--- title: AP Automation Solution for Dynamics 365 url: https://www.medius.com/solutions/for-your-erp/microsoft-dynamics/ap-automation-solution-for-dynamics-365/ updated: 2025-10-10T22:03:36Z --- # How to find the right AP automation solution for Dynamics 365. Your go-to checklist for a thorough AP automation evaluation. [Download Guide](https://www.medius.com/resources/guides-reports/dynamics-userguide/ "Dynamics Userguide") ## Why do you need an AP solution? For many teams, [Dynamics ERP](https://www.medius.com/solutions/for-your-erp/microsoft-dynamics/) falls short in accounts payable, despite consultants' help--upgrades and migrations can cause operational disruptions. [Specialized AP automation](https://www.medius.com/solutions/medius-accounts-payable-automation/) can truly streamline processes. But, choosing the right vendor takes more than a quick Google search. This guide breaks down the most common AP solution types for Dynamics users to help you make the best choice for your needs. Invoice within Dynamics ERP Explore Option 1 Built-in solutions Explore Option 2 Stand-alone cloud AP solutions Explore Option 3 ## Option 1: Invoice within Dynamics ERP [Dynamics 365](https://www.medius.com/solutions/for-your-erp/microsoft-dynamics/) offers basic invoice processing features. Vendors can submit invoices manually or via a data feed. In addition, Dynamics 365 supports manual or semi-automated approval workflows and basic invoice-matching capabilities for PO-based invoices. PROS ![checkmark icon](https://www.medius.com/media/0smnknsc/check-circle-charcoal.svg) Available off-the-shelf within Dynamics 365. ![checkmark icon](https://www.medius.com/media/0smnknsc/check-circle-charcoal.svg) A basic workflow and automation will support low volumes or low complexity of vendor invoices. CONS ![x icon](https://www.medius.com/media/ssodeyib/x-circle-red.svg) No OCR or data capture service. ![x icon](https://www.medius.com/media/ssodeyib/x-circle-red.svg) Clunky and slow user experience. ![x icon](https://www.medius.com/media/ssodeyib/x-circle-red.svg) Complex invoice matching is not automated, requiring manual work. ![x icon](https://www.medius.com/media/ssodeyib/x-circle-red.svg) Archive and search for invoices are limited. ![x icon](https://www.medius.com/media/ssodeyib/x-circle-red.svg) Limited reporting functionality restricts analysis of important financial metrics and process efficiency KPIs. ## Option 2: Built-in solutions The second option is to install a built-in AP automation solution within your [Dynamics 365](https://www.medius.com/solutions/for-your-erp/microsoft-dynamics/ "Microsoft Dynamics") environment that manages the invoice processing through an external party’s add-on module (i.e., not Microsoft). PROS ![checkmark icon](https://www.medius.com/media/0smnknsc/check-circle-charcoal.svg) Easy to add to existing Dynamics 365 environment. ![checkmark icon](https://www.medius.com/media/0smnknsc/check-circle-charcoal.svg) Same interface as Dynamics 365, and a consistent user experience, which may help user onboarding and adoption. CONS ![x icon](https://www.medius.com/media/ssodeyib/x-circle-red.svg) Integrating external code with Dynamics 365 can make upgrading complex, limit cloud ERP benefits and add customizations to the system. ![x icon](https://www.medius.com/media/ssodeyib/x-circle-red.svg) No OCR or data capture service. ![x icon](https://www.medius.com/media/ssodeyib/x-circle-red.svg) Clunky and slow user experience. ![x icon](https://www.medius.com/media/ssodeyib/x-circle-red.svg) Limited invoice matching capabilities. ![x icon](https://www.medius.com/media/ssodeyib/x-circle-red.svg) Lack of reporting functionality to support KPIs, bottleneck analysis, and critical financial metrics. ## Option 3: Stand-alone cloud AP solutions [Cloud-based AP automation](https://www.medius.com/solutions/medius-accounts-payable-automation/) solutions streamline invoice data capture, workflow, and automation capabilities. This solution can boost the efficiency of the AP process, connect to multiple business systems and functionally integrate with [Dynamics 365](https://www.medius.com/solutions/for-your-erp/microsoft-dynamics/), allowing an effortless flow of data and posting of vendor invoices. PROS ![checkmark icon](https://www.medius.com/media/0smnknsc/check-circle-charcoal.svg) Focuses solely on the synchronization of AP workflow. ![checkmark icon](https://www.medius.com/media/0smnknsc/check-circle-charcoal.svg) Does not interfere with the Dynamics 365 standards or source code. ![checkmark icon](https://www.medius.com/media/0smnknsc/check-circle-charcoal.svg) Automatic product upgrades. ![checkmark icon](https://www.medius.com/media/0smnknsc/check-circle-charcoal.svg) Minimal [IT support](https://www.medius.com/solutions/for-your-role/it-professionals/ "IT Professionals") required. ![checkmark icon](https://www.medius.com/media/0smnknsc/check-circle-charcoal.svg) User-friendly and accessible (mobile) for approvers and buyers. ![checkmark icon](https://www.medius.com/media/0smnknsc/check-circle-charcoal.svg) Offers [invoice capture](https://www.medius.com/solutions/medius-accounts-payable-automation/invoice-capture/ "Invoice Capture"), workflow, matching