What are Add-Ons and Vertical Solutions for Dynamics NAV

Written on April 19, 2016 by Caterina Lyng

Perhaps you have heard about add-ons and vertical solutions for Microsoft Dynamics NAV, but do you know what they are? In the blog post, we will have a look at what Microsoft announced in 2015 regarding Dynamics NAV add-ons and solutions.

From Add-Ons to Registered Solutions

On August 1st 2015, Microsoft terminated:

  • The Microsoft Dynamics Add-On Program
  • The Microsoft Dynamics Add-On Addendum
  • The term “Add-Ons” in their entirety

Microsoft did this to facilitate a complete shift to the Registered Solution Program (RSP).

Consequently, the Registered Solution Program and the Registered Solution Program Addendum are the only means by which an ISV (Independent Software Vendor) can develop and sell solutions based on Microsoft Dynamics NAV.

In conclusion, what Microsoft previously called add-ons is now known as Registered Solutions.

What are Registered Solutions?

Microsoft Dynamics NAV Registered Solutions are software applications independently developed by ISVs. The applications are enabled when used in conjunction with Microsoft Dynamics and and can be delivered and implemented for multiple customers.

Registered Solutions can be sold to several customers

Registered Solutions can be sold to several customers

These software applications complement and supplement the functionality found in Microsoft Dynamics NAV by addressing:

  • Industry specific needs (Vertical Solutions)
  • General business processes (Horizontal Solutions)
Microsoft Registered Solution Program - Horizontal and Vertical Solutions

Registered Solutions - Horizontal and Vertical

What are Vertical Solutions?

As shown in the illustration above, vertical solutions based on Microsoft Dynamics NAV are software applications that are designed to solve industry-specific needs.

Vertical Solution is Dynamics NAV + Industry-Specific Functionality

Vertical Solution is Dynamics NAV + Industry-Specific Functionality

If you think of companies in for instance:

  • The fashion industry
  • The print industry
  • The pharmaceutical industry

Companies in these industries most likely all have business processes that are different from one another. They can use Dynamics NAV to manage their business, but they most likely need functionality that is specific to their industry.

In order to get the needed functionality, a single company can choose to work with a Microsoft partner to have the solution customized by having specific functionality developed. This can however can be a lengthy and costly process. The company needs to e.g.:

  • Describe what is needed
  • Wait for the functionality to be developed
  • Test the functionality

Vertical solutions are an alternative to customization. With a vertical solution, a company can:

  • Get features and functions based on best practices from their specific industry
  • Minimize the need for customization

Why Registered Solutions?

The benefits of Registered Solutions can be observed from both a Microsoft partner perspective and for a customer perspective:

For Microsoft partners, Microsoft Dynamics NAV Registered Solutions:

  • Drive revenue
  • Drive market share
  • Build customer loyalty

For customers, Registered Solutions ensure the selling of consistent functionality to several customers resulting in:

  • Faster implementations
  • Consistent customer experience
  • Reduced development costs
  • Better use of resources

Where to buy Registered Solutions?

ISVs can sell their Application through other Microsoft partners. However, ISVs own the Intellectual Property rights for the Microsoft Dynamics NAV Registered Solution and therefore decide to distribute or not through other SPA (Solution Provider Agreement) partners.

Registered = Certified?

Dynamics partners and customers should not be under the impression that Microsoft Dynamics has authorized or certified the Microsoft Dynamics NAV Registered Solution Application.

Certification can only be obtained through the CfMD process.

Resources

If you are a Microsoft partner, you can login to Microsoft PartnerSource and read about the Registered Solution Program (RSP) here: mbs.microsoft.com/partnersource/northamerica/partner-essentials/agreements-guides-and-handbooks/RegisterSolutionProgram

For information about the Certified for Microsoft Dynamics process, you can read more on this FAQ page:  microsites.lionbridge.com/veritestcertification/SitePages/dynamics-faq.aspx

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