Introduction
In my previous post Day-1, I explained how to how to download VHD files from the LCS Shared Library using azcopy. Once all four parts of the VHD file are downloaded, you can extract them. After extraction, you’ll have a single file approximately 250GB in size. This VHD file is essential for setting up D365 F&O on a local system.
System Requirements
- Minimum RAM: 16GB
- Disk Space: 500GB SSD
D365 F&O Setup
Step 1: Installing VirtualBox
- Download VirtualBox: Visit the official website: VirtualBox Downloads. Click on the Windows hosts link to download the installer.

2. Install VirtualBox: After downloading, double-click the setup file.

3. Follow the wizard instructions to install VirtualBox with default options.
Step 2: Creating a D365 Virtual Machine
- Open VirtualBox and click Machine > New.

- Configure the virtual machine with the following settings:
- Name: D365VM
- Machine Folder: D:\VM (or your preferred location)
- Type: Microsoft Windows
- Version: Windows Server 2019
- Click on Next Button

2. Choose Minimum RAM 8GB. More RAM is better specially 16GB.
- RAM: 8GB
- Click Next

3. Choose Following options
- an existing virtual hard disk file option
- then click on folder icon
- then click on add button
- browse to location where we donwload D365 file from LCS and extracted
- click on choose button
- Click on Create button to create VM


4. Choose the D365 VM and click on settings, highlighted in above screenshot and set number of processor if system allows

5. Click on Start button to start / boot the VM

Step 3: Log in to D365 Virtual Machine
After clicking on start button, D365 VM will started and login windows will show like below.

Click on Input > Click on Insert Ctrl+Alt+Del

Enter Username (localadmin) & Password (pass@word1) to login

3.1 Renewing Windows License
Renewing Windows License for 180 days. If Windows License expiry messaging is showing like below screenshot, run following command to renew license for next 180 days.

run commond prompt as administrator

Run following command (slmgr -rearm) and press enter & restart windows to extend the windows license expiry for next 180 days


3.2 Adjusting Screen Resolution of Virtual Machine with Host Operting System
Virtualbox VM resolution are not matching with host (local system). Also not able to copy data from local system to Virtual Machine. For this we need to install the Virtualbox tool
To Install Click on Device menu -> Click on Insert Guest Addition CD option

Open my computer and double click on CD Drive and following the wizard with defult options and reboot system


After reboot system, Choose Auto resize Guest Display option under View menu

Step 4: Activating Finance & Operations in Virtual Machine
To activate / enable D365 FnO in Virtual Machine, below are two pre-requists are required.
- Azure Free Account
- App Registration in Azure Account Portal
Step 4.1: Subsribing for Microsoft Azure Free Account for 1 Year with $200 for 30 Days.
Open browser and open www.google.com and search for Microsoft Azure free account

Click on Create Your Azure Free Account Link and Click on Try Azure for Free button

Following screen will appear and click on No account? Create one! option / link

Enter your personal Gmail account id and click next, like below screenshot. If you don’t have gmail account, you can create using this procedure. Click here

Enter your personal gmail id (dfinanceandoperation@gmail.com) and Click on Next
You will receive, verification code from Microsoft, send to dfinanceandoperation@gmail.com

Enter the verification code here

Choose Country and your date of birth and click on Next

Enter your First & Last name and click on Next

On First Step of Azure account creation,Enter your phone number, Click Next

Enter your Address details, choose all options and click on Next

Enter your credit card details and click on sign up button
Note: Microsoft will charge $1 and will return back to credit card
Congrutulation: You have Microsoft Azure Account for Free now
Step 4.2: Creating Registration App for Microsoft Dynamics 365 Finance and Operations in Microsoft Azure
To create Registration App, Login to your Microsoft Azure account, created in step 4.1 using URL (https://portal.azure.com) and enter username (rizwan@d355sep2021.onmicrosoft.com) & password (x@gxx7x7) to login

After login you will see below azure Dashboard

Search for App registration in Azure dashboard > Click on App registration option

Click on App Registration new option

Give name to app (D365-43), it could be any name
Choose supported account types (Accounts in this organizational directory only (D365 only – Single tenant) and click on register button

Click on newly created app to open it’s detail page

Click on Redirect URIs options, highlight as yellow in below screenshot

Enter following two URIs, highlighted as yellow
- https://usnconeboxax1aos.cloud.onebox.dynamics.com/oauth/
- https://usnconeboxax1aos.cloud.onebox.dynamics.com/

Click on Overview link to open app registration main page and copy the application (client) ID
NOTE: We will need this ID for activiating D365 in VM Machine
Step 5: Activating Microsoft Dynamics 365 Finance and Operations in Local Virtual Machine
Login to Local Virtual Machine using username (localadmin) & Password (pass@word1)

5.1 Runing Generate self signed Certificate Script
Right click on Generate self signed Certificate and run as Adminitrator


Enter the Application (Client) ID, Copied from App registration from Azure and press Enter, Wait to finish the process.


Press enter on next screen asking for certificate thumbprint


Once the script process finish

5.2 Run Admin user Provisioning Tool
Right Click on admin user provisioning shortcut on Desktop or C:\AOSService\PackagesLocalDirectory\bin


Enter azure portal admin id (rizwan@d355sep2021.onmicrosoft.com) and click on submit button, after 10-15 minutes, you will get success message


Make sure following services are started before lucnch Finance & Operation on local virtual machine
- Microsoft Dynamics 365 Unified Operations: Batch Management Service
- Management Reporter 2012 Process Service
- SQL Server (MSSQLSERVER)


If above services are running, Open Edge browser and enter https://usnconeboxax1aos.cloud.onebox.dynamics.com/ and press Enter
Enter your azure admin username(rizwan@d355sep2021.onmicrosoft.com) & password (x@gxtxx) to login


We can following process as well to start Dynamics 365 Finance and Operation in local virtual machine as well by starting IIS on local system and run the AOS application



Congratulation: Microsoft Dynamics 365 Finance and Operation are successfully configured in Virtual Box on local machine.
In our next post we will try to enable / activate Retail Module in Dynamics 365 Finance and Operation running in Local Virtual Machine – Day-3