Acumatica stands out among three cloud-native ERP vendors particularly focusing on small and medium-sized businesses (SMBs), alongside NetSuite and Sage Intacct. On the other hand, Microsoft Dynamics 365 Business Central serves as a logical choice for companies outgrowing smaller ERP, MRP, and accounting systems like QuickBooks, Microsoft GP, Odoo, Katana, or Fulcrum. Acumatica, however, caters well to companies with revenues ranging from $10-100 million, offering limited native localization features yet suitable synergies for global operations.
Contrastingly, the sweet spot for MS BC would be $30M-$250 in revenue and a higher revenue band for companies that might use MS BC just for accounting and financial reporting while using mature operational systems at the subsidiary level. The biggest advantage of Microsoft Dynamics 365 Business Central is its consulting ecosystem and community support, which is much bigger than most ERP ecosystems, while Acumatica’s strength lies in its multi-branch capabilities and tailored support for various business models such as manufacturing, distribution, construction, and field service.
Microsoft Dynamics 365 Business Central is also ideal for companies with diversified, global operations aspiring to keep all of their entities in one database for easier reconciliation and tracking. On the other hand, Acumatica serves as an excellent entry-level system for companies transitioning from QuickBooks or smaller point systems seeking seamless cross-functional integration. Choosing between Acumatica vs Dynamics 365 BC requires a detailed examination, and thus, this comparison offers valuable insights for ERP selection projects. Therefore, let’s explore further.
Acumatica | MS Dynamics 365 Business Central | |
Started in | 2008 | 2018 (Previously NAV) |
Ownership by | EQT Partners in 2019 | Microsoft |
No. of customers | 10,000+ | 60,000+ |
What is Acumatica?
Acumatica is one of three cloud-native ERP solutions particularly similar to NetSuite and Sage Intacct. It has extensive multi-branch capabilities, particularly making it friendlier for retail-centric operations. It can also host multiple business models as part of the same database spanning manufacturing, distribution, construction, and field service. Thus, making it friendlier for diverse manufacturing or distribution-centric operations. Because of its limited global operational capabilities, it primarily targets US and UK-based companies. Thus, positioned as an ideal choice for companies within the $10-100 million revenue range, the majority of Acumatica’s customer base falls under this category.
Desiring a user experience akin to Odoo or Quickbooks, Acumatica ERP also offers versatility to accommodate various business models: distribution, manufacturing, or construction-focused. Although Acumatica has limitations in mature features like dimensional inventory or allocation, it is an excellent initial system for companies looking to streamline inventory or costs. With transactional processing and some mature capabilities, such as batch transactional processing, Acumatica is positioned as a valuable choice for businesses venturing into their first or second ERP solution.
Acumatica ERP is a fit for companies seeking cloud-native experience, particularly emphasizing features like enterprise search and mobility over deeper operational capabilities. Despite its focus on small businesses, Acumatica lacks robust globalization and localization features, catering to a limited number of countries by default. This simplicity, however, benefits smaller companies by avoiding unnecessary layers of multi-entity operations. Although targeting small businesses, Acumatica ERP surpasses Odoo or Zoho with the flexibility of its data layers, necessitating consulting help for implementation. The perceived benefit of Acumatica’s pricing is also a challenge, as it’s notoriously difficult to understand and predict.
What Is MS Dynamics 365 BC?
Rearchitected with cloud-native technologies, Microsoft Dynamics 365 Business Central is the SMB solution from Microsoft, globalized and localized in most countries with a consulting base available virtually in any country or language. Microsoft Dynamics 365 Business Central serves as a logical choice for companies outgrowing smaller ERP, MRP, and accounting systems like QuickBooks, Microsoft GP, Odoo, Katana, or Fulcrum. It is positioned against competitors such as Netsuite, Sage Intacct, and Acumatica. It also offers a vibrant ecosystem with numerous add-ons catering to industry-specific needs.
