Written by sai-vignesh » Updated on: March 17th, 2025
Change to Dynamics AX to Dynamics 365 to reap transformative benefits like cost reductions along with increased capacity and scalability. the power of AI to automate. Find out why companies make the move and how it could improve efficiency. Learn more here!
What are the reasons to upgrade from Dynamics AX to Dynamics 365?
On first sight, Microsoft Dynamics 365 may look like Dynamics AX in terms of capabilities. Both of them help businesses handle finances and operations, streamline processes, and integrate data across different sites. But, Dynamics 365 introduces a cloud-based AI-driven system that improves efficiency, reporting, as well as scalability.
Moving AX to D365 does not only involve transfer of data or configurations; it's an essential change that improves processes for business in the new digital era.
Key Benefits of Upgrading to Microsoft Dynamics 365
1. Cost Efficiency
Transferring from the on-premises Dynamics AX to the cloud-based Dynamics 365 eliminates hardware costs as well as server maintenance as well as IT-related overhead. A subscription model based on SaaS that allows organizations to pay for each user, which significantly reduces the overall cost.
2. Improved Scalability & Flexibility
Dynamics 365 enables businesses to grow quickly by taking advantage of cloud-based applications. Through integrated AI, Power Platform integration, and tools for automation that allow companies to customize their processes with no complicated coding or expensive customizations.
3. Enhanced Security & Compliance
Microsoft's cloud infrastructure is top-of-the-line in terms of security, backups that are automatic, and compliance with all global rules on data protection, thus reducing the chance of data breach as well as downtime.
4. Business Continuity and Accessibility
With Dynamics 365, it is possible to access vital business information from any time, from any device. This makes sure that operations run smoothly even in the event of unexpected disruptions.
5. seamless integration with Microsoft Ecosystem
D365 works natively with Microsoft tools like Power BI, Power Automate, Teams, and Office 365, which enhances the capabilities of collaboration and analytics across all departments.
6. Automatic Updates & Feature Enhancements
In contrast to AX, which requires manually updated software, Dynamics 365 offers continuous enhancements through automated updates, making sure that businesses are at the forefront in the field of technology.
Migration Method: How to move between Dynamics AX and Dynamics 365
1. Assess Your Current AX Environment
Review your current Dynamics AX setup, including adjustments, data, and connections, in order to decide which is the most efficient method for migration.
2. Choose the Right Migration Strategy
Upgrade Method: If you're on AX 2012 R2/R3, it is possible to do an upgrade directly up to Dynamics 365.
Reimplementation older versions (AX 2009 or prior) need a new implementation in order to guarantee optimal efficiency and utilization of features.
3. Data Migration and Customization Analysis
Determine which reports, data, or customizations should be transferred. Make use of Microsoft's upgrade tools in order for a smooth transition.
4. Deploy & Test in a Sandbox Environment
Before going live, test the new system using an environment that is sandbox-like to test authenticity of the data, user experiences, as well as integrations.
5. Train Employees and Go Live
Train employees in order to increase their adoption and efficiency prior to officially converting to Dynamics 365.
How Long Does the Upgrade Take?
Timelines for migration vary depending on various factors, including:
The difficulty of your current AX configuration
Customizations and volume of data
Integration needs with applications from third parties
An average upgrade could take between a couple of weeks up to several months, according to your needs.
Cost Considerations for Upgrading to Dynamics 365
Costs are based upon:
Type of licensing (per-user/monthly subscription)
The scope of data migration
Requirements for integration and customization
Needs for training and support
Businesses that are members of the Microsoft Software Assurance plan may get a discount on upgrade prices.
Why Choose Dynamic Netsoft for Your AX to D365 Migration?
We are Dynamic Netsoft; we specialize in smooth Microsoft Dynamics 365 migrations. Our knowledge of ISV solutions as well as our deep knowledge about Dynamics 365 Finance and Operations will ensure smooth and seamless transitions with the least interruption.
Our Services Include:
Analysis of upgrades from end-to-end
Assessment of cloud readiness
Data migration & integration
Optimizing customization
Support for post-migration training and user training
Make the switch your system to Dynamics 365 with confidence! Get in touch with us now to find out about how Dynamic Netsoft can assist you to make your transition easier.
Go to Dynamic Netsoft for professional advice for the Dynamics AX transformation to D365 conversion.
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