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Case study · Manufacturing & distribution

From AX 2012 to the cloud, safely

Many organisations still run Dynamics AX 2012, long after mainstream support ended, with customisations built over a decade. This is how we upgraded to Dynamics 365 Finance & Operations: code moved to extensions, data upgraded and integrations rebuilt, with a rehearsed cut-over.

Project overview

A technical and functional upgrade from AX 2012.

Industry
Manufacturing & distribution
Client
Confidential
Solution
ERP upgrade
From
Dynamics AX 2012
To
Dynamics 365 F&O
Timeline
6–12 months
Team
6–8 people
Approach
Overlayering to extensions
Cut-over
Rehearsed weekend

Expected business outcomes

What the client set out to gain

Staying current with Microsoft updates is the lasting benefit.

  • 30–50% Of customisations retired

    Standard D365 features now cover what used to be customised.

    Target range after fit-gap review

  • Continuous Microsoft updates

    Extensions keep the base untouched, so service updates can be applied.

    D365 F&O update cadence

  • Zero AX servers to maintain

    Infrastructure moves to Microsoft's cloud.

    For cloud-hosted F&O

Business challenges

How AX 2012 systems looked before

AX has been reliable, which is why it has been left alone.

Code

Customisations overlayered directly on the base application.

Infrastructure

Ageing servers and SQL versions near end of support.

Integrations

Batch files and direct database connections to other systems.

Reporting

SSRS reports and Excel extracts built over many years.

Skills

Fewer people understand the old platform each year.

Proposed solution

What the upgrade covers

A technical upgrade plus a functional review of what's still needed.

  • Code upgrade

    Customisations analysed, retired or rebuilt as extensions.

  • Data upgrade

    AX database upgraded with Microsoft's tooling and validated.

  • Integrations

    Integrations rebuilt with data entities and Azure services.

  • Reporting

    Reports moved to D365 reporting and Power BI.

  • Testing

    Regression test automation for key business processes.

  • Training

    Users trained on the new interface and changed processes.

Project requirements

What the client asked us for

The request was to get off AX without disruption. The upgrade is also the moment to retire customisations that standard features now cover.

Testing is where upgrades succeed: we automate regression tests for the processes that matter most.

What the project had to deliver

  • 01Supported platform
  • 02Fewer customisations
  • 03Modern integrations
  • 04A calm cut-over

Key challenges & considerations

What made it harder, and what we did

  1. Large, undocumented customisations

    What we did

    Every customisation was reviewed and either dropped for a standard feature or rebuilt as an extension.

  2. Very large databases

    What we did

    Data upgrade rehearsals began early, so the final run fitted inside the cut-over window.

  3. Integrations relying on direct SQL access

    What we did

    Integrations that used direct SQL access were rebuilt on data entities and APIs.

  4. Limited availability of key users

    What we did

    Automated regression tests reduced the time key users had to spend on each test cycle.

What we watched for

  • Question every customisation
  • Rehearse data upgrades early
  • Automate regression tests
  • Plan cut-over around business peaks

Development process

Analyse, upgrade, test, rehearse

Several rehearsals make the cut-over predictable.

  1. Stage 1

    Analysis

    Code, data and integrations assessed; fit-gap with standard D365.

  2. Stage 2

    Code upgrade

    Customisations rebuilt as extensions with unit tests.

  3. Stage 3

    Data upgrade

    Iterative data upgrades in test environments.

  4. Stage 4

    Testing

    Regression and user acceptance testing on upgraded data.

  5. Stage 5

    Cut-over

    Rehearsed cut-over and hypercare.

Technology stack

From AX 2012 to D365

Microsoft's upgrade tooling with modern DevOps.

ERP

  • D365 Finance
  • D365 SCM
  • Extensions

Upgrade

  • Lifecycle Services
  • Data upgrade tooling

Delivery

  • Azure DevOps
  • Regression Suite Automation Tool

Integration

  • Data entities
  • Azure Logic Apps

Quality assurance & deployment

Rehearsed until cut-over was routine

Finance and supply chain systems cannot be tested in production. Processes were proved end to end in test environments, and the cut-over was rehearsed until it held no surprises.

  • End-to-end process tests across finance and operations
  • Automated regression tests for standard and extended processes
  • Data migration rehearsals, reconciled entity by entity
  • User acceptance testing by business process owners
  • Performance tests at real transaction volumes

Deployment

  • 01TestingRegression and user acceptance testing on upgraded data.
  • 02Cut-overRehearsed cut-over and hypercare.
  • 03Rehearsed cut-overA timed cut-over plan, rehearsed at least twice, with a go or no-go decision by the business.
  • 04Hypercare and warrantyOn-site or remote support through the first period close, and six months of free bug fixing.

Final deliverables

A supported ERP that keeps improving

The business runs on Dynamics 365 F&O with only the customisations it still needs, built as extensions that take Microsoft's updates.

Integrations use supported interfaces, and regression tests protect future updates.

  • Supported cloud ERP
  • Leaner customisations
  • Modern integrations
  • Automated regression tests

Handed over to the client

  • 01Configured Dynamics 365Production and test environments
  • 02Extensions and integrationsSource code and documentation
  • 03Migrated dataReconciled entity by entity
  • 04Process documentation and trainingBy business process
  • 05Six-month warrantyFree bug fixing after delivery

Success metrics

How success is measured

MeasureOutcomeHow it is measured
Of customisations retired 30–50% Target range after fit-gap review
Microsoft updates Continuous D365 F&O update cadence
AX servers to maintain Zero For cloud-hosted F&O

Verified reviews

What clients say about our Dynamics work

Verified reviews from our clients on the same kind of work, published on Clutch.

5.0 27 verified reviews

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