Dynamics 365 Plugin Life Cycle Simplified for Business Users and Developers

The Dynamics 365 Plugin Life Cycle describes the series of steps that a plugin follows when a record is created, updated, deleted, or otherwise changed in Dataverse. In simple terms, a plugin is like an automated rule that wakes up when something happens in the system. As the event occurs, the plugin passes through different pipeline stages—Pre-Validation, Pre-Operation, Post-Operation, and Asynchronous Processing—each with its own purpose. Pre-Validation allows very early checks before the system applies business rules, Pre-Operation lets you validate or modify data before it is saved, Post-Operation triggers after the record is committed to the database, and Async handles background tasks like integrations or long-running operations. Understanding this life cycle helps ensure business logic runs at the right moment, prevents bad data from entering the system, and enables smooth automation and integrations within Dynamics 365.

Plugins in Dynamics 365 are pieces of custom code that run automatically when certain actions happen in the system—such as creating, updating, or deleting a record.

To understand what the plugin does and when it executes, it’s essential to understand the Plugin Life Cycle (also known as the Execution Pipeline).

This lifecycle is the internal sequence that Dynamics follows each time a record changes.

What Is the Plugin Life Cycle? (Simple Explanation)

Every time a user or process modifies data (Create, Update, Delete, Assign, SetState, etc.), Dynamics 365 executes a pipeline of steps.

A plugin is like a “stop point” in this journey.

Think of it like this:

You are on a train (system operation). The train stops at different stations (pipeline stages) where you can add actions (plugins) to check, modify, or block the work.

The Plugin Life Cycle Has 3 Key Stages

Pre-Validation Stage

• Happens before the platform performs any security checks.
• Plugins here run outside the main transaction.

Useful for:

• Blocking an operation early
• Fast validations
• Reading external systems before the operation starts

 Business Example:

"Stop creating a customer if the email is blacklisted."

Developer Action:

Throw InvalidPluginExecutionException to prevent the create.

Pre-Operation Stage

• Happens after security checks.
• Runs inside the database transaction.
• You can modify data before saving to database.

Business Example:

“Automatically calculate a discount before saving a quote.”

Developer Action:

Modify Target entity → the updated values get saved automatically.

Post-Operation Stage

• Happens after the record is successfully saved.
• Runs inside or outside the transaction depending on config.

Best for:

• Creating additional records
• Sending emails
• Calling external APIs
• Auditing

Business Example:

“When an order is created, notify the account manager.”

Developer Action:

Use the saved data to perform additional actions.

 Technical Breakdown of the Pipeline (For Developers)

What Information Is Available in Each Stage?

Plugins receive context through IPluginExecutionContext. Key objects:

• InputParameters → Contains Target (record being created/updated)
• PreEntityImages → Snapshot of record before changes
• PostEntityImages → Snapshot after changes (in post-stage)
• SharedVariables → Pass data between pipeline steps
• Depth → Helps prevent infinite loops
• UserId → Who triggered the action

Simple Real Example — "Set Account Blacklisted Status"

Business Rule

If account email or phone exists in the blacklist table → mark it as Blacklisted.

Plugin Implementation (Good Practice)

• Stage: Pre-Operation (so data is saved correctly)
• Trigger: On Update of Email or Phone
• Logic: Read the email → look up blacklist table → update status

Why Pre-Operation?

•  It ensures the “Blacklisted” field is updated before saving.
•  It avoids an unnecessary second update.
•  It keeps data consistent and avoids recursion.

Why the Plugin Life Cycle Matters (For Business Users)

Understanding stages helps business users know:

• Why a validation stops a record
• Why data auto-calculates before saving
• Why an email is sent after record creation
• Why integrations run slower/faster

Better understanding = better functional designs + correct expectations.

Why the Plugin Life Cycle Matters (For Developers)

Helps developers choose the right time to run code:

• Need to modify data? → Pre-Operation
• Need to stop the action? → Pre-Validation
• Need to call external API? → Post-Operation
• Want to avoid recursion? → Check context.Depth

Correct stage selection improves:

• Performance
• Transaction safety
• Data correctness
• Maintainability

Summary 

For Business Users

“The Dynamics 365 Plugin Life Cycle is the sequence of steps that controls when automated business rules run as data is saved or updated in the system.”

For Developers

“The Dynamics 365 Plugin Life Cycle defines the execution pipeline stages (Pre-Validation, Pre-Operation, Post-Operation, Async) that determine how and when custom code interacts with Dataverse transactions.”