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Microsoft and NetSuite have teamed up to offer closer integration between Microsoft’s Azure cloud platform and productivity suite, and NetSuite’s ERP online software.

The partnership was unveiled by NetSuite CEO Zach Nelson at the firm’s SuiteWorld event Tuesday in San Jose, where delegates were also treated to a video link of Microsoft CEO Satya Nadella, who was beamed in to share the good news. The firms have inked the “strategic cloud alliance” in a bid to develop ways to connect NetSuite’s cloud ERP tools to Office 365, Windows and Azure.

The first step in the deal will see a link between NetSuite’s software and Microsoft’s Azure Active Directory that will let customers take advantage of single sign-on to applications, and centralised management of user authentication and passwords.

Over the coming months, the firms will begin working on connecting NetSuite’s ERP tools and Microsoft’s Office 365 online productivity suite, letting users access both suites via a single interface. Customers will also be able to integrate NetSuite data with Excel and Power BI for Office 365.

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