A clear-eyed look at what to expect when moving from Dynamics GP to Business Central.
Microsoft Dynamics GP has been around for over 2 decades, and most companies implemented it many years ago. Considering the timelines, it is unlikely that you were working at your current company and part of the ERP implementation team when GP was installed, so you may not know what to expect from a software migration.
However, Microsoft is now encouraging GP users to migrate to Microsoft Dynamics 365 Business Central (BC) by 2031. By this point, you understand that you aren’t required to migrate by 2031, but you still need more information to decide whether to plan your migration for next year, in 5 years, or sometime in the 2030s. In fact, should you migrate at all?
So, let’s talk about the facts of what a typical ERP migration really looks like.
What Is an ERP “Migration?”
Fact: To switch from GP to BC, you will actually be implementing a brand-new ERP from scratch.
Every industry has its euphemisms, but the software industry has a vast number of them. In this case, the word migration is a euphemism for “a full reimplementation of a new ERP, ” because GP and BC are entirely different ERP solutions with entirely different architectures. And they were built to meet entirely different business needs.
Accordingly, you can expect to follow the standard implementation steps for your “migration:”
1. Preparation & Assessment
- Review current GP setup: modules in use, customizations, third-party add-ons, integrations, and reports.
- Determine what data should be migrated (e.g., master records vs. transactional history).
- Evaluate whether Business Central meets all your functional requirements (some GP features don’t have exact BC counterparts).
2. Data Migration
Microsoft offers a Data Migration Extension within Business Central that helps bring over:
- Customers, vendors, and items
- Chart of accounts
- General ledger balances
- Open payables and receivables
However, historical data, such as closed transactions or detailed audit trails, typically do not migrate and may require archival or third-party tools for preservation.
3. Reimplementation of Business Processes
- BC uses a different architecture and UI (web-based, modern, role-tailored).
- Reports and workflows may need to be recreated.
- Customizations in GP (Dexterity code, VBA, Modifier with VBA, etc.) must be re-evaluated and rebuilt using BC’s extension model.
4. ISV Solutions and Integrations
- Many third-party Dynamics GP solutions now offer versions for Business Central.
- However, availability and functionality can differ, so compatibility checks are critical.
5. Training and Change Management
- Because BC is quite different from GP in look and feel, user training is essential.
- Some companies choose to run GP and BC side by side for a period to ensure a smooth transition.
How Long Will It Take?
Fact: A typical BC implementation takes 6-12 months.
If you are solely implementing current data from your General Ledger, Accounts Payable, and Accounts Receivable modules and no other data needs to be migrated, you can get your implementation done in as little as 3 months. However, since GP is the ERP of choice for handling complex finances, very few GP users will want (or be able) to simplify their finances enough to achieve that 3-month timeline.
And, of course, any existing customizations, workflows, or custom reports in GP will need to be rebuilt in BC.
Starting from 3 months as your baseline, you can assess your company’s actual timeline by considering these points:
- Each additional module will add a little more time
- Re-customizing reports will add a lot more time
- Any customizations will significantly increase your implementation time
Also, keep in mind that you may need to augment missing GP capabilities with third-party add-ons.
- Third-party add-ons will add varying amounts of time (a little to a lot) to your implementation
Even when each stage of the ERP implementation process goes smoothly, many businesses still liken the experience to having an additional part-time job on top of their regular duties. Therefore, during your implementation, plan on your business having less time available for customer service, new sales and marketing initiatives, and strategic planning.
Additional Costs to Expect
Fact: Ancillary costs add up quickly, so you will need flexibility in your budget.
You’re prepared to budget for purchasing and consulting / implementation costs, but business leaders often overlook the need to budget for necessary ancillary expenses as well.
For example:
- Dynamics GP is sold with a perpetual license, whereas BC is sold with a subscription license. This results in lower up-front costs, but can have a higher total cost of ownership over time. You will want to budget for the difference.
- You will also want to budget for training sessions for a consultant to teach you and your staff to use your new ERP. A few of your staff members will likely also require one-on-one training from them for a while.
- And, finally, you will want to work increased labor costs into your budget, so you can adjust for the inevitable reduced productivity as your team acclimates to a new system and workflows.
So, Should You Migrate from Dynamics GP?
Fact: GP is not obsolete, and there’s no reason to rush.
As you no doubt noticed, this section title did not contain the word when. That’s because, honestly, reimplementing a whole new ERP at your business isn’t a matter of “when” you should do it, but rather “if” you should do it at all.
Imagine a contractor coming to your house — one of those door-to-door guys who pitch roofing services or solar panels. You feel generous, so you take a break and step outside to chat with him for a few minutes. He launches into his rehearsed pitch, and you respond.
“No, my roof is fine,” you say with a smile. “I haven’t had any problems. In fact, I just upgraded it pretty recently.”
“Well then, the clock is ticking,” he says, glaring at you. “Do you plan to tear down your house and build a new one next year, in 5 years, or in the 2030s?” And he’s serious!
Implementing a whole new ERP system when your old one is running smoothly is a lot like that. The choice of when to migrate should be based on your needs, and not on anything else. If GP works for you, keep it!
Remember:
- Dynamics GP will be the same as always.
It will still receive updates & enhancements from Microsoft for years. - GP won’t just stop working.
After end-of-life, partners will be the people you turn to for support, updates, and hosting, instead of Microsoft. - Many businesses are choosing to stick with GP.
And why not? It’s familiar and reliable, supports complex finances, and can have a lower total cost of ownership than BC.
Additionally, since Microsoft is refocusing its innovation and investments into cloud-first solutions like Business Central, migrating from GP to BC may become easier and more streamlined over time.
Let’s Get Back to That House Analogy…
If you’ve just upgraded the roof on your house and have no plans to move, you may want to consider a few small remodels to make your home even better. Nothing big, just something quick and easy that boosts your home’s value and your enjoyment. Redoing the blacktop on your driveway, for example, to make shoveling easier in the winter. That would save time and effort, right?
Similarly, if you plan to hang on to Dynamics GP for a few years, you may want to consider some quick, high-value “remodeling” add-ons.
Saving time and effort on your accounting processes helps you derive more value from your ERP, and the sooner you can start saving time, the better. So, if you’re struggling with a slow or frustrating commission process, you may want to consider Commission Plan.
Commission Plan is a flexible, easy-to-use system that allows you to create and modify complex or straightforward commission plans, and then automatically run reports and payments with just a few clicks. It also helps you get a comprehensive picture of your commission liability at any time, allowing you to track your payments throughout the month.
It only takes about a week to set all this up. Think of it: in just about a week from today, you could reduce your commission processing down to a process where, as one of our customers said, you “click the mouse a few times and boom! Commissions are done.”
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