Power Apps: what is it and how it works (2026 guide)
09/02/2026 – Gabriele Natalini | Microsoft solutions to digitize processes for SMEs and professionals
Microsoft Power Apps: what it is, practical examples, and when it makes sense for SMEs
If you recognize yourself in any of these situations, Power Apps may be a good fit:
- the same data gets retyped 2–3 times (Excel + email + ERP/CRM)
- approvals get lost between chats, calls, and “I’ll get back to you”
- you’re never sure what the latest version of a file or request is
This guide gives you a clear overview, with examples and criteria to understand when it truly makes sense.
Power Apps is part of the Microsoft Power Platform and integrates with tools that are already common in SMEs such as Microsoft 365 (Outlook, Teams, SharePoint) and, when present, Dynamics 365. The value is not “building an app”, but gaining more control over data, making fewer mistakes, and running faster processes.
Contents
- What Power Apps is and what it’s for
- Why it matters for SMEs (real benefits)
- Power Apps vs Excel vs an ERP: what changes
- Is Power Apps low-code or no-code?
- App types: Canvas and Model-driven
- What Dataverse is and why it matters
- Integrations and Power Automate
- 10 practical use cases for SMEs
- A practical example: getting started in 5 steps
- Power Apps licensing: what to know (simple explanation)
- When it makes sense (and when it doesn’t)
- Common mistakes to avoid
- Power Apps FAQ
- How to get results (without the “demo effect”)
Related resources (Esobit)
What Microsoft Power Apps is and what it’s for
Power Apps lets you build custom business apps to enter, view, and manage data in an organized, traceable way. It’s especially useful when a process lives across spreadsheets, emails, and “verbal handoffs”.
Why it matters for SMEs: real benefits
- Standardization: consistent fields and rules, fewer errors
- Traceability: history and accountability (useful internally too)
- Speed: fewer manual steps, fewer copies
- Measurability: time and volumes you can track (also with Business Intelligence)
Power Apps vs Excel vs an ERP: what changes
In short:
- Excel: great for analysis and prototypes, weak on permissions, versions, and workflows
- Power Apps: ideal for digitizing a specific process with rules, roles, and traceability
- ERP/management software: essential for core processes, but often rigid for “department needs”
Power Apps is often the right choice when you need to bridge the gap between generic tools and structured systems.
Is Power Apps low-code or no-code?
No-code: visual components. Low-code: visual + formulas/logic for validations and rules.
App types: Canvas Apps and Model-driven Apps
Canvas Apps: maximum freedom for UI (great for mobile use too).
Model-driven Apps: more “management/CRM-like”, driven by the data model (roles, permissions, processes).
What Dataverse is and why it matters
Dataverse is the Power Platform data layer: tables, relationships, roles, and permissions.
Integrations and Power Automate
Power Apps connects to Microsoft 365, SharePoint, databases and Dataverse. To automate approvals, notifications and repetitive steps, Power Automate is commonly used.
10 practical use cases for SMEs
- Purchase requests with approvals and history
- Operational and safety checklists
- Maintenance management with photos and signature
- Inventory/warehouse movements (also from mobile)
- Sales data collection and follow-ups
- Internal tickets (IT/HR/facilities)
- Employee onboarding
- Document management and approvals (SharePoint)
- Issue reporting / non-conformities with workflows
- Operational reporting based on consistent data
A practical example: getting started in 5 steps
- Pick 1 process that wastes time today.
- Define input/output (incoming data and expected outcome).
- Rules and responsibilities (who fills in, who approves, mandatory fields).
- MVP tested with 3–5 real users.
- Automations with Power Automate (notifications, approvals, syncs).
Power Apps licensing: what to know (simple explanation)
A common question is: “Is Power Apps free?” The short answer is: it depends on what you want to do.
- For some basic scenarios, Power Apps can be used in a limited way within Microsoft 365.
- When Dataverse and some advanced integrations (so-called “premium connectors”) come into play, specific licensing may be required.
When it makes sense (and when it doesn’t)
It makes sense when the process is repeatable and data must be consistent.
It doesn’t when the process changes constantly or there is no clear data source.
Common mistakes to avoid
- Starting from the app instead of the process
- Using Excel as a “database” beyond a prototype
- Permissions that are too broad
- No app owner
- No metrics (time saved, errors reduced)
Power Apps FAQ
Is Power Apps included in Microsoft 365?
It depends on the plan: some features may be available, while Dataverse and some integrations may require specific licensing.
Do I need Dataverse?
Not always, but it’s often recommended when you need roles, permissions, and a solid data foundation.
Does Power Apps integrate with SharePoint?
Yes, it’s one of the most common SME integrations (lists and documents).
Does Power Apps work on smartphones?
Yes—especially Canvas Apps, which are often designed for mobile use.
How long does it take to build an app?
A prototype can be quick, but a stable app requires data, permissions, testing and governance.
How to get results (without the “demo effect”)
The best way to start with Power Apps is to pick one real process and build a first version that is simple, measurable and integrated. When the process is clear, the app becomes an accelerator—not an experiment.
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