1. Dynamics 365 Finance and Operations On Premise vs Cloud
Rajeev Sekhri, Hitachi Solutions
#CollaborateCanada

2. Hitachi At A Glance Business Solutions Group
Small enough to listen…big enough to deliver
Business Solutions Group
Microsoft Dynamics 365
Microsoft Dynamics AX/CRM/FSA
Global ISV
Cloud Solution Provider
Azure/Office 365/Modern Workplace
Ecommerce, Portals, and Collaborations
Business Intelligence

3. Today’s Agenda Introduction What is Dynamics 365?
Demystify Acronyms –CDS, Power Apps, Flow, Power BI…etc.
Why care about Dynamics 365?
Functionality, Cloud, TCO
Transition Approach to D-365
Transition Paths -What is the right Path for you?
Methodology, Process
Customer Success examples
Next Steps – Engage with Hitachi
Help with Assessment –Success Programs
ROI Modeling Tool: Nucleus Partnership
Q & A

4. What is Dynamics 365? Demystifying New Acronyms

5. Only Microsoft has all the pieces to deliver an intelligent business cloud
Microsoft AppSource
Office 365
Power BI
Cortana Intelligence
Azure IoT
Dynamics 365
Line-of-Business Applications built in-house
Third Party Business Applications
Field Service
Sales
Customer Service
Project Service Automation
Marketing
Operations
Application Platform (PowerApps, Power BI Embedded, Microsoft Flow) & Common Data Model
Azure

6. Business application platform innovation
Microsoft Worldwide Partner Conference 2016
Business application platform innovation
9/16/2018 5:45 PM
Build modern business apps fast Compose analytics, user experiences, and automation using an integrated set of services from Microsoft
MEASURE
ACT
AUTOMATE
Empowered power users People who understand their business needs best can now build apps quickly without writing code
Power BI
PowerApps
Microsoft Flow
More efficient developers(*) Seamlessly extend capabilities for power users and leverage powerful Azure platform services
Azure [Analysis Services]
Azure Data analytics
SQL Server BI …
Azure AppServices
Azure Service Fabric
Azure Functions …
Azure Logic Apps
Azure API Management
BizTalk …
CDM SDK
Common Data Model
Connectors & Gateways
Connected data across apps Whether built on the Common Data Model or integrated with existing systems, get more value from your data
© 2016 Microsoft Corporation. All rights reserved. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.

9. Connect with your Favorite Services

10. Microsoft Common Data Model (CDM) is a secure business database, comprising of well-formed standard business entities that can be deployed for use in your organization.  CDM is secure – it is encrypted at rest. CDM is built for scale – using the best of Azure technologies such as Service Fabric and elastic SQL. CDM provides not only standard entities, but also allows you to build custom entities either extending standard entities or adding new entities that can relate to standard entities. CDM provides structured metadata, rich data types, auto numbering, lookups, business data types like Address, Currency, capabilities like referential integrity through metadata configuration, and cascade deletes – making a compelling functionality. CDM will roll out features incrementally to expand entity capabilities, processes for entities and pre-canned forms for these entities among others.

12. Why Cloud?
Scale : Cloud deployments provide a cloud service that is easy to scale up or down as needed, as well as data centers that are fully managed by Microsoft. The time spent implementing Finance and Operations can be significantly shortened, fewer customizations may be required, and the costs of IT hardware and infrastructure are lower.
Availability: Cloud deployments include high availability, disaster recovery, sandbox environments, and application lifecycle management combined with cloud-based systems of intelligence, infrastructure, compute, and database services in a single offering. When needed, data failover in the cloud, automated deployment and continuous updates, and elastic compute capacity are available. A cloud deployment also provides data aggregation, financial reporting, and intelligence.
Value: The cloud service provides customers with the greatest value, the broadest range of functionality, the best application lifecycle experience, the easiest and broadest integration with Microsoft Azure services, the best option for business insights and intelligence, and the most value for customers’ technology investments.

13. Why on-premises?
Leverage Existing IT investment: With an on-premises deployment, existing data center investments can be leveraged. Customers can also configure their enterprise preferences to meet the regulatory and compliance needs of their business, comply with data sovereignty rules in regions where there are no Azure Data Centers, or ensure business continuity in areas with limited public infrastructure.
Data: A customer’s business data and processes are disconnected from the cloud and are stored and run locally in the customer’s or their partner’s data center. Some connectivity is required for system management and updates which are enabled through Microsoft Dynamics Lifecycle Services (LCS), a cloud-based application lifecycle management service. Customer data that is related to the configuration and application customization may be stored in the cloud.
Impact to TCO and ROI:
The additional costs to deploy and manage these capabilities might lead to higher deployment costs and a greater Total Cost of Ownership (TCO). Tools for deploying the Finance and Operations software and updates will be available to partners and customers via Lifecycle Services. Unlike the cloud deployment option, Advanced Analytics and Azure Machine Learning services are not included in the on-premises deployment option.

