Migrating from Dynamics 365 On-Premise to The Cloud

With many organisations and technology vendors taking a cloud-first approach, many Dynamics 365 on-premise users are considering cloud migration to future-proof their business. This blog explores some of the key differences users can expect when moving to the cloud.

The author of this page: Gerry Canning
Gerry Canning, D365 and Power Platform Pre-Sales Lead Nov 22, 2023

CRM solutions are designed to help businesses easily streamline customer data for easier account management, customer service and marketing activities. CRM solutions are often central to the daily tasks of the sales team, helping them to build stronger customer relationships while increasing productivity, and revenue as well as tracking important business metrics. According to Finances Online, CRM software can boost sales by 29% and productivity by 42%. However, when organisations decide to implement or upgrade a CRM solution, they must not only decide which solution but they must also consider the deployment options and how they will impact their business.

One main contender in the CRM space is Microsoft, recently named a leader for the thirteenth consecutive year in Gartner’s Magic Quadrant for Sales Force Automation Platforms. Microsoft’s Dynamics 365 continues to earn them this status. For this solution, there are two options for deployment, on-premise and cloud deployment. Whether an organisation opts for an on-premise or a cloud deployment heavily depends on the organisation's unique requirements. However, with many organisations and technology vendors adopting a cloud-first approach and investing in primarily cloud-based technology, it seems that embracing the cloud is a question of when rather than if for those who want to keep up with the competition.

Below we explore some of the key differences users can expect when migrating to the cloud version of Dynamics 365.

Solution Deployment

The deployment on the cloud version of Dynamics 365 is much quicker than the on-premise version. With an on-premise deployment, organisations must gather the necessary servers to maintain the software. Opting for cloud deployment can help organisations get up and running in a matter of days depending on the different business requirements. Deploying on the cloud eliminates the cost of a larger upfront investment and is replaced with a monthly subscription-based model.

Cost of Maintenance

Deploying Dynamics 365 in the cloud will eliminate maintenance costs for organisations. With the solution being cloud-based, the maintenance is the responsibility of the provider. There are also automatic updates which also eliminate the cost of upgrading the software as needed. When deploying on-premise, there is the cost of maintaining your own servers and upgrading the software.

Ease of Scalability

Organisations using the cloud version of Dynamics 365 can easily scale the solution up or down at any time. Business requirements can change and it makes things much easier when technology can easily adapt. Scaling in line with growth when using an on-premise solution can often mean investing in new servers, making it a longer and more difficult process.

Data Backup & Disaster Recovery

Backing up data is an essential task for organisations and opting for a cloud-based can help make this easier. Cloud deployment can help organisations by automatically backing up data ensuring no important information gets lost and removing the need for organisations to worry about safeguarding their own servers. Further, cloud-based Dynamics 365 has robust disaster recovery features to help organisations bounce back from planned o unplanned outages with minimal disruption with a 99.9% uptime guarantee.

Ease of Integration

Another key difference between on-premise and cloud deployment is the ease of integration. With a lot of business solutions being cloud-based or planning on becoming cloud-based soon, integration with cloud-based Dynamics 365 is more seamless. Dynamics 365 on the cloud integrates particularly well with other cloud-based Microsoft products that help enhance users' experiences. Apps like Power BI, SharePoint and Outlook are just some common integrations allowing users to consolidate all data and set up automations between apps to streamline productivity.

These are some of the key differences that businesses should consider when deciding whether to migrate from an on-premise version of Dynamics 365 to the cloud version. While there may be some organisations who are not yet ready to fully embrace the cloud, many organisations are already future-proofing their business with cloud technology, read about one of our client’s stories here.

If you want to discuss your migration to cloud-based Dynamics 365, get in touch to speak to an expert.

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