I have had to deal with different Dynamics GP pricing models over the last 15 years. Many years ago, Dynamics GP was priced using a modular approach, where you purchased the users you needed and the modules you needed; this was called “Module Based Licensing” (MBL). In 2006, in order to simplify the licensing model, “Business Ready Licensing” (BRL) was introduced to provide a combination of a bundled approach and à la carte modules. For those customers who purchased Dynamics GP since the fall of 2006, and those who transitioned to it, you purchased multiple modules for one price per user.
Microsoft is now releasing a pricing model called “Perpetual Licensing,” which fits the new SaaS architecture of Dynamics GP 2013 more closely and provides some long-overdue bundled packs of licensing. It also simplifies the licensing pricing.
Here is a list of the packs:
· Starter Pack
· Extended Pack
· Customization Pack
· Extended HR and Payroll Pack
· SmartList Builder Pack
What you get now is similar to BRL in that most of the modules are bundled together in the Starter Pack (GLAPAR, Supply Chain, lots of Reporting/Analytics) as in BRL but you also get unlimited employees for HR and PR as well as Business Portal.
The Extended Pack “extends” the modules with very specific and robust functionality. Most organizations will not need this Pack. The other three packs are self-descriptive.
Let’s get back to the unlimited Business Portal, HR and PR functionality added to the starter pack. This is where customers can really take advantage of this new pricing model. Almost all HR/PR software or outsourced PR services (like ADP/Paychex) are sold by employee head count, and Dynamics BRL licensing was no exception. For organizations with many employees, these modules could run into the six figures for the Dynamics BRL customers; outsourcing PR/HR could be this amount annually. But Perpetual Licensing makes HR and PR licensing basically free; this is a very significant change for Dynamics customers. You must remember, however, when you go to Perpetual you will lose FRx and replace it with Management Reporter, as you cannot use FRx with GP 2013. If you are considering eliminating your PR service and bringing PR in house, the software costs are minimal because of this new pricing model.
Call your KTL consultant or sales team member for more information.
