In this episode, Emma and Ryan tackle the supply chain rollercoaster of 2025—where lead times stretch overnight, port strikes cause chaos, and static ERP settings just can’t keep up. They explore how planners can transform Microsoft Dynamics 365 Business Central from a system built for predictability into one that thrives amid uncertainty.
Planning Smarter in an Unpredictable World: Enhancing Dynamics 365 Business Central for Supply Chain Agility
Transcript
Emma: Okay, so if you’re doing any planning at all in, well, 2025, you definitely know what we mean by the supply chain rollercoaster.
Ryan: Oh, yeah, it’s everywhere.
Emma: We’re all seeing these pressures, right? Container rates jumping seemingly overnight, port strikes adding delays we didn’t expect, and that.
Ryan: Classic email from a vendor saying lead times are stretched until further notice. It’s just chaos.
Emma: It really is, plain and simple. And it creates this massive dilemma for businesses.
Ryan: It does because we rely on these really structured, pretty sophisticated ERP systems. Platforms like Microsoft Dynamics 365 Business Central.
Emma: Exactly. Systems that were fundamentally built for, well, for predictability.
Ryan: Right. They were architected, assuming the world behaves that the lead time you punch into an item card is going to hold true for, I don’t know, months at a time.
Emma: But that’s the problem, isn’t it? You’ve got this powerful engine designed for order predictability. But what happens when the forecast you ran, say, last month is already totally out the window? Maybe a ship got stuck or a key port just shut down.
Ryan: Then what good is that planning data, really? It’s instantly stale.
Emma: Yeah. And our sources for this deep dive, they really lay out this reality. But they also give us a kind of mission.
Ryan: Yeah, the mission is pretty crucial for planners right now. How do you actually plan with confidence when the world just won’t sit still?
Emma: That’s the core question.
Ryan: And we’re looking specifically at, you know, how you can plan smarter, maybe not harder, by taking BC’s existing engine, which is already strong, which is already powerful. Yes. And turning it into something more dynamic, something that’s flexible. A real decision system for today’s world.
Emma: Okay, let’s dig into that. Where does the native system, you know, first hit this wall?
Ryan: Right. So Business Central, it gives you solid planning tools out of the box. You’ve got the planning worksheets, demand forecasts, and the core stuff.
Emma: Mrp, mps, Material requirements, planning, master production schedule.
Ryan: Yeah, exactly. And they’re great at generating suggestions based on the data they have. But the vulnerability, now, where is it? It’s that core assumption we talked about. The defined parameters inside BC assume predictability.
Emma: Ah.
Ryan: So when BC runs an MRP calculation, it looks at key fields, your safety, stock quantity, the lead time on the item card, and it treats those numbers as well as gospel truth.
Emma: Okay, so let’s make that concrete. If I manually set a 30 day lead time for a really critical component, maybe six weeks ago. BC just keeps assuming 30 days. Even if I literally just got an email saying, Nope, it’s 90 days now.
Ryan: Precisely. That’s the gap. BC is incredibly good at the math, at calculating replenishment if the inputs are right.
Emma: But they’re often not right.
Ryan: Not anymore. When reality changes, a vendor update is delayed, a shipping lane freezes up. Those fixed static settings just can’t keep up automatically.
Emma: So you, the planner, are stuck manually updating potentially dozens, maybe hundreds of item cards every single time the market shifts.
Ryan: Yes, and that’s the reaction trap. The reaction trap, the market changes. You scramble to find every effect. At Ski U, you make manual adjustments, maybe in spreadsheets first, which just adds.
Emma: More delay and potential for errors.
Ryan: It’s brutal. And the sources really hammer this coin home. You simply cannot fight today’s volatility with static parameters from last quarter. It doesn’t work.
Emma: A system itself forces you into being reactive, Constantly chasing down and correcting old theta.
Ryan: Exactly. And that’s where we need to talk about agility. Injecting agility.
Emma: Right. So if the native engine is built, assuming things are predictable, we need to enhance it somehow to handle the unpredictable. This is where we try to move beyond just reacting towards what you called a real time decision system. That sounds like a pretty big promise.