14. Cloud Deployment Capabilities
Full Microsoft manage cloud service
Microsoft managed data centers
Microsoft is the data trustee
Infrastructure and data location
Managed by Microsoft
Customer access to ALM and telemetry in LCS
Application lifecycle management (ALM)
High availability included
Disaster recovery included
Sandbox environments
Cloud capabilities
Author and publish Power BI reports
Ready-made analytical workspaces
Pinning tiles and reports from PowerBI.com
Intelligence and analytics
Cloud deployments provide a cloud service that is easy to scale up or down as needed, as well as data centers that are fully managed by Microsoft. The time spent implementing Finance and Operations can be significantly shortened, fewer customizations may be required, and the costs of IT hardware and infrastructure are lower.
Cloud deployments include high availability, disaster recovery, sandbox environments, and application lifecycle management combined with cloud-based systems of intelligence, infrastructure, compute, and database services in a single offering. When needed, data failover in the cloud, automated deployment and continuous updates, and elastic compute capacity are available. A cloud deployment also provides data aggregation, financial reporting, and intelligence.
All of your system updates and health monitoring tools are provided through LCS.
The cloud service provides customers with the greatest value, the broadest range of functionality, the best application lifecycle experience, the easiest and broadest integration with Microsoft Azure services, the best option for business insights and intelligence, and the most value for customers’ technology investments.
One of the key differences between the Cloud deployment and the On-Premises deployment option is the licensing model. With cloud deployments, the licensing model is subscription based.

15. On-Premises Deployment Capabilities
Customer or partner managed infrastructure
Disconnected data centers with local data residency
Customer is the data trustee
Infrastructure and data location
Managed by the customer or partner
Access to cloud-based ALM and telemetry in LCS
Application lifecycle management (ALM)
Automated deployment
Automated telemetry
Cloud capabilities
Author and publish Power BI reports
Intelligence and analytics
With an on-premises deployment, existing data center investments can be leveraged. Customers can also configure their enterprise preferences to meet the regulatory and compliance needs of their business, comply with data sovereignty rules in regions where there are no Azure Data Centers, or ensure business continuity in areas with limited public infrastructure.
A customer’s business data and processes are disconnected from the cloud and are stored and run locally in the customer’s or their partner’s data center. Some connectivity is required for system management and updates which are enabled through Microsoft Dynamics Lifecycle Services (LCS), a cloud-based application lifecycle management service. Customer data that is related to the configuration and application customization may be stored in the cloud.
For customers who choose to run Finance and Operations in their own data center, the on-premises deployment option will have a similar user-interface and application functionality as other deployment options. However, customers must take on the following responsibilities:
Stand up their own infrastructure.
Configure their own high-availability and disaster recovery solutions.
Stand up sandbox environments.
Manage their infrastructure, including scheduling operating system updates.
The additional costs to deploy and manage these capabilities might lead to higher deployment costs and a greater Total Cost of Ownership (TCO). Tools for deploying the Finance and Operations software and updates will be available to partners and customers via Lifecycle Services. Unlike the cloud deployment option, Advanced Analytics and Azure Machine Learning services are not included in the on-premises deployment option.
One of the key differences between the Cloud deployment and the On-Premises deployment option is the licensing model. With on-premises deployments, you can license with Software Assurance, Business Ready Enhancement Plan, or based on a subscription.

16. Features Not Implemented for On-Premises
Task recorder
Support pane
PowerBI.com integration and report authoring
Microsoft Office integration
Electronic Reporting (ER) integration
Warehousing Mobile App
Export entities to your own database (BYOD)
Retail
Purchase requisitions – Punch out from external catalogs
Trace Parser and PerfTimer
SSRS Scale Out
Telemetry
For the most up to date information about features that are not implemented for On-premises deployments you can visit the URL on the Documents web site from Microsoft.
Task recorder - Task recorder libraries in Lifecycle Services (LCS) are not supported. Task recordings can be loaded from or saved to the local file system.
Support pane - The Support pane (Help & Support > Support) is not yet available.
PowerBI.com integration and report authoring - PowerBI.com integration is not yet available for on-premises deployments. For example, the ability to pin a tile or a report from your PowerBI.com subscription to a workspace is not available.
Microsoft Office integration - SharePoint on-premises support is not available yet. SharePoint online is supported. Skype for Business on-premises support is not available yet. Skype for Business online is supported.
Electronic Reporting (ER) integration - The ER integration with LCS is not supported. ER configurations can't be downloaded directly from LCS to Finance and Operations. Additionally, the integration with SharePoint is not supported. SharePoint server can't be configured as a destination for electronic documents generated by using ER.
Warehousing Mobile App - The app is temporarily unavailable.
Export entities to your own database (BYOD) - This feature is currently not implemented.
Retail - No Retail features are available for use in on-premises deployments at this time.
Purchase requisitions – Punch out from external catalogs - It is not possible to check out a shopping cart from an external catalog to a purchase requisition.
Trace Parser and PerfTimer - These tools are not working or have limited functionality for this release. These features will be implemented in a future release.
SSRS Scale Out - Currently SQL Server Reporting Services (SSRS) does not support scaling out. This feature will be added in an upcoming release.
Telemetry - Currently no telemetry is transferred into the cloud. In a future update we will start transferring telemetry data into the cloud.

