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


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



  • 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

Gartner Recommended Reading

©2022 Gartner, Inc. and/or its affiliates. All rights reserved. Gartner is a registered trademark of Gartner, Inc. and its affiliates. This publication may not be reproduced or distributed in any form without Gartner’s prior written permission. It consists of the opinions of Gartner’s research organization, which should not be construed as statements of fact. While the information contained in this publication has been obtained from sources believed to be reliable, Gartner disclaims all warranties as to the accuracy, completeness or adequacy of such information. Although Gartner research may address legal and financial issues, Gartner does not provide legal or investment advice and its research should not be construed or used as such. Your access and use of this publication are governed by Gartner’s Usage Policy. Gartner prides itself on its reputation for independence and objectivity. Its research is produced independently by its research organization without input or influence from any third party. For further information, see Guiding Principles on Independence and Objectivity.

Already have a Gartner Account?

Purchase this Document

To purchase this document, you will need to register or sign in above

Become a client

Learn how to access this content as a Gartner client.