What options are available for licensing Dynamics 365 applications?

Dynamics 365 is a suite of business applications by Microsoft that includes modules for customer relationship management (CRM) and enterprise resource planning (ERP). The licensing options can vary based on the specific Dynamics 365 application and the user's role. Here are some common licensing models:

  1. User-based Licensing:
    • Full User License (Dynamics 365 User): This license is designed for users who require full access to all functionalities of a specific Dynamics 365 application. It is often suitable for employees involved in sales, customer service, marketing, or other business processes.
    • Team Member License: This is a more limited license for users who need to perform certain tasks within the Dynamics 365 environment but don't require full access. Team Member licenses are typically less expensive and suitable for users who need read access, basic reporting, or approval processes.
  2. App-based Licensing:
    • Dynamics 365 Sales, Customer Service, etc.: Microsoft offers individual applications within the Dynamics 365 suite, each catering to specific business functions (e.g., sales, customer service, marketing). Users can license the specific applications they need, providing a more modular and cost-effective approach.
  3. Device-based Licensing:
    • Device License: Instead of licensing individual users, this model allows an organization to license a specific device to access Dynamics 365. This can be useful in scenarios where multiple users share a single device.
  4. Concurrent Licensing:
    • Concurrent Device Client Access License (CAL): Similar to device-based licensing, concurrent licensing allows a specific number of users to access Dynamics 365 simultaneously, regardless of the device they use.
  5. Role-based Licensing:
    • Activity-based Licensing: This model charges based on specific activities or transactions performed within the Dynamics 365 application. For example, the number of leads processed, cases resolved, or marketing emails sent.