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Dynamics 365 Editions
Business Edition vs. Enterprise Edition

Microsoft Dynamics 365

Liberating Customers From Traditional Business Apps Licensing

Microsoft has reinvented their approach to pricing and packaging with the new Dynamics 365 offering, as it will offer 2 versions of the Dynamics 365 product:

  1. Business Financials (SMB)
  2. Enterprise

Each edition has a set of purpose built applications like Operations, Sales, and Customer Service.  Dynamics 365 offers customers the flexibility to grow at their own pace and expand into additional capabilities with ease to run their entire business in the Microsoft Azure cloud.

Dynamics 365 Business Edition (small business 1-99 employees)

Dynamics 365 Business Financials Edition is a comprehensive business management solution for growing companies with roughly 10 to 100 employees. These are companies that need more than the simple financial and accounting tools they started with, but aren’t yet ready to make a big investment in a customized enterprise resource planning (ERP) system. Without sacrificing ease of use or speed of setup, Dynamics 365 offers a fully powered business management solution in the cloud, with capabilities spanning financials, dimensions, sales and purchase management, inventory, CRM (opportunity management), multi-currency, and business insight.

Dynamics 365 Licensing Types

Dynamics 365 Enterprise Edition (100+ employees)

The Enterprise tier will include a total of eight apps that can be combined into two different plans. Those apps include Dynamics AX, which is going to be regarded as a single “Operations” app, five apps representing most CRM-related capabilities including Field Service, and PowerApps and Flow.

The two Enterprise plans are identical except for the use of the Operations (aka, New AX) app. And the non-Operations plan includes tiered pricing, with discounts for higher seat counts. There is no tiered pricing for the plan that includes Operations modules.

The five apps that make up the components of Dynamics CRM will be: sales, marketing, customer service, field service, and project service automation. Field service, based on the FieldOne acquisition, and project service automation are already offered as more or less standalone or add-on capabilities.

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There are 2 ways to license Dynamics 365 – by application or by personalized role.

  • Traditionally software has been licenced by application – traditionally designed around departmental needs. Microsoft’s application based licensing supports this traditional model.
  • Role-based licensing is designed to help customers to support their employees and the real world roles they fill.  For example, Account Managers do a better job when they can see the latest Customer Service tickets and outstanding invoices. Role-based licensing provides users with full usage rights to PowerApps and Microsoft Flow to compose new apps and easily extend and modify existing ones.

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Role-based  licensing improves ROI as companies pay once for access to the capability they need regardless of which application it resides in.  This is unique as competitive ERP products require customers to buy licenses for multiple different apps – resulting in 2-3x increased cost.

Team Member License

Dynamics 365 licencing is also designed to be inclusive – to meet the needs of employees who may not need to be full users of any business application or traditional “read-only users (i.e. what traditional Microsoft Dynamics customers would refer to as Limited Users or Employee Self Service Users).  On a day-to-day basis, these employees need to book travel, change their personnel information, update a customer record, or review sales data.   Dynamics 365 offers a Self Service option to enable these employees to perform these tasks themselves instead of relying on an Office Manager or someone else to have to manually input this information after receiving an email, excel file, etc.



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