Ryan: It is, but it’s achievable.
Emma: What specific enhancements are we talking about? Are we ripping things out?
Ryan: No, no, not at all. That’s key. We’re not talking about replacing BC’s core. We’re talking about adding purpose built tools that leverage and, you know, enhance what’s already there.
Emma: Okay.
Ryan: The idea is to feed external insights, things like vendor intelligence, better predictive models directly into your planning cycle. Within bc, we’re building an ecosystem on top.
Emma: An ecosystem. Got it. Let’s start with what you call the command center tool number one, the enhanced planning worksheet.
Ryan: Right.
Emma: Planners know the native worksheet. What’s critically different here, what makes the enhanced version faster, more useful.
Ryan: Okay. The core value add is really consolidation and multilocation intelligence natively. Think about it. If you manage stock across say three warehouses. Yeah. Common scenario checking if one warehouse has extra stock that could cover a shortage in another. That means clicking into multiple item cards, location cards. It’s a lot of, well, card hopping, right?
Emma: Jumping around the system.
Ryan: The enhanced planning worksheet basically transforms that. It brings it all together into one visual, consolidated view.
Emma: Okay. So instantly I can see across all my locations and it visually balances Supply and demand on one screen.
Ryan: Exactly.
Emma: How is that faster than just running the standard mrp?
Ryan: Because it layers in decision support right there. Yeah. You see the consolidated picture? Yes. But you can also overlay crucial vendor insights like vendor reliability scores, maybe alternative vendor options. Right next to the replenishment suggestion BC makes.
Emma: Oh, okay.
Ryan: So the planner isn’t just blindly generating a purchase order. They’re instantly validating. Who should I order this from? Where does it need to go? Can I maybe use existing stock from Warehouse B instead?
Emma: So it supports strategic review and execution simultaneously?
Ryan: Precisely. It makes the output immediately actionable.
Emma: Actionable right away. Okay, let’s move to the second tool then. The enhanced forecasting worksheet. Forecasting. Always tricky.
Ryan: Always.
Emma: But the source mentioned pairing BC’s native forecasting with Azure AI. That sounds like a pretty serious upgrade. Predictive intelligence.
Ryan: Almost. It is probably the most significant upgrade for tackling that parameter volatility you discussed. We have to stop relying solely on.
Emma: Fixed historical averages because history isn’t predicting the future very well right now.
Ryan: Not reliably, no. So the Azure AI component, it goes beyond simple averages. It uses machine learning, often time series models, to actually predict future trends based on current sales velocity, seasonality, other factors.
Emma: Okay, that’s powerful. But how does that prediction actually get back into Business Central’s planning engine? Because, like you said, the engine still needs those parameters, lead time safety stock, to run the MRP calculation.
Ryan: Right, and this is the really clever part. The AI doesn’t just spit out a forecast report somewhere else.
Emma: Okay.
Ryan: It automatically calculates and updates those critical planning parameters right inside Business Central itself.
Emma: Oh, wow. Okay, so give me an example.
Ryan: So let’s say the AI predicts high, maybe fluctuating demand for an item over the next quarter. It can dynamically increase the reorder point and the safety stock quantity on that Item’s card in B.C.
Emma: Automatically.
Ryan: Automatically. Or if it sees lead times are consistently spiking for a vendor, it might adjust the order quantity recommendations to cover that increased risk.
Emma: So the system is essentially adjusting its own core assumptions based on the AI’s predictions.
Ryan: Exactly.
Emma: Which means the planner doesn’t have to manually change those hard coded fields every time the situation changes or the model updates.
Ryan: You got it. That directly addresses the core flaw of relying on static settings. It automates the maintenance of those parameters.
Emma: Making them less static.
Ryan: Right. Allowing the planner to actually trust that the next MRP run is based on the system’s best current Guess not some assumption they made three months ago.
Emma: Okay, that’s huge. That solves A major pain point. So we’ve got the strategic command center, the AI powered forecasting. The final tool mentioned is the item planning review. The sources called this the fast, no forecast way to review usage data. What’s its specific job in this ecosystem?
