Great Plains Software

Great Plains Software, Inc. was an accounting software company founded in Fargo, North Dakota, in 1981 by Joseph Larson. Its business centered on financial-management and enterprise-accounting applications for small and medium-sized companies, a segment that was becoming increasingly dependent on personal computers and packaged business software. The company developed a reputation for customer support and customer relationships, helping it compete in a market that included both specialized accounting vendors and larger enterprise-software providers. Larson served as the company's first president. Doug Burgum joined the business in March 1983 as a shareholder and supplied seed capital. In early 1984, Burgum bought out the other investors and became president, while Larson remained a director until Microsoft acquired the company. Under Burgum's leadership, Great Plains expanded beyond its North Dakota base and grew its workforce from approximately 170 employees in 1987 to roughly 290 employees in 1989. The company later used the Internet as part of its expansion strategy, enabling it to reach customers outside its original regional market. Great Plains focused on integrated accounting and business-management software rather than consumer applications. Its products were designed to support functions such as general ledger accounting, payables, receivables, inventory, payroll, and related operational processes. The company was particularly associated with software for growing organizations that needed more capability than basic desktop bookkeeping but did not require the largest and most expensive enterprise systems. The company went public in 1997. By the late 1990s, it had become a substantial independent software vendor, with reported annual sales of approximately $300 million. In 1999 it acquired Match Data Systems, a development team in the Philippines, extending its product-development capacity internationally. Great Plains subsequently experienced layoffs and pursued a sale to Microsoft. Microsoft announced the acquisition in 2000 for approximately $1.1 billion, and the transaction was completed in 2001. After the acquisition, Great Plains technology and products became part of Microsoft's business-software portfolio. The products were rebranded as Microsoft Dynamics GP in 2005. From 2016, Microsoft positioned Dynamics GP within the broader Dynamics 365 family and business-applications ecosystem. The Great Plains corporate entity therefore ceased to operate as an independent public software company, but its principal product line continued under Microsoft's ownership and branding.

Great Plains Software originated in Fargo, North Dakota, in 1981, when Joseph Larson founded the company and became its first president. It entered the market as a provider of accounting software for small and medium-sized businesses, a customer segment seeking more capable computerized financial systems without the cost and complexity of the largest enterprise platforms. Doug Burgum joined the company as a shareholder in March 1983 and supplied seed capital. In early 1984, he bought out the other investors and assumed the presidency. Larson continued as a director through the eventual Microsoft acquisition. The change in ownership and leadership gave Great Plains access to additional capital and helped establish the company as a significant regional technology business. Great Plains grew steadily during the 1980s. It had approximately 170 employees by 1987 and about 290 by 1989. Its software supported core accounting and business-management processes, while its customer-support reputation became an important part of its competitive identity. A 1993 PC Magazine assessment described the company as a leader in support and customer relations, reinforcing the image of Great Plains as a service-oriented business-software provider. The company later expanded beyond North Dakota, using the Internet to reach customers in a broader geography. Its growth culminated in a public offering in 1997. By the end of the decade, Great Plains had developed into a sizeable independent software vendor with reported annual sales of approximately $300 million. In 1999, it acquired Match Data Systems, a development team in the Philippines, giving the company an additional international engineering resource. Great Plains underwent layoffs in 2000 and announced an agreement to be acquired by Microsoft for approximately $1.1 billion. The purchase was completed in 2001. Microsoft integrated the company and its products into its business-software operations, ending Great Plains Software's independent corporate life while preserving its technology and market presence. The product line was renamed Microsoft Dynamics GP in 2005. Microsoft later associated Dynamics GP with its broader Dynamics business-applications portfolio, including the Dynamics 365-era product family from 2016 onward. Consequently, Great Plains is best understood today as a historical software-company brand and the origin of a continuing Microsoft accounting and enterprise-resource-planning product line rather than as an active standalone company.

1. 2005Products renamed Microsoft Dynamics GP

   Microsoft adopted the Dynamics GP name for the former Great Plains product line.