17. Why Should You Care? New functionality brings opportunity for process optimization

18. Why customers should care?
9/16/2018 5:45 PM
Functionality, Services and Tools
AX 2009 and 4.0
AX 2012
AX 2012 R2
AX 2012 R3
Dynamics 365
New end user experience
Reduce customizations (up to 40%) due to added functionality. (e.g. WMS, TSM, Retail)
Code* and Data migration tools
n/a
Reduce HW upgrade costs investments
Predictable and repeatable implementations across your organization
Platform elasticity
HA/DR
Mobile-ready and access anywhere
Integration with productivity tools
Note: This table provides only a graphical representation. For detailed functionality please refer to the product guide
* Code update only available for AX2012 deployments
MOST
LEAST
© Microsoft Corporation. All rights reserved.

19. Industry functionality
Functionality, Services and Tools
AX 2009 and 4.0
AX 2012
AX 2012 R2
AX 2012 R3
Dynamics 365
Point of Sale, assisted sales, and centralized store management
Cloud POS and Retail IT workspace
Omni-channel management
Order management, processing and payment
Merchandizing and catalog management
Rebates, Royalties, and trade allowance management
eProcurement and vendor self-service portal
Supplier relationship management
Direct and indirect procurement
Note: This table provides only a graphical representation. For detailed functionality please refer to the product guide
* Code update only available for AX2012 deployments
MOST
LEAST

20. Industry functionality
Functionality, Services and Tools
AX 2009 and 4.0
AX 2012
AX 2012 R2
AX 2012 R3
Dynamics 365
Inventory management and demand forecasting
Multisite advanced warehouse management
Order promising
Distribution planning
Transportation management
Product Change Management
Master data management
Note: This table provides only a graphical representation. For detailed functionality please refer to the product guide
* Code update only available for AX2012 deployments
MOST
LEAST

21. Why Should You Care? Cloud…what does it mean for you?

22. Benefits of Cloud Platform Cloud Mobile Support for mobile phone app
Easy to use designer experience
Create and expose simplified forms with Microsoft Visual Studio
Developer
Visual Studio integration
Compile Common Intermediate Language (CIL) for all features
Flexible client
Microsoft Office integration
Topology automation
New customization model
New tools for performance evaluation and tuning
OData service endpoint
Foundation
Anytime, anywhere access
Help
Task guides
Cloud
Lifecycle management
Manage Cloud deployment services
Monitoring and diagnostics
Retail installation packages
Servicing environments
Web client
Globalization and translation
Additional 18 country localizations
Dynamics Translation Service
Localization configurations

23. Why Cloud?

24. The Benefits of the Cloud

25. Measuring Benefits Believability 1st Order 2nd Order 3rd Order
4th Order
Direct savings
> Reduction in cost
Indirect savings
> Increase in worker productivity
Semi-direct savings
> Expected reduction in cost
Very indirect savings
> Increase manager productivity
Indirect
Direct
Copyright 2017 Nucleus Research

26. Staying Upgraded Ensures Up-to-Date, Industry Specific Functionality

27. Transition Approach What are the options? What is right for me?

28. Support Services and Upgrade Transition with Hitachi
Hitachi History with Support and Upgrades:
Hitachi has over 300 AX Customers
Implemented and Supported from Version 3.0
Upgraded Customers from 3.0 to 2009 to 2012 to D365
Managed Services provides a platform for us to learn your system and put you on a path to upgrades - > Delivered successfully for several customers

29. Key Features of Hitachi Managed Services
Team of 70 consultants with varying skills to support Dynamics and O365
Dedicated Customer Success Manager
Named staff members working in your time zone
Flexibility – Scale up or down on your preference
Subscription pricing – Fixed known cost

