Columbus | Advanced Data Migration

DIGITAL GUIDE

Leave Legacy Behind On-Prem to Cloud ERP Migration Paths

Making the Move to Cloud ERP Migrating from a Microsoft AX on-premises ERP system to Microsoft Dynamics 365 cloud ERP isn’t as simple as downloading the latest desktop update.

As the successor to Microsoft AX, Microsoft Dynamics 365 includes many of the same features and functionality as the legacy software, but with additional cloud-based capabilities and updates. These new capabilities – and the fact that Microsoft has discontinued support for AX – make upgrading to Dynamics 365 (D365) a wise choice for businesses that want to take advantage of the latest innovations in Microsoft’s ERP software.

But the move isn’t as simple as a software update. It’s a complex process that involves several steps.

Migration requires transferring the data and functionality of the existing system and reconfiguring and adapting the system to the new architecture and deployment model. This may involve re-architecting the existing solutions, redesigning business processes and training staff on how to use the new system. The process may also involve customization and integration of third-party applications, testing and validation of the new system, and ensuring data security and compliance with regulatory requirements.

3

In this eBook, we’ll explore: •

How Microsoft Dynamics 365 benefits business

•

How to choose the right Dynamics 365 implementation

•

How to select the right migration approach for your business

•

How to evaluate your existing AX system for upgrade

•

How to get started and where to go for help

Drive Performance and Growth with Microsoft Dynamics 365

Although D365 provides many of the same features as AX, it’s a more modern and comprehensive ERP solution with many added features and improvements.

Additional cloud-based capabilities make it possible for your business to: Reduce IT Costs The subscription-based model allows your business to scale your technology according to your needs while reducing IT infrastructure costs on hardware, software, and maintenance. Additionally, you can take advantage of the latest technology innovations, such as artificial intelligence (AI) and machine learning, without incurring significant development costs.

in Total IT Savings and 3.4% Savings 109% InBusiness Cost of Ownership Impacts

Average 6 Month Payback Period

5

Improve Business Agility A subscription-based model allows your business to scale technology according to your needs while reducing IT infrastructure costs on hardware, software, and maintenance. You can take advantage of innovations, such as artificial intelligence (AI) and machine learning, without incurring significant development costs.

Improve Data Management and Security D365 offers features that improve data accuracy and data management, such as real-time data validation, built-in AI and analytics, and centralized data management. Advanced security features, such as multi-factor authentication, data encryption, and role-based access control help to protect sensitive data and prevent unauthorized access.

Access a More Comprehensive Collection of Tools The enhanced functionality and integration of D365 make it a more comprehensive and flexible business solution. For example, Azure Data Lake capability allow you to pull data from external systems as well as D365 applications. Additionally, Power Platform integration enables your company to create custom applications, automate workflows, and easily analyze data.

Improve the User Experience D365 has a modern, user-friendly and customizable interface designed to boost productivity and efficiency and provide easy access to features your users need.

Additionally, it offers mobile access so users can work seamlessly across devices, including desktops, laptops, tablets, and smartphones.

Update Automatically or in Your Own Time D365 receives continuous updates and improvements, which means you always have access to the latest features and functionalities. Updates can be paused and tested to ensure customized features and functionalities aren’t affected.

Microsoft Dynamics 365 Tailored Industry Solutions

Manufacturing & Supply Chain

Retail & Consumer Goods

Health & Life Science

Professional Services

7

How to Choose the Right Implementation Path Your business needs and your existing AX system will help determine your optimal migration path. Migrating your business's ERP system from AX to D365 is a significant undertaking, one that requires careful consideration of various approaches.

7

Lift and Shift Migration A lift and shift ERP migration lifts an existing on-premises ERP system and shifts it to a cloud-based environment without making significant modifications to the code or application architecture. This approach is often used to quickly migrate to the cloud without significant disruption to business operations. Because this process doesn’t take full advantage of the capabilities of the cloud environment, it may require additional optimization after the migration is completed.

