An efficient supply chain in manufacturing involves successful coordination of various activities. Among the critical aspects that play a central role are material planning and inventory control. They are important for managing resources, ensuring smooth manufacturing, and maximizing revenue.
ERP solutions are proven to be worth in bringing different elements of the supply chain together. Microsoft Dynamics 365 Business Central for manufacturing encompasses capabilities for running manufacturing processes, including material planning and inventory control.
Why Microsoft Dynamics 365 Business Central manufacturing in 2025?
Dynamics 365 Business Central is a complete ERP solution intended to simplify operations with the power of world-class AI, advanced analytics, automation, and reporting. The solution provides built-in manufacturing capabilities that help manufacturing businesses with efficient procurement and sourcing, vendor management, warehouse operations, material planning and inventory control.
Business Central inventory and planning provides manufacturers with a steady solution for production process, supported by AI. Before we go in-depth, it is better to understand what material planning and inventory management is all about.
Material Planning
Material planning is all about identifying what materials are needed, in what quantity, and when they are needed to support the manufacturing process. With efficient planning organizations can ensure the right materials are available at the right time to meet production demands.
Inventory control
Inventory control is managing the stock, from raw materials to finished goods. Efficient inventory control ensures that the right amount of stock is maintained across storage locations. Moreover, stock control gives organizations an edge in eliminating shortages, overstock, and wastage.
How does Business Central improve material planning?
The ERP provides organizations with tools to simplify the material planning process. Through demand forecasting, organizations can ensure right materials are available for production process. Here we go into detail.
Data integration
Business Central integrates rea-time data from various departments including sales, inventory, and production, into a centralized platform. This provides users with the information on how much material is needed, what materials are required, and when they are needed. With decision-making from real-time data, Business Central improves production process through enhanced material planning.
This is one way in which this Microsoft ERP for production management improves material planning.
Demand forecasting
Predictive analytics uses historical data about material consumption and trends which makes it easier to predict material demand precisely. This turn out be highly beneficial for anticipating future material requirements to achieve efficient production. Demand forecasting eliminates out-of-stock and overstock situations, as well as wastage of materials. By using the demand forecasting feature enabled by predictive analytics, Business Central improves material planning.
Material requirement planning
The MRP feature in Business Central calculates the materials needed to manufacture a product. Material Requirement Planning (MRP) has a noteworthy impact on manufacturing process with proper production scheduling, planning, and inventory control. The advantage is that the right materials are available at the right time to meet production demands and customer requirements.
How Business Central improve inventory control?
Business Central provides advanced inventory management feature that provides real-time visibility into inventory levels. With a clear picture of stocks in various locations, including warehouse, organizations can maintain optimal stock levels to enhance manufacturing efficiency.
Real-time visibility
Real-time tracking of inventory across multiple storage locations gives organizations an update of the real picture of stock levels. By maintaining optimum inventory levels at all times, organizations can avoid stockout and overstock issues, reduce wastage, overcome inventory overheads.
Automated replenishment
When inventory levels fall down a certain threshold, Business Central triggers a replenishment action. The system facilitates the automatic generation of purchase orders, which helps organizations maintain the right quantity of materials at all times. Automatic replenishment helps organizations achieve proper inventory control.
Inventory forecasting
Predictive analytics in Business Central analyzes historical data and trends, which enables organizations to predict future inventory needs. With precise forecasting, businesses can plan inventory purchases and avoid inventory challenges.
Why Dynamics 365 Business Central is the apt solution for manufacturers?
Besides providing capabilities for inventory control and material planning, Business Central supports various manufacturing functions. It unites key manufacturing processes into a centralized platform, providing real-time visibility into manufacturing operations. This enables organizations to gain an overview of how production processes are progressing, how employees are working, and how systems are functioning.
Dynamics 365 Business Central features
- Material planning and inventory control
- Production management
- Advanced analytics and forecasting
- Cloud-based architecture
- Seamless integration
- Flexible and scalable
No matter how complex your manufacturing operations are, Microsoft ERP for production management supports manufacturing in full swing. In addition to covering various manufacturing methods, the system supports other key aspects of supply chain, including warehousing operations, resource management, distribution, and transportation.
To fully benefit from Business Central manufacturing 2025, it is essential to team up with Microsoft partners specialized in Dynamics 365 Business Central implementation. IAX DYNAMICS is a preferred Dynamics 365 partner that delivers the right manufacturing solutions with innovative Dynamics 365 Business Central features tailored to your business needs.
FAQ Section
Does Business Central improves material planning and inventory control?
Yes. Business Central encompasses features powered by AI for efficient material planning and inventory control. Through data integration, demand forecasting, real-time visibility into inventory, and AI-powered insights, organizations can take control of planning and inventory management.
Is Business Central a favorite Microsoft ERP for production management?
Business Central offers manufacturing capabilities like production management, material planning, inventory control, advanced analytics, and cloud-based architecture. It enables connected factory where you get a complete picture of production, employee performance, machine utilization, and more.
Can I integrate Business Central with manufacturing systems?
Yes, Business Central seamlessly integrates with third-party manufacturing execution systems (MES) to manage and control the production processes.
