Microsoft Dynamics 365 Online vs On-Premises

Microsoft Dynamics 365 Online vs On-Premises

When you are first getting started with Microsoft Dynamics 365, you are given two version options, Microsoft Dynamics 365 Online vs On-Premises.

You may also be considering a transition from Microsoft Dynamics 365 On-premises to Online if you’re reading this post.

While Microsoft Dynamics 365 is urging users to move to the cloud, there are still benefits of On-premises worth considering and comparing as you get started with a CRM implementation or transition.

With Microsoft Dynamics 365 Online, users realize many features, benefits, and functionality they don’t get with On-premises. There is a different licensing model for each of these solutions.


Moving to the cloud will help you:

  • Improve security and enable system compliance
  • Reduce costs over time
  • Promote teamwork
  • Spur innovation
  • Bring all of your data together
  • Free up I.T. resources/time and simplify I.T. management
  • Adapt to the changing marketplace
  • Increase collaborations and productivity
  • Open your organization up to do more
  • Boost seller results
  • Improve customer service processes
  • And much more

By moving to the cloud, users will avoid support and data center costs.

Reports from Forrester Research showed that when organizations moved from On-premises to the cloud there was:

  • 7% TCO reduction
  • 63% ROI
  • and 10 months payback period

Users who implemented or stuck with Microsoft Dynamics 365 On-premises showed some benefits, having more control over upgrades to the system, not requiring a fast internet speed to access the technology, and being able to use existing investments in hardware and I.T. resources.

The main differences between Microsoft Dynamics 365 On-premises and Online boil down into the following…

Microsoft Dynamics 365 Online vs On-Premises

Microsoft Dynamics 365 Online vs On-Premises


Do you need help evaluating Microsoft Dynamics 365 Online vs On-Premises based on your own unique goals and needs? Reach out to the experts at Ledgeview Partners for assistance.

We are excited to help you evaluate your needs to find the best CRM solution for your organization.

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