The Solutions are basically containers used for transporting customization components from one environment to another – say from development to QA environment or from QA to production.
Solutions can be broadly classified into below three:
The default solution is the ‘default’ container available in Dynamics 365 /CRM which includes all the default components in the system such as entities, global option sets, reports, web resources, apps, etc. As an administrator, you can customize or add more components to this solution. there is only one default solution available in the system which you cannot change or remove.
In addition to the default solution, you can create more solutions that can be exported to two types of packages – managed and unmanaged.
When you export a solution to deploy to production you most probably have to select managed solution option. A managed solution is a completed solution that is intended to be distributed and installed. Managed solutions can be installed on the top of the system solution or other managed solutions.
An unmanaged solution is a solution that is still under development and not intended to be distributed. An unmanaged solution contains all the unmanaged customizations of CRM components including any added, modified, removed, or deleted components. By default, any new solution is an unmanaged solution. However, you can export an unmanaged solution as a managed or unmanaged solution.