Stay compliant with user licensing requirements

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The licensing requirements for users are determined by the security roles that are assigned to those users. Security roles are based on a hierarchy of sub-roles, duties, privileges, and directly referenced securable objects.

The licensing requirements for users are determined at the organization or tenant level. When using multiple environments and applications, you must analyze requirements across all environments.

Examples of licensing requirements include None, Team members, Activity, and Operations.

The Operations licensing requirement indicates that a full user license is required. Some privileges are unique to a specific full user license and require a base or attach license before a full user license is assigned to a user.

Roles for selected user FactBox on the Users page

View license requirements for each role in the Roles for selected user FactBox. To view license requirements, go to System administration > Security configuration > View permissions and select any security object (role, duty, permission). The largest license requirement determines the actual licensing requirement for a user.

Available reports under System administration License reports

You can run the User license counts report to get a count of required licenses per license type (for example, Team members, Activity, and Operations.

The User license counts report also provides details about each user and the licensing requirements for each assigned role. Users are listed under the highest license type. If the license requirement is identified as Operations, you must use the User license estimator report to figure out the specific full user licensing requirements.

User license estimator report

If no privileges that require a specific full user license have been assigned to a user, that user is shown but no specific full user licenses are marked in this report. The user is compliant with any full user license that is assigned.

If privileges assigned to a user require one or more specific full user licenses, those licenses are shown in this report. In this case, the user must have a base license for example for Supply Chain Management and an attach license for all other full user licenses that are needed (for example, for Finance).

Licensing glossary

Application subscriptions are named user subscriptions that license a user for core business applications. You can assign different licenses to one user-named subscription.

Most Dynamics 365 Full user licensing follows the base plus attach model which provides a cost-effective way for a single user to be licensed for multiple applications. To license a core business Dynamics 365 application, customers may purchase either a base or, in many cases, an attach license.

  • SKU – stock-keeping unit, unit used for licenses
  • Multiplexing - Customers use hardware or software to pool connections, reroute information, or reduce the number of devices or users that directly access or use a product. Multiplexing can also include reducing the number of devices or users a product directly manages. Multiplexing does not reduce the number of Dynamics 365 licenses that are needed.
  • SL - Subscription license used to license access to Microsoft online services

For more information about Dynamics 365 licensing and the Microsoft Dynamics 365 Licensing Guide, see Stay compliant with user licensing requirements