The sweet spot for MS BC would be $30M-$250 in revenue and a higher revenue band for companies that might use MS BC just for accounting and financial reporting while using mature operational systems at the subsidiary level. The biggest advantage of MS BC is its consulting ecosystem and community support, which is much bigger than most ERP ecosystems, and that’s why it’s probably one of the most popular solutions across geographies.
Microsoft Dynamics 365 Business Central is also ideal for companies with diversified, global operations aspiring to keep all of their entities in one database for easier reconciliation and tracking. While the add-ons might allow companies to use Microsoft Dynamics Business Central for complex industrial operations, the natural design and core would be compatible with companies in industries such as non-profit, public sector, FMCG, F&B distribution, very light assembly manufacturing, telco, media, tech, energy, and utilities.
Acumatica vs MS Dynamics 365 BC Comparison
Navigating the choice between Acumatica vs Dynamics 365 BC is a significant decision for businesses particularly looking for operational efficiency and strategic alignment. Thus, this section delves into the comprehensive comparison of Acumatica vs Dynamics 365 BC across various critical dimensions.
Acumatica | MS Dynamics 365 BC | |
Global Operational Capabilities | Limited multi-entity capabilities. | Supported and actively installed in most countries globally. |
Diverse Capabilities | Operationally rich for smaller companies, supporting various business models in one database (e.g., manufacturing, distribution, construction, retail). | Supports multiple industries and business models. |
Best-of-breed Capabilities | Limited, relying on third-party add-ons. | Pre-integrated with Microsoft CRM and field service but relies on third-party add-ons for additional capabilities. |
Last-mile Capabilities | May require add-ons for specific micro-verticals. | May require add-ons for specific micro-verticals. |
Operational Functionalities | Emphasizes cloud-native experience but offers deeper operational capabilities and integration for smaller operations in fewer countries compared to SAP S/4 HANA. | Emphasizes core ERP capabilities, relying on partner add-ons for industry-specific capabilities. |
Integration Capabilities | Natively-integrated WMS functionality, lacks pre-integrated best-of-breed CRM, supports only embedded CRM. | Common data model, power platform and automate along with MS Azure platform for additional development and integration. |
Manufacturing Capabilities | Suitable for light manufacturing, limited mature capabilities such as allocation and Kanban. | Lighter manufacturing capabilities than Acumatica. |
Pricing Model | Consumption-based, named, and concurrent but requires long-term contracts. | Per named user, per month. True consumption-based licenses can be adjusted without long-term contracts. |
Key Modules | 1. Financial Management 2. Construction Management 3. CRM 4. Distribution Management 5. Service Management 6. Manufacturing Management 7. Project Accounting Management 8. Payroll 9. Retail e-Commerce Management 10. Reporting, Dashboard and BI | 1. Financial Management 2. CRM 3. Distribution Management 4. Supply Chain Management 5. Project Accounting Management 6. Inventory Management 7. Reporting, Dashboard and BI |
Acumatica vs MS Dynamics 365 BC Feature Comparison
Both platforms offer a plethora of features and functionalities designed to streamline business operations and enhance efficiency. In this feature comparison, we delve into particularly the distinct capabilities of Acumatica vs Dynamics 365 BC across various critical dimensions, providing insights to aid businesses in making informed decisions regarding their ERP selection. Thus, this section discusses features under each of the following modules, particularly financial management, supply chain management, manufacturing management, and business intelligence and reporting.
Financial Management Comparison
In this section, we are discussing a detailed comparison of the financial management capabilities particularly offered by Acumatica vs Dynamics 365 BC. By examining their respective strengths and functionalities, particularly in managing financial processes. Businesses can therefore gain valuable insights to determine the best-suited ERP solution for their financial management needs.