Ryan: This is more like the surgical tool, the quick check. Okay, look, not every single ski U needs a complex AI driven demand forecast. You might have lower volume items, maybe high value C items or things used mostly internally. Sure. The item planning review lets planner quickly glance at recent usage history, current inventory levels, any outstanding orders, all consolidated in one spot, focused on that item.
Emma: And then what can they do from there? What can they tweak on the fly?
Ryan: As the source said, it’s designed for rapid buffer adjustment. If you see just by looking that an item is trending lower than you’re comfortable with.
Emma: Yeah.
Ryan: You can instantly adjust its min max stock levels. Or tweak the reorder point right there.
Emma: Without a full forecast run.
Ryan: Exactly. It lets you apply quick expert judgment based on observation. It avoids the overhead of complex forecasting or diving deep into the item card for things that just need a periodic checkup.
Emma: Okay. So it handles the simpler adjustments efficiently. So when you put all three together, the consolidated worksheet, the AI forecasting in this rapid review tool, the end result is your data isn’t just accurate, hopefully, but it’s immediately actionable.
Ryan: That’s the goal. Faster adjustments, less guesswork, fewer shortages.
Emma: Okay, let’s make this really concrete. You mentioned bringing it to life with a scenario our sources gave. A classic painful one.
Ryan: Yeah, the dreaded vendor email.
Emma: Okay, so you’re the planner. You get that email. Your key supplier may be in Asia for your top selling product. They’ve just pushed all scheduled deliveries out by three weeks.
Ryan: Yeah, yeah. That’s the moment your stomach drops.
Emma: Right. And typically that means immediate panic.
Ryan: Oh, absolutely.
Emma: Panic mode.
Ryan: You’re probably grabbing open PO reports, trying to cross reference sales orders, maybe digging into historical usage.
Emma: In Excel, you’re trying frantically to figure out which customers are going to be impacted first. Can you expedite freight? How bad is it really? It’s days of just scrambling manual calculation, cold sweat.
Ryan: That’s the old way, the Excel scramble. Okay, so with this enhanced suite, how does that change? How does the response window shrink? This is the aha moment, right?
Emma: It is. This is where agility genuinely replaces that panic.
Ryan: Okay, walk us through it. Minute by minute, what happens?
Emma: All right, so email arrives within maybe 60 seconds. The planner pulls up the item planning review. Step one, isolate the fire, find the problem fast Right. They filter instantly for all items tied to that specific vendor. Immediately they see which SKUs are now at risk of dropping below safety stock because of that three week delay. They know exactly where the problem is. Okay, fire isolated. What about demand? Are we still guessing based on last month’s potentially stale forecast?
Ryan: No, that’s step two. And it’s crucial. The enhanced forecast forecasting worksheet kicks in because it’s using current sales velocity, not old assumptions.
Emma: Right. The AI.
Ryan: The AI gives a fresh, true picture of the immediate demand risk. It might confirm. Okay, based on how fast we’re actually selling these right now, we’re going to run out in four days. Not the two weeks you thought. The urgency is validated instantly.
Emma: Wow. Okay, and then the actual response, the purchasing, the rebalancing, the heavy lifting, that’s step three.
Ryan: And it happens in the enhanced planning worksheet. It takes that new painful three week delayed lead time. It automatically recalibrates all the pending purchase orders for those affected items. And critically, it factors in real time constraints. It checks vendor reliability data, maybe suggesting a split order with a backup supplier.
Emma: And the multi location piece.
Ryan: And simultaneously it identifies if you have any usable stock sitting in your other warehouses that could be quickly transferred or cross docked to cover the immediate gap.
Emma: Okay, so within just a few minutes. Really?
Ryan: Yeah, minutes, not days.
Emma: The system hasn’t just warned the planner, it’s given them concrete, updated, actionable instructions. Solutions.
Ryan: Almost exactly. So they can then confidently regenerate the MRP issue. Updated pos, maybe split, maybe adjusted quantities. And often the operations team on the floor hasn’t even started to feel the full impact yet.
