December 18, 2024
Summary: Explore why an organization needs to upgrade to Dynamics Finance & Operations from Microsoft Dynamics AX to achieve operational excellence. Upgrading ensures access to advanced features, improved functionality, and seamless data migration so that it can stay competitive and efficient.
Upgrade to Dynamics 365 Finance and Operations from Dynamics AX to Enhance Operations
Organizations of any size spend 60 to 80% of their budget on maintaining the old legacy system (Softjourn). All organizations that are using outdated ERP systems like Microsoft Dynamics AX need to upgrade to Dynamics 365 Finance and Operations. This upgrade will help them modernize their current infrastructure and boost its efficiency.
In addition, it will allow them to get advanced functionality, superior architecture and a unified platform to level up operations. Any organization that wants to expand its business processes needs to get multi-country capabilities should embrace D365 F&O and leave its legacy ERP software to stay competitive in this competitive era.
But, multiple organizations are still relying on their outdated ERP software due to various reasons like limited budget, business disruption issue, vendor lock-in, compatibility issues, etc. There is a solution for these organizations to take the load off their shoulder as we have mentioned a solution and why they should go for it.
So, let’s begin our blog by understanding the basics first!
What is Micrsoft Dynamics AX?
Developed by Microsoft, Dynamics AX is ERP software designed to enable organizations to manage all their business processes & streamline operations. This software helped organizations to boost their financial activities. It was able to automate and optimize all business processes to improve efficiency & productivity through better ROI.
In 2021, Microsoft ceased its support of AX (Axapta) as it was focusing more on Microsoft Dynamics F&O. When operational, this ERP software was able to serve organizations across multiple industries. However, Microsoft now says that customers using this software should upgrade to D365 F&O to access multiple features.
What is Microsoft Dynamics 365 Finance and Operations?
Developed by Microsoft, Dynamics 365 Finance and Operations is a cloud-based ERP software. This software suits the needs of large and well-established organizations by providing an automated accounting system, AI-based reports & responses, and integrated processes to minimize the effort of the resources.
It allows an organization to keep track of its finances. Moreover, it is recommended, due to its feature-rich and modern capabilities, to meet the business challenges of today.
Also, F&O is a well-integrated solution with all enterprise-level solutions to provide the feasibility of accumulating the operations of other customs or small software. When implemented, it will eliminate the requirement of integrating other applications. This software is popular in Manufacturing, finance, wholesale distribution, professional services, healthcare, Import/Export, Projects & Plans, etc.
It is popular because it eliminates the requirement of integrating with other apps and reduces the cost of resource consumption. Now that you know the basics of AX (Axapta) and F&O. So, let’s move further!
Why Should You Upgrade to Dynamics for Finance and Operations from Dynamics AX?
Organizations will gain multiple benefits after upgrading their outdated AX ERP Software to F&O. In addition, there are certain reasons due to which this migration is recommended. A few of them are given below:
- Since October 2021, Microsoft has discontinued its support for Dynamics AX. Any organization using AX should migrate their workloads to F&O as it provides an upgrade path.
- Unlike F&O, AX (Axapta) was unable to manage complex business operations related to Financials. This limitation led to inefficiencies, making it difficult for businesses to achieve seamless financial integration.
- Microsoft Dynamics AX doesn’t support resolution of modern-day business challenges. Moreover, it has become difficult to customize it according to current business challenges.
- Axapta is not able to access and use Microsoft Copilot—a productivity tool that automates repetitive tasks. It makes an organization stay behind the competition in this digital age.
- AX is majorly on-premises and only one of its environments (R3) support cloud migration. Other environments are unable to work on clouds, which limits the scalability of this ERP software.
Dynamics 365 Finance and Operations
| Financial Management | Supply Chain Management |
|---|---|
| General Ledger and Chart of Accounts | Inventory Management |
| Accounts Payable and Receivable | Procurement and Sourcing |
| Cash Flow Management | Warehouse and Transportation Management |
| Budgeting and Forecasting | Demand Planning and Forecasting |
Benefits of Upgrading from AX (Axapta) to D365 F&O
If an organization plans to upgrade your legacy ERP software—AX (Axapta), selecting Dynamic 365 for Finance and Operation is the right choice.
Confused due to lots of available options? Let me help you by providing a few of the impactful benefits of D365 F&O.
Cloud Capability
Dynamics 365 F&O helps due to its cloud-based architecture that provides scalability and flexibility. It allows organizations to grow without installing additional hardware investments. This feature is suitable for an organization with a lot of variation in financial and supply chain-based transactions.
Automatic Updates
The cloud-based nature of Dynamics 365 F&O ensures that updates and new features are deployed seamlessly, without the need for manual installations or disruptions. This continuous improvement cycle means businesses always have access to the latest advancements and security updates which enhance operational efficiency and security.
Enhanced Security
This ERP software is well-known for helping organizations to get utmost security. This security protects their data from getting leaked. Moreover, no unauthorized personnel can access F&O apps due to robust protection like role management and individual security permission. Additionally, Dynamics 365 Finance & Operations employs advanced encryption methods for data both at rest and in transit, ensuring that all information remains confidential and secure.
Better Compatibility
Moving to D365 F&O is convenient for organizations because it enables them to access it from any device. Moreover, it doesn’t matter which browser and OS they choose, the organization’s stakeholders & employees can easily access and use their data. The software is designed to be compatible with various devices, ensuring seamless access whether using a desktop, laptop, tablet, or smartphone. This high level of compatibility promotes flexibility and productivity in an organization.
How NavisionIndia can help you migrate from Dynamics AX to D365 F&O?
NavisionIndia, a leading Microsoft solution provider, helps organizations upgrade and get support services. Organizations can make their ERP software ready to meet the modern-day challenges in finance & operations. It makes them maximize their ROI by eliminating bottlenecks in their operations.
NavisionIndia works by understanding the business requirements, model, and common pain points. After this, our experienced professionals create a roadmap that helps organizations know the perfect solution that will solve their problems. Organizations will be able to increase their efficiency which results in streamlined operations.
Conclusion
Organizations suffering from the problem of having Dynamics AX, legacy software, need a robust solution. This solution should work without disrupting the business operations and migrate data from AX to Dynamics 365 Finance and Operations. If your organization is also facing the same problem, get in touch with the experienced Microsoft consultants of NavisionIndia.