Acumatica | MS Dynamics 365 BC | ||
Financial Management | General Ledger | Designed to support ledgers limited to support one country. Limited multi-ledger capabilities. | Initiates general ledger postings, chart of accounts, general journals, VAT facilities, recurring journals, and source codes. |
Accounts Receivable and Accounts Payable | The AR and AP might be limited to just one country with limited synergies among vendors from different countries. | Automates accounts receivables and payables and facilitates seamless reconciliation of accounts for swift and precise financial reporting. | |
Cash Flow Management | Manages day-to-day transactions, cash balances, funds transfers, and bank account reconciliations for smaller operations. | Provides comprehensive forecasting, analysis, and Azure ML-based prediction of cash inflows and outflows. | |
Currency Management | Creates estimates for new or existing items, convert to bills of material, production orders. | Manages multiple currencies across the system, including payables and receivables, general ledger reports, resource and inventory items, and bank accounts. | |
Tax Management | Provides centralized tax configuration, management, and reporting. | Offers automated, configurable, and scalable tax determination, calculation, and settlement capabilities, accommodating complex tax scenarios across various business requirements. |
Supply Chain Management Comparison
In this comparison, we explore and analyze the supply chain management capabilities of Acumatica vs Dynamics 365 BC, shedding light particularly on their respective strengths and weaknesses.
Acumatica | MS Dynamics 365 BC | ||
Supply Chain Management | Warehouse Management | Provides real-time inventory visibility and streamlines warehouse operations. | Can be implemented in different complexity levels, depending on a company’s processes and order volume. The main difference is that activities are performed order-by-order in basic warehousing when they are consolidated for multiple orders in advanced warehousing. |
Service Management | Enables quick service needs capture, assignment, and real-time tracking, with features like contract management and appointment schedules. | Service management is not built as part of the core platform but a pre-integrated specialized app is available for field service operations | |
Inventory Management | Simplifies inventory processes with flexible item management and quality traceability. | Ensures inventory availability by automatically computing stock levels, lead times, and reorder thresholds. Also, maintains optimal inventory levels by adjusting orders dynamically based on real-time inventory updates. | |
Purchase Order Management | Streamlines procurement processes with policy enforcement and process controls. | Manages purchase orders, including blanket orders and related processes. | |
Sales Order Management | Centrally manages sales activities and tracks prices and inventory. | Manages sales orders, including blanket sales orders and associated processes. | |
Requisition Management | Organizes complex distribution processes involving multiple products and suppliers. | Organizes complex distribution processes involving multiple products and suppliers. |
Manufacturing Management Comparison
In this comparison, we explore and analyze the manufacturing management ERP capabilities of Acumatica vs Dynamics 365 BC, shedding light, particularly on their respective strengths and weaknesses.
Acumatica | MS Dynamics 365 BC | ||
Manufacturing Management | Production Planning | Assists manufacturers in addressing production demand with the agility to adjust to fluctuating schedules, unforeseen equipment malfunctions, delayed deliveries from suppliers, and other unexpected occurrences affecting operations on the factory floor. | Enables the creation of production orders, definition of routings, allocation of resources, and optimization of production sequences, ensuring seamless operations. |
BOM and Routing | Lets you efficiently plan and manage inventories, costs and manufacturing processes. | Allows for the detailed mapping of production processes, including the components, subassemblies, and resources used, as well as the sequence of operations. | |
Advanced Planning and Scheduling | Lets you create a more streamlined and accurate production scheduled, better enforce delivery dates and optimize for capacity. | Takes into account all demand and supply data, nets the results, and creates suggestions for balancing the supply to meet the demand, ensuring optimized resource utilization and efficient production control. |
Business Intelligence and Reporting Comparison
In this comparison, we explore and analyze the business intelligence and reporting capabilities of Acumatica vs Dynamics 365 BC, shedding light, particularly on their respective strengths and weaknesses.
Acumatica | MS Dynamics 365 BC | ||
Business Intelligence and Reporting | Real-time Analytics and Dashboard | Helps view key information at a glance with real-time dashboards customized by individual, role, or department. | Provides real-time visibility into overall support performance, allowing supervisors to monitor key operational metrics, make course corrections at the right time, and keep service levels high |
Reporting | Delivers customized views of your business overall and focused views of departments and functions. | Provides an improved reporting and dashboard system that makes it easier to find and run the reports you need, and to analyze your data. |
Pros of Acumatica vs MS Dynamics 365 BC
When evaluating ERP solutions, understanding the distinct advantages of Acumatica vs Dynamics 365 BC is crucial. In this section, we are particularly exploring the strengths of Acumatica vs Dynamics 365 BC across various dimensions. Thus, shedding light on their respective capabilities and functionalities.
