When selecting the right ERP solution, the decision between Dynamics 365 Business Central and Dynamics 365 Finance & Operations (F&O) often centers around organization size, budget, and operational needs. While both are powerful platforms, Dynamics 365 F&O often comes with challenges that can hinder a business’s operational efficiency, drain resources, and make things more complicated than they need to be.
Here’s why sticking with Dynamics 365 Business Central is a more strategic choice for mid-sized businesses and why relying on Dynamics 365 F&O might create more issues than it resolves.
1. Financial Strain
Budget is a significant factor for most companies choosing an ERP solution. Dynamics 365 Business Central offers a much more accessible implementation range of $30,000 to $500,000. In contrast, the cost for Dynamics 365 F&O can easily reach $1 million to $18 million. This is unrealistic for businesses that need to maximize every dollar of their investment. Business Central’s affordability allows companies to leverage ERP benefits without sacrificing other critical projects.
2. Learning Curve
Dynamics 365 F&O is geared toward large enterprises. It comes with a steep learning curve and complex functionalities that require substantial training and experience. For small to mid-sized organizations, this often means extensive onboarding efforts and a slow user adoption rate which leads to productivity loss. Business Central, on the other hand, is streamlined for simplicity. With an intuitive, user-friendly interface, teams can quickly learn and start utilizing the system and quickly drive productivity.
3. Limited Scalability
While Dynamics 365 F&O may seem appealing with its advanced capabilities, Business Central offers the same scalability. However, its approach suits businesses looking to grow without incurring excessive costs. It easily integrates with other Microsoft products and supports growing businesses – without the overhead that comes with Finance & Operations. This scalability without complexity makes Business Central a solid investment for evolving companies.
4. Long Implementation Timeline
One of the most significant drawbacks of Dynamics 365 F&O is its lengthy implementation time. It often extends up to 18 to 36 months. This timeline disrupts business operations and delays ROI, and creates difficulties for companies that need an ERP up and running within a year. Dynamics 365 Business Central, with a much shorter implementation timeline of 4 to 7 months, ensures faster ROI and minimal disruptions to business operations.
5. Difficulty Integrating with the Microsoft Ecosystem
While both Dynamics 365 F&O and Business Central are Microsoft products, Business Central’s integration with the broader Microsoft ecosystem is smoother and more straightforward. It works seamlessly with tools like Office 365, Teams, and Power BI, streamlining data flow and boosting productivity. For businesses already utilizing Microsoft applications, Business Central allows for a more cohesive and accessible user experience which maximizes the value of existing tech investments.
6. Overwhelming Features
Dynamics 365 F&O comes packed with Tier 1 ERP features designed for massive enterprises with highly complex operations. For mid-sized companies, these extensive capabilities are not only unnecessary but can overwhelm users and clutter daily processes. Business Central focuses on core ERP features such as financial management, supply chain management, and sales. It offers exactly what mid-sized businesses need without the overwhelming complexity.
7. High Cost of Ownership
Dynamics 365 F&O comes with long-term maintenance requirements, customizations, and heavy system upkeep – all driving up the total cost of ownership. Business Central’s streamlined architecture, on the other hand, requires fewer customizations, lower ongoing maintenance, and less frequent costly upgrades. Businesses that want a predictable, manageable ERP budget will benefit more from Business Central.
Say ‘No’ to Dynamics 365 F&O
Choosing the right ERP platform impacts your current operations as well as the future scalability and efficiency of your business. Dynamics 365 Business Central offers an affordable, user-friendly, and scalable solution. It meets essential operational needs without the excessive complexity and cost of Dynamics 365 Finance & Operations.
With more than 20 years of experience in ERP implementation, migration, upgrades, and providing ongoing support, 360 Visibility is here to help you make the best choice for your business. Connect with us today to learn more about Dynamics 365 Business Central and discover how our team can support your ERP journey, from setup to success.