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2. 2001Acquisition by Microsoft completed

   Microsoft completed its approximately $1.1 billion acquisition of Great Plains Software.

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3. 1999Match Data Systems acquisition

   The company acquired Match Data Systems, a software-development team in the Philippines.

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4. 1997Initial public offering

   Great Plains Software went public after expanding its reach beyond North Dakota.

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5. 1984Burgum becomes president

   Burgum bought out the other investors and became president; Larson remained a director.

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6. 1983Doug Burgum joins as shareholder

   Doug Burgum joined Great Plains as a shareholder and provided seed capital.

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7. 1981Company founded in Fargo

   Joseph Larson founded Great Plains Software in Fargo, North Dakota, and became its first president.

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Business accounting and enterprise-resource-planning software for small and medium-sized organizations, differentiated by integrated functionality, customer support, and practical deployment for growing companies.

• Great Plains accounting and business-management softwareAccounting and enterprise resource planning software

  Great Plains developed integrated accounting and business-management applications for small and medium-sized organizations. The software covered core financial processes such as general ledger, accounts payable, and accounts receivable, with related capabilities for inventory, payroll, and operational administration. Its intended users were growing businesses that needed a broader system than basic bookkeeping tools while retaining a practical, support-oriented implementation model.

• Microsoft Dynamics GPEnterprise resource planning software2005

  Microsoft Dynamics GP was the successor branding applied to the Great Plains product line after Microsoft acquired the company. It continued the line's focus on financial management and business operations for small and medium-sized organizations. The product became part of Microsoft's Dynamics business-application portfolio, preserving the underlying market role of Great Plains while replacing its original corporate and product branding.

• 2005Rebranding as Microsoft Dynamics GPProduct launch

  Microsoft had integrated Great Plains Software after completing the acquisition in 2001.

  What changed. Microsoft renamed the former Great Plains product line Microsoft Dynamics GP.

  Aftermath. The Great Plains name was replaced in product branding, while the software continued within Microsoft's business-applications portfolio.

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• 2000Agreement to sell the company to MicrosoftM&A

  Following layoffs and continued development of its accounting-software business, Great Plains entered acquisition discussions with Microsoft.

  What changed. Microsoft announced an agreement to acquire Great Plains Software for approximately $1.1 billion.

  Aftermath. The acquisition was completed in 2001, and Great Plains ceased operating as an independent company.

  Announced acquisition value. $1.1 billion (2000 announcement)

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• 1999Acquisition of Match Data SystemsM&A

  Great Plains sought to expand its product-development capacity as its accounting-software business grew.

  What changed. It acquired Match Data Systems, a development team in the Philippines.

  Aftermath. The transaction added an international development resource to Great Plains before its Microsoft acquisition.

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• 1997Public offeringOther

  Great Plains had expanded beyond its original North Dakota market and had grown into a substantial independent accounting-software company.

  What changed. The company completed an initial public offering.

  Aftermath. The offering marked Great Plains as a publicly traded software vendor before its later sale to Microsoft.

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• 2005Great Plains products adopt Microsoft Dynamics GP branding

  Microsoft rebranded the acquired Great Plains product line as Microsoft Dynamics GP.

  Product generationProduct launch
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• 2001Microsoft completes Great Plains Software acquisition

  Microsoft completed its purchase of Great Plains Software, ending the company’s existence as an independent software business.

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• 2000Microsoft announces acquisition of Great Plains Software

  Microsoft announced that it would acquire Great Plains Software for approximately $1.1 billion. The announcement followed layoffs at Great Plains and preceded completion of the transaction in 2001.

  M&ALeadership change
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• 1999Great Plains Software acquires Match Data Systems

  The company acquired Match Data Systems, a development team in the Philippines, to increase its software-development capacity.

  M&A
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• 1997Great Plains Software goes public

  Great Plains Software completed its initial public offering after expanding beyond its North Dakota base and using Internet-enabled outreach to broaden its market.

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1. Great Plains Software