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Business Central Manufacturing Module

On-premise or in the cloud

Business Central for Manufacturing

Audit your manufacturing software and learn how to calibrate your ERP for growth.

To assist manufacturers in managing their production environment, Dynamics 365 Business Central offers various functionalities, including the setup and maintenance of production bills of materials (BOM), routing, and capacities. This encompasses the creation and processing of production orders, forecasting for finished goods and components, and planning functionalities like sales order planning, master production scheduling (MPS), material requirements planning (MRP), integrated subcontracting, and advanced capacity and shop-loading features.

Manufactuirng BOM Processes

The fundamental requirements for producing an item in Business Central involve having a production BOM with component details and a routing specifying operations, labor, and machine requirements. By using production orders, raw materials can be transformed into manufactured products, and while smaller organizations may manually create production orders, larger companies might require planning functions for supply plan creation.

Business Central provides several production order planning methods, including direct creation from a sales order (sales order planning), direct creation for different demand types through order planning functionality, and using the planning worksheet for full regenerative or net change plans.

Manufacturing Production Orders
Business Central Manufacturing Module

For operations performed by vendors, the subcontracting functionality allows integration of external vendors performing specific production steps. Shop loading functionalities in Business Central help monitor and manage production facility loads, offering two approaches: infinite capacity loading, where work is scheduled regardless of facility capacity, and finite capacity loading, which schedules work up to a set percentage of the facility's capacity, pushing excess work to the next available period within the due date.

Microsoft Dynamics 365 Business Central Manufacturing ERP Software Features

Woman using tablet in Manufacturing Plant
  • Enhance business efficiency, from the manufacturing floor to your financial results. Optimize your processes by automating manufacturing tasks and achieving enhanced visibility into every facet of your operations, spanning from order initiation to production, warehouse oversight, and final delivery.

  • Furnish customers with reliable information. Elevate the precision of committed orders and swiftly address customer inquiries regarding order status and delivery timelines.

  • Adapt promptly to evolving customer needs through flexible manufacturing. Strategize for urgent orders, accommodate exceptions, and manage impromptu alterations to your manufacturing procedures using various planning alternatives, tracking mechanisms, and interactive action alerts.

  • Broaden your business connectivity to trading associates at any hour. Leveraging a web browser, suppliers can oversee catalogs, input drop shipment orders, and update delivery schedules.

Warehouse Management System (WMS) And Inventory Management System

  • Integrate manufacturing and warehousing functionality.

  • Barcoding capabilities

  • Optimize warehouse layout and space utilization.

  • Maintain up-to-date inventory information.

  • Manufacturing costing

  • Understand item costs throughout the production process, including inventory, WIP, and cost of goods sold (COGS).

  • Manage sales and purchase prices with customers and vendors.

  • Automated data collection system (ADCS).

  • Collect and use accurate inventory data in real time.

  • Increase the visibility of accurate inventory data throughout your business.

  • Improve warehouse efficiency.

Business Central Barcoding and Scanner

  • Quickly make exceptions and last-minute changes to meet customer needs.

  • Supply Planning Plan from the sales order, production order, or purchase requisition, or use traditional master production schedule (MPS) or material requirements planning (MRP) methods.

  • Facilitate materials flow through the supply chain with multi-location planning capabilities.

  • Update and change all materials, costs, and operations simultaneously.

Exceptions Handling

Man with measuring tape in manufacturing plant.

4 Tips for Choosing the Right Manufacturing ERP Solution

Manufacturing Laser Cutting Machine

Demand Forecasting

  • Analyze sales patterns from multiple perspectives.

  • Compare forecasted demand with actual sales.

  • Consolidate and distribute demand plans with multiple stakeholders for collaborative planning.

Capacity Requirements Planning

  • Implement realistic plans according to all incoming resource capacity demands.

  • Redefine order modifiers and reorder policies as needed.

  • Accommodate changing shop floor workloads.

  • Simplify planning with calendars and machine center allocation tools.

Bill of Materials - BOMs


  • Integrate different types of BOMs and customized definitions into manufacturing operations.

  • Support time-to-market and time-to-volume objectives.

  • Create, track, and process multiple versions of BOMs and routings.

Production Management

  • Improve coordination of made-to-order requests.

  • Simplify make-or-buy decisions.

  • Modify components and operations as needed, even on released production orders.

  • Plan product family orders that share the same routing to create efficient build schedules.

Order Promising

  • Promise orders more accurately with available-to-promise (ATP) and capable-to-promise (CTP) insight.

Lippert Components migrates from Dynamics AX to Dynamics 365 in the cloud

Lippert Components migrates from Dynamics AX to Dynamics 365 in the cloud

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Manufacturing ERP Software with an Intelligent Supply Chain

Coordinate suppliers, your own manufacturing and contract manufacturers, and logistics providers by leveraging multi-enterprise collaboration tools that understand your supply chain network.

- Balance service and budget

Business Central on Laptop

Connected Solutions

Improve customer satisfaction, first time fix rates, and resource productivity. Microsoft Dynamics 365 delivers advanced scheduling, resource optimization and mobile enablement capabilities that set organizations apart by keeping the customer at the center of business.