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Dynamics 365 Business Central vs ERPNext

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Our analysts compared Dynamics 365 Business Central vs ERPNext based on data from our 400+ point analysis of ERP Software, user reviews and our own crowdsourced data from our free software selection platform.

Overview Pricing Benefits & Features User Ratings Analyst Summary Screenshots
Dynamics 365 Business Central Software Tool
ERPNext Software Tool
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Product Basics

Dynamics 365 Business Central, formerly known as Dynamics NAV, is a widely used ERP platform that benefits businesses of small and medium sizes. It’s a multi-faceted ERP product that assists in the streamlining of aspects such as accounting, contact management and inventory management. This program has high integration capabilities due to its status as a Microsoft product and is currently used by more than 100,000 companies.

Personalization is a key benefit of this tool that is expressed throughout the program’s different modules. For example, you can customize dashboards and reports to ensure that your employees are obtaining useful insights quickly and easily. The program is also highly automated and can reduce human error through its connected systems.

Pros
  • User-friendly interface
  • Seamless integrations
  • Flexible customization
  • Robust financial management
  • Strong reporting capabilities
 Cons
  • Limited industry-specific features
  • Potential customization complexity
  • Scalability concerns for large enterprises
  • Reliance on third-party add-ons
  • Potentially high ownership costs
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ERPNext is an open-source business solution that caters to small, medium and large-scale industries. It implements with minimum budget and resource usage, making it feasible for start-ups. It offers comprehensive processes to streamline retail management, track inventory, manage customers and increase ROI.

It has a multilingual website builder to manage content and eCommerce needs. It provides built-in integrations with Google, Slack, PayPal, Shopify and more to centralize business operations.
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$70/User, Monthly
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Product Assistance

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Live Online
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Videos
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Email
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Knowledge Base
24/7 Live Support
Email
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Product Insights

