How to Use XDS in AX to Protect Data | Updated July 2025

 

Introduction

In today’s digital world, keeping data safe is a must. Businesses run on data. If it's not protected, there can be big problems. Microsoft Dynamics AX and Dynamics 365 Finance and Operations (D365FO) offer tools to protect data. One of the top tools is XDS (Extensible Data Security).

This blog explains how to use XDS in AX to protect data. The steps are easy. Even beginners can follow them. We also cover the latest changes as of July 2025.

Table of Content

1.   What is XDS in AX?

2.   How XDS Helps to Secure Data

3.   Step-by-Step Guide to Use XDS in AX

4.   Latest Updates in July 2025

5.   Common XDS Issues and Fixes

6.   FAQs about XDS and Security in D365FO

What is XDS in AX?

XDS in AX stands for Extensible Data Security. It is a tool used to limit access to data at the record level. This means you can decide who sees what data.

For example, one user may see data for only one department. Another may see everything. XDS lets you control this. It gives record-level security in D365FO & Microsoft Dynamics 365 Courses.

How XDS Helps to Secure Data

When you apply an XDS policy, only the allowed data is shown to the user. Others remain hidden. This keeps your data private and safe.

With XDS policy in D365, companies stop data leaks. Employees see only what they need. This is a key part of D365 security configuration.

Training on these topics is also important. Visualpath, a top training institute, helps learners master XDS and AX security.

Step-by-Step Guide to Use XDS in AX

Step 1: Define the Query

First, write a query to filter the data. This query decides what data to allow. Use the AOT (Application Object Tree) to create the query.

Step 2: Create a Security Policy

Now create a new security policy in AOT. This is where you link your query. Set the right context and target entity Microsoft Dynamics 365 Courses.

Step 3: Link the Policy to a Role

Choose which role should follow the policy. For example, assign the policy to Sales Manager role. Only that role sees the filtered data.

Step 4: Deploy and Test

Save and build the project. Then login as a user with the role. Check if only the allowed data appears.

Step 5: Handle Unchecked Conditions

Sometimes, you may want to skip the policy. Use Uncheck::XDS to bypass XDS for special users like Admin. This is helpful for testing.

Step 6: Fix "Permission Denied" Errors

If users face errors like Security policy permission denied in D365, check the roles and policy link again. You may need to adjust the permission level.

Latest Updates in July 2025

In July 2025, Microsoft made some changes to how XDS works. Now, there is better support for export security roles in Dynamics 365. You can export and import security settings between environments Microsoft Dynamics AX training.

Also, the performance of XDS has improved. Queries now run faster. New tools in D365FO help monitor XDS usage. You can now view where a policy is active.

Microsoft has added alerts to show when an XDS policy blocks a user. This makes it easier to debug and fix problems.

Common XDS Issues and Fixes

Sometimes, XDS causes trouble. Users get blank screens or access denied. Here’s what to do:

• Check if the user has the right role.
• Make sure the policy query is correct.
• Use Uncheck::XDS only for admin testing.
• Always test the policy before going live.
• If problems continue, review logs and trace the issue.

FAQs

How to secure your data with advanced XDS policies in AX?
Use XDS to allow only needed data. Link it to roles. Visualpath offers clear training to learn these steps.

What is an XDS policy in D365?

It’s a way to control access to data at the record level. It keeps your info safe and private.

What is record level security in D365FO?

It means only some records are visible to some users. XDS helps do this with rules.

What is a security policy D365FO?

It is a rule that filters data. It uses a query to limit access.

How to fix security policy permission denied in D365?
Check if the user role has access. Also check if the policy is linked correctly.

What is Uncheck::XDS?

It is used to turn off XDS for some users. Use this only for admins or testing.

How to do D365 security configuration?

Go to AOT. Set up roles, duties, and privileges. Link them to your policies.

How to export security roles in Dynamics 365?

Use the Security configuration tool. You can export to XML and import later.

Final Thoughts

XDS in AX is powerful. It keeps your data safe and private. The 2025 updates make it even better. Use these easy steps to protect your system.

If you are new, don’t worry. Start small. Use simple queries. Test them. Learn from experts. Visualpath offers full support and training.

Keep your data safe. Use XDS the smart way.

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