared
Functionalities

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Cloud or On-Premise

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Multiple Currencies

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Multiple Companies

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Microsoft 365 Integration

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Power Platform Capabilities

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Microsoft Dynamics 365
Finance & Operations

Dynamics 365 Finance & Operations
  • Multinational midsize to large enterprises.
  • Available in:
    • 140 countries,
    • 40 localization,
    • 24 Languages
  • Deployment: 6-18 months
  • Multiple vertical
    -industry capabilities OOB
  • Hundred-thousands of transactions
  • Available through MS Volume Licensing and CSP
  • Licensing –
    • Full $180,
    • Activity $50,
    • Team $8,
    • Device $75
  • 20 user min
  • Operate multi-company within 1 database with shared tables across organizations
  • IT department

More Differences | Diving Deeper

Financial Management

All Dynamics 365 Functionalities

Dynamics 365 F&O

Dynamics 365 BC

General Ledger
Accounts Payable
Accounts Receivable
Cash & Bank Management
Credit and Collections
Fixed Assets
Electronic Funds Transfer
Financial Consolidations
Financial Reporting
Global Electronic Reporting
Cost Accounting
Revenue Recognition
Multi-Currency
Dual Currency / Triangulation
Audit and Compliance
Multi-Entity
Tax
GST/VAT
Allocations
Cash Flow Forecasting
Finance Charges / Interest
Company Hierarchies
Deduction Management
Document Capture
Multiple Chart of Accounts
Journal Approval Workflows
Recurring Journals
Intrastat Journals
Payment Terms and Schedules
Dunning
Bank Statement Reconciliation
Positive Pay
Multiple Depreciation Methods
Multiple Posting Layers
Multiple Financial Calendars
Intercompany Journals
Statistical Accounts
Payment Run Management
Electronic Payments
Deposit Slips
Letters of Guarantee
Letters of Credit
Multiple Asset Books
Bill of Exchange
Collection Letters
Vendor Aging
Customer Aging
Financial Dimensions
Budget and Forecast
Budget Control

Supply Chain Management

All Dynamics 365 Functionalities

Dynamics 365 F&O

Dynamics 365 BC

Warehouse Management
Inventory Management
Batch and Serial Tracking
Transportation Management
Quality Management
Intercompany Planning
Intercompany Transfers
Inventory Costing
Demand Forecasting
Catchweight Management
Multiple Units of Measure
Multi-Site
Multi-Warehouse
Batch Attribute Management
Intercompany Sales
Potency Management
Cross Docking
Warehouse Replenishment
Route Management
Freight Calculation
Freight Bill Reconciliation
Transfer Orders
Returns Management
Cycle Counting
Mobile Handheld
Inventory Picking
Inventory Putaway
Load Planning
Dock Scheduling
Worker Wave Management
Item Traceability
Batch Tracking
Serial Number Tracking
Warehouse Location Tracking
Consignment Inventory
TAG Cycle Counting
Certificate of Analysis
Certificate of Supply
Multiple Inventory Statuses
Quality Orders
Quality Hold
NMFC codes
LTL classes
Container Management
Load Building
Shipment Appointment Management
Shipment Building
Carrier Management
Harmonized Tariff Schedules
Fuel Indexes
Global Customer & Vendor

Procurement and Sourcing

All Dynamics 365 Functionalities

Dynamics 365 F&O

Dynamics 365 BC

Requisitions
Request for Quote
Vendor Onboarding
Purchase Order Management
Vendor Collaboration
Vendor Portal
Purchase Agreements
Purchase Discounts
Purchase Tax
Intercompany Purchases
Purchase Planning
1099
Vendor Change Management
Purchase Order Change Management
Purchase Trade Agreements
Vendor Catalogs
External Vendor Punch Out
Vendor Management
Blanket Purchase Orders
Purchase Quotes
Purchase Returns Management
Vendor Discount Groups
Vendor Rebates
Purchase Credit Memos
Authorized Vendor Product List
Asset Capitalization
Vendor Certifications
Vendor Rating
RFQ Response Ranking
Attribute-Based Pricing
Invoice Matching Policies
Promissory Notes
Payment Fees
Broker Contracts
Royalty Management
Foreign Currency Revaluation

