What is Dynamics 365 Project Operations?

In a recent blog post, Microsoft introduced the latest addition to the Dynamics 365 family – Dynamics 365 Project Operations. Project Operations is described as a full-service project management application that “connects your teams from initial quote to project accounting.” So what does that actually mean? What about other project management applications Microsoft has like PSA and Project Online? Let us explain.

Functionality

Native cloud, Dynamics 365 Project Operations combines features from Project Online and Project Service Automation to create a comprehensive project management application that seamlessly integrates with other Dynamics 365 applications. These features include:

Sales Quotes – Create quick, flexible project quotes. Connect with D365 Sales to increase visibility amongst sales and project teams.

Resource Utilization –  Track resource utilization and manage resource skills ensuring project teams have the right skills to effectively get the job done.

Project Management Visualization – Project Operations utilizes a version of the familiar project management chart from Project Online to easily track project statuses.

Time and Expense Reporting – Give project team members the ability to enter time and expenses from anywhere on a mobile device. Connect with Microsoft Teams to improve collaboration and team communication.

Project Costs – Project Operations includes invoicing, project costing, revenue recognition, compliance and provides insight into project profitability and gross margin.

Project Analysis – Project Operations uses AI to discover insights and increase visibility across project teams and processes.

This example “daily view” dashboard shows how much visibility a Dynamics 365 Project Operations user has into each project and associated resources. Notice that Project Operations uses the same left navigation panel used by other Dynamics 365 applications. With this easy navigation, a user can access time entries or resource utilization entities from the dashboard with a single click.

While information is still limited, Microsoft has created an official Dynamics 365 Project Operations page on their website to

What is happening to Dynamics 365 Project Services Automation (PSA) and Project Online?

Microsoft says Dynamics 365 Project Operations is the natural evolution of integrating PSA with Microsoft Project meaning that Project Services Automation will eventually be retired. Current PSA will be able to update to Project Operations soon after it becomes generally available. However, organizations that are currently using PSA don’t need to panic – Microsoft will continue to support PSA for the next few years.

When will Dynamics 365 Project Operations be available?

The preview for Dynamics 365 Project Operations will begin in June 2020 with general availability coming in October 2020.