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Get started with Dynamics 365 Human Resources migration

by Parag Chapre
Technical Solution Architect, DXC

In 2021, Microsoft announced plans to combine the Dynamics 365 Human Resources (HR) module with Dynamics 365 Finance & Operations (F&O). As a result, customers currently using the D365 Human Resources application were instructed to transfer their standalone HR application to the Finance & Operations infrastructure by the end of 2023.

As part of this infrastructure process, all capabilities of the Human Resources application have been incorporated into the F&O environments. To facilitate the migration, Microsoft provides customers with migration tooling through Microsoft Dynamics Lifecycle Services. Customers also have the option to merge their data with their existing F&O environment if they choose to do so.

This article will review the evolution of Microsoft's approach to HR software and the options that customers face when planning for the future of their HR solutions.


Overview of Dynamics 365 Human Resources

Let’s start with a quick introduction to Dynamics 365 Human Resources. Dynamics 365 Human Resources is designed to streamline and optimize your HR processes, from employee recruitment and onboarding to performance management and talent development. With Dynamics 365 Human Resources, you can manage your workforce, ensure compliance with regulations, and promote a positive employee experience.

Overview of Dynamics 365 Finance & Operations

Now, let’s dive into Dynamics 365 Finance & Operations. This comprehensive solution consists of several business applications that help you manage your financial operations, supply chain, and manufacturing processes. With features like budgeting, invoicing, inventory management, and order fulfillment, Dynamics 365 Finance & Operations provides a holistic view of your organization’s financial health and enables you to make informed decisions to drive growth and profitability.

Benefits of Infrastructure merge


As you might imagine, having two different ways to access HR capabilities creates a lot of confusion among Microsoft customers. By unifying these two sets of capabilities into a single feature set using the same infrastructure, customers will experience several benefits, including:

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About Parag Chapre

Parag Chapre, a Microsoft MVP and seasoned professional, brings over 14 years of expertise in consulting, development, implementation, and support for Microsoft Dynamics AX 2009/12, Dynamics 365 Finance & Operations (F&O), HR (Talent), and the Power Platform. He can be reached at or

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