Microsoft Dynamics Great Plans End-of-Life: How Municipalities Should Respond
Corey Halford, MBA, CC, KRISP
Executive Leader, Coach, Mentor, Innovator and Business Consultant
In September 2024, Microsoft officially announced the end of product and support updates for Microsoft Dynamics Great Plains (GP), marking the end of an era for this widely used municipal ERP. While the final end-of-life date is set for December 31, 2029, this news—though expected—has sparked concern across the municipal sector.
With the clock ticking, the big question is: What should your municipality do next if it is currently using GP? In this article, we’ll explore the key steps you need to take to ensure a smooth transition and future-proof your financial and operational systems.
If your municipality is still relying on Microsoft Dynamics Great Plains (GP), consider this your official wake-up call: change is no longer optional—it’s a necessity. With Microsoft ending support and updates, municipalities must begin planning for a new Enterprise Resource Planning (ERP) system.
From a SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis perspective, this transition involves more than just internal considerations (Strengths/Weaknesses). The external landscape (Opportunities/Threats) will play a significant role in shaping your municipality’s ERP replacement strategy. Here’s the challenge: hundreds, if not thousands, of municipalities are in the same boat—all needing to replace the same ERP systems within the same timeline. This surge in demand will strain the market’s ability to provide software solutions and experienced implementation resources.
The municipalities that procrastinate will likely face higher software and implementation costs, limited vendor availability, and an increased risk of missing the end-of-life deadline for Microsoft Dynamics GP. To avoid these pitfalls, forward-thinking municipalities need to start planning now—before the market reaches a breaking point.
Having experienced a major ERP replacement and implementation firsthand with the City of Saskatoon, I know just how complex and challenging this transition can be. If I were a CAO, CFO, or Director of Corporate Services in a municipality facing the end-of-life for Microsoft Dynamics GP, I wouldn’t wait—I’d take decisive action now.
Here’s exactly what I would do to ensure a smooth transition, minimize risks, and set my municipality up for long-term success.
Notify Council
The first and most critical step in replacing your ERP system is ensuring that Council is fully informed and understands that this transition is not a choice—it’s a necessity. I would immediately notify Council that Microsoft’s decision to end support for Dynamics GP is driving this requirement, making action unavoidable.
To responsibly manage risks and timelines, planning must begin now. Delaying this process will only increase costs, create implementation challenges, and put the municipality in a vulnerable position. It’s essential that Council recognizes this project as a top priority—failure to do so could expose the municipality to significant financial and operational risks as the end-of-life date approaches.
Develop the ERP Replacement Plan
After notifying Council, the next crucial step is to initiate internal planning efforts and likely engage a consulting firm to develop a comprehensive ERP Replacement Plan. This plan will serve as the strategic foundation for all ERP-related activities moving forward, ensuring a structured and well-informed approach.
Depending on the scope and complexity, developing this plan could take anywhere from one to three months. Once completed, it should be shared with Council to keep them informed about the scale, scope, and impact of the transition, reinforcing the importance of prioritizing the ERP replacement.
Develop ERP Requirements
With a strategic ERP Replacement Plan in place, the next step is conducting a business analysis to develop detailed functional and technical requirements for the new system. The more precise and comprehensive these requirements are, the easier it will be to evaluate solutions, compare capabilities, and select the best-fit ERP for your municipality.
Beyond the software itself, municipalities must also establish clear expectations for the implementation provider. These requirements are just as critical as the software selection, as they directly impact the quality, efficiency, and long-term success of the system deployment. Experience matters—choosing the right implementation partner can make or break the project.
Municipalities should allocate 1 to 3 months for this requirements-gathering phase. The exact timeline will depend on the methodologies and validation processes used to document and finalize requirements, but investing this time upfront will pay off in a smoother selection and implementation process.
Procurement
Once the functional and technical requirements are documented and finalized, much of the groundwork for procurement is complete. The next step is to draft and publish the procurement documents—a critical phase that will determine the success of your ERP replacement.
Choosing the Right Procurement Approach
I highly recommend municipalities use a Negotiated Request for Proposal (nRFP) approach. This method allows for flexibility in working with prospective vendors, ensuring that municipalities select a system that truly meets their needs. If you're unfamiliar with nRFPs, I have other articles that dive deeper into this process.
Within this approach, I advise municipalities to:
Expect the procurement document finalization to take around 1 to 2 months before it can be posted to the market.
Publishing the RFP & Managing Vendor Timelines
Once the nRFP is published, municipalities should expect to keep the bid open for at least six weeks to allow vendors adequate time to develop and submit proposals. Even with this timeframe, vendors may request extensions (keep in mind vendors may be overwhelmed in responding to RFPs for other municipalities), so be prepared for potential delays.