  • Centralized Data: Dynamics 365 Business Central leans in to the essence of ERP software — data centralization. For example, the system’s contract management program maintains a shared database of customers and prospects that can be customized and filtered. The program also removes any duplicates found in the system, which is especially helpful when you have multiple people entering prospect information or liaising with customers. Customized dashboards and visualizations are also available for insights developed across your company. 
  • Accessibility: This software is available either on-premise or as a cloud-based ERP. If you opt to go with a cloud deployment, the solution will be accessible to your employees anytime and anywhere as long as an internet connection is available. This broadly increases the scope of where your employees can complete their duties and access pertinent information. 
  • Forecasting: Dynamics 365 Business Central contains forecasting tools that include the use of historical demand to estimate future demand. This is helpful because it can improve efficiency, reduce spoilage and improve the likelihood that you will be able to fulfill orders from customers. 
  • Simple Integration: As a Microsoft product, Dynamics 365 Business Central is well poised for integration. The software can work with programs such as Word and Excel and is also available across iOS, Android and Windows devices. Microsoft offers a wide variety of software solutions that can be connected to Dynamics 365 Business Central, such as Dynamics 365 for Sales. 
  • Collaboration: Dynamics 365 Business Central provides visibility and control over multiple production sites. This allows you to collaborate with employees located in that facility to determine benchmarks such as optimal inventory level. Additionally, because of Dynamics 365 Business Central’s availability as a cloud-based solution, it is easy for employees to collaborate on and access materials whether they are in a corporate office or at a production facility. 
  • Security: With this program, you can configure user access to different components of the software. For example, if you don’t want an account representative to have visualization of the payroll, you can limit the scope of a user’s access to the application. Disaster recovery tools also assist with security measures. 
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  • Automate Stock Replenishment: Create a material request automatically when the inventory level goes below a certain level. Replenish inventory at the right time, mitigating the risk of stock exhaustion. 
  • Improve Customer Management: Maintain credit limits, view receivables, gauge total billing amount and analyze average customer revenue to manage customers better and make informed business decisions. 
  • Customize On-the-Fly: Add custom fields in the form, fetch values to customize form behavior and hide specific fields based on user roles. Enable users to grab relevant information from the vendors or clients. 
  • Facilitate Retail Management: Register a new branch with a couple of clicks and monitor various dimensions such as expenses, stock movements, profit and loss to assess business profitability as a whole. Facilitate the use of local language to ensure interaction with diverse customers. 
  • Automate Routine Tasks: Set up assignment rules like load balancing to distribute leads among the team automatically. It reduces overheads and empowers the sales teams to meet deadlines while dedicating more time to respond to customers. 
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  • Sales Order Management: Dynamics 365 Business Central’s sales order management module allows you to alter quantity available amounts based on posted invoices. You can also use the program to create prepayment invoices and to manage partial shipments. 
  • Analysis Reports: The analysis reports tool is based on helping decisionmakers within your company gain meaningful insights that will positively influence daily decisions. With this customizable tool, you can use factors such as customers, items and vendors to view information such as inventory turnover and customer behavior. You can also use this tool to more accurately pinpoint problems across your business that are creating bottlenecks or inefficiencies. 
  • General Ledger: Accounting and financial reporting tools are a commonly requested feature in ERP software. Dynamics 365 Business Central offers a general ledger in its base package that includes internal and external reporting tools, ability to export data in various formats, employee ledger entries, linking to external documents and reporting in your company’s preferred currency format. 
  • Requisition Management: Dynamics 365 Business Central’s Requisition Worksheet allows you to optimize your inventory based on factors such as predicted demand and material availability. You can also set minimum and maximum quantity levels to determine a reordering point in your manufacturing center. 
  • Multi-Site Functionality: With this software, you can track inventory levels across multiple distribution centers, warehouses, production plants, showrooms and more. You can also track inventory as it moves from different locations while accounting for its value during transit. 
  • Contact Management: The contact management feature allows you to input and maintain a list of your business contacts and prospects. The tool lets you know when duplicate contact information is entered, enables you to issue quotes or sales documents, allows for the categorization of people associated with a specific contact and segments people based on profiling questions. 
  • Optical Character Recognition (OCR): Dynamics 365 Business Central includes support for Kofax Invoice Capture Service (ICS) out of the box. This tool can take information from unstructured PDFs, extract it, and turn it into structured data. 
  • Currency Exchange Rates: This system allows you to update currency exchange rates as they shift. This can be done either manually or automatically. Dynamics 365 Business Central supports Yahoo and European Central Bank (ECB) currency feeds out of the box, but you can add other currencies to the tool using the currency exchange rates setup. 
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  • Financial Accounting: Manage accounts, transactions and taxes through the accounting module. Manage income and expenses, set up notifications and track cash flow. Manage transactions, send invoices and view reports in multiple currencies. Auto-generate invoices for subscription orders via the subscription module. 
  • Customer Relationship Management: Track the presales process from lead capturing and digital marketing to customer emails and calls. Get live desktop notifications of incoming calls to facilitate omnichannel interactions. Distribute leads among the team via assignment rules to reduce work overhead. Monitor the sales teams’ performance, analyze lead traffic and facilitate sales pipeline visibility. 
  • Human Resources: Recruit talent, plan manpower needs, post jobs, review and email candidates, and store documents in a centralized location. Track expenses, travel requests and employee advances through configurable workflows. Leverage the HR module to manage leaves, submit attendance records and define employee shifts. 
  • Sales and Purchasing: Manage sales tasks such as material requisition, quotations, orders and delivery tracking. Track inventory levels and manage suppliers, shipments and deliverables. Offer a real-time view of sales and purchases with dashboards to analyze critical information in one place. 
  • Project Management: Organize, schedule and track project activities to speed up work. Break down vast projects into manageable tasks and assign them to team members to facilitate collaboration. Assess project progress and efficiency with clearly defined priorities, deadlines and milestones. 
  • Asset Management: Manage and store asset information, including status, location, warranty, insurance, depreciation and more. Configure asset depreciation schedules, calculate amounts and dates and create accounting entries. 
  • Order Management: Maintain a single view of products and stocks across multiple locations. Use serial numbers to track item lifecycle from procurement to delivery. 
  • Manufacturing: Capture operations on the shop floor. View real-time job status, workstation location, employee assignments and more on a single screen. Manage batched items and scan item barcodes through device cameras to find stock. Track material consumption to mitigate expenses and utilize optimum resources. 
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Product Ranking

#18

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ERP Software

#6

among all
ERP Software

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User Sentiment Summary

Good User Sentiment 366 reviews
Excellent User Sentiment 223 reviews
75%
of users recommend this product

Dynamics 365 Business Central has a 'good' User Satisfaction Rating of 75% when considering 366 user reviews from 4 recognized software review sites.

91%
of users recommend this product

ERPNext has a 'excellent' User Satisfaction Rating of 91% when considering 223 user reviews from 4 recognized software review sites.

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4.3 (8)
3.6 (142)
3.8 (17)
3.7 (85)
4.6 (69)
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4.6 (129)
4.3 (9)
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3.9 (130)
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Awards

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ERPNext stands above the rest by achieving an ‘Excellent’ rating as a User Favorite.