30. Offerings Portfolio 24/7 Global Service Desk Reactive Services
Modern Workplace, O365 Migration Services
Release Management and Source Code Management
Performance Monitoring and Diagnostic Services
Managed Services – Biz Apps and Platform Services
Upgrades
Proactive Services
Reactive Services
24/7 Global Service Desk

31. Upgrade Options: what is the right path for you?
Vision Workshop
STEP 1
Process Improvements Upgrade
STEP 2
Basic Finance
Option 3
Technical Upgrade
Basic Finance Upgrade
Option 1
Finance + SCM Upgrade
Option 2
Option 4
Re-imp
Yes No
Upgrade Assessment

32. Our Methodology for Upgrading to D365
Analytics
Change Management
Big Data
Machine Learning
Internet of Things
Inception
Transition
Operation
Pre-Engagement Output Review
Build Solution Scoping Document
Confirm Solution Scope and Timeline
Elaboration
Product Familiarization
Fit Gap Workshops for 2009 to D365
Data Upgrade Workshops
Integration and
Reporting Workshops
Customization Workshops
Design Modifications, Interfaces, Reports
Build and Test Modifications, Interfaces, Reports
Upgrade and Migrate Data
Test Iterations (3)
User Training
Production Release
Cutover
Support Users
Project Closure
Conference Room Pilot
Construction
Go-live
Initiating
Planning
Executing
Monitoring and Controlling
Closing
Project Management Discipline
User Experience Workshops for 2009 to D365
User Acceptance Testing
Solution Scoping Document
ROI, TCO and Complete Upgrade Plan
Live Services Transition
Live Services Operations

33. Customer Success with Digital Transformation
Tesco Corporation, a Customer Excellence Award winner for Best Global Implementation, manufactures a range of rig mechanization products, tubular services, aftermarket services and innovative technologies to the upstream energy industry.
Tesco has been our customer for almost ten years and has partnered with us on their upgrade to Dynamics 365 for Operations. Not only will the upgrade enable Tesco to continue to support their demands for international growth, make profitable business decisions such as utilization of human capital, field resources, and assets; but, it also offers savings in terms of their data center and other 3rd party software solutions.
Congratulations to the team at Tesco for developing a strong partnership with Tesco that ultimately led to an upgrade to Dynamics 365! Here are a few reasons why we won:
Knowledgeable team that helped Tesco realize what customizations, work- arounds, and other ISV solutions can be eliminated by the Dynamics 365 upgrade
Long-standing partnership with Tesco allowed us to understand their unique business needs to ensure a smooth, cost-effective upgrade
Increase revenue growth with better visibility into planning and utilization of tools, assets, and inventory

34. How Hitachi Can Help? Upgrade Assessment ROI Calculator: Nucleus Partnership

35. What Does D-365 mean to you?
How has your business landscape changed over the years?
What are the new potential opportunities for optimization?
Current Manual or excel based processes
Usability, adoption, access across any device
Business Intelligence
Customizations that can be avoided, leverage standard capability
Lower cost of ongoing maintenance, Infrastructure updates, etc.

36. Hitachi Solutions Partners with Nucleus Research
Partnership with Nucleus Research:
This partnership is part of our commitment to Cloud solution innovation and development in supporting our customers’ business growth and advancement.
Together with Nucleus we have created the Microsoft Dynamics 365 ROI Financial Modeling Tool: a groundbreaking new Dynamics 365 ROI calculator.
Ian Campbell
CEO, Nucleus Research
“It’s the cold, hard numbers that accelerate business decisions. Validating ROI, TCO and payback provide a clarity in understanding the value a solution can deliver. By teaming with Hitachi Solutions, we offer companies this numbers-based insight to show the value in migrating to Microsoft Dynamics 365 and Azure.”

37. The Results Average Performance Latest version Not on latest
Days to close a month
3.6
4.6
Days sales outstanding
33.2
45.2
Complete and on-time delivery
91%
86%
Internal schedule compliance
85%
Inventory accuracy
87%
Customer satisfaction
94%
Percentage of time that data is received during “decision window”
90%
82%
Improvement in profitability
13%
10% x

38. Hitachi Solutions – Microsoft Dynamics 365 ROI Modeling Tool
Predict the value and cost of Dynamics 365 for Financials and Operations, Enterprise Edition.
Gain personalized insight into what a Dynamics 365 for Financials and Operations, Enterprise Edition would mean for YOUR business.
This tool allows businesses to view financial metrics including:
Real return on investment (ROI)
Total cost of ownership (TCO)
Payback period
Ask us for access to the Dynamics 365 ROI Financial Modeling Tool!

39. Q&A Next Steps – Let’s talk: We will review your deployment
Understand your priorities
Quantify benefits
Recommendations on next steps

40. Thank You
#CollaborateCanada