and payment automation in one interface. ![checkmark icon](https://www.medius.com/media/0smnknsc/check-circle-charcoal.svg) Detailed reporting on performance and insights to improve visibility and control across critical financial KPIs. CONS ![x icon](https://www.medius.com/media/ssodeyib/x-circle-red.svg) Requires a solid connector to Dynamics 365 to enable master data synchronization. ![x icon](https://www.medius.com/media/ssodeyib/x-circle-red.svg) Users closely involved in the AP/Finance process will need access to both the cloud-based AP automation and Dynamics 365 systems. ## The best choice is stand-alone AP. Here’s why: [Autonomous AP](https://www.medius.com/ai-innovation/autonomous-accounts-payable/ "Autonomous Accounts Payable") can benefit your organization in various ways, but the reason we recommend option three comes down to three main reasons: ![number 1 icon](https://www.medius.com/media/pe3hd0yf/number-one-circle-thin-red-sand.png) It’s **ERP agnostic and does not interfere with the [Dynamics 365](https://www.medius.com/solutions/for-your-erp/microsoft-dynamics/ "Microsoft Dynamics") source code.** ![number 2 icon](https://www.medius.com/media/52xn3o4w/number-two-circle-thin-red-sand.png) Only **focuses on the accounts payable process** so that all R&D investments will drive increased efficiency, usability and intelligent automation. ![number 3 icon](https://www.medius.com/media/m0ofxcvs/number-three-circle-thin-red-sand.png) It provides **AP-specific reporting functionality** that is not limited by reporting options within Dynamics 365. [Get more details](https://www.medius.com/resources/guides-reports/dynamics-userguide/ "Dynamics Userguide") ## Your checklist: key questions to ask in your evaluation. Use this comprehensive checklist when evaluating different stand-alone AP solutions to connect to your [Dynamics 365 ERP](https://www.medius.com/solutions/for-your-erp/microsoft-dynamics/ "Microsoft Dynamics"). ![checkbox icon icon](https://www.medius.com/media/wtdjamdp/checkbox.png)Is the AP solution available on Microsoft AppSource? Is the solution provider a certified Microsoft Partner? ![checkbox icon icon](https://www.medius.com/media/wtdjamdp/checkbox.png)Is there a pre-packaged connector to Microsoft Dynamics 365 for Finance and Operations? ![checkbox icon icon](https://www.medius.com/media/wtdjamdp/checkbox.png)Does the solution provider have a proven track record of connecting the solution to Dynamics 365 for organizations similar to yours? ![checkbox icon icon](https://www.medius.com/media/wtdjamdp/checkbox.png)Does the connector include synchronization of master data? ![checkbox icon icon](https://www.medius.com/media/wtdjamdp/checkbox.png)Do you get access to comprehensive technical documentation and templates? ![checkbox icon icon](https://www.medius.com/media/wtdjamdp/checkbox.png)Does the solution provide regular and automatic product upgrades? ![checkbox icon icon](https://www.medius.com/media/wtdjamdp/checkbox.png)Does the solution offer an intuitive user experience for easy onboarding and adoption? ![checkbox icon icon](https://www.medius.com/media/wtdjamdp/checkbox.png)Does the solution offer a mobile solution for invoice approvals on the go? ![checkbox icon icon](https://www.medius.com/media/wtdjamdp/checkbox.png)Is the mobile solution browser-based, eliminating the need for app downloads and updates? ![checkbox icon icon](https://www.medius.com/media/wtdjamdp/checkbox.png)Does the solution include advanced invoice matching and automation capabilities? ![checkbox icon icon](https://www.medius.com/media/wtdjamdp/checkbox.png)Does the solution provide you with comprehensive reporting to support the AP process improvements and month-end closings? ![checkbox icon icon](https://www.medius.com/media/wtdjamdp/checkbox.png)Does the provider have an integrated payment solution to complete the invoice-to-pay process for full automation? [Download printable checklist](https://www.medius.com/media/dvzj4bm0/checklist-microsoft-dynamics.pdf "Checklist Microsoft Dynamics") ## Why Medius AP automation for Microsoft Dynamics? [Medius AP Automation](https://www.medius.com/solutions/medius-accounts-payable-automation/) is the leading cloud-based solution ([and preferred choice](https://www.medius.com/resources/events-and-webinars/microsofts-preferred-ap-automation-solution-for-dynamics-erps/ "Microsoft's Preferred AP Automation Solution for Dynamics ERPs")) for Dynamics users that automates the entire accounts payable process, enabling increased efficiency, touchless invoice processing, and better financial visibility and control. [Get the Guide](https://www.medius.com/resources/guides-reports/dynamics-userguide/#gatedContentForm) ![Microsoft Dynamics 365 F&O logo](https://www.medius.com/media/rwidfg4t/ms-dynamics-365-fo.png?width=310&height=270&v=1d93521253ba8c0&rmode=boxpad) [Medius + Dynamics ERP](https://www.medius.com/solutions/for-your-erp/microsoft-dynamics/) [Read Case Study](https://www.medius.com/resources/case-studies/fluiconnecto-ap-automation/) ## Ready to transform your AP? [Book a Demo](https://www.medius.com/book-a-demo/ "Book a Demo") [Contact Us](https://www.medius.com/contact-us/ "Contact Us")