Hi CW-29081310-0,
1) Issue
- Clarification is required on how Asset Management capacity licensing is calculated in D365 SCM
Specifically, whether capacity consumption is based on:
- Only parent-level assets
- Or all assets including child assets
Example scenario:
- 500 parent assets
- 1,000 child assets
- Question is whether capacity is required for 500 or 1,500 total assets
2) Reason
- Based on the Licensing Guide (March 2026, as shown in the screenshot):
Capacity applies to:
- "Assets you choose to manage with Asset Management"
- "Parent level assets you choose to track maintenance, costs, and/or location"
The key interpretation point is:
- The system differentiates between full asset tracking vs. hierarchical structure
- In Asset Management:
- Parent assets are typically the main tracked units for maintenance, costing, and work orders
- Child assets can exist as:
- Functional locations
- Sub-assets for structure/navigation
However:
- If child assets are actively used for:
- Work orders
- Maintenance tracking
- Cost tracking
→ They are treated as managed assets
The note in the guide is also important:
- Both active and inactive assets count toward capacity
- Therefore, capacity is not based purely on hierarchy, but on usage within Asset Management processes
3) Resolution
- Licensing should be calculated based on all assets actively managed in Asset Management, not just hierarchy
Practical interpretation:
- If only parent assets are used for:
- Maintenance
- Work orders
- Cost tracking
→ Then only parent assets count (e.g., 500)
- If child assets are also used in Asset Management processes:
- Each child asset counts toward capacity
→ Total = 1,500 assets
Best practice:
- Review asset usage:
- Identify which assets are used in:
- Work orders
- Maintenance plans
- Cost tracking
- Only those should be considered "managed assets" for licensing
Recommendations:
- Avoid unnecessary creation of asset records in Asset Management if they are only structural
- Use functional locations or hierarchies without enabling full asset tracking where possible
- Regularly review active/inactive assets, as both count toward capacity
Conclusion:
- Capacity is not strictly based on parent vs. child
- It depends on whether an asset (parent or child) is managed and used operationally in Asset Management
*Licensing in Dynamics 365 Finance is dependent on multiple factors such as contract type, product configuration, user roles, partner agreements, and also country-specific regulations and availability, therefore the provided requirement lacks sufficient detail for an accurate and complete assessment, and a more comprehensive review of the specific licensing setup is required for precise guidance.
For a more detailed answer, please provide more information.
Rg,
Alexander
*Due to the complex and different possibilities of deploying Dynamics 365 I highly recommend not to setup the application without some expert/partner or support. (For more information contact me under anassl@inno-solutions.info or visit www.inno-solutions.de)
*The Information comes directly from the manufacturer or provider and are validated (not guaranteed) up to date of creation of the posting.
References:
- Microsoft Licensing Guide
- Microsoft Doc`s/Learn
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