The core of any country’s industrial growth is manufacturing. With the manufacturing companies looking for ways to maximize efficiency and reduce costs, a collaborative system is indispensable.


The Middle East is undergoing significant industrial transformation with Saudi Arabia becoming a hub for rapid growth.

To facilitate manufacturing growth driven by Vision 2030, the Kingdom of Saudi Arabia has introduced the “Future Factories Program” to increase the competitiveness of its manufacturing sectors.

Maintaining sustained growth through smart manufacturing is key for organizations. Here we delve into:


What is smart manufacturing, and what solution supports it? How does it help Saudi manufacturing industries keep pace with today’s industrial developments?


Smart manufacturing, as the name suggests, refers to the manufacturing process that combines human creativity, IOT, automation, big data, cloud computing, AI-powered systems, digitally connected machines, and analytics.

The fully integrated manufacturing system (smart manufacturing) equips industries to thrive in the Fourth Industrial Revolution, enabling them to meet changing demands and conditions in the manufacturing process, supply chain, and customer needs.

The benefits of incorporating intelligent capabilities in manufacturing processes can go far beyond business outcomes. It equips companies in Saudi Arabia to be prepared for the future. Here we go into few benefits:

  • Smart manufacturing enables companies in Saudi to empower their manufacturing processes and efficiency with disruptive technologies, helping them stay on par with global competitors.
  • Smart manufacturing reduce time to market, allowing companies in Saudi Arabia to quickly innovate, develop and bring products to global market.
  • Smart manufacturing systems promote a country’s economic growth by attracting local and foreign investments.
  • Interconnected manufacturing capabilities reduce operational costs, enhance production efficiency, and accelerate profitability.
  • Smart manufacturing opens doors to new job opportunities in various manufacturing processes within the manufacturing sector.

To keep pace with industrial development trends, manufacturing organizations must rely on technology solutions that support smart manufacturing. Microsoft Dynamics 365 Business Central is the apt choice as a comprehensive ERP (Enterprise Resource Planning) solution to drive manufacturing to the next level.

Microsoft Dynamics 365 Business Central is a comprehensive business management solution that covers the module for streamlining manufacturing process, from planning and scheduling to supply chain management, production BOM, inventory forecasting, and assembly management.


Bill of Materials (BoM)


A bill of materials is a comprehensive inventory of raw materials, including parts and components, needed to manufacture a product. The BoM feature in Business Central produces a list of inventories with details to make the manufacturing process efficient and precise.

The ERP supports the inclusion and management of large quantities of inventory, simplifying complex manufacturing processes with detailed tracking of parts and their subcomponents.


Production Orders


Production orders in Business Central simplify the conversion of purchased raw materials into manufactured products. These orders go through various processes before the final products are rolled out.

They play a critical role in the manufacturing process by specifying the products to be produced, the materials required, and the timeframe for product release.


Inventory Management


Inventory management is a critical part of the manufacturing process. Dynamics 365 Business Central offers supply chain management features that allow organizations in Saudi Arabia to manage their inventory properly. It provides a clear picture of inventory levels, whether surplus or low, helping to prevent stockouts and overstocking situations.

AI-powered sales and inventory forecasting in Business Central predicts potential sales for a given period and provides a clear picture of expected stockouts.


Assembly Management


The assembly management feature in Business Central allows production companies to supply products to customers without relying on traditional manufacturing processes. Business Central offers efficient assembly features to meet customer demands, integrating these features with sales, planning, reservations, and warehousing to ensure a seamless production process.


Agile Manufacturing


Business Central supports agile manufacturing which enables manufacturing companies in Saudi to make quick changes to production processes to meet customer demands. This can help them deliver new products to customers with great speed.

It allows companies to adjust production planning based on market and customer demands, customize production processes, and efficiently manage changes in order quantities and product specifications.


Enable Smart Factories


Dynamics 365 Business Central enables the smart factory by using cloud connectivity, IoT, data analytics, and AI to drive improvements in equipment efficiency, operational visibility, and manufacturing sustainability.

Machine learning models help manufacturing companies in Saudi Arabia enhance product quality by detecting and addressing production issues in real-time. This ensures the production of high-quality end products

Dynamics 365 Business Central streamlines production processes through its automation capabilities. It leverages Azure’s IoT capabilities to automate various processes, ensuring complete operational visibility and saving employees time and effort.


Data Analytics

Business Central provides advanced data analytics that analyze huge volumes of data and generate insights into the production process, market trends, customer behavior, and more. With these insights, companies can make informed decisions that drive business agility and growth.


Benefits of Smart manufacturing using Dynamics 365 Business Central


In a dynamic market like Saudi Arabia, manufacturing companies need to look beyond success. Customer satisfaction, loyalty and agility are also the key aspects that need to be maintained throughout.


With automation, data analytics, and integrated manufacturing features, employees can work smarter, faster, and more efficiently. Predictive maintenance and automation help IoT-connected devices and equipment operate efficiently, enhancing outputs.


Business Central allows companies to respond quickly to market changes and customer needs. This helps companies to personalize manufacturing with speed and precision.

Enhanced quality control

Smart manufacturing features in Dynamics 365 Business Central integrate manufacturing and supply chain processes, ensuring quality standards are maintained at every level of the manufacturing process.


Make your manufacturing operations future-ready with Dynamics 365 Business Central


Small and medium businesses in the Kingdom of Saudi Arabia grow with intelligent solutions. As a part of Future Factories Program driven by Saudi Vision 2030, your manufacturing organization must initiate digital transformation with Dynamics 365 Business Central manufacturing benefits.

Microsoft’s ERP solution is a game changer for organizations in Saudi Arabia. To embark on smart manufacturing with Business Central ERP software, you can seek support from a Microsoft Dynamics Business Central implementation partner.

With extensive experience working on Dynamics 365 applications across the GCC and MENA regions, LITS SERVICES transforms your manufacturing process through proper Dynamics 365 Business Central implementation, customization, support, and training.



What is smart manufacturing, and how does it benefit Saudi industries?

Smart manufacturing integrates IoT, automation, AI, and data analytics to enhance manufacturing efficiency and flexibility. In Saudi Arabia, it supports Vision 2030’s industrial goals by boosting competitiveness and attracting investments.

How can Microsoft Dynamics 365 Business Central support smart manufacturing in Saudi Arabia?

Dynamics 365 Business Central offers comprehensive ERP solutions tailored for manufacturing. It streamlines processes like production planning, inventory management, and assembly management, empowering companies to optimize operations and meet market demands.

What are the key features of Dynamics 365 Business Central for manufacturing?

Key features include Bill of Materials (BoM) management for inventory precision, production orders for process control, inventory management for supply chain optimization, and AI-powered sales and inventory forecasting for proactive planning.

How does Dynamics 365 Business Central enhance agility in manufacturing operations?

The ERP system enables agile manufacturing through quick adjustments to production processes based on market and customer demands. It supports customization, efficient change management, and seamless integration with sales, planning, and warehousing.

Why should manufacturing companies in Saudi Arabia consider adopting Dynamics 365 Business Central?

Adopting Business Central enables companies to improve efficiency through automation, enhance quality control with integrated processes, and achieve operational agility to respond swiftly to market changes. It aligns with Saudi Vision 2030’s goals of economic diversification and industrial growth.