Acumatica | MS Dynamics 365 BC |
Great 1st or 2nd ERP choice particularly due to limited layers and mature capabilities for larger companies. | Natively supports global regions and localizations where Acumatica, Epicor, or Infor might have limited support. |
Accommodates different business models spread in fewer countries under one database. | Unlike several products such as Acumatica, it has support for several European, Asian, and African countries where most products might struggle. |
Great fit for SMB B2B businesses with complex product mixes. | The data model is friendlier for FMCG and distribution companies requiring native support for complex features such as bin tracking or license plate support. |
Born in the cloud with consistent design principles across the application. | The product has been completely rearchitected using the cloud-native architecture. Cloud ERP capabilities are stronger than those of competing products. |
Cons of Acumatica vs MS Dynamics 365 BC
Just like recognizing strengths is important, it’s also crucial to weigh the specific drawbacks of Acumatica vs Dynamics 365 BC. Therefore, in this section, we will delve into the limitations and challenges associated with Acumatica vs Dynamics 365 BC across various operational and financial dimensions.
Acumatica | MS Dynamics 365 BC |
Limited capabilities when multiple countries with different currencies and sub-ledgers need to be hosted as part of the same solution. | Only fit for FMCG-centric distributors. The industrial distribution would require add-ons to support capabilities. |
Not fit for companies with over $100 million in revenue. | While the ecosystem may have options for distribution industries, it might not have integrations with the best-of-breed eCommerce systems in the industrial distribution space. |
The mobile capabilities are leaner for complex reporting scenarios such as parallel processing or reporting labor. | The financial traceability may not be as intuitive for global, publicly traded non-profit companies. |
Consumption-based pricing requires consulting expertise to estimate transactions as the pricing is not as predictable. | The data layers are highly detailed, requiring substantial consulting help to be successful. |
Multiple add-ons such as MES, PLM, and quality, posing integration and communication challenges with the core systems required for complex manufacturing. | Microsoft doesn’t offer any support or control to its smaller products, leading to ERP implementation issues. |
The last-mile capabilities required for manufacturing or industrial distribution may not as strong as purpose-built solutions such as Infor or Epicor but comparable to vanilla solutions such as SAP S/4 HANA. | While Microsoft Dynamics 365 BC has a vibrant marketplace to augment its core capabilities, the last-mile capabilities required for manufacturing or industrial distribution might be limited. |
Conclusion
In conclusion, the comparison between Acumatica vs Dynamics 365 BC provides valuable insights into two robust ERP solutions catering to the diverse needs of modern businesses. Acumatica’s focus on small to medium-sized enterprises, coupled with its multi-branch capabilities and tailored support for various business models, positions it as an attractive choice for companies transitioning from smaller systems like QuickBooks. On the other hand, Microsoft Dynamics 365 Business Central shines with its expansive consulting ecosystem, community support, and global scalability, making it an ideal option for companies with growing operations and diversified global footprints.
However, the choice between Acumatica vs Dynamics 365 BC hinges on the specific requirements and priorities of each business. While Acumatica offers simplicity and versatility for entry-level users and smaller operations, Microsoft Dynamics 365 Business Central excels in providing comprehensive support for complex global operations and industries. Therefore, businesses embarking on ERP selection projects should carefully evaluate their needs, considering factors such as scalability, industry specialization, localization requirements, and ecosystem support to make an informed decision that aligns with their long-term goals and growth trajectory. Also, seeking assistance from an independent ERP consultant can significantly aid the decision-making process. Thus, offering specialized advice and direction tailored to the specific needs of the business.