Microsoft Dynamics CRM Online vs On Premise

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The goal of customer relationship management (CRM) is to manage interactions and build relationships with current and potential clients. Fostering good contact with customers is a strategy that will drive sales and improve business profitability. CRM uses data analysis to track customer behavior and history with a given company, which allows that company to understand its target customers better. CRM extends also to marketing, customer support and sales automation, among others.

To effectively handle CRM, companies can look for management tools that will make the job easier and more productive. One of the solutions is Microsoft Dynamics CRM. Microsoft Dynamics CRM covers three most important issues, such as Sales, Marketing and Customer Service. Microsoft Dynamics CRM is an on-premise solution, as opposed to another solution on cloud, Dynamics 365. Microsoft Dynamics 365 is an online tool which comprises of five applications for Sales, Customer Service, Field Service, Project Service Automation, and Marketing. Let’s take a closer look at these two solutions and see what they both have to offer.

Microsoft Dynamics CRM on-premise vs Microsoft Dynamics on cloud

Benefits of Microsoft Dynamics CRM on-premise

Microsoft Dynamics CRM on-premise is a more traditional solution. CRM is hosted by the company or by a hosting partner, which means the company has more control over customization and integration of their services. Additionally, users have access to the SQL database where they can run queries and reports.

On-premise solutions allow also for higher security and greater protection against cyber attacks. Of course it is still crucial to choose a password protected software.

The tool allows also for more independence, as users can run old code (which is often not possible in the cloud based version) and it is up to them to make a decision about allowing for any updates.

The obvious advantage of on-premise Dynamics CRM is its independence from the Internet connection. Those who prefer cloud based solutions should still consider having an on-premise version in case they lose Internet access.

Benefits of Microsoft Dynamics CRM in the cloud

CRM online is hosted in Microsoft’s cloud. It allows for easy access to customer’s data, for example via a mobile or tablet. All that its users need is the Internet access, which means all employees can access CRM remotely. This more modern solution is so popular thanks to this flexibility.

Cloud CRM is also maintained by Microsoft which means its users don’t have to worry about the IT infrastructure, which saves both time and money.

There are also other obvious financial benefits, since cloud based CRM users can pay a monthly fee for the services, as opposed to on premise users who might be expected to provide a singular payment upfront.

CRM online provides also more advanced disaster recovery solutions which may turn extremely important in case of a sudden data loss. What is more, Microsoft provides some additional features that are only available in the cloud version.

How to move from CRM on-premise to dynamics 365 online

With the increased popularity of cloud computing for businesses, companies which are already using Dynamics CRM on premise may decide to try a new option which is Dynamics 365 in the cloud. To help with the migration, they can use available solutions, such as the Tricension data migration tool.

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