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

***
Multiple Currencies

***
Multiple Companies

***
Microsoft 365 Integration

***
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 ■