SCALES has supported customers for many years analyzing licensing needs, usage and optimized security roles to match actual business processes in Dynamics 365 Finance & Operations.
With Microsoft’s new licensing requirements, we ensure your users retain access beyond 1. November, 2025. We guide you through the entire process.
Our approach includes:
- Analysis of licensing needs across D365FO, D365CE, and Microsoft AD-security groups
- Review and adjustment of roles with our experienced security consultants
- Clarification of processes for correct license registration aligned with your infrastructure
- Training in the use of new license reports in LCS and Power Platform
- Training super users on the new “User Security Governance” feature in version 10.0.43 (Preview) / 10.0.44 (GA)
LICENSE ENFORCEMENT. (SIMPLIFYING LICENSE MANAGEMENT)
Microsoft introduces new licensing requirements for Dynamics 365 Finance and Operations (D365FO)
Beginning November 1, 2025 it is required that users of Dynamics 365 Finance and Operations (D365FO) must have a license granting access to the D35FO application, aligning with licensing policies for other Microsoft cloud products.
Microsoft made a Blogpost about this in late March 2025. This has since been revised with new dates.
In essence, this means:
All Dynamics 365 customers of D365FO, will be required to assign user licenses directly through the Microsoft 365 admin center
License Warnings:
- Starting September 1, 2025, a warning banner will appear in D365FO if the user does not have the required license assigned.
- In 10.0.44 a new Feature will be mandatory: “User license validation notice”. The feature also becomes available through a Proactive Quality update.
- This feature notifies users about the usage of invalid license. The users will see a warning or an error message that they have an invalid license.
Power Platform Report:
- A new report “Finance and Operations User license level overview report”, will be available in the Power Platform starting April, 2025, showing the license consumption status in D365FO.
- The report are available, but still under development.
- The report provides an overview of the gap between license needs in D365FO, and the licenses registered in the “Microsoft 365 Admin Center”.
Required License Assignment for D365FO Users:
- As of November 1, 2025, users must have an assigned license in the Admin Center to access D365FO.
- Without this license, access will be blocked – not just a warning – users will be denied access entirely.
- The validation will only be enforced in your Production environment.
- The user must have the exact licenses assigned to gain access from November 1, 2025
- For example, if a user has both the ‘Accounting Manager’ (Finance) and ‘Purchasing Manager’ (SCM) roles, but only a “Full Finance” license is assigned to the user in Admin Center. The user will be denied access to D365FO.
- The user must either be assigned an “Attach-SCM” license in the Admin Center or the ‘Purchasing Manager’ role must be removed from D365FO to regain access.
- System Administrators (a non-business-related role) are excluded from the license check.
- All other users require exact licenses.
Application Reporting:
- From version 10.0.43/10.0.44, a new feature called “User Security Governance” becomes available in D365FO, providing an overview of users’ security roles and potential license requirements.
- This feature supports internal license analysis but is not sufficient by itself for license registration.
- SCALES has previously offered this service via the OVA agreement (One Version Agreement). It is now becoming available within the D365FO application.
Real-Time Enforcement:
- License assignment and checks are performed in real-time. If an administrator tries to assign a role to a user who lacks the proper license, the user will be immediately kicked out of the system.
What to do?
In doubt, do not hesitate by taking contact with SCALES License team.. .
We can help you clarify license requirements, give optimization recommendations, guide you through Microsoft license definitions or just support you, while securing all users access beginning November 1, 2025
Otherwise, you can begin your journey to License compliance, by assigning users the required Dynamics 365 License in Microsoft 365 Admin Center.
