You are able to customize Alfresco by using custom content types. These customizations are typically deployed via the
extension folder and require the Alfresco server to be restarted to take effect. Starting Version 2.9, Alfresco supports dynamic models to enable dynamic customization of models without requiring a restart of the Alfresco server.
Dynamic models are nothing but XML based model files, which are uploaded to Alfresco's repository in Company Home | Data Dictionary | Model space.
The following are the advantages of Dynamic models: