Microsoft redefines Dynamics 365 licensing

Last week, at their Inspire 2019 event, Microsoft released details of changes to the Dynamics 365 for Finance and Operations (D365FO) application licensing.

Starting from 1st October 2019, the applications will be split into separate Supply Chain Management and Finance options. This move comes as part of a new approach, Customer Engagement and Unified Operations, which offers the ability to assign specific combinations of applications to various users.

The alteration will see the introduction of a new per-app pricing structure, allowing businesses to bundle multiple applications from the existing options.

Microsoft’s Ken Tracey said: “For about 95 percent of users, you would be looking at a ten percent or less impact. And when you net it out over all the users that a typical customer has, it is going to be a single digit impact”. The current ‘Unified Operations’ will now become four separate applications:

• Finance
• Supply Chain Management (SCM)
• Talent
• Retail

Up until the change, Finance and SCM were combined within D365FO. Here is the breakdown of the alignment within the new licensing structure: