Microsoft going after enterprises with Dynamics AX ERP

Dynamics AX is starting to land global deployments with large enterprises, including Revlon

Microsoft hoped recent updates to its Dynamics AX 2012 ERP (enterprise-resource-planning) software would help it grab enterprise-level deals that would ordinarily be won by the likes of Oracle and SAP, and to some degree the strategy appears to be clicking.

Cosmetics manufacturer Revlon is using AX to replace 21 "disparate business systems and 531 point systems," according to an announcement made Tuesday during the Convergence conference in New Orleans.

"We were an equal-opportunity ERP acquirer," said Revlon CIO David Giambruno during an onstage interview at the conference. "The effort in pulling all the information together, while effective, wasn't efficient. My job is to make systems work for people, not people work for systems. We're literally collapsing it into one ERP globally."

Chobani, maker of the very popular yogurt brand in the U.S., is also an AX customer. The software has "allowed us to be global as well as expand the business domestically," said CFO James McConeghy, who also appeared onstage.

The company believes in repeating completed IT functionality as it expands, said Maureen Hurley, vice president of IT, who joined McConeghy onstage. That philosophy helped the company roll out AX at a new plant in just 27 days, she said.

Microsoft Dynamics AX 2012 R2, which was released in December, included localizations for 36 countries. This meant customers could run global operations from a single instance of the application, rather than maintaining multiple installations to handle all geographic areas.

Microsoft is really aiming AX at companies with between US$500 million and $5 billion in revenue -- in other words, ones just below the Global 2000, said analyst Ray Wang, CEO of Constellation Research.

In past years, Microsoft expressed no interest in going after large enterprises with AX, he said. "I think that's because the product was not ready."

But now, "more and more we're seeing AX emerge as an alternative to Oracle or SAP," Wang added. Infor is playing a similar role, he said.

Localizations aren't enough, however, according to Wang. "What's happening in ERP is the war of micro-verticals," he said. "Whoever delivers the most industry-specific functionality is going to win."

Microsoft also announced that its GP 2013 and NAV 2013 ERP applications, which are aimed at smaller and midsized companies, will be available in June via its Azure cloud service, through partners. That date had slipped some, with general availability of NAV 2013 and GP 2013 on Azure originally expected by the end of 2012.

NAV 2013 and GP 2013 were released last year "fully cloud- and Azure-enabled," said Kirill Tatarinov, president of Microsoft's Business Solutions division, in a question-and-answer session with press and analysts. But Microsoft also needed to finish some needed work on Azure "and that is happening imminently," he said.

Microsoft is planning to port AX to Azure as well, beginning with the next major release. That is currently scheduled for early adopter access in 2014, according to a statement.

"That is essentially going to be first time ever in the industry where someone delivers the ability to run their full business end-to-end in the cloud," Tatarinov claimed.

Chris Kanaracus covers enterprise software and general technology breaking news for The IDG News Service. Chris' email address is Chris_Kanaracus@idg.com

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags business managementcloud computingenterprise resource planningMicrosoftinternetOraclebusiness issuessoftwareapplicationsSAPCustomer Relationship ManagementconvergenceInternet-based applications and servicesChobaniRevlon

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Chris Kanaracus

IDG News Service
Show Comments

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Maryellen Rose George

Brother PT-P750W

It’s useful for office tasks as well as pragmatic labelling of equipment and storage – just don’t get too excited and label everything in sight!

Cathy Giles

Brother MFC-L8900CDW

The Brother MFC-L8900CDW is an absolute stand out. I struggle to fault it.

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Laura Johnston

MSI GS65 Stealth Thin

If you can afford the price tag, it is well worth the money. It out performs any other laptop I have tried for gaming, and the transportable design and incredible display also make it ideal for work.

Andrew Teoh

Brother MFC-L9570CDW Multifunction Printer

Touch screen visibility and operation was great and easy to navigate. Each menu and sub-menu was in an understandable order and category

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?