Gartner Research

Procurement’s Guide to Negotiating a Microsoft Dynamics 365 Contract to Minimize Cost and Risk

Published: 18 January 2019

ID: G00375467

Analyst(s): Ben Jepson, Dolores Ianni, Jo Liversidge

Summary

Sourcing, procurement and vendor management leaders negotiating Dynamics 365 contracts must identify role requirements, quantify indirect access impacts and require price caps for online service renewals — or expect substantially increased licensing costs.

Table Of Contents
  • Key Challenges

Introduction

Analysis

  • Profile Users to Reduce Costs
    • Collaborate on User Profiles With the Project and Application Architecture Team
  • Contractually Lock Down Service Plan Use Rights
    • Include the Service Plan Descriptions and Use Rights Indicated in the Licensing Guide
  • Define Integration and Indirect Access Needs to Negotiate This Exposure or Expect to Pay for Additional Licenses
    • Analyze the Cost Impacts of Data Access Rules
    • Restrict User Access to Dynamics 365 Data When the Data Resides in a Central Repository
  • Deep Discounts Require Cost Modeling and Further Negotiation to Stabilize Future Online Service Costs
    • Use Cost Modeling to Analyze a Scaled Approach for Deeper Cost Savings
    • Require a Price Cap for Online Services in Enterprise Agreements
    • Negotiate Discounts Across All Five Plan Tier 1 Levels
    • Consider the Full Scope of SaaS Contracting
    • Use Dynamics 365 Purchase as Leverage

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