Microsoft Dynamics 365 · ERP world

Microsoft Dynamics 365 ERP — Business Central, F&O apps, Modular ERP.

The Dynamics 365 ERP world is multi-track today: Business Central for the mid-market, the former Finance & Operations apps for enterprises, and with the arades Modular ERP an in-house build for special scenarios. We help you identify the right ERP model — openly, without lock-in to a particular variant.

Three ERP models in Microsoft Dynamics 365

Which ERP path fits which company.

Since 2020 Microsoft Dynamics 365 no longer knows a single, unified "ERP suite" — the original Finance & Operations world was decoupled into standalone apps. In parallel, Business Central remains the ERP system for SMBs. Which path fits which size and industry is an up-front decision with a long shelf life.

ERP model Size class Functional depth arades role
Business Central10–500 employeesBroad, but not configurable to every industry depthDelivered actively
F&O apps (Finance, SCM, Commerce, Project Ops, HR)500+ employees, enterprisesDeep in multi-entity, multi-currency, multi-siteReferral to specialists
Modular ERP (arades in-house build)Industry-specific, SMBFull customizing freedom, no Dataverse constraintVendor

Business Central — the SMB ERP

Microsoft Dynamics 365 Business Central for 10 to 500 employees.

Business Central covers financial accounting, purchasing, sales, warehouse, manufacturing and service management in a single system. On the Dataverse platform, natively connected to Microsoft 365 and Power Platform. The only ERP world arades delivers actively in-house.

Functional modules

  • Financial accounting: general ledger, accounts receivable, accounts payable, fixed assets, bank reconciliation, multi-currency.
  • Purchasing & sales: orders, invoices, price lists, discounts, AP/AR statistics.
  • Warehouse & logistics: inventory, locations, stocktake, inbound/outbound, inventory valuation.
  • Manufacturing (Premium): BOMs, routings, production orders, capacity planning, work centres.
  • Service management (Premium): service orders, warranties, service items, field service integration.

For detailed functions, industry extensions and the implementation methodology, see the Business Central hub page.

Finance & Operations apps — enterprise ERP

The five F&O apps for large enterprises.

In 2020 Microsoft decoupled the former "Finance & Operations Enterprise" suite into five standalone apps. Each app is individually licensable and can be operated together or solo. The platform underneath remains Microsoft Dataverse, complemented by the F&O-specific data models and extension concepts (X++, Lifecycle Services).

Dynamics 365 Finance

Group financial accounting, multi-currency, multi-entity consolidation, Tax Calculation Service, IFRS- and HGB-capable. For large enterprises with complex group structures.

Dynamics 365 Supply Chain Management

Procurement, inventory, manufacturing, warehouse management, asset management, quality management — the logistics depth for manufacturers with multi-site operations.

Dynamics 365 Commerce

Unified commerce platform for retail — POS, e-commerce, call centre, back office in one solution. Predecessor system: Dynamics 365 for Retail / AX Retail.

Dynamics 365 Project Operations

Project-centric ERP app for services firms: project planning, resource allocation, time and expense entry, project accounting. Cross-link: Project Operations hub.

Dynamics 365 Human Resources

Employee master data, organisation charts, performance management, benefits, absence management. Deeper than a classic HR module in Business Central or F&O Finance.

Intelligent Order Management (discontinued)

Discontinued as a standalone app in 2024 — functions were absorbed into Supply Chain Management. Existing customers received migration paths.

arades position: the F&O world is not our active engineering business. If you are looking for a partner for an F&O implementation, on request we refer you openly to specialists from our Microsoft partner network — that is more transparent than "going along" with a discipline we do not deliver in our own depth.

Business Central vs. F&O

When does Business Central suffice — and when is F&O required?

Criterion Business Central suffices F&O required
Employee countup to 500500+, typically 1,000+
Legal entitiesup to approx. 2050+, group consolidation
Manufacturingdiscrete + light processdiscrete + process + lean + mixed-mode
Warehouse sites1 to approx. 510+ with complex WMS logic
Currencies / tax logicstandard multi-currencycomplex tax logic (US sales tax, IFRS, multi-GAAP)
CustomizationAL extensions, BC appsX++ development, Lifecycle Services

In practice we see many mid-market companies circling the "BC or F&O?" question for too long. We work through it with you in a structured workshop — based on your real requirements, not on generic size classes.

arades Modular ERP — the in-house build

When neither Business Central nor F&O fit cleanly.

There are scenarios where the standard Microsoft ERP world does not carry — very specific industry workflows, special data-handling requirements outside of Dataverse, or tenants for whom BC/F&O license costs are not workable. For those cases we built the arades Modular ERP on our own platform.

Modular ERP is an arades in-house build. It is modular (accounting, invoicing, light CRM, warehouse, time tracking, project management), customizing-friendly and not tied to Microsoft licensing logic. It is not a replacement for Business Central — it is an alternative answer when the Microsoft standard world does not fit.

More on the arades Modular ERP

Deeper into the ERP building blocks

Detail pages for the ERP components.

Frequently asked questions

What mid-market companies want to know before an ERP decision.

What is the difference between Business Central and Finance & Operations?

Microsoft Dynamics 365 Business Central is the SMB ERP solution for companies with 10 to 500 employees — functionally comprehensive, fast to roll out, with moderate license load. The former Dynamics 365 Finance & Operations apps (Finance, Supply Chain Management, Commerce, Project Operations, Human Resources) target enterprises and groups with complex multi-entity, multi-currency, multi-site requirements. arades delivers Business Central actively. For F&O apps we refer customers to specialists in our partner network on request.

What does Business Central cost per user?

Business Central Essentials is around EUR 67 per full user per month, Business Central Premium around EUR 95 — Premium adds Manufacturing and Service Management. Team Member licenses for read-only or pure time-entry users cost around EUR 8 per month. NCE triennial discounts up to 5 % and non-profit conditions are negotiable.

Is the arades Modular ERP worth considering?

The arades Modular ERP is an in-house build for very specific industry scenarios in which neither Business Central nor F&O fit cleanly — typically heavily customised workflows in niche industries. It is a candidate when you need a smaller, fully customisable solution without Dataverse constraints. We discuss this openly with you.

Can we migrate from Business Central to F&O later?

Technically yes — but it is not a simple upgrade path, it is a re-implementation with data migration. In practice we rarely see the reverse path: those who start on Business Central and accept its functional breadth usually stay there. Those who outgrow Business Central have a clear, plannable F&O migration path.

How long does a Business Central rollout take?

Realistically 4–8 months for mid-market companies. A lean rollout with financial accounting, purchasing, sales and warehouse lands at 4–5 months. With manufacturing (Premium license), service management and third-party integrations, 7–8 months is realistic. F&O rollouts typically run between 12 and 24 months.

30-min ERP discovery call

Which ERP model fits your setup?

Tell us your size, industry and the two or three most critical ERP requirements — we tell you openly whether Business Central will carry it, F&O apps are appropriate, or the Modular ERP is closer to fit.