Evaluation & Vendor Selection
Once the RFP closes, municipalities should allocate:
Shortlisted vendors will then need at least two weeks’ notice before their scheduled demonstrations, and more if these are conducted in person.
System Demonstrations
To ensure a thorough evaluation, municipalities should allocate one full week per shortlisted provider for demonstrations. If three vendors are shortlisted, expect this phase to take at least three weeks.
After demonstrations, the evaluation team will need at least one additional week to reach a consensus on the final selection.
Finalizing the Procurement Process
The procurement phase is largely complete once the Notice of Intent to Award is issued to the preferred vendor. This marks the transition into the contract negotiation and implementation planning phase—bringing your municipality one step closer to a successful ERP transition.
By following a structured procurement approach, municipalities can reduce risk, ensure a competitive selection process, and secure an ERP solution that meets both current and future needs.
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Contract Negotiations
Contract negotiations are a critical phase of the ERP replacement process and should be treated as a distinct step separate from procurement. This stage begins with the selected provider’s RFP response and any details shared before the Notice of Intent to Award. From this point forward, both parties can negotiate the terms, conditions, and any other relevant aspects of the agreement.
These negotiations should not be rushed. Municipalities must take the time to ensure they are securing the best value, protections, and service commitments from their ERP provider. It is highly recommended to engage a lawyer who specializes in technology contracts to help navigate complexities and safeguard municipal interests.
On average, contract negotiations take between 1 and 3 months. Investing the necessary time in this phase will help prevent costly missteps and set the foundation for a successful implementation and long-term ERP partnership
Project Ramp Up
With contracts signed and agreements finalized, the focus shifts to ramping up for the official project kickoff. However, before the actual implementation begins, both the municipality and the selected vendor need time to put the right resources in place.
This preparation phase typically takes 1 to 3 months and includes:
? Assembling the internal project team.
? Establishing project governance.
? ?Onboarding the system implementation team.
Taking the time to properly prepare, plan, and organize at this stage will set the foundation for a smoother, more efficient ERP implementation—reducing risks and ensuring the project stays on track.
System Implementation
ERP implementation is a complex, multi-phase process that requires careful planning and execution. A conservative timeline for this phase is 18 months from project kickoff to go-live. This allows sufficient time for:
? System configuration
? Thorough testing
? Organizational change management
Rushing through implementation or cutting corners significantly increases risk and can lead to costly errors, rework, and low user adoption. A structured, well-paced approach is essential to delivering a high-quality, long-lasting ERP solution that supports municipal operations for years to come.
Go-live
Selecting the right go-live date is a critical decision. If your municipality opts to launch the new ERP at the start of the fiscal year, your project team might face a busy period over the Christmas and New Year holidays. However, this timing offers a significant advantage: all year-end activities can be managed within a single system. On the other hand, a mid-year go-live means handling financial year-end processes across multiple systems, which can complicate operations. Consequently, many municipalities prefer to kick off their new ERP on the first business day of the year for a smoother transition.
Contingency Time
No ERP implementation ever unfolds exactly as planned. That's why it's essential to build in a contingency period of 3 to 6 months. By planning for potential delays, you can ensure that your new ERP system is up and running well before the old one reaches its end-of-life, safeguarding your operations from unforeseen hiccups.
?Summary
If I needed to replace Microsoft Dynamics Great Plains, I'd kick off the process immediately, targeting a go-live date of January 1, 2028. Here's how I’d break down the timeline:
? ERP Replacement Plan: 2 Months
? ERP Requirements: 4 Months
? ERP Procurement: 6 Months
? Contract Negotiations: 2 Months
? Project Ramp-Up: 3 Months
? System Implementation: 17 Months
? Go-Live: January 1, 2028
By setting a January 1, 2028 go-live, you secure a 24-month contingency window before the legacy system hits its end-of-life. Expediting these ERP replacement activities now not only mitigates risk but also helps you stay ahead of the coming wave of mass ERP replacements across the industry. In municipal government, early adopters are often seen as high-risk takers, but here, acting quickly is a strategic move for maximum risk and cost mitigation.
The Hawforce Advantage
Navigating the replacement of Microsoft Dynamics Great Plains is a complex challenge—but Hawforce Consulting Inc is here to help. Our experienced consulting team specializes in guiding municipalities through every phase of their ERP journey, from initial planning to successful implementation. With our proven accelerators for ERP planning, requirements gathering, procurement, and project execution, we provide structured, efficient support that ensures municipalities stay ahead of challenges and delays.
To further support municipalities, Hawforce offers complimentary ERP advisory services to help leaders make informed decisions—no matter where they are in their ERP transition. Schedule a free consultation today by emailing [email protected] and gain access to critical advice that will set your municipality up for long-term success.
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