ARTICLE | 4 MIN READ
Demand Forecasting with Microsoft Dynamics 365 Business Central
Learn about demand forecasting in Business Central and how it helps distributors stay ahead of their competition.
Did you know your sales data can help your team stay on top of changing customer needs? Demand forecasting is a valuable feature for distribution companies, and it’s built into solutions like Microsoft Dynamics 365 Business Central.
| What does demand forecasting do? | Why would I need demand forecasting? |
|---|---|
Demand forecasting evaluates all your past data to predict short- and long-term consumer demand. Demand forecasting can predict:
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By using historical data to predict the needs of your customers, your business can estimate the following:
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How Does Demand Forecasting Work in Business Central?
Business Central’s Demand Forecast feature is available out of the box. Users can create custom forecasts based on parameters such as timeframe, seasonality, and geographic location.
In addition, users can choose a forecast “type” based on the data used in the prediction. Teams can set up one of three forecasts:
- Sales forecasts for estimating order volume for a given period
- Production forecasts for estimating finished good and product demand for a given period
- Component forecasts for estimating subitem needs based on parent item demand
Based on this data, Business Central considers future demand and suggests a reorder schedule.
Once you’ve set up a forecast, you can apply it to Material Requirements Planning (MRP) and Master Production Schedule (MPS) worksheets to get more detailed, accurate reorder plans based on predicted demand.
Demand Forecasting Features in Business Central
While many ERPs offer basic demand forecasting features, Business Central supplies deeper, more meaningful functionality that saves your team time and stress.
- Action Messages – Automatic alerts about low stock or similar concerns, plus intelligent suggestions for process improvement.
- Automatic and Manual Transfer Orders – Hands-on and hands-off transfer orders make it easy for your company to automate standard processes without relinquishing complete control.
- Planning Parameters – Actionable items that affect when and why reorders are scheduled or canceled.
- Autofill for Orders – Quickly complete requisition worksheets based on plans generated by your Demand Forecasts.
- Supply and Demand Tracking – Drill down into the relationship between supply and demand across all your products.
The Benefits of Demand Forecasting in Business Central
Demand forecasting is for more than satisfying the data-obsessed members of your team. Business Central’s feature set makes it a valuable tool for growing distribution companies.
- Save time and stress with automated data entry and analysis
- Gain a deeper understanding of your customers’ needs and market trends
- Stay ahead of the competition by predicting hot products
- Mitigate over- and under-spending when restocking materials
Leverage Your Sales Data with the Right Software Partner
As a long-time Microsoft partner, Cargas understands the importance of reliable business software—especially for unique industries like distribution. If you want to get more meaning out of your sales data, Cargas can help. Contact us to learn more about the power of Business Central for distribution companies.
Dynamics 365 Business Central for Distribution Demo
See the software in action as a Cargas Business Central consultant walks you through sales order entry, line items, part numbers, order confirmation, shipping, invoicing, and post-order statistics.
