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We’ve taken the guesswork out of Microsoft Dynamics ERP cloud pricing and created a straightforward system.
It used to be impossible to estimate the cost of running your Microsoft Dynamics ERP in the cloud. There were a lot of variables to consider, and there was no simple formula you could use to predict your monthly cost.
The Old World of Dynamics ERP Cloud Pricing
To run Microsoft Dynamics ERP, you’ll need many servers. To keep your ERP system online and available, you’ll need a SQL database, a remote desktop server, and other resources. It’s impossible to assess what these diverse resources’ “cloud costs” are.
It’s really complicated because all of these servers and resources cost various amounts and are invoiced differently. You could, for example, utilise SQL as a Service, which is more expensive than Azure’s Infrastructure as a Service (Iaas). You may also utilise IaaS and then deploy your SQL server there.
Then there’s the fact that these various resources could be billed per user, by the amount of bandwidth you consume, or by the quantity of storage you consume. Estimating how much it will cost is difficult and time-consuming, especially if you don’t know what kind of resources your ERP system needs on a monthly basis. Try figuring out how to utilise the Azure price calculator for yourself.
Furthermore, Microsoft Dynamics ERP licencing charges used to be extremely complicated, as you had to acquire them once and then pay a yearly expansion fee. There’s more on that later.
So, How Much Does it Cost to Run Dynamics ERP in The Cloud?
Addend Analytics has created options that ensure you get all of the advantages of hosting your ERP in the cloud – without the hassle of figuring out a pricing.
Stop! Do you already own your Dynamics ERP licenses?
The cost of your additional licences is included in our “Dynamics ERP in the Cloud” subscriptions. Microsoft Dynamics ERP licences have historically been purchased in packs or individually. Addend Analytics is one of the few partners in Canada that can now provide Microsoft Dynamics GP and Microsoft Dynamics Nav Upgrade monthly subscription licences.
If you currently own your licences, you’re probably paying for an annual upgrade renewal rather than a monthly subscription. It’ll cost you around 20% of the cost of your initial licence. There’s a lot more to it than what I’ve said here, so look into your licence charges more or get in touch with us for additional information.
Simply subtract $65/user/month from the expense of migrating those licences you already hold to the cloud. Addend Analytics can replace your server for $400-1200 per month. When you update, this is a terrific time to do it.
Microsoft Dynamics GP Cloud Pricing
Microsoft Dynamics GP in the cloud costs $650-1450 Plus $65 per user per month. The cost of your infrastructure ($650-1450/month) and the cost of your licences ($65/user/month) make up this figure. Additionally, you have the option of enrolling in one of Addend Analytics assistance plans. Finally, you must include the cost of implementation in your budget.
Microsoft Dynamics NAV Cloud Pricing
Microsoft Dynamics NAV on the cloud costs $650-1450 Plus $65 per user every month. The cost of your infrastructure ($650-1450/month) and the cost of your licences ($65/user/month) are both included in this figure. Additionally, you have the option of enrolling in one of Addend Analytic’s assistance plans. Implementation costs must be factored into your budget, just as they must be with Dynamics GP.
Microsoft Dynamics AX Cloud Pricing
Dynamics 365 for Operations is the new name for Microsoft Dynamics AX. In the cloud, it costs $180 per user each month in US dollars. The pricing indicated above is in Canadian dollars.
Additional Implementation Costs
Unfortunately, you can’t just acquire the licence and infrastructure for an ERP system and start using it right away. There will be additional costs associated with the deployment. Configuration, customization, development, project management, training, and expert supervision are the initial charges. They’re necessary for your achievement.
The costs of implementation differ from one company to the other. Addend Analytics has worked on a wide range of projects, with implementation costs ranging from thousands to hundreds of thousands of dollars. This is the phase of your new ERP system’s implementation that carries the most risk (getting the job done well requires the right partner), and it’s also the one that is most specific to your company’s needs. For an estimate of the cost of a new ERP system, please contact us.
How Does Addend Analytic’s Dynamics ERP Cloud Pricing Compare?
Microsoft Dynamics ERP On-Premise Pricing vs Cloud Pricing
The Infrastructure cost of using Dynamics ERP (GP/NAV) in the cloud is $650-1450 per month, as previously stated. The prices of servers, on the other hand, are vastly varied. Every three years or so, they “peak,” and they’re a lot more. What would it look like if we could combine all of those capital expenses into a monthly operating expense? Here’s what we think:
Not to mention the extra 32 hours ($6000) it takes to set up a server room when you first deploy, as well as the upfront and ongoing costs of your licencing. The yearly upgrade renewal price has an average recurrent cost of around $60 per user each month.
According to this analysis, a typical company need 30-40 ERP users before on-premise is cost-effective. That’s a significant amount of people.
Of course, once a company reaches that scale, its server expenses are usually more than the estimate above. In addition, the cloud’s other advantages, such as scalability and standardised business procedures, begin to emerge.
Microsoft Dynamics ERP Cloud Pricing vs Netsuite Pricing
Netsuite is one of the most well-known ERP cloud providers. They charge a monthly flat rate ranging from $999 to $14,999 + $99 per user per month, with a “average” flat rate of $3,000 to $4,000. Remember that our Dynamics GP price is $65 per user per month, with a $400-1200 fixed rate. Netsuite is a better value in a few instances than Addend Analytic’s Dynamics ERP Cloud subscriptions.
The expenses of Netsuite’s implementation and support are equivalent to those of Dynamics GP and Dynamics NAV, however the exact figures vary depending on who handles the work.
Conclusion and Wrap-up
- There are four costs that you will incur when running your Microsoft Dynamics ERP in the cloud with Addend Analytics:
- Licencing costs of $65/user/month (if you don’t already own your licenses)
- Cloud/infrastructure costs of $650-1450/user/month
- One-time implementation or upgrade costs, which can vary widely from $1,000 – $1,000,000+ (depending on the size of your business)
- Support costs after go-live, which can be billed a number of different ways
We think that it’s hard to go wrong with Microsoft Dynamics ERP in the cloud. It’s cost-efficient, scalable, predictable, and stacks up well against the competition.