Many companies face the same question: where to begin their ERP journey? How to understand the actual investment required and whether a new system will truly pay off? The Discovery Phase helps answer these questions — quickly, clearly, and without unnecessary costs.
It doesn’t matter whether you’re looking to replace an existing ERP system or considering one for the first time — the Discovery Phase helps you understand your company’s real needs, the potential investment size, and the most suitable approach.
Implementing a new ERP system is comparable to a heart transplant for a company — replacing a business-critical system that affects the entire organization. It’s not merely a software change but a strategic transformation touching every department and process. That’s why an ERP implementation cannot start based on assumptions or haste — it requires knowledge, confidence, and a clear plan. That’s exactly what the Discovery Phase provides.
Why the Discovery Phase Is a Critical Step in an ERP Project
The Discovery Phase is the foundation of any ERP implementation. During this stage, the company defines why a new system is needed, how the organization currently operates, and which business processes and goals the new solution must support. The purpose is not to build the system yet but to understand how it fits into the company’s business logic and what value it will deliver.
Entering an implementation project without a Discovery Phase is like stepping into the fog — the destination and route remain unclear. This often leads to false assumptions, unexpected costs, unnecessary customizations, and project risks. The Discovery Phase helps mitigate these risks early on and creates a foundation for successful collaboration between the company and its implementation partner.
In the case of Microsoft Dynamics 365 Finance & Operations (D365 F&O), the Discovery Phase is especially important. D365 F&O is a flexible and powerful platform that enables the management of all business processes — from finance and procurement to warehousing, manufacturing, and project management. Therefore, before configuring the system, it must be perfectly clear which functionalities to use, which processes fit into the standard solution, and where customizations or integrations are required.
It’s an opportunity to gain clarity and direction before making a major investment — with minimal time and a moderate budget.
What Does the Discovery Phase Include
The Discovery Phase is a structured, collaborative stage that typically lasts around one month. During this period, interviews, workshops, and analyses are conducted to map out the company’s business processes, needs, and objectives. Based on OIXIO Digital’s experience, the Discovery Phase includes the following core steps:
- Business process mapping: Understanding how the company operates today — workflows, roles, and pain points. This includes finance, supply chain, production, sales, and support functions.
- Gap analysis: Assessing which D365 F&O standard functionalities meet current needs and where extensions or developments are required.
- Technical architecture and integrations overview: Identifying which systems need to be integrated (e.g., banks, e-commerce, warehouse, logistics partners) and defining data flows and technical requirements.
- Data analysis and migration planning: Determining how to bring existing data into the new system while ensuring data quality and continuity.
- Risk and change management principles: Ensuring the organization and employees are ready for change and that it is managed gradually and thoughtfully.
In addition, OIXIO Digital’s Discovery Phase includes practical workshops, demo sessions, and tailored discussions that allow key stakeholders to see how D365 F&O works in real life and provide input for solution design. If needed, more detailed demos can be arranged for specific processes, but often a high-level understanding and fit can be achieved without deep technical demonstrations. Sometimes, identifying one or two critical business processes and testing them as prototypes can already help determine the right approach.
Discovery Phase Deliverables
The Discovery Phase is not just a report — it’s a decision-making tool that enables the organization to assess readiness and make informed choices about the ERP implementation path. The key deliverables include:
- Clear project plan and budget: A realistic overview of scope, timeline, and investment.
- Business requirements document: When needed, a detailed document describing which processes the new system must support, including priorities and challenges.
- Fit-gap report: When relevant, a report showing which needs are covered by the D365 F&O standard solution and where customizations or integrations are required.
- Recommendations for next steps: Suggestions on areas that need attention before implementation begins, such as data preparation, process optimization, or change management.
By the end of the Discovery Phase, the company knows exactly what to expect from an ERP implementation — the real workload, risks, and how to achieve maximum value from the investment. It also receives recommendations and a plan for how to allocate internal resources effectively.
💡 Want to learn more?
At the end of the article, you’ll find a section called “Frequently Asked Questions About the Discovery Phase,” where we answer the most common questions about the duration, cost, and preparation of the pre-analysis.
What It Means for the Company
The Discovery Phase provides clarity and control. Management gains a clear understanding of how D365 F&O supports their business and what benefits it brings. Decisions are made based on facts, not assumptions. It also significantly reduces uncertainty and resistance to change — one of the biggest risks in ERP projects. When employees and leaders are involved in the process, they feel ownership and engagement rather than disruption.
Practical benefits:
- Fewer surprises and unexpected costs during implementation.
- Faster and smoother implementation thanks to early issue detection.
- Reduced need for later modifications or fixes.
- Structured and gradual change management.
- Access to potential funding opportunities (e.g., EISA Digital Transformation Grant or Microsoft co-funding) makes the investment even more cost-effective.