Sales Order Management

All Dynamics 365 Functionalities

Dynamics 365 F&O

Dynamics 365 BC

Sales Quotations
Sales Order Processing
Product Configurator
Pricing
Sales Agreements
Rebates
Discounts
Sales Tax
Intercompany Sales
Delivery Date Management
Direct Delivery Management
Return Order Management
Customer Change Management
Trade Promotions
Multiple Ship To / Bill To
Commissions
Customer Management
Order Promising
Available to Promise
Capable to Promise
Order and Item Charges
Blanket Sales Orders
Marketing Fund Management
Customer Price Groups
Product Family Pricing
Sales Analysis Dashboards
Bill backs
Smart Rounding
Credit Card Integration
Attribute-Based Pricing

Product Information Management

All Dynamics 365 Functionalities

Dynamics 365 F&O

Dynamics 365 BC

Product Master Data Management
Product configuration modules
Attribute Management
Dimension and variant management
Product Change Management
Product Compliance
Multiple Units of Measure
Standard Costing
Product Dimensions
Product Category Hierarchy Management
Restricted Product Regions
Product Safety Data Sheets
Service Items
Inventory Items
Expense Items
FIFO/LIFO/WAC/BATCH Costing

Human Capital Management

All Dynamics 365 Functionalities

Dynamics 365 F&O

Dynamics 365 BC

Employee Management
Skills, Competencies & Certifications
Position Management
Job Management
Employee Self-Service Portal
Benefits Management
Course Management
Loaned Items
Questionnaires
I-9 Document Management
Worker Goal Management
Absence & Leave Management
FMLA Cases
Injury & Illness Management
Compensation Management
Recruitment Projects
Applicant Management

Customer Relationship Management

All Dynamics 365 Functionalities

Dynamics 365 F&O

Dynamics 365 BC

Contact Management
Opportunity Management
Lead Management
Campaigns
Prospect Management
Task & Activity Tracking
Outlook Integration
Segmentation
Call Lists
Sales Territory Management
Case Management
Salesperson Management

Project Accounting

All Dynamics 365 Functionalities

Dynamics 365 F&O

Dynamics 365 BC

Capital Projects
Time & Materials Projects
Resource Scheduling
Billing & Invoice Rules
Revenue Recognition
Milestone billing rules
Work Breakdown Structures
Cost & Effort Tracking
Project Quotations
Grant Management
Resource Capacity Management

Manufacturing

All Dynamics 365 Functionalities

Dynamics 365 F&O

Dynamics 365 BC

Discrete Manufacturing (Route & BOM)
Process Manufacturing (Formula & BOM)
Lean Manufacturing (Kanban)
Kanban Boards
Master Planning
Job Scheduling
Manufacturing Execution
Product Costing
Resource Management
Capacity Planning
Outsourced Manufacturing / Subcontractors
Safety Stock Management
Production Sequencing
Shop Floor Interface

Retail

All Dynamics 365 Functionalities

Dynamics 365 F&O

Dynamics 365 BC

Point of Sale
Merchandise Operations
Order Management
Staff and store Management
Product information Management
Retail Analytics
Consumer Mobile Application
Distributed Order Management
Coupons
Loyalty Cards
Kitting/Assemblies
Product Assortments
Channel Management
Call Center Management
Call Center Scripts
Fraud Checking
Continuity Orders
Installment Orders

Service Management

All Dynamics 365 Functionalities

Dynamics 365 F&O

Dynamics 365 BC

Service Agreements
Service Contracts
Work Orders
Resource Scheduling
Repair Tracking
Service Item Management
Service Contract Quotes
Service Subscriptions
Service Object Management

Time & Expenses

All Dynamics 365 Functionalities

Dynamics 365 F&O

Dynamics 365 BC

Expense Report Management
Time Sheet Management
Travel Requisitions
Workflow Approval
Time & Expense Policies
Credit Card Import
VAT/GST Reclamation
Pre Diems and Mileage
Employee Payments

System

All Dynamics 365 Functionalities

Dynamics 365 F&O

Dynamics 365 BC

Role-Based Security
Azure AD Authentication
Segregation of Duties
Electronic Signatures
Database Auditing
User-Based Alerts
Business Workflows
Document Management
Mobile Client
Microsoft 365 Integration
Document Management
Workspaces