Why migrate to Dynamics 365 in the cloud from on-premise?
Why migrate to Dynamics 365 in the cloud from on-premise?
August 5th, 2024
5 min read
Over the last few years, Microsoft has adopted a ‘cloud-first’ approach for Dynamics 365.
However, some customers still use the on-premise version of Dynamics 365 or are considering it as their deployment option. There are various reasons why organisations should really be opting for the cloud-based Dynamics 365 solution. Within this blog, we look into both deployment options and the advantages of moving from Dynamics CRM on-premise to Dynamics 365 in the cloud.
What is Dynamics CRM On-Premise?
This approach keeps all your data in-house, stored within your own servers, providing you with full control of how and where any information is stored. However, this approach means that organisations are solely responsible for the upkeep and maintenance of their hardware, as well as making it difficult for off-site employees to use the solution.
What is Dynamics 365 Cloud?
Dynamics 365 is a software-as-a-service (SaaS) application, hosted in the cloud. This means no hardware is required, the solution can be deployed remotely and data is protected by Microsoft’s secure servers. Additionally, the solution is much more flexible in comparison to an on-premise deployment, as users can be increased/decreased easily, as well as the ability to integrate more applications at any time.
Why Migrate from On-Premise to the Cloud?
With the cloud-first approach of Microsoft, CRM customers are increasingly adopting cloud technology and moving current on-premise systems to the cloud.
There can be various factors contributing to this, but the most common one is that with on-premise solutions, you spend more time and money maintaining the software. Additionally, and something that became more apparent throughout the Covid-19 lockdown, is that cloud technology provides a scalable solution for changing business needs, whether that be around decreasing/increasing users with ease, or adding additional functionality to the system.
On-Premise
- Local Operations and Connectivity
- Limited Data Storage
- Local Security
- Limited Capability / Outdated Technology
- Local Support
Cloud
- Remote Access
- Scalability and Flexibility
- Secure Servers Owned and Managed by Microsoft
- Regular Updates Keep System Fresh
- 24/7 Global Support and Modern Features
What are the Advantages of Moving to the Cloud?
1. Lower Costs
A cloud-based system significantly reduces costs in comparison to an on-premise system, there are various reasons for this:
- Upfront Investment: On-premise solutions require substantial upfront investments in hardware, servers, and data centres, along with ongoing expenses for energy, physical space and specialised staff to manage and maintain systems. In contrast, a cloud-based solution operates on a subscription model, eliminating the need for large capital investments.
- Scalability: Cloud-based solutions are much more flexible allowing organisations to easily adjust the resources they are paying for.
- Updates: On-premise systems must be updated manually, and this sometimes gets overlooked, leading to an outdated solution that drives inefficiencies, on cloud systems are updated regularly, with updates automatically transferred into a system if enabled.
In the long run, on-cloud solutions therefore offer a much more cost-effective solution.
2. Improved Security and Reliability
Security should be a big consideration when evaluating between Dynamics 365 Cloud and On-Premise. With Dynamics 365 Cloud, your business data is stored in a highly secure data centre owned and managed by Microsoft. Additionally, security updates are installed automatically ensuring that your solution is as up-to-date as possible with security.
In contrast, on-premise systems rely on your security measures making them a much higher risk for data breaches and ransomware attacks.
3. Scalability and Flexibility
Another area to consider for Dynamics 365 Cloud vs On-Premise is the scalability of your operations. A cloud solution makes it extremely easy to stay flexible, making it possible to quickly scale users up or down where necessary and customise the solution to continuously grow with your organisation.
4. Consolidate your Data
In the past, CRM software and other business systems have been largely maintained separately. Dynamics 365 lets you connect your data and offers a range of applications on the cloud platform, so your organisation can get a 360-degree of your business.
5. Backup and Recovery
Microsoft Azure (the base platform in which the Microsoft cloud solutions are built on) securely performs routine backups, so you can be confident that your data is safe. On top of this, Microsoft guarantee 99.9% uptime, as well as a disaster recovery, should this ever be necessary.
6. Easy Integration with the Microsoft Eco-System
The clouds interconnected nature allows Dynamics 365 to work closely with the other tools in the Microsoft eco-system, such as the Outlook, SharePoint, Excel, OneNote, etc. Dynamics 365’s tight integration means you can track emails, view contact information and history, and create new records directly from Outlook, edit Excel and Word files in the Dynamics interface, and use OneNote to take meeting notes and attach them to Dynamics records.
Find out more in our blog Microsoft 365 + Dynamics 365: The Perfect Pairing.
7. Faster Implementation
As Dynamics 365 (cloud) is a SaaS platform, you’re consuming a service rather than installing a product. Without the need to install the software on individual machines and set up on-premise hardware, configuring and deploying Dynamics 365 in the cloud is much faster than a traditional implementation.
8. Work Anywhere, Any Time
Therefore, having remote access to systems from any device, at any time, is more important than ever. Dynamics 365 (cloud) offers a unified experience across devices and updates information in real-time, so whether your employees are in the office, or at-home, they can access the data they need.
Considering a Dynamics 365 On-Premise to Cloud Migration?
At Pragmatiq we specialise in Microsoft Dynamics 365, working with these solutions on a daily basis. Looking for a new partner to help you transition smoothly then please reach out by emailing info@pragmatiq.co.uk, or call us on 01908 038110. If you’d prefer, please fill out the contact form and a member of our team will be in touch shortly.
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