Why manufacturers should choose Dynamics 365 to solve business challenges

In the fast-paced manufacturing world, small businesses aspire to achieve remarkable results. These ambitious businesses aspire to overcome challenges, conquer competition, and optimize production. Luckily, a game-changing solution awaits: Dynamics 365, a robust platform that flawlessly fits into their operations, reduces costs, and boosts revenue. From streamlined supply chains and well-organized inventory management to improved production efficiency and meeting customer demands, Dynamics 365 empowers manufacturers to rise above hurdles and excel in today’s competitive landscape. This blog explores how Dynamics 365 offers solutions to these challenges, becoming the catalyst for growth and success.

A Forrester study found that a manufacturing company experiences an average of nearly $44.33M over three years versus costs of less than $23.27M and an ROI of 90 percent. Dynamics 365 offers a multitude of advantages to manufacturers worldwide. No matter your role in the manufacturing industry—be it a leader, an entrepreneur, or an industry pioneer—this blog offers insights into the transformative potential of Dynamics 365.

What is Dynamics 365 for Manufacturing?

Dynamics 365 for Manufacturing, powered by Microsoft Cloud for Manufacturing, is a transformative cloud-based solution that integrates CRM and ERP systems. It empowers manufacturers to systematically manage crucial business processes, such as supply chain, inventory, finances, production, and customer relations. With Dynamics 365’s suite of powerful business management applications and the specialized cloud capabilities of Microsoft Cloud for Manufacturing, manufacturers experience top performance and productivity, revolutionizing the manufacturing industry.

Microsoft Dynamics 365 enables manufacturers to achieve the following:

• Real-time monitoring
• Predictive maintenance
• Remote collaboration
• Agile decision-making
• Sustainable production
• Intelligent supply chain

Modules of Dynamics 365 for Manufacturing

Dynamics 365 offers a suite of interconnected modules that optimize the entire manufacturing process. The suite’s flexibility and scalability make it an ideal solution for manufacturers of all sizes, allowing them to grow and evolve their operations while maintaining smooth integration across the organization.

• Dynamics 365 for Sales: A comprehensive sales management solution that empowers you to understand customer journeys and meet their needs.
• Dynamics 365 Marketing: This cloud-based marketing solution centralizes customer information, automates marketing tasks, and enables personalized event-triggered campaigns.
• Dynamics 365 Finance and Operations (D365 F&O): A robust business management tool (formerly known as Dynamics AX) covers all aspects of your financials and operations. D365 F&O is now available in two modules: Dynamics 365 Finance and Dynamics 365 Supply Chain Management.
• Dynamics 365 Supply Chain Management: An end-to-end solution (previously part of D365 F&O) that optimizes manufacturers’ inventory, production, warehouse management, and distribution.
• Dynamics 365 for Finance: A comprehensive financial management tool that facilitates informed decision-making, accounting, budgeting, and financial reporting.

What are the top challenges faced by manufacturing industries?

Supply chain management

Global supply chain disruptions and labor shortages require advanced systems. Outdated processes fall short of meeting customer demands. The right ERP system automates workflows, reduces unpredictability, and optimizes inventory management. Real-time data ensures timely product delivery and enables businesses to adapt and meet customer needs efficiently.

E-commerce integration

With new technologies and shifting customer preferences, e-commerce has become crucial for businesses in any industry vertical. Recent challenges have highlighted the need to eliminate third parties and directly engage with customers. Your company needs an integrated e-commerce gateway that works cohesively with your ERP system to do this successfully. This integration enables efficient order management, inventory tracking, and personalized customer experiences. For instance, a manufacturing business could set up an online store connected to its ERP system, which allows customers to place orders directly and track their shipments in real time.

Workflows and business processes

Prompt response to customer requests is vital for success, and automating your business processes is key. Siloed systems lead to inefficiencies, delays, and increased chances of human error. Imagine the headaches caused by constant communication between different applications, transferring data back and forth. Here’s how automation helps:

• Prompt response: Ensures quick customer request handling.
• Eliminate inefficiencies: Streamlined operations through automation reduce delays and errors.
• Seamless data flow: Automated processes simplify communication, minimizing errors.
• Simulate production environment: Enables production planning and optimization.
• Reduce manual labor: Decreased reliance on manual work boosts productivity.
• Improve KPIs: Advances key performance indicators through monitoring and analysis.
• Streamline operations: Robotics and IoT devices automate production, ensuring top-notch quality.

Data and privacy 

The growing reliance on data in the manufacturing industry increases the risk of data loss and cyber-attacks. Confidential data breaches have affected numerous industrial organizations globally. Businesses must prioritize cybersecurity measures, such as the implementation of robust firewalls, encryption protocols, and employee training on data security best practices. By proactively safeguarding their data, they can mitigate the risk of cyber threats and ensure the trust of customers and partners.

The top six benefits of Dynamics 365 for manufacturers 

Streamlined project execution:

Accelerate project performance and maximize profitability when you visualize and track project metrics and better manage manufacturing operations.

• Example: Manufacturers have real-time visibility into resource scheduling and use intelligent skills-based assignments to optimize profitability.

Enhanced operational visibility:

Gain visibility into the entire manufacturing process through integrated global supply chain data to foster collaboration and informed decision-making.

• Example: D365 helps you access production metrics and breakdowns by product and resource for improved communication and informed decision-making.

Empowered workforce:

Empower your workforce with role-specific tools, adaptive workflows, and exceptional employee experiences.

• Example: Empowering employees with the right tools and data can create exceptional employee experiences and improve overall productivity.

Increased efficiency and cost savings:

Augment savings through consolidated operations, mobile tools, and intelligent task coordination.

• Example: Technicians can access information and resolve issues remotely through mobile tools.

Advanced field service management:

Master field service management with tailored workflows, optimized resource assignments, and real-time updates.

• Example: Real-time updates, interactive schedule boards, and intelligent forecasting enable systematic field service management and higher customer satisfaction.

Personalized customer experiences:

Elevate customer experiences with personalized service, automation, and proactive actions driven by data analysis.

• Example: Using connected devices, you can take action ahead of time to avoid service issues and strengthen customer relationships through personalized interactions.

Wrap up

In the manufacturing field, digital tools will continue to revolutionize how businesses operate. Microsoft Dynamics 365 paves the way for manufacturers to be—and remain—at the forefront of technology.

Connect with one of our experts to learn more about the D365 for manufacturing and other Dynamics 365 solutions.