Suppose I am having plugin version 4.0.3 in the source environment and version 4.0.5 in the target environment.
How can I upgrade the plug-in version from 4.0.3 to 4.0.5 without affecting the objects where it is used?
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If I understand correctly, you want to update the plugin version in your environment, but you want your objects to remain on the older 4.0.3 plugin version?
In other words I think the question is, if we delete a plugin and install a new version, then will the existing objects have to be updated manually or will they pick the new version on their own?
Minor changes will not impact your app. Going from 4.0.3 to 4.0.5 is minor. For details, check the life cycle of plugins in documentation.
Update itself in cloud is: Just re-deploy. For on-premise it is: remove old, wait a bit, deploy new