Microsoft Dynamics 365 On-Premises vs Cloud
Find a simplified comparison of the core functionalities, technicalities, and usability of D365 on premises or cloud deployment.
Dynamics 365 On-Premises Vs Cloud: Which one is for you?
No doubt, the applications of the Dynamics 365 suite have no match in terms of performance, user interface, effectiveness, or scalability.
The best part about Microsoft's top business applications is that they offer flexible deployment options: cloud, on-premises, and hybrid.
Here is the major question you might want to ask: which deployment option suits your business?
To get the best answer capable of accelerating your business to new heights, you need to understand your business requirements. All businesses are unique and run on different methodologies to offer the best to their customers.
Note: With the major update released in 2016 until now, more than 60% of businesses have moved to the cloud with the D365 cloud option.
Once you have knowledge about your business and its requirements, you can proceed with comparing D365 on-premises and cloud options.
Isn't this simple?
Why you Should Compare Microsoft Dynamics 365 on-premises vs cloud?
If you are looking for the perfect deployment option that supports your business, you should compare different options.
First, you need to understand your business requirements and predict the upcoming demands of your business. Once you have the core details about your business, proceed to compare different options and choose the best that comes with cost-effectiveness, practicability, and reliability.
Don't feel pressured. The team at Dynamics Square is available to help you choose the best working solution for your business.
Dynamics 365 On-Premises
The Dynamics 365 on-premises deployment option is hosted on a customer's personal data centre. It can only be accessed within company premises, making the entire system free from malware and cyberattacks.
Dynamics 365 Cloud (Online)
The Dynamics 365 cloud (online) deployment option is hosted on Microsoft-owned cloud servers (Azure) or third-party cloud servers. Based on a monthly subscription licence, the solution can be accessed globally with data security from the cloud provider.
Avail Continuous Support for your Business Beyond Implementation!
Join hands with a cost-effective D365 Marketing implementation partner today and avail support beyond it.
Microsoft Dynamics 365: Best Deployment Options for Businesses.
On Cloud
Best for SMBs and works on monthly licence model.
On-Premises
Best for large organisations and Govt. agencies with highly confidential data.
Hybrid
Best for complex industries with uneven business requirements.
Microsoft Dynamics 365 Cloud Deployment
The cloud is the advanced deployment choice for modern businesses that are looking for agility and easy scalability. Based on our data, 90% of Dynamics 365 on-premises users are willing to move to the cloud, and more than 60% have already opted for it.
Microsoft Dynamics 365 On-Premises Deployment
We have been using on-premises deployment to run our business solution for years and are pretty much used to its functionalities. It is a secured database with complete control over the data and the way it is managed.
Dynamics 365 On-Premises Vs Cloud
The below comparison table will empower you to precisely understand and decide the best deployment option for you based on your business requirements.
| Key-Capabilities | Microsoft Dynamics 365 Cloud (Online) | Microsoft Dynamics 365 On Premise |
|---|---|---|
| Cost Model | Monthly subscription | High investment |
| Data Server | Data stores in Microsoft Azure | Data stores in in-house servers |
| Data Accessibility | Using application program interface (API) or report connectors | Full access |
| Storage Space | 5-GB (additional 2.5-GB for every 20 licenses) | Based on company servers |
| System Administration | Microsoft manages the system infrastructure | Requires internal IT team or vendor for maintenance |
| Deployment | Rapid and seamless | Time taking and complicated |
| Hardware Requirement | No additional hardware required | Might need additional servers to operate |
| Maintenance Expenses | None | High maintenance cost |
| Connectivity | Reliant connectivity with 99.99% Uptime SLA's supported by Microsoft | No internet required (100% in-house) |
| System Updates | Updates (both minor and major) rolled out consistently | Minor updates can be held back until the next major release |
| Mobility | Applications available for offline access | Applications available for offline access |
| Flexibility | Higher flexibility through integrated redundancy capabilities | Hardware dependent and its expensive to install redundant server for back-up |
| Data Visualisation | Advanced using Power BI | Not Available |
Avail Continuous Support for your Business Beyond Implementation!
Join hands with a cost-effective D365 Marketing implementation partner today and avail support beyond it.
Dynamics 365 Finance On-premises Vs Cloud
| Feature | Cloud | On-premises |
|---|---|---|
| SOC 1 Type 1 Certification | Yes | No |
| Live Help | Yes | No |
| Integration with LCS, SharePoint, Power BI, and RCS | Yes | No |
| Integration with Power BI Desktop | No | Yes |
| Configurable Business Process | Yes | No |
| Task Recorder | Yes | No |
| Payroll -Direct Deposit | Yes | No |
Dynamics 365 Supply Chain Management On-Premises vs Cloud
| Feature | Cloud | On-premises |
|---|---|---|
| Cost accounting for Power BI and Mobile App | Yes | No |
| SOC 1 Type 1 Certification | Yes | No |
| Data Management via extension | Yes | No |
| Live help support | Yes | No |
| Demand forecasting | Yes | No |
| Vendor collaboration | Yes | No |
| Task Recorder | Yes | No |
Dynamics 365 Human Resources isn't available with on-premises server deployment.
Transform and digitalize your business to create a monopoly in the market
It’s high time you considered cloud deployment to supercharge your business growth with the minimum investment.
It might be tough for you to decide the best deployment for your business. In such a case, the experts at Dynamics Square are available to help you out and show you the right path. Our expert opinion can lead you to great success and a profitable business.
If you're a Dynamics on-premises customer today, then you're already cloud-ready.
The cloud implementation can empower you to avail cutting-edge technology, manage costs, eliminate complexities, and improve overall IT productivity.
To make an informed decision on the right option for you, understanding the differences is crucial. Therefore, below we have created an infographic to highlight the key features of each approach