A lift and shift approach may be suitable if your business: •

Is running AX 2012 or later versions

•

Needs to migrate its data quickly and with minimal disruption

•

Has a limited budget for the migration project

•

Has a straightforward AX implementation with minimal customizations

•

Has a relatively small amount of data to migrate

•

Does not require significant changes to its business processes or workflows

9

Standard Migration A standard ERP migration is a lengthy, complex process with the goal of taking full advantage of the capabilities of the cloud environment. It involves significant modifications to the code or application architecture, as well as thorough testing and validation to ensure the system functions properly.

A standard migration may be suitable if your business: •

Is running a version of AX that predates 2012

•

Has a large amount of data to migrate or restructure

•

Has a complex AX implementation/significant customizations or integrations

•

Requires significant transformation in its business processes or workflows

•

Needs to comply with industry-specific regulations or standards, requiring a more extensive security and compliance assessment

•

Requires additional customization work to leverage D365 capabilities

Hybrid Migration In some cases, an alternative hybrid migration is recommended. This approach involves migrating some parts of the ERP system using lift and shift approach while others are migrated via a standard approach. For example, a business might use lift and shift approach to transfer functionality, but a standard approach to transfer data that requires significant cleanup or enrichment prior to migration.

Determining If a Lift & Shift Migr Advantages of Using Lift and Shift Method: Simplified migration The straightforward approach makes migration quick and less complex.

Move functional configurations.

Ensure your ERP system works the way it did before migration.

Quick ramp up to development Begin customizing before the entire migration is completed and stay on track with project timelines Targeted analysis Identify deprecated AX features and customizations that can be replaced by standard D365 functionality.

Faster adoption Reduce training and speed adoption with the same software and tools and similar functionalities.

Lay the foundation for future phases Reduce disruption by adding new modules and enhancements incrementally.

11

ration is Right for Your Business Drawbacks of Using Lift and Shift Method: Limited optimization Migrating without optimizing business processes may neglect opportunities for increased efficiency.

Migrate data errors If you migrate your data as-is, you miss an opportunity to start fresh with clean master data.

Migrate historical transactions Migrating without analyzing and trimming historical data can lead to unnecessary clutter and confusion.

Inefficient use of new features D365 has new features and functionalities that may not be fully utilized.

Higher long-term costs While upfront costs are typically lower with a lift and shift, businesses that require extensive post-migration customization may pay more in the long run.

Evaluate Your Curre

Migration preparedness is the first step toward your digital transformation. A D migration would work best for your business by evaluating your D36

D365 Assessment Identify the business processes that are critical to

AX On-Prem

Identify the current vers

the organization and ensure D365 support.

Evaluate the hardware

Determine which operations would benefit most by shifting to new D365 configurations.

current AX environmen

Identify additional opportunities or functionalities to support planned growth or that can eliminate current challenges.

Review the customizati

Identify additional opportunities or functionalities to support planned growth or that can eliminate current challenges.

Determine the level

Identify the requirements and capabilities to be considered for future additions.

the minimum requirem

to AX to determine if D365 or if they need to

needed for end-users to

13

ent On-Premise ERP

D365 Implementation Partner like Columbus can help you understand which 65 requirements, your existing system, and the quality of your data.

Assessment

sion of Microsoft AX.

Data Quality Assessment Run data consistency checks to determine the accuracy and consistency of data.

e and infrastructure of the

nt to determine if it meets

ments for D365.

ions and extensions made

f they can be migrated to

Evaluate master data to determine data quality and completeness to identify gaps and errors in critical business data.

Evaluate historical AX transactional data and

be re-developed.

consider whether it should be made available

of training and support

to D365.

o adapt to the new system.

externally through a data warehouse or migrated

Schedule a Meeting Your in-house IT department can’t migrate from on-premises to the cloud alone. As your trusted digital advisor and implementation partner, Columbus will do the heavy lifting so you can focus on business development and growth.