Microsoft Dynamics CRM Online allows companies to pay one low monthly fee to use and access the software via subscription. This model has proved to be extremely popular. But did you know that Microsoft Dynamics ERP products are available by subscription too? And this is becoming increasing popular.
The traditional model for ERP deployments is one that involves long-term planning, workarounds, delayed replacement of antiquated software, and eventually a high-cost investment in a new system. Because of the high cost and high stakes involved in implementing new systems, businesses often delay upgrading or switching to a new system for signifcantly longer than they should.
As businesses begin to re-evaluate their ERP systems and look for ways to save money on purchasing and time spent on implementation, subscription-based deployments will become much more attractive. The way they use software and the speed at which new software is adopted has significantly changed; the familiar paradigm for ERP deployment has shifted away from a long-term one-time investment to a subscription-based model -- from a product-oriented approach to a service-centered one.
This change is largely due to the emergence of cloud computing and software as a service (SaaS). Some ERP vendors offer their systems exclusively over the cloud with no on-premise options. Others, such as Microsoft, are guiding customers toward a future that merges cloud applications with on-premise systems.
Microsoft Dynamics GP “12”, for example, will have an entirely new UI that includes a web client that users can access from any device with a web browser. Nevertheless, the interface will seamlessly integrate with the desktop version and provide users with a familiar environment in which they can conduct their business.
By giving the customers options, such as Microsoft Partner hosted ERP solutions, Microsoft hopes to give customers the service and subscription-based experience while maintaining the freedom and flexibility of the traditional licensed deployment model.
Just like Microsoft Dynamics CRM Online, Microsoft Dynamics ERP products are available via subscription right now through specialized hosting/data center providers. Customers who purchase Microsoft Dynamics GP, NAV, AX or SL have the option to buy it or pay a monthly fee to use the software hosted at a data center of their choice. You can find a list of Microsoft partners that offer Dynamics ERP software subscription (or SPLA) services on the
Not sure what the difference is between hosted, ondemand, SaaS, subscription, and SPLA? Check out our post:
Now you can subscribe to both Microsoft Dynamics CRM and a Microsoft Dynamics ERP product. Keep your up front costs low and let someone else take care of the maintenance. And use the products together for a fully intergrated system.
To learn more about the costs of ERP Software in the Cloud download a new white paper . This white paper includes a sample cost comparison chart including the on-demand or subscription model. Download the full white paper today at: .
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While it's true that Dynamics ERP is available hosted, unfortunately it has not been made cost effective for small businesses yet the way that Dynamics CRM has. Most of the hosted solutions I have tested are also archaic and don't offer browser based access (as you note that is chnaging). They are also complicated to purchase with countless different modules you have to choose from.
If hosted ERP is to succeed, they need to make it easy as they have with Dynamics CRM. I look forward to MS making hosted ERP offerings affordable in the same way that they have with CRM.