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Microsofts recent change to its Business Platforms fundamentally affects HR

Published on July 08, 2018

Microsoft's Ecosystem for business software is a constellation of systems, apps, interfaces as well as a wide range of productivity tools. There have been many changes to the architecture of this Microsoft digital world, the most recent of which being the rise and fall of the Common Data Service (aka CDS 1.0) and the emergence of Dynamics 365 (formerly CRM) as the business platform of tomorrow.

In turn, this has had a significant effect on the world of HR Management software by effectively forging a new comprehensive HR solution of directly integrated apps. This solution is HR Management for Microsoft Dynamics 365 and it consists of Dynamics 365 for Talent, Hubdrives HR apps, Office 365 und LinkedIn. Due to the long history working within the CRM-System, Hubdrive is now in the enviable position of having „backed the winning horse“ so to speak. On the one hand, this ensures that the HR Management for Microsoft Dynamics 365 solution will grow stronger through continued refinement and on the other, it puts the competition in the unfavorable situation of having to migrate their products to the Dynamics 365 platform. In real terms this means that for potential customers who want an integrated HR solution right now, the HR Management for Microsoft Dynamics 365 solution is the only viable option within the Microsoft business platform.


Evolution of the Microsoft Business Platform

To guide you through the developments that have been made over the past few years and the resulting effects, we have documented the evolution process through a series of graphics.



The Microsoft business software portfolio is made up of various products, but to avoid confusion we have focused on the three main players known as CRM, AX and the Office 365 productivity suite. The Dynamics CRM platform (also known as xRM) was home to cloud based business apps including the Hubdrive HR apps. Microsoft's Finance and Operations were located on Dynamics AX which at this point also contained some limited HR functions. Both platforms were connected through a number of interfaces resulting in limited performance.





The acquisition of LinkedIn in 2017 was a major boost to the productivity suite alongside Office 365. At the same time, the idea of a central platform to make all systems more compatible lead to the development of the Common Data Service (CDS 1.0). This concept never really gained traction as it was far too complex and Microsoft had to go back to the drawing board. The HR module from Finance and Operations was extracted and retitled Talent in an attempt to attract AX-customers seeking a cloud based HR solution. Furthermore, the title of the CRM platform was modified to align it with other Microsoft business products and became known as Dynamics 365. Hubdrive also introduced industry and country specific templates, enabling tailor-made HR solutions for customers around the globe.





After the withdrawn of the Common Data Service 1.0, there was much speculation as to what form the revised CDS 2.0 would take. Ultimately Microsoft came to the conclusion that they did not have to build a new business platform as they already had a perfectly good one, namely Dynamics 365. It is already mature, is easy to customize and has a comprehensive security concept. This resulted in Dynamics 365 absorbing the CDS 2.0 project and making it the main business platform. The Microsoft Talent Apps migrated to the Dynamics 365 platform (i.e. the Microsoft business platform of the future) enabling direct integration with Hubdrives HR apps and making out-of-the-box solutions easily available.





ISVs with on-premise HR solutions from the AX platform are now having to "start from scratch" in terms of know-how and rebuild their products on the Dynamics 365 platform. A logical consequence of this shift in balance is that the opportunities for Dynamics CRM partners have increased dramatically.




Here is a more in-depth look at the hub of the business platform. It shows the main applications that complement one another to provide the complete HR solution.

Click to enlarge


Microsoft Dynamics 365 is the business platform architecture of tomorrow and HR Management for Microsoft Dynamics 365 is the smart choice for all partners looking to the future. If you want to join our partner program and capitalize on this unique opportunity, simply get in contact with us today.

Franziskus Lorey
CEO Hubdrive