What is Great Plains Software? Origins and Functions

Accounting software has gone through many changes over the past few decades, but one of the most influential solutions for small and mid-sized businesses was Great Plains Software. Known for making financial management easier and more reliable, it became the foundation of Microsoft’s entry into the ERP market. In this article, we look at where Great Plains started, how it evolved into Microsoft Dynamics GP, and what businesses should consider today when deciding whether to keep GP or move toward modern cloud-based ERP systems.

Key Takeaways
  • Great Plains Software was a pioneer in mid-market accounting software, later acquired by Microsoft. 
  • Its flagship solution became Microsoft Dynamics GP, still used by many organizations today.
  • Companies now weigh the benefits of continuing GP versus moving to Dynamics 365 Business Central or other cloud ERP options.

What is Great Plains Software?

Great Plains Software was a U.S.-based company founded in the 1980s that developed one of the first comprehensive accounting solutions for small and medium-sized businesses. Its main product, Great Plains Accounting Software, streamlined financial tasks such as general ledger, accounts payable, receivables, and reporting.

The software earned a reputation for being user-friendly yet powerful — bridging the gap between simple bookkeeping tools and large-scale enterprise resource planning (ERP) systems.

Microsoft’s Acquisition and the Birth of Dynamics GP

In 2001, Microsoft acquired Great Plains Software. This marked the beginning of its expansion into the business applications market. The product was rebranded first as Microsoft Great Plains and later as Microsoft Dynamics GP.

This move allowed Microsoft to build a stronger presence in ERP, paving the way for its broader Dynamics 365 platform.

Microsoft Dynamics GP Modules

Over the years, Great Plains evolved into a comprehensive ERP system. As Microsoft Dynamics GP, it includes modules that go beyond core accounting to cover many business functions. These are typically offered through the Starter Pack and Extended Pack licensing models:

  • Financial Management – General Ledger, Accounts Payable, Accounts Receivable, Cash Flow Management, Fixed Assets, and Intercompany.
  • Distribution and Supply Chain – Inventory management, order processing, purchasing, and warehouse controls.
  • Project Accounting – Time and expense tracking, project cost estimation, billing, and profitability analysis.
  • Human Resources & Payroll – Employee data, recruitment, benefits management, payroll, and compliance tracking.
  • Manufacturing – Production orders, bills of materials, material requirements planning (MRP), and scheduling.
  • Business Intelligence & Reporting – SmartList reporting, Excel-based analysis, and integrations with Power BI for advanced dashboards.

These modules allowed companies to configure Dynamics GP into a tailored ERP system that matched their industry and growth stage.

Industries Using Great Plains / Dynamics GP

From its early days as Great Plains Software, the solution was designed for mid-market companies that needed flexibility. Today, Dynamics GP is still found in a wide range of industries:

  • Manufacturing – Production planning, inventory tracking, and financial consolidation.
  • Distribution & Logistics – Order processing, supply chain oversight, and warehouse control.
  • Retail & E-commerce – Sales order management, procurement, and multi-location inventory.
  • Professional Services & Construction – Project accounting, billing, and time tracking.
  • Financial Services & Insurance – Multi-currency, compliance, and financial reporting.
  • Public Sector & Education – Payroll, HR, and fund accounting capabilities.
  • Software & Technology – Subscription billing and multi-entity financial management.

This industry versatility is one reason Dynamics GP has remained relevant for decades, even as cloud ERP systems have grown in popularity.

Why Companies Still Use Microsoft Dynamics GP

  • Comprehensive financial management features.
  • Long-standing familiarity among finance teams.
  • Integration with other Microsoft tools like Power BI for data visualization.
  • Strong partner ecosystem offering industry-specific add-ons.

Great Plains vs. Modern ERP Solutions

While GP remains functional, many organizations compare it with modern, cloud-first platforms such as:

– Dynamics 365 Business Central – aimed at small and mid-sized businesses.
– Dynamics 365 Finance and Supply Chain Management – designed for larger enterprises with complex needs.

Feature

Microsoft Dynamics GP

Dynamics 365 (Cloud ERP) 

Deployment 

Mostly on-premise 

Cloud-native 

Updates 

Manual, scheduled 

Automatic, continuous

Scalability 

Limited

High, global-ready

Future investment 

Minimal

Strong Microsoft focus

Should You Stay on GP or Move to Dynamics 365?

Organizations often take a staged approach: 

  1. Keep GP for core accounting.
  2. Extend functionality with cloud tools like Power Platform for automation and reporting.
  3. Plan migration to Dynamics 365 for long-term scalability and innovation. 

FAQ

Is Great Plains Software still available?

Not under its original name — it exists today as Microsoft Dynamics GP.

Is Microsoft Dynamics GP being discontinued?

Microsoft continues to support GP with updates, but its innovation focus is now on Dynamics 365.

Can Dynamics GP connect with modern tools?

Yes, GP can integrate with Microsoft 365, Power BI, and third-party applications.

Should a small business switch from GP to Business Central?

If scalability and cloud capabilities are a priority, Business Central is often the better long-term choice.