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Business Central vs Dynamics 365-Must Know the Difference

13 January 2022
Sam Peterson
Sam Peterson
Business Central vs Dynamics 365-Must Know the Difference

If you are looking for more information on Business Central vs Microsoft Dynamics 365, then you are in right place. We will clear the confusion once and for all. Let us first try to understand in detail what is Microsoft Dynamics 365. I am sure by the end of it you will get a definite answer to Microsoft Dynamics 365 vs Business Central puzzle. We will, however, also cover some ground on Dynamics 365 Business Central afterward.

What is Microsoft Dynamics 365?


Microsoft describes Dynamics 365 as the only portfolio of intelligent business applications that you will need to deliver operational excellence and create more engaging customer experiences. The phrase to focus on here is Portfolio of Intelligent Business Applications. As self-explanatory as it may sound, Microsoft Dynamics 365 is a combined term for certain business applications from Microsoft.

The next question must be what are these applications? And how does it still answer Microsoft Dynamics 365 vs Business Central question? There you go!

How is Business Central related to Dynamics 365?

How is Business Central related to Dynamics 365

Dynamics 365 is mainly a product line of intelligent Enterprise Resource Planning (ERP) and Customer Relationship Management (CRM) solutions, and the apps included are:

The above is not an exhaustive list of all apps that are covered under the Microsoft Dynamics 365 Ecosystem. There are more applications, but these are the ones most used. For the sake of keeping things simple and understandable, we have not included some of the other applications.

Anyways, did it help with Dynamics 365 vs Dynamics Business Central confusion? We hope it did because it is simple. Dynamics 365 Business Central is a part of the Microsoft Dynamics 365 line of products. While Dynamics 365 Business Central is one of the ERP solutions, Microsoft Dynamics 365 is a broader term spanning several applications.

So, there is no comparison to offer about dynamics 365 business central vs dynamics 365. Check the table to know more.

Microsoft Dynamics 365
ERP Applications CRM Applications
Dynamics 365 Business Central Dynamics 365 Sales
Dynamics 365 Supply Chain Management Dynamics 365 Marketing
Dynamics 365 Project Operations Dynamics 365 Customer Service
Dynamics 365 Commerce Dynamics 365 Field Service
Dynamics 365 Finance

Microsoft Dynamics 365 Applications

It is worthwhile to get to know the most popular apps under Microsoft Dynamics 365 in more detail including Business Central.

Microsoft Dynamics 365 Business Central

Microsoft Dynamics 365 Business Central is an all-in-one ERP solution that is easy to implement, and use. It covers all your business processes from finance to purchasing, warehouse management to general & advanced reporting.

Microsoft Dynamics 365 Finance

Microsoft Dynamics 365 Finance (Previously Dynamics 365 Finance and Operations) is a cloud-based Enterprise Resource Planning (ERP) system ideally suited to large and diversified organizations with global operations. It helps to proactively manage financial operations and drive business growth.

Microsoft Dynamics 365 Supply Chain Management

Microsoft Dynamics 365 Supply Chain Management is an enterprise-level supply chain solution for large businesses to manage their manufacturing and supply chain processes.

Microsoft Dynamics 365 Project Operations

Microsoft Dynamics 365 Project Operations unify functions across sales, resourcing, project management, and finance teams to win more deals, accelerate project delivery, and maximize profitability.

Microsoft Dynamics 365 Commerce

Microsoft Dynamics 365 Commerce facilitate personalized customer engagements, optimize operations to reduce costs, and drive supply chain efficiencies, ultimately delivering better business outcomes

Microsoft Dynamics 365 Sales

Microsoft Dynamics 365 Sales is a sales-force management & automation tool. It helps salespeople to build strong relationships with their customers, take actions based on insights, and close deals faster.

Microsoft Dynamics 365 Marketing

Microsoft Dynamics 365 Marketing elevates customer experiences, enable personalized journeys across all touchpoints to strengthen relationships and earn loyalty.

Microsoft Dynamics 365 Customer Service

Microsoft Dynamics 365 Customer Service streamlines case and knowledge management, enables personalized customer service along with visibility into customer service performance.

Microsoft Dynamics 365 Field Service

Microsoft Dynamics 365 Field Service helps businesses who carry out work on-site at a customer's home or premises. This can include installation, maintenance, or responding to break/fix issues.

An in-depth look on Dynamics 365 Business Central

An in-depth look on Dynamics 365 Business Central

Although we briefly mentioned Business Central above let us cover some more ground on this popular ERP solution from Microsoft.

Dynamics 365 Business Central is an all-in-one business management solution for small and medium-sized businesses. There are some other ERP solutions under Dynamics 365 umbrella but those are more relevant for bigger businesses with diversified operations or multi-country presence.

For SMBs Business Central is the most viable option. With Dynamics 365 Business Central, users can upgrade from their entry-level accounting software or legacy ERP system to one single platform connecting different aspects of the business including sales, finance, marketing, manufacturing, inventory management, and so on.

The solution is extremely flexible and customizable to support the business needs of all. Core Functionalities of Dynamics 365 Business Central include Finance, Sales, Purchase, Inventory Management, Warehouse Management, Project Management, and Manufacturing.

There are various advantages of using Dynamics 365 Business Central. It is a cloud-based solution which means it can be used anywhere, at any time, and on multiple devices. Along with this flexibility, it does not compromise security at all. It is a unified solution for all operational requirements thus it saves you from the hassles of maintaining multiple systems within an organization for different purposes.

It has seamless integration with other Microsoft products like Office 365 (Word, Excel, Outlook, Teams, etc.) that aids efficiency and ease of use. It is faster to implement and easier to use helping end-users to arrive at productive usage faster.

To top it all Microsoft releases bi-annual updates that are automatically done and always keep you on the secured, latest version of the product. The benefits are manifolds. We have written a detailed article on Dynamics 365 Business Central. You can give it a read.

Closing note – Microsoft Dynamics 365 vs Business Central

I hope we have cleared the air around Dynamics 365 vs Dynamics 365 Business Central question. Dynamics 365 is a collective term. Multiple business applications (including Dynamics 365 Business Central) make up the entire Dynamics 365 Suite.

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