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Power Platform Community / Forums / Copilot Studio / Cross-Tenant Dynamics ...
Copilot Studio
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Cross-Tenant Dynamics 365 ERP MCP Fails to Load Tools in Copilot Studio

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Posted on by

I am testing the Microsoft built-in Dynamics 365 ERP MCP / Fin & Ops Apps (Dynamics 365) tool in Copilot Studio.

 

Scenario

 


  • Copilot Studio agent is in Tenant A


  • Dynamics 365 Finance & Operations is in Tenant B


  • Tenant A Power Platform tenant isolation allows outbound connections to Tenant B


  • Tenant B allows inbound connections from Tenant A


  • A Fin & Ops Apps OAuth connection created from Tenant A successfully authenticates a native Tenant B F&O user


  • Copilot Studio client ID 7ab7862c-4c57-491e-8a45-d52a7e023983 is enabled in Tenant B F&O Allowed MCP Clients


  • Tenant B F&O is version 10.0.48


  • Dynamics 365 ERP MCP server feature is enabled





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Problem

 

The cross-tenant OAuth connection is successfully created and shows Connected, but when that connection is selected for the Dynamics 365 ERP MCP tool in the Tenant A Copilot Studio agent, Copilot Studio displays:

 

“Couldn't load MCP tools.”

 

We performed the following control tests:

 


  1. Tenant A Copilot Studio → Tenant A F&O: MCP tools load successfully.


  2. VS Code → Tenant B F&O /mcp: authentication succeeds and 22 MCP tools are discovered.


  3. Tenant B Copilot Studio → Tenant B F&O: the Dynamics 365 ERP MCP tools load successfully.


  4. Tenant A Copilot Studio → Tenant B F&O: OAuth succeeds, but “Couldn't load MCP tools.”





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Therefore, the F&O MCP server, F&O version, user authentication, Allowed MCP Client configuration and MCP tool catalog have been independently validated.

 

Question:

Does the Microsoft built-in Dynamics 365 ERP MCP / Fin & Ops Apps (Dynamics 365) tool in Copilot Studio support the following topology?

 

Copilot Studio Tenant A → OAuth connection using native Tenant B user → Dynamics 365 F&O ERP MCP Tenant B

 

If cross-tenant ERP MCP tool discovery is supported, what additional configuration is required? If it is not supported, is this a documented limitation?

  • André Arnaud de Calavon Profile Picture
    729 on at
    Hi,
     
    I don't think cross-tenant access is part of the design of the Dynamics ERP MCP server. It would create a security risk in my opinion. What is your use case for allowing access across tenants? 
  • Suggested answer
    11manish Profile Picture
    4,632 Super User 2026 Season 2 on at
    Cross-tenant OAuth authentication may succeed, but that does not mean cross-tenant MCP tool discovery is supported. The "Couldn't load MCP tools" behavior is most likely a limitation/compatibility gap in the Copilot Studio MCP integration, and Microsoft needs to confirm whether this topology is officially supported.

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