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What are Differences between MS Dynamics CRM Online and On-Premise versions?

Deployment Options

In general, there are two choices – CRM Online or CRM On-Premise. CRM Online is hosted in Microsoft’s cloud and is a completely turnkey solution. CRM On-Premise allows/requires you to deploy and setup the servers and applications yourself. There is a third option, Partner Hosted, which is essentially CRM On-Premise running on a Microsoft partners servers.

Infrastructure

Microsoft Dynamics CRM Online
Microsoft has physical and environmental security within the data centers, like Multi-Factor Authentication, Perimeter Security, Locked Racks and extensive video monitoring.
MS skilled staff provides local technical support to all the data centers.
MS Online has provided with a self-healing process through an automation workflow for quick resolution which needs no human intervention.
Microsoft Operation Centers provide 24/7 monitoring and system alerts to catch issues in which self-healing has not resolved and then escalated to a Service Engineer to resolve.
MS Dynamics CRM Online provides a sophisticated recovery process for data.
Microsoft Dynamics CRM Online also integrates with Office, Azure, Office 365, Oracle, Dynamics GP and many more…
Microsoft Dynamics CRM On-Premise security, backups, copies of data and certifications need to be implemented and monitored within individual company or by a hosted third party.
Data Integration Options
Integration options are similar between CRM online and On Premises. Integration performance vary based on the data load. Very large data integrations are typically faster with CRM On Premises if the integration server is close to the CRM server as latency is very low. CRM Online integration performance can be improved by optimizing the integration, using the bulk load API, or by reducing latency to the cloud by running the integration from a Microsoft Azure server.
Integrations with other Microsoft platforms
Integration with other Microsoft platforms such as Sharepoint, Exchange, Lync, and Yammer work is possible with both CRM On Premises and CRM Online
If current system uses Office 365 for Exchange or SharePoint, CRM Online allows standardize user management and offers enhanced server side integration with SharePoint Online, Exchange Online, and PowerBI.
Mobility
CRM clients for phone, tablet, and Outlook (including offline) work exactly the same between CRM Online and CRM On Premises.
Benefits of CRM Online
  • CRM Online is a SaaS model. Choosing CRM Online means that your CRM system will be on Microsoft’s Cloud.
  • Immediate access to new features of Dynamics CRM as soon as they are released.
  • Access to features that are only available in CRM Online.
  • MS demands you to update as per releases, to prevents you from falling multiple versions behind.
  • Less expensive as you don’t need the IT infrastructure or maintenance.
  • Online hosting, is a monthly fee payment instead of paying all at once.
  • CRM Online is secure and reliable and has a super robust disaster recovery scenario that only few on-premises customers can afford to create.
Benefits of CRM On-premises
  • This traditional model is where CRM is hosted by your company or by another hosting partner or vendor.
  • You have access to the SQL database:
  • You have the ability to run SQL queries and reports.
  • If you run into performance issues, you can  always throw mare hardware at it since you are responsible for the infrastructure.
  • You can decide precisely when and if you want to upgrade.
  • You can run old code that does not run in CRM online.
  • You can decide and have control of security and setup.

CapabilitiesCRM OnlineCRM On Premises
Exchange SynchronizationCRM for Outlook, Email Router, or Server Synchronization
(if using Exchange Online/Office 365)
CRM for Outlook, Email Router, or Server Synchronization (if using Exchange on premise)
SharePoint IntegrationServer Side with SharePoint Online (if using Office 365)Client-side integration
InsightsIncludedAdditional cost
Social ListeningIncludedAdditional cost
Workflows/Dialogs200Unlimited
Custom Entities300Unlimited
SSRS ReportsFetchXML, or T-SQL from local reporting serverFetchXML or T-SQL
Power BI ReportsYesNo
Upgrade/Update processBefore installation,Office 365 admin approves the upgrade.
Updates applied automatically
Upgrades and update rollups installed by individual administrators
Direct server accessNoYes
Phone AppYesYes if environment externally facing via ADFS
Tablet AppYesYes if environment externally facing via ADFS
StorageDepends on the amount of CRM Online storage purchasedDepends on the amount of storage available on your server
MigrationCRM Online customers can migrate On Premises at any time.CRM On Premises customers can migrate to CRM Online.
Data migration is required, as database cannot be moved to Online data center
EnvironmentsProvides non production environments that can be used for dev/test/UAT.
The number of organizations depends on the number of users.
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