🚀 Upgrading Dynamics 365 FSCM (F&O) Dev local VM (VHD) to the Latest Service Pack - December 2025

Recently, Microsoft has released the new service update (10.0.40) for Dynamics 365 FSCM (F&O). Keeping your Dynamics 365 FSCM (F&O) development VM up to date is necessary as each service update brings bug fixes, performance improvements, and new features. In this guide, I’ll walk you through upgrading your local VHD to the latest service pack.

Prerequisites

Before starting, make sure you:

1. Backup your VM (snapshot or export the VHD).
2. Check your current version under System Administration > About.
3. Access Lifecycle Services (LCS) with appropriate permissions.

Step 1: Download the Latest Service Update

1. Log in to Lifecycle Services. 
2. Navigate to Shared Asset Library.
3. Select Software deployable package.
4. Download the latest service update (e.g., First Release Service Update 10.0.46)
   

Step 2: Apply the Update on the Dev VM (VHD)

1. Copy the .zip package into your VM (e.g., C:\Temp\ServiceUpdate.zip).
2. Then, extract that zip file to a local folder (e.g., D:\FO46).
   
3. Stop all FO related services:
   
• Management Reporter
• Batch Management
• Data Import Export Framework
• World Wide Web Publishing Service
  
  
4. Open Windows Command Prompt in Admin mode.
5. Change the current directory to the service update folder. For example:

   cd /d D:\FO46
   

   

   
    
6. Run the Update Installer to generate the Runbook.
   AXUpdateInstaller.exe generate -runbookid="YourRunbookId" -topologyfile="DefaultTopologyData.xml" -servicemodelfile="DefaultServiceModelData.xml" -runbookfile="YourRunbookId.xml" 
   
   For example: 
   AXUpdateInstaller.exe generate -runbookid="Update46" -topologyfile="DefaultTopologyData.xml" -servicemodelfile="DefaultServiceModelData.xml" -runbookfile="Update46.xml" 
   

   

   
   
   
7. Import the Runbook using the below CMD command:
   AXUpdateInstaller.exe import -runbookfile="Update46.xml"
   

   

   
   
   
8. Execute service update:
   

   AXUpdateInstaller.exe execute -runbookid="Update46"

   ⚠️ This is the longest step and may take several hours (up to step #17). Do not shut down or log out during the process.
   
   
   
   
   

Step 3: Verify the Upgrade

1. Open Dynamics 365 F&O in your browser.
2. Navigate to System Administration > About.
3. Confirm the new version number matches the service update.
   
   
   

Conclusion

Upgrading your Dynamics 365 F&O dev VM VHD is straightforward once you know the steps:

1. Download the latest package from LCS.
2. Apply it with AXUpdateInstaller.
3. Verify the new version

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