User Favorite Award

Synopsis of User Ratings and Reviews

Easy to Learn: Precisely 53% of users say the system has a simple implementation process and helpful training materials.
Extensive Features: Features include BOM management, finance management, document management, reporting, search filters, accounting and other modules, according to 79% of users.
Intuitive Interface: Familiar layout and guided workflows simplify data entry and task completion for non-technical users.
Automated Processes: Reduce manual tasks and errors with automated workflows for finance, inventory, sales, and customer service.
Actionable Insights: Gain real-time visibility into business performance through comprehensive dashboards and reporting tools.
Powerful Integrations: Connect seamlessly with Microsoft 365, Power BI, and other popular business applications for a unified data ecosystem.
Cloud-based Scalability: Adapt to growth with a flexible cloud infrastructure that supports diverse user needs and data volumes.
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Customization: The solution provides robust customization features, according to 80% of users. Based on the Frappe Framework, it’s easily customizable.
Usability: According to 100% of users who reviewed this pro, it’s easy to use. The tool has a powerful search field that allows users to find what they’re looking for quickly.
Reporting: About 100% of users who mentioned this pro said it has flexible reporting options.
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User Interface: Of the users who discussed the interface, 46% said it was not intuitive and the layout is old-fashioned.
Glitchy Performance: Approximately 67% of users said the program's overall performance is slow and glitchy.
Industry Gaps: While strong for core ERP functions, may require additional add-ons or integrations for complex industry-specific needs like manufacturing or healthcare.
Customization Curve: While offering customization options, extensive modifications might require developer expertise, increasing costs and implementation time.
Large Enterprise Scalability: While cloud-based and scalable, very large enterprises with intricate operations might encounter limitations or require additional configuration.
Add-on Dependence: Fulfilling specific needs may rely on third-party add-ons, introducing potential compatibility and support challenges.
Cost Considerations: While offering subscription plans, total cost of ownership can be influenced by user licenses, customization needs, and add-on integrations.
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Customer Support: The support team isn’t knowledgeable and friendly, according to 67% of users.
Documentation: According to 75% of users who reviewed this con, detailed documentation about the system’s use isn’t provided.
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Users appreciated Dynamics 365 Business Central's user-friendly interface and automation capabilities, highlighting its ease of use even for non-technical personnel. The streamlined workflows and intuitive layout simplified data entry and task completion, especially compared to competitor solutions with steeper learning curves. The automated processes proved beneficial in eliminating manual work and errors, boosting efficiency in areas like finance, inventory, and customer service. However, some users pointed to limitations in industry-specific features compared to more specialized competitors like SAP Business One or Acumatica. While Business Central excels in core ERP functions, complex needs in manufacturing or healthcare might require additional add-ons or integrations, increasing complexity and potentially cost. Customization, while available, also presented a potential hurdle. While offering flexibility, extensive modifications could necessitate developer expertise, raising implementation time and costs compared to competitors with more drag-and-drop customization options. Business Central's cloud-based scalability was praised, accommodating growth and diverse user needs effectively. This stood out compared to some on-premise competitors with less flexibility. However, very large enterprises with intricate operations might encounter limitations or require additional configuration compared to solutions like Oracle NetSuite designed for such complexity. Overall, user reviews suggest Dynamics 365 Business Central shines for its user-friendliness, automation, and cloud-based scalability. However, limitations in industry-specific features and potential customization complexity compared to some competitors are important considerations, especially for niche businesses or large enterprises.

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It can be set up with a minimum infrastructure budget. It has advanced reporting capabilities to create dynamic reports on the go. Advanced reporting enables creating robust dashboards to display the important business metrics and KPIs accurately. However, some users complain of the lack of detailed documentation about the software. The customer support team needs to be more responsive and amicable towards the clients.

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Screenshots

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Head-to-Head Comparison

Dynamics 365 Business Central VS Acumatica
Dynamics 365 Business Central VS DELMIAworks
Dynamics 365 Business Central VS E2 Shop System
Dynamics 365 Business Central VS ERPNext
Dynamics 365 Business Central VS Epicor Kinetic
Dynamics 365 Business Central VS MIE Trak Pro
Dynamics 365 Business Central VS MRPEasy
Dynamics 365 Business Central VS NetSuite
Dynamics 365 Business Central VS Plex Systems
Dynamics 365 Business Central VS ProcessPro

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