In a typical implementation project, you need to separate environments to develop customization, configuration and test the solution before you can deploy the final solution in the production environment. For successful ERP implementation of Microsoft Dynamics 365 for Finance and Operations, it's important that you plan your environment early in the project. 

Environment planning for on-premises implementation projects is a big subject, as it is not only planning different environments during the implementation but also includes planning for sizing and procurement aspects of each environment.

Environment planning for a cloud deployment option gets a little easier, as Microsoft takes care of the production environment configuration and sizing based on customer's transaction and user load needs. Cloud deployment also has a pre-defined environment typologies and sizing for non-production scenarios. In this section, we will cover the environment planning aspect of a cloud implementation project.