Dynamics AX to D365 Finance & Supply Chain Migration for an Adelaide Distributor
Fourteen years of financial and inventory data migrated from Dynamics AX 2012 R3 to Dynamics 365 Finance and Supply Chain Management. Six X++ overlayering customisations assessed: two retired as D365 standard features, four rebuilt as D365 extensions. Three AIF integrations rebuilt on OData and Data Entities. Eight SSRS reports rebuilt in Power BI. Live in 14 months.
Industrial distribution business: 75 staff, multi-warehouse, multi-supplier inventory management
An Adelaide-based distributor of industrial fasteners, bearings, and power transmission components serving the mining, construction, and food processing sectors. The business operated three warehouses, ran approximately 14,000 active SKUs, and managed supplier relationships across twelve countries.
They had been on Dynamics AX 2012 R3 since 2010. The system had been extended significantly over that time: six X++ overlayering customisations built by two different development firms over eight years, three AIF-based integrations connecting AX to an industry-specific CRM, a freight platform, and an e-commerce portal, and eight SSRS reports used in management reporting.
The decision to migrate was driven partly by the January 2028 R3 deadline but more immediately by the fact that both development firms who had built the X++ customisations no longer existed. The internal IT team could maintain the system but could not safely modify the customisations. Any change to the AX configuration carried real risk.
What needed to change
The X++ customisations were the primary technical concern. Six overlayering modifications had been built across eight years by two firms, neither of which was still operating. Two of the customisations were documented. The other four had no documentation beyond the code itself, and the code was interdependent in ways that were not immediately obvious.
The AIF integrations added further complexity. AX connected to a freight platform via an AIF file port that generated despatch documentation and updated freight costs in AX. The e-commerce portal integration used a custom AIF web service to push orders into AX and pull stock availability. The CRM integration used a message queue to synchronise customer and contact records. None of these would survive a migration to D365.
The SSRS reports were heavily used in the business. The weekly management pack included three reports built with X++ data providers, meaning the report logic was embedded in the AX application layer, not just in the report definition. Rebuilding those required understanding both the SSRS report structure and the underlying X++ data logic.
Data volumes were significant but manageable: 14 years of transaction history across three legal entities (the main trading company plus two smaller related entities), approximately 14,000 active inventory items with bin-level locations across three warehouses, and four years of CRM interaction history to preserve.
What we built
Migrated to Dynamics 365 Finance and Supply Chain Management. X++ customisations audited: two retired as standard D365 features, four rebuilt as D365 extensions. AIF integrations rebuilt on D365 OData endpoints and Data Entities. Eight SSRS reports rebuilt in Power BI using the D365 Finance connector.
AX Environment Audit & Customisation Assessment
Full SQL-level audit of the AX 2012 R3 environment. Six X++ customisations documented from code and database analysis: a freight cost allocation module, a landed cost tracker, a supplier performance scoring module, a customer-specific pricing override screen, an approval routing workflow, and a modified purchase order screen. Each assessed against D365 F&O standard functionality. Landed cost tracking and approval routing found to be covered natively by D365. Four remaining customisations recommended for rebuild.
D365 Extension Development
Four customisations rebuilt as D365 Finance & Supply Chain extensions: freight cost allocation module rebuilt using D365 extensibility points for transportation management, supplier performance scoring rebuilt as a D365 extension with a Power BI-connected data set, customer-specific pricing override rebuilt using D365 trade agreements plus a custom extension for edge cases not covered by standard functionality, and the modified purchase order screen rebuilt as a D365 form extension. Each tested in the D365 sandbox environment against migrated data before UAT.
AIF Integration Rebuild
Three AIF integrations rebuilt on D365 integration framework. Freight platform integration rebuilt as a D365 Data Entity connection with real-time freight cost update; replaced the overnight file port batch. E-commerce portal integration rebuilt using D365 OData endpoints for order import and inventory availability queries; real-time availability replaced the 15-minute batch refresh. CRM integration rebuilt as a bidirectional D365 virtual entity connection for customer and contact synchronisation.
Data Migration
Three legal entities migrated: chart of accounts, customers (2,800 records), suppliers (640 records), inventory items (14,200 SKUs including bin-level warehouse locations across three sites), open AP/AR, project records, and transaction history back to 2010. Python ETL pipeline built for extraction, transformation, and D365 Data Management Framework load. Two test migrations run. Finance team validated financial data; warehouse team validated inventory locations and stock quantities.
SSRS to Power BI Migration
Eight SSRS reports rebuilt in Power BI using the Dynamics 365 Finance certified Power BI connector. Three reports used X++ data providers: the weekly management pack reports for gross margin by product category, supplier fill rate, and freight cost as a percentage of order value. These required analysis of the X++ data provider logic before the Power BI data model could be designed. All eight rebuilt as live reports rather than exported snapshots. Management team retrained during parallel running.
How it works
AX Audit & Customisation Analysis
Connected to AX SQL database. All six X++ customisations documented from code and database structure. AIF integrations mapped. SSRS reports catalogued including X++ data provider dependencies. Three-entity data volumes confirmed.
D365 Partner Handoff
Customisation assessment document shared with the D365 implementation partner engaged by the client. Scope divided: partner handles D365 configuration, chart of accounts setup, module activation, and user training. HELLO PEOPLE handles data migration, extension rebuild, integration reconstruction, and reporting.
Extension Development & AIF Rebuild
Four D365 extensions built and tested in sandbox. Three AIF integrations rebuilt. Each tested end-to-end against sandbox environment before UAT. Freight cost integration required coordination with the freight platform vendor to update their API endpoint.
Data Migration Build & Test
Python ETL pipeline built for all three legal entities. First test migration in month 8: finance team validated AP/AR and transaction totals; warehouse team validated inventory quantities and bin locations. Second test migration in month 11 after D365 configuration was complete.
SSRS to Power BI Build
Eight Power BI reports built against the D365 Finance data model. Three reports with X++ data provider logic required bespoke DAX measures to replicate the calculation logic. All eight reports validated by the finance and operations teams during UAT.
Parallel Running & Cutover
Six-week parallel run with AX and D365 both live. Finance team ran month-end close in both systems. Cutover at end of financial quarter. AX kept in read-only mode for three months post-cutover. No operational disruption during production go-live.
Measurable outcomes
The AX customisations were the reason we had delayed the migration for years. We had no documentation and both development firms were gone. HELLO PEOPLE reverse-engineered all six from the code and the database, told us which ones D365 already covered, and rebuilt the rest as proper extensions. That analysis alone was worth the engagement.
How we delivered it
AX Audit & Customisation Assessment
3 weeksAX SQL audit, X++ customisation documentation, AIF integration mapping, SSRS catalogue. Written assessment delivered to client and D365 partner.
Extension Development & AIF Rebuild
5 monthsFour D365 extensions built. Three AIF integrations rebuilt on OData and Data Entities. All tested in D365 sandbox.
Data Migration Build & Testing
3 months (overlapping)Python ETL for three legal entities. Two test migrations with finance and warehouse team validation.
Power BI Build & UAT
2 monthsEight Power BI reports built. All components tested in full UAT with real users on migrated data.
Parallel Running & Cutover
8 weeks (+ buffer)Six-week parallel run. End-of-quarter cutover. Post-cutover support through first month-end and management reporting cycle.
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