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In almost all CRM dictionaries there is mechanism that prevents creating doubled records. When creating contact, company or product system will suggest existing values that is similar to entered value.
Custom Dictionary Field
In the company/contact or product card a user can use values from any custom dictionary. Additionally user can create new dictionary record by entering new unexisting value in the card field and saving the card. You can see the example the using of custom dictionary "Software" in the Product/service Card:
Custom Field with Custom Dictionary Type
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