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Dynamics 365 Business Central vs Finance & Operations

ERP systems act as a catalyst for business growth as they streamline business processes and enable informed decision-making. Looking at their importance the market is brimming with ERP software from established players; however, very few boost a track record like Microsoft ERP systems.

Dynamics 365 BC & Dynamics Finance & Operations  

Microsoft currently offers two ERP systems:

  • Dynamics 365 Business Central
  • Dynamics 365 for Finance and Operations

Microsoft calls Dynamics 365 Business Central a new-age software application that offers the enhanced capability and an all-in-one solution to manage finances, sales, and customer service. Dynamics 365 Finance & Operations (Now Dynamics 365 Finance & Supply Chain), on the other hand, is a cloud-based solution to deal with end-to-end business operations such as distribution, retail, and production.

Thus, choosing between the two ERP systems in its suite of Dynamics 365 products for your business isn’t easy and requires a deep understanding of Microsoft products and ERP knowledge.

What is Microsoft Dynamics 365 for Finance & Operations?

Dynamics 365 for Finance & Operations is widely renowned as Microsoft’s most advanced ERP solution. It is designed to streamline business process transformation efforts across market segments.

Dynamics 365 F&O Features

  • Agile and efficient automation of operations that helps in production planning and cost management. Businesses are thus able to quickly adapt to the growing market demands and drive business growth.
  • Provides real-time information to sales agents, empowering them to extend immediate and personalized service across customer touchpoints.
  • Being cloud-based ensures anywhere, anytime access to data, allowing CSRs to deliver uber customer experiences across channels.
  • Offers sophisticated dashboard reporting and data analytics for informed business decisions.
  • Seamlessly integrates into Office 365 applications and other Microsoft productivity tools such as PowerApps and Flow, optimizing productivity.


What is Microsoft Dynamics 365 Business Central?

Dynamics 365 Business Central is available on-premise and online as a pure-cloud SaaS model application. Since it replaced Dynamics NAV and runs the same application code as Dynamics NAV, it seems very familiar to Dynamics NAV. However, it includes several new features and added functionality, along with a brand-new interface.

Dynamics 365 Business Central Features

  • Connects data across accounting, customer interactions, purchases, sales, and stock, providing real-time insights to help you manage your finances and make informed decisions.
  • Helps improve customer service, brand connection, and sales by prioritizing leads based on revenue potential.
  • Enables timely delivery of projects and within budget constraints by tracking the projects via detailed timesheets.
  • Leverages built-in intelligence to forecast when and which SKUs to replenish.

Get in-depth knowledge about Dynamics 365 Business Central Features

Although both the ERP packages from Microsoft offer functional similarities, there are some differences between them too. Understanding these differences is important to determine the ideal ERP for your business.

Dynamics 365 Business Central Vs Finance & Operations Comparison Table 

FunctionalityD365 for Finance & OperationsD365 Business Central
Company focusMedium to large-sized multinational organisations and groups of enterprisesSmall to mid-size enterprises
Industry focusDistribution, Manufacturing, Professional Services, Public Sector, RetailDistribution, Manufacturing, Professional Services
Capabilities and scope of integration with other D365 componentsAdvanced capability across finance, operations, manufacturing and supply chain. Deep integrations with CRM, HR, Talent, Customer Service, Marketing and others. Fully covers traditional back-office processesCore capability across finance, operations, supply chain, CRM and project management. Deep integrations with service management and manufacturing
ScalabilityEasily supports businesses processing hundreds and thousands of transactionsEasily supports businesses processing over thousands of transactions
Business AnalyticsEmbedded Power BI – rich analytical and reporting functionalityBI tools include reporting, dashboards, and ad-hoc analysis
DeploymentCloud, on-premise, or hybridCloud or on-premise


While Dynamics 365 for Finance and Operations has a lot more built-in enterprise functionality, Dynamics 365 Business Central offers a wide range of capabilities.

However, selecting between these two strong ERP offerings from Microsoft will depend on your business needs, goals, requirements, and future vision.

If you are finding it difficult to choose between Dynamics 365 Business Central and Dynamics 365 Finance & Operations or still have doubts about the ideal solution for your organization, Dynamics Square is happy to advise you on the best solution for your business needs.

Take the next steps for your business

There’s never been a better time to update your systems and take advantage of all the benefits of cloud-based business applications. Learn more about the capabilities of Dynamics 365 Business Central vs Finance & Operations.

Why Dynamics Square?

We are a leading Microsoft Dynamics 365 partner in the USA with an office in Texas and serving across the USA for Dynamics 365 services like an upgrade, support, integration and any customization. We continually invest to keep our team, assets, relationships, delivery capability and service portfolio at their best. We act as a trusted business partner and helping businesses to grow at their pace.


Years of Expertise

Our years of expertise helps us to align ourselves with our customer’s business needs, expectations with Microsoft Business Solutions.

In-depth Knowledge

Our in-depth knowledge of products, technology, and Industry helps us to design the solution that align with our customer’s business needs.

Subject Matter Experts

Our highly experienced team of Professionals having the collective experience of over hundreds of successful Project implementations.

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