Unlike in the cloud deployment model where Microsoft manages the production environment and controls the deployment and servicing, in local business data, all the responsibilities lie on the customers and partners. Local business data deployment means deploying Dynamics 365 for Finance and Operations, Enterprise edition on the customer's own data centers or with any other cloud infrastructure provider.

The on-premise deployment option uses Microsoft Azure Server Service Fabric standalone clusters to deploy the operations on the local infrastructure. Service Fabric standalone clusters can be deployed on any computer that runs the Windows server.

The following diagram shows the timeline for local business data deployment mode:

As shown in the diagram, the process of managing the production environment is similar to what we have in the cloud deployment model; however, just like any other on-premise application deployment, the customers or partners are responsible for the infrastructure and application updates. As a customer or partner, you are responsible for defining the environment specifications and the provisions of the environment. LCS tooling is provided by Microsoft to plan, provision, and deploy the changes on the production environment. As shown in the diagram, you still start with filling out the subscription estimator to help you figure out the hardware specs that you need for your implementation.

Once the production environment is provisioned and all the other project activities are completed and signed off, you will perform the final Go Live activities to deploy the final code and data, and start using the system. The LCS monitoring and telemetry tools can still be used to monitor the production environment performance and activities. You can also use LCS to deploy any changes to the production environment. In addition, your IT team can monitor and manage the production infrastructure, such as applying critical patching, infrastructure upgrade, and so on.