42% Improvement in Forecast Accuracy with Dynamics 365 Supply Chain Management
AI-Driven Forecasting | Production Planning | Demand Visibility
At a Glance
| Industry | Consumer Goods |
|---|---|
| Services | Dynamics 365 Supply Chain Management, Demand Forecasting, Production Planning, Inventory Optimization |
| Challenge | Production planning relied on static spreadsheets updated monthly, limiting the accuracy and responsiveness of demand forecasts. |
| Solution | Rebuilt the planning process around Dynamics 365 SCM with AI-driven forecasting models to improve demand visibility and production decisions. |
| Key Result | Improved forecast accuracy by 42% and significantly reduced stockouts. |
About the Client
The client is a consumer goods company that relies on accurate demand forecasts to coordinate production and maintain appropriate inventory levels.
Its existing planning process depended heavily on static spreadsheets, making it difficult to respond effectively to changing demand.
The Challenge
Production planning was based on spreadsheets that were updated only once a month. This meant planning teams were making production and inventory decisions using information that could quickly become outdated.
The key challenges included:
- Static Demand Planning: Monthly spreadsheet updates limited the ability to respond quickly to changing demand.
- Limited Forecast Accuracy: The existing planning process made it difficult to accurately anticipate product demand.
- Production Planning Gaps: Production decisions were based on forecasts that did not always reflect current requirements.
- Stockout Risk: Inaccurate demand planning contributed to product availability issues and stockouts.
- Manual Planning Processes: Spreadsheet-based workflows required significant manual effort and lacked a connected planning environment.
The client needed a more intelligent forecasting approach that could improve demand predictions and support better production and inventory decisions.
The Solution
Aegis Softtech rebuilt the company's planning process around Microsoft Dynamics 365 Supply Chain Management, replacing static spreadsheet-based planning with AI-driven forecasting capabilities.
As part of the broader Microsoft Dynamics 365 and Dynamics ERP ecosystem, Dynamics 365 SCM provided a more connected foundation for demand forecasting, production planning, and inventory decisions.
AI-Driven Demand Forecasting
AI-driven forecasting models were introduced to improve the accuracy of demand predictions.
Instead of relying primarily on monthly spreadsheet updates, planning teams could use data-driven forecasts to better understand expected demand and make more informed planning decisions.
Connected Production Planning
Demand forecasts were incorporated into the production planning process, helping teams align production requirements more closely with anticipated demand.
This created a stronger connection between what the business expected customers to need and what production teams planned to manufacture.
Improved Inventory Planning
More accurate demand forecasts helped the company make better inventory decisions and reduce situations where insufficient stock was available to meet demand.
This contributed to a significant reduction in stockouts.
Unified Supply Chain Planning
Dynamics 365 Supply Chain Management provided a more connected planning environment for demand, production, and inventory activities.
Rather than managing forecasts through isolated spreadsheets, teams could base planning decisions on a unified supply chain platform.
For organizations that also want to connect demand and supply chain planning with customer and sales information, Dynamics 365 CRM can help connect customer-facing data with broader business processes.
The Results
Moving from static spreadsheet planning to AI-driven forecasting delivered measurable improvements in planning accuracy and inventory availability.
- 42% Improvement in Forecast Accuracy:
AI-driven forecasting models improved the accuracy of demand forecasts by 42%. - Significantly Fewer Stockouts:
Better demand visibility helped reduce situations where inventory was unavailable to meet customer demand. - Better Production Planning:
More accurate forecasts helped align production decisions more closely with expected demand. - Improved Inventory Decisions:
Teams gained better information for determining inventory requirements. - Less Reliance on Static Spreadsheets:
Dynamics 365 SCM created a more connected and data-driven planning process.
Technology Stack
- Microsoft Dynamics 365 Supply Chain Management
- AI-Driven Demand Forecasting
- Demand Planning
- Production Planning
- Inventory Management
- Supply Chain Planning
- Forecasting Models
Need More Accurate Supply Chain Forecasting?
Aegis Softtech helps consumer goods and manufacturing businesses use Dynamics 365 Supply Chain Management to improve demand forecasting, production planning, and inventory decisions with connected, data-driven processes.
Talk to a Dynamics 365 SCM Specialist
*Client identity is confidential. Project details verified through internal delivery records. Reference available on request.*