Optimize Your Production Operations With Microsoft Dynamics 365 Business Central

With production runs that never stop, you need a manufacturing ERP that can keep up, and Texo has the solution you need with Microsoft Dynamics 365 Business Central. This single platform, multi-functional system ensures that the planning, execution and costs for smooth, traceable, and profitable manufacturing operations all work in tandem for optimal efficiency.

The ERP Solution for Modern Manufacturing SMBs

Modern production requires more than just tracking manufacturing orders; it requires careful orchestration of capacities, materials, subcontractors, and costs.

Business Central helps efficiently coordinate planning (MPS/MRP), bills of materials and routings, manufacturing orders, cost centers, and costing, all in a single platform.

The result: end-to-end visibility, controlled lead times, and clarified margins.

The Challenges Facing SMBs
in the Manufacturing Industry

As you are no doubt aware, today’s manufacturing sector is going through a complex period of change and upheaval. Between rising costs, supply chain disruptions and market unpredictability, companies are facing multiple challenges, including:

  • Variability in demand and changing lead times
  • Shortages, overstocking, and costly waste
  • Difficult-to-synchronize subcontracting
  • Bottlenecks that are not detected in time
  • Discrepancies between standard and actual costs that blur margins

Key Production Features in Business Central

Overview of the Business Central Manufacturing Module Benefits

Plan Accurately and Deliver on Time

By aligning the Master Production Schedule (MPS) with your forecasts and orders.

  • Automatically convert demand into net requirements with Material Requirements Planning (MRP) for purchases, production, and transfers.
  • Apply your replenishment rules (minimum/maximum inventory, optimal lot size, rescheduling and balance capacity for machines, labor, subcontracting, and overtime to smooth the load and secure production through accurate scheduling of operations, including make-to-order (MTO) when necessary.

Structure Your Products and Secure Subcontracting

With multi-level bills of materials (BOMs) including versions, substitutions, unstocked “phantom” items (Phantom BOMs) and routings; operations, setup times, workstations, and tools.

  • Outsource certain steps via the subcontracting worksheet with traceability of material shipments, deadline control, and cost-tracking.

Execute and Control Production in Real Time

By creating and launching your production orders with the relevant workstations, planned quantities, and associated time by recording times and quantities from the shop floor.

  • Track consumption and scrap, and compare what is planned with what is actual.
  • Correct discrepancies with the support of Power BI & Copilot, for faster decisions and controlled margins.


Fixed-cost implementation plans for Microsoft Dynamics 365 Business Central

The Concrete Benefits of Business Central for Production

Business Central integrates with the Microsoft 365 ecosystem (Teams, Outlook, Excel, SharePoint) and offers interactive dashboards to transform your data into actual decisions.

Solutions Specifically Tailored to Your Industry

WHOLESALE DISTRIBUTION

Synchronization Between Warehouses and Workshops

Link purchasing, inventory, and production to avoid shortages and overstocking.

PRODUCTION

Planning, Costs, and Quality Control

Standardize your processes, control your costs, and keep your promises to customers.

AGRI-FOOD

Traceability and Batch Management

Ensure batch management, best-before dates, recalls, and compliance for everything from receiving to shipping.

FASHION & RETAIL

On-Demand Production and Customization

Make the most of short runs, variants, and tight deadlines without sacrificing your margins.

FINANCE

Integrating Production Costs Into the General Ledger

Optimize profitability by using valuation tools, identifying variances, and performing automatic allocation for clear profitability.

Texo, Your Certified Microsoft Partner

At Texo, we support companies in the integration and customization of Microsoft Dynamics 365 Business Central.
Our experts analyze your needs, deploy the solution, and train your teams to maximize operations with successful and sustainable results.

Microsoft Dynamics 365 Business Central Manufacturing FAQs

What is the difference between the master production schedule (MPS) and material requirements planning (MRP) in Business Central manufacturing?

The master production schedule (MPS) focuses on what finished goods to produce and when, based on sales forecasts, firm sales orders, and inventory levels. MPS helps you build a realistic production plan for make-to-stock and make-to-order items.

Conversely, material requirements planning (MRP) calculates the raw materials and components required to support that plan. It looks at existing inventory, open purchase orders, and lead times to suggest new supply orders (purchase orders, production orders, transfer orders).

In short, MPS plans finished goods, while MRP plans the materials behind them, both using the same integrated planning engine in Business Central manufacturing.

Yes you can create versions by product, season, or customer, activate substitutions, and track the impact on costs and lead times.

Via the subcontracting worksheet, which sends materials, receives the operation, services costs, and monitoring deadlines.

Yes, Business Central manufacturing does support the above three production modes. It allows you to define the appropriate manufacturing policy at the item level, so that each product follows the right flow:

  • Make-to-stock items are planned based on forecasts and inventory targets.
  • Make-to-order items are produced in response to specific sales orders, linking production orders directly to customer demand.
  • Assemble-to-order items are configured and assembled when the customer places an order, combining flexibility and short lead times.

This flexibility allows you to adapt Business Central manufacturing to your real-life production strategy, whether you’re primarily make-to-stock, make-to-order, or a mix of both.

Standard, FIFO (first-in, first-out), weighted average, specific cost, with variance analysis (materials/time) and general ledger posting.

Through capacity planning (loads/capacities, priorities, shifts), simulations and scenarios (overtime, subcontracting).

Real-time reports and KPIs, recommendations (forecasts, deadlines), and assisted document/analysis are generated for faster decision-making.

Yes, via operation and non-compliance records; the associated costs are reflected in your margins and reports.