Using Microsoft Dynamics AX for Supply Chain Optimization

Editorial Update: Microsoft Dynamics AX is now called Dynamics 365 for Finance and Operations.

According to a study conducted by the National Institute of Standards and Technology, an adequate supply chain infrastructure can

Microsoft Dynamics AX for Supply Chain
Microsoft Dynamics AX for Supply Chain

save businesses millions of dollars each year. However, only several industry leaders look at how to best optimize their supply chains to achieve true interoperability with their business partners and grow profitably. Even fewer take appropriate actions to accomplish their goals. An interesting aspect is that some of these leaders have managed to improve their supply chains with a readily available software solution: Microsoft Dynamics AX for supply chain. The following section presents several practical insights into how to use this intelligent business solution to optimize supply chains.

Supply Chain Optimization with Microsoft Dynamics AX
Microsoft Dynamics AX is a complex product especially designed to support the efforts of the supply chain companies that struggle to go far beyond delivering the right products to the right places at the right time. Equipped with modern technologies, this solution can help organizations eliminate barriers to productivity and efficiency by facilitating real-time visibility into key business activities and ensuring increased control over various processes, which range from the receipt of raw materials and production of specific parts to the dispatch of finished goods. Microsoft Dynamic AX makes possible supply chain optimization by allowing staff to:

  • Develop a Functional Strategy: To create a functional strategy, the first thing an organization must do is to define its strategic objectives. Since Microsoft Dynamics AX for supply chain delivers exceptional visibility into real-time data, business processes, reports, key performance indicators and notifications, identifying the strengths and weaknesses of a company has never been easier. By knowing exactly what needs to be covered, any organization can easily establish its strategic objectives.

  • Plan Supply Chain Optimization: The planning stage includes two main points: 1) risk management; and 2) TCO (Total Cost of Ownership) methodology implementation. Microsoft Dynamics AX can help companies not only to identify, but also to quantify and manage all types of business costs, allowing businesspeople to find the right solutions for reducing the impact of actual and potential risks on specific business processes. On the other side, following the structure of TCO methodology, Microsoft Dynamics AX focuses on hidden and visible costs, long- and short-term financial value of investments and repercussions relating to specific trade-off decisions.
  • Engage Business Partners: Microsoft Dynamics AX for supply chain increases cooperation not only among key business areas, such as customer demand, purchasing, production, inventory and sales, but also among supply chain partners, vendors and customers. By sharing improvement goals with supply chain partners, granting access to critical business information and engaging in open dialogue, an organization can find the support it needs to optimize its supply chain infrastructure.
  • Implement Optimization Plans: Implementing a complex supply chain optimization plan can be very difficult. However, Microsoft Dynamics AX can help teams control specific business operations for a successful implementation. Providing a familiar interface similar to that of many Microsoft Office products, this solution allows team members across supply chains to easily find the information and tools needed to implement changes. Additionally, custom implementation solutions can be tailored to meet specific business requirements.

Supply chain optimization is very important because it enables organizations to compete successfully while keeping their customers happy. One of the best ways to optimize supply chains is to opt for Microsoft Dynamics AX for supply chain – a practical solution that can help businesspeople make informed decisions and set realistic goals. To find out what Microsoft Dynamics AX can do for different organizations operating in Dallas Fort Worth and Oklahoma visit us at Clients First Business Solutions,  call 800.331.8382 or email

Inventory Guide to ERP

Leave a Comment

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Show Buttons
Hide Buttons