Business Unit is a logical partition of the Organization. It will divide your Organization into different different areas based on your business requirements like Branch, Divisions, Area, Offices etc.
By using this BU you can also manage your Organization Business data.
In Dynamics 365 CRM there are one Business Unit are automatically created at the time of Environment/Organization creation. This is called as Default or Root BU.
How to create Business Unit:
1. go to make.powerapps.com => select Environment => Click on Settings => Admin Center
2. Click on left side Manage => Environments => select your Environments => click on Settings
3. Now go to Users+Permissions => Business Units.
4. Now click on + New Business unit.5. Add the Business Unit name and fill the other columns => Save.
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