What It Means for the Implementation Partner
The Discovery Phase also creates a strong foundation for the implementation partner. OIXIO Digital gains a deep understanding of the client’s business logic, culture, and expectations — enabling a more precise and personalized solution. A clear Discovery Phase ensures that:
- The implementation phase runs predictably and efficiently.
- Risks and scope are easier to manage.
- The client and partner speak the same language and share a common understanding of goals.
This is often why projects with OIXIO Digital succeed — we never begin implementation until both sides share the same vision and roadmap.
OIXIO Digital’s Approach to Discovery
OIXIO Digital’s Discovery Phase is designed specifically for Microsoft Dynamics 365 Finance & Operations and is based on Microsoft’s Success by Design framework. Our process includes practical workshops, interviews, and demo sessions where key stakeholders can see how D365 F&O works and what value it creates. It’s an open collaboration — not a theoretical documentation exercise, but a real discussion about real business processes.
Beyond the technical and business analysis, we also help clients identify available funding and support options (such as EISA grants or Microsoft co-funding) to make the strategic investment even more beneficial.
Discovery Phase as an Investment in the Future
Before making major decisions and spending tens of thousands of euros, the Discovery Phase helps you gain confidence in whether and how an ERP investment is justified.
When a company invests in a Discovery Phase, it’s not just buying analysis hours — it’s investing in the confidence that a major ERP project starts the right way. It provides answers to key questions:
- Does D365 F&O fit our business model? Does it address critical processes?
- What is the expected scope and cost of implementation?
- What changes must we make before going live?
- How can we ensure change is managed and employees are engaged?
And perhaps most importantly, it gives the company control over its digital transformation. ERP implementation shouldn’t be a risky leap into the unknown — the Discovery Phase turns it into a guided, data-driven process.
A Strong Start Leads to Success
OIXIO Digital’s experience shows that successful ERP projects don’t start with system installation — they start with the right questions. The Discovery Phase provides those answers and builds a solid foundation for the journey ahead.
If your organization is approaching a Microsoft Dynamics 365 Finance & Operations implementation or upgrade, now is the right time to begin with a Discovery Phase — a step that ensures the project is realistic, manageable, and creates tangible business value.
Get in Touch
If you want to start your ERP project with clarity and confidence — without overspending and knowing exactly where your investment goes — let’s talk.
OIXIO Digital’s team will help you assess readiness, identify business needs, and create a transparent plan for a successful Microsoft Dynamics 365 Finance & Operations implementation.
Get in touch and start your Discovery Phase — so your next big step is a confident one.
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❗FAQ ❗
Frequently Asked Questions about the Discovery Phase
What if the Discovery Phase reveals that the company isn’t ready for ERP implementation?
That’s a completely normal outcome — one of the key goals of the Discovery Phase is to identify possible gaps such as data readiness, inconsistent processes, or change management challenges. In that case, the company can focus on the most critical preparations before making a large investment.
How long does the Discovery Phase take, and how much does it cost?
Typically, it lasts about one month, depending on company size and process complexity. The cost depends on the estimated workload, but it’s always a smaller investment than the full ERP implementation. Often, funding options (such as EISA or Microsoft co-funding) are available to help offset costs.
Can Discovery Phase results be used with other ERP vendors?
Yes. A well-prepared Discovery deliverable — including business requirements, fit-gap analysis, and project plan — is a universal foundation that can also be used to evaluate other ERP systems. It gives companies a stronger negotiation position and helps them make informed decisions.
How to prepare for the Discovery Phase?
- Engage key people: Success depends on having process owners and key users involved.
- Gather existing process documentation and data: The better the current situation is documented, the smoother the Discovery process will be.
- Be open to change: The Discovery may highlight areas where processes should be improved — that’s an opportunity, not a problem.
Common mistakes companies make by skipping the Discovery Phase:
- Starting implementation without a clear plan — leading to cost overruns and delays.
- Underestimating the importance of change management.
- Ignoring data quality — causing errors and extra work later.
- Choosing a solution based on price or features rather than business needs.
Can the Discovery Phase also assess an existing ERP system?
Yes — if needed, we analyze the strengths and weaknesses of your current system to determine whether a new solution is justified.
How much time does the management and key team need to invest?
Typically, key people participate in interviews, workshops, and demo sessions. The workload is reasonable and can be easily scheduled.
What if the Discovery shows that ERP implementation is not yet the right step?
Then the company can focus on preparing data and optimizing processes — and postpone implementation until the timing is right.
Can Discovery results be reused with other vendors?
Yes, a well-prepared Discovery documentation package is a universal foundation for comparing different solutions.
If you have more questions or would like advice on how to start your company’s ERP journey smartly, don’t hesitate to contact the OIXIO Digital team!