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Differences Between SOW, BRD, SDD, and FRD in Business Central Projects

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Posted on by saadfiaztanoli

Hello Community,

I’m currently preparing documentation for a Microsoft Dynamics 365 Business Central implementation project and would appreciate some guidance.

Could someone please help to clarify the specific differences between the following documents in the context of a Business Central project?

Statement of Work (SOW)
Business Requirements Document (BRD)
Functional Requirements Document (FRD)
Solution Design Document (SDD)

While I understand these are standard documents in most projects, I’d like to understand how they are typically defined, structured, and used specifically in Business Central implementations—especially in terms of ownership, level of detail, and how they connect to one another throughout the project lifecycle.

Any insights, templates, or examples from your experience would be highly appreciated.

Thank you in advance!

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Dynamics 365 Business Central

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Khushbu Rajvi. 19,085 Super User 2025 Season 2 on at

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Differences Between SOW, BRD, SDD, and FRD in Business Central Projects

https://www.linkedin.com/pulse/brd-prd-mrd-srs-frs-which-ones-omar-abaza

https://www.linkedin.com/posts/diaa-hussein_brd-vs-frd-vs-fsd-activity-7289209658869735424-EhnW

SOW (Statement of Work): High-level contract outlining project scope, timeline, deliverables, and cost—owned by the implementation partner.
BRD (Business Requirements Document): Captures what the business needs from the system in business terms—created with stakeholders.
FRD (Functional Requirements Document): Translates business needs into detailed functional specs and maps them to BC features—owned by functional consultants.
SDD (Solution Design Document): Describes how the solution will be configured/customized technically in BC—owned by solution/technical architects.

https://community.dynamics.com/forums/thread/details/?threadid=ff398e24-edde-46f6-9191-c5cd054f04a2

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YUN ZHU 90,891 Super User 2025 Season 2 on at

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Differences Between SOW, BRD, SDD, and FRD in Business Central Projects

Hi, just adding some information

https://demanddynamics.com/guide-for-the-implementation-of-dynamics-365-business-central/

https://www.youtube.com/watch?v=TKU8pqlgBjo

Thanks.

ZHU

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Valentin Castravet 28,578 Super User 2025 Season 2 on at

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Differences Between SOW, BRD, SDD, and FRD in Business Central Projects

An SOW is typically used before a project begins to define the overall scope, objectives, and deliverables. Once the project starts, documents like the BRD, FRD, or SDD come into play.

Which document is used depends on the company, but they all serve as a detailed plan outlining what the implementation will look like and what it is expected to achieve.

Valentin Castravet
Work: Zander ERP Services
Blog: Dynamics 365 Business Central Insights
LinkedIn: www.linkedin.com/in/valentin-c-0500a247/

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Gerardo Rentería Ga... 23,218 Most Valuable Professional on at

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Differences Between SOW, BRD, SDD, and FRD in Business Central Projects

Hi, good day
I hope this can help you, and give you some hints.

Dynamics 365 Business Central Implementation Playbook – Tactical Project Manager

Best Regards
Gerardo

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Jinal P. 262 on at

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Differences Between SOW, BRD, SDD, and FRD in Business Central Projects

Hello saadfiaztanoli,

I have attached the templates for each document, Hope this will be helpful to you.

Thank You,

BC_Implementation...

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Jainam M. Kothari 12,118 Super User 2025 Season 2 on at

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Differences Between SOW, BRD, SDD, and FRD in Business Central Projects

Hello,

I'd be happy to help clarify these documents for you in the context of a Microsoft Dynamics 365 Business Central implementation project. Each document plays a crucial role in ensuring the project's success by clearly defining various aspects of the project.

SOW sets the overall project framework.

BRD captures the business needs and ensures alignment with business goals.

FRD translates these needs into detailed functional specifications.

SDD provides the technical blueprint for implementing these specifications.

These documents collectively ensure that the project is well-defined, aligned with business objectives, and technically feasible.

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