Microsoft is recommending the use of managed solutions over unmanaged solutions in Dynamics 365 and Power Apps. Managed solutions offer benefits such as faster import and ALM-specific features. To transition from unmanaged to managed solutions, it is recommended to create separate environments for development and testing. The components from multiple unmanaged solutions can be combined into a new unmanaged solution using tools like XrmToolBox. This combined solution can then be exported as a managed solution and imported into the target environment. Managed solutions provide better security, easier rollbacks, and improved solution import performance. They also support layering and allow for clearly defined component ownership.
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