Five considerations for Microsoft Dynamics 365 EDI

by | Jun 19, 2024 | Data Management, Inventory Management, Order Management, Solutions

If you’re a Microsoft Dynamics 365 user through-and-through, you’re already used to a certain level of support, the latest technology and product accessibility. Don’t you wish all your tech was as simple?

Whether you’re a tried-and-true Dynamics AX user or have been loving the benefits of the cloud with Dynamics F&SCM, you’re happy with your ERP. We get it! That’s why we have a feeling you’re ready to implement EDI or upgrade your current EDI system directly in your ERP. (But we’re getting ahead of ourselves.)

If you’re completely new to Microsoft Dynamics 365 EDI solutions, we’re here to help you get started with the five most important considerations to prioritize before implementing. If you’re looking to upgrade your current EDI solution, these items are still helpful to follow—things may have changed since you last evaluated your business needs.

These are the most important items to consider when implementing or upgrading your EDI solution:

Data needs

Choosing a solution that can be fully integrated into your existing EDI sets you ahead of the competition and gives you flexibility as your business adapts to changing industry trends. While many EDI solutions can be implemented into Microsoft Dynamics 365 software, you should carefully consider your company’s data needs before choosing one.

These are items such as the number of documents that you exchange, the number of trading partners and any existing trending partner requirements. This way, you’ll know that the EDI solution you adopt makes the most sense for your business and your budget. If you’re totally new to EDI, it’s worth reaching out to the EDI service provider of your choosing so they can walk you through your needs.

Cloud vs. on-prem

When it comes to opting into the cloud or adopting an on-premise or managed EDI solution, we’re always going to nudge you toward picking the cloud. By storing and exchanging data in the cloud, you reap the benefits of increased accessibility, better security and total automation. Plus, it’s always good to stay up to date on the latest technology, and cloud solutions are certainly the newest trend in the tech world.

There are some exceptions, of course. If you’re running an older Microsoft Dynamics 365 software, like AX or GP, you may be more comfortable with managed service EDI. However, this only holds true if you’re a smaller business; mid- to large-sized companies will eventually need to shift to the cloud to keep up levels of productivity and efficiency.


One of the reasons to choose a Microsoft Dynamics 365 EDI solution is to set your business up for success and continued growth through seamless connection with your trading partners. However, if your EDI solution doesn’t have the capabilities to grow with you, you’ll soon find that you’re out of luck and need to begin the adoption process all over again.

EDI isn’t one-size-fits-all. Your solution should be unique to your business and your needs, and probably looks different to even your closest competitor. If there’s no customization or adjustability once implemented, it’s eventually going to become a barrier to your growth.


In an age when cyberattacks are becoming more advanced and occurring more frequently, security must be a top priority for businesses. One data breach could be detrimental to your company, costing you money and valuable time while you get back on track.

With the right Microsoft Dynamics 365 EDI solution, you’ll be able to focus on other aspects of your business with the assurance that your data is secure. Of course, this is truer of a cloud-based solution, but sending invoices and purchase orders through any EDI solution is always going to be more secure than using email or traditional mail.

Retail and system expertise

There are many things that you want from your EDI provider, but the number one priority you should have when choosing a new EDI solution is expertise. Your Microsoft Dynamics 365 EDI provider should be knowledgeable, accessible and committed to providing you with the best possible support and any additional resources that you may need on the journey towards automation and optimization.

SPS Commerce, for example, boasts over 20+ years of experience in the industry with 300+ team members dedicated to Microsoft. We’ve been around long enough to identify upcoming trends and adjust our solutions accordingly. Plus, we’ve established a retail network of over 500,000 trading connections, which means we’ve already done most of the heavy lifting for our customers.

Beyond that, we understand the complexities of the market, so our ongoing maintenance includes compliance updates on our customers’ behalf, giving them time back in their day and removing items from their workload.

The choice is yours

While there are plenty of Microsoft Dynamics 365 EDI options for you to choose from, each offers something different. That’s why we suggest keeping these five considerations in mind as you begin to implement a new EDI solution to set yourself up for success.

Whether EDI is totally new for your business or you’re just looking for a solution that better fits your needs, we’d love to get in touch with you. Contact us today to learn how we can help you optimize your supply chain and get you refocused on your business growth.

SPS Commerce Blog Team