Emma: Agility replaces panic.
Ryan: That’s the core idea. The planner acts on integrated current data, not reacts based on an old spreadsheet and a gut feeling.
Emma: Okay, that really illustrates the difference. So let’s talk about the payoff for the planner, the supply chain manager listening right now. What’s the real strategic advantage here? Why invest in this kind of enhanced ecosystem for bc?
Ryan: Well, I think it boils down to a few really critical elements. First, obvious one, resilience. Your reaction time just shrinks dramatically. Supplier delay, shipping issue. You’re responding in minutes, not days.
Emma: Huge.
Ryan: What else? Second, visibility. You’re spotting those vulnerable items before they become a crisis, before they stock out and impact your customers. Proactive, not reactive.
Emma: And third, I imagine there’s an efficiency gain.
Ryan: Absolutely. Think of the time saved. You’re adjusting plans, reviewing tons of data, but without diving into custom spreadsheets or clicking through, you know, 50 different item cards. Manually, that’s real labor saving.
Emma: Less cart hopping.
Ryan: Less cart hopping. Exactly. And finally, maybe the most important, Confidence. Confidence in the deal, confidence in your plan. That hidden cost of volatility is the constant doubt. Is this number right? Can I trust this plan? With these enhancements, you gain confidence that the data driving your decisions reflects today’s reality, not yesterday’s assumptions. Better, faster decisions follow.
Emma: Okay, benefits are clear, but. But let’s bring in that reality check. Our sources also mentioned no app, no software can just magically eliminate global volatility, right?
Ryan: Absolutely not. Let’s be clear on that. You can’t stop a geopolitical event or a massive spike in freight costs with an app. That’s impossible.
Emma: The volatility itself is external, unavoidable.
Ryan: It is, but the goal here is mitigation. It’s about controlling your response. By integrating these tools, you’re drastically shrinking your reaction window. That’s the key.
Emma: So instead of say two days investigating that vendor delay, your system gives you.
Ryan: The answers and suggests solutions in minutes. You manage the chaos much more effectively.
Emma: Got it. And for businesses listening, who might be thinking, okay, this sounds powerful, but maybe a bit much to bite off all at once. The sources mentioned modularity.
Ryan: That’s right. It’s important. These tools are designed to be modular. You don’t have to jump into the deep end with everything.
Emma: On day one, how might someone start smaller?
Ryan: Well, you could begin with just the item planning review, for instance. That gives you immediate focus, control for those quick buffer adjustments we talked about very targeted value and then build up. And then as your business needs evolve, or maybe as volatility gets even worse, you can layer in the enhanced planning worksheet for that multi location view, or add the Azure AI forecasting. When you’re ready for more predictive power, it scales with you.
Emma: Built on the BC foundation you already have. Exactly. It enhances, it doesn’t replace.
Ryan: Okay, so let’s wrap this up. Let’s connect this back to those huge uncontrollable factors out there. The geopolitics, the shipping costs, the unpredictable suppliers.
Emma: Right. You cannot control that external tide shift. That chaos is for now a constant in supply chains.
Ryan: But.
Emma: But you absolutely can control the, the sophistication, the speed and the accuracy of how your own internal system, your business central system, responds to that chaos.
Ryan: That’s the lever you can pull.
Emma: That’s the lever, that’s the control you have.
Ryan: So that feels like the ultimate takeaway, the challenge we want to leave you, the listener with is this the next time that supply chain tide inevitably shifts. And it will, and it will. Make sure your business central implementation is your advantage, the thing that lets you act decisively, not the bottleneck that slows your response down to a crawl.
Emma: It’s about planning smarter, using today’s tools for today’s very real problems. And you know, if you are ready to explore making B.C. that advantage.
Ryan: These enhanced planning tools we’ve discussed, they are readily available. You can find them and explore them on Microsoft AppSource.
Emma: Good to know. Hopefully you feel a bit more equipped now to tackle that volatility head on.
Ryan: Hope so.
Emma: That’s it for this deep dive. Thanks for joining us.