The News: Microsoft announced several new Copilot features that are now being incorporated into Dynamics 365 Business Central, the company’s small to midsize business (SMB)- and mid-market-focused business management platform. The integration of Copilot features that are accessible via Dynamics 365 Business Central reflects Microsoft’s commitment to providing all of its customers with the ability to harness the benefits of generative AI technology, regardless of the size of their organization. You can read the blog post highlighting the announcement on the Microsoft website.
Microsoft Unveils New Copilot Features in Dynamics Business Central
Analyst Take: Microsoft announced that Dynamics 365 Business Central has been updated to incorporate several new Copilot features, unlocking the productivity and efficiency gains that are the result of integrating generative AI across a variety of tasks and use cases. Microsoft highlighted several Copilot features that are expected to be made generally available in early 2024 across the platform, which are driven via conversational chat leveraged by the Copilot assistant.
Text Generation
Copilot in Business Central can be used to create AI-generated marketing text suggestions. Using Copilot, product descriptions can be automatically generated based on key product attributes, such as color and material, and then tailored to your preferred tone, format, and length. Once the copy has been finalized, the platform allows the content to be published to Shopify or other ecommerce platforms with just a few additional clicks.
Assisted Inventory Forecasting
Using AI, the Sales and Inventory Forecast extension uses past sales data to forecast future demand, helping to prevent stockouts. Once a shortfall is identified, Business Central streamlines the replenishment process by automatically generating vendor requests, eliminating a time-consuming manual process.
Late Payment Prediction
The Late Payment Prediction extension is designed to forecast whether outstanding sales invoices are likely to be paid on time, allowing the organization to shift the collections approach to reduce outstanding receivables. Based on the prediction, a company could modify the payment terms or method for that customer to proactively address potential late payments.
Cash Flow Analysis
Powered by AI, Business Central can create a comprehensive Cash Flow Analysis to help monitor the company’s cash position. Based on insights from Business Central, managers can be alerted to potential cash shortfalls, allowing them to act quickly, such as by obtaining loans or by reducing credit use during periods of surplus cash.
AI and Insights Are No Longer Just for Enterprises
The infusion of AI through Copilot in Business Central is an acknowledgement that AI can truly serve as a catalyst for improving efficiency, driving competitive performance, and streamlining operations. Incorporating the technology across the platform enables productivity or efficiency gains to be scaled across the organization rather than limited to a single worker or department.
Making AI-powered Copilot technology within an SMB and mid-market targeted platform is a shrewd move by Microsoft. Perhaps even more than large enterprises, these smaller firms are being squeezed by competitive forces to operate more efficiently and must focus on getting the most productivity and performance out of the systems they already have.
Just as an auto mechanic should not be tasked with working on today’s cars using tools from last century, neither should office-based productivity workers be asked to operate in today’s fast-paced, digital world using analog tools. Generative AI assistant technology that is integrated into an existing, trusted platform can level up that technology gap, leading to better productivity and performance.
Leveraging AI to Aid in Employee Retention and Acquisition
In today’s economy, companies of all sizes are struggling to fill open positions, and as a result, current employees are often tasked with taking on extra work and hours to keep things running smoothly. Over time, this can create friction, leading to burnout and an erosion of the quality of work.
While large organizations are certainly dealing with this issue, smaller organizations often struggle even more because they may not be in a position to outsource extra work to contractors or agencies during crunch times due to cost concerns. Compounding the problem, many of these companies may not be in a position to adequately reward their employees for going above and beyond the call of duty by offering bonuses or other measures of appreciation. This situation can lead to attrition, with workers leaving the field entirely or going to deeper-pocketed, larger competitors.
SMB and mid-market companies that can demonstrate they are providing AI-powered platforms and tools likely will be in a better position to compete against larger organizations when trying to attract new employee talent by demonstrating that they are actively using both analytics-based and generative AI assistant technologies. If workers are convinced that they can focus on more fulfilling and strategic issues, rather than repetitive, time-consuming, and soul-killing tasks, they may be more likely to stay with their current company instead of jumping ship at the next opportunity.
Disclosure: The Futurum Group is a research and advisory firm that engages or has engaged in research, analysis, and advisory services with many technology companies, including those mentioned in this article. The author does not hold any equity positions with any company mentioned in this article.
Analysis and opinions expressed herein are specific to the analyst individually and data and other information that might have been provided for validation, not those of The Futurum Group as a whole.
Other insights from The Futurum Group:
Microsoft Orca 2: The Biggest Generative AI Breakthrough Since ChatGPT
Copilot for Service Introduced by Microsoft
Microsoft’s Custom Silicon at Microsoft Ignite 2023
Author Information
Keith has over 25 years of experience in research, marketing, and consulting-based fields.
He has authored in-depth reports and market forecast studies covering artificial intelligence, biometrics, data analytics, robotics, high performance computing, and quantum computing, with a specific focus on the use of these technologies within large enterprise organizations and SMBs. He has also established strong working relationships with the international technology vendor community and is a frequent speaker at industry conferences and events.
In his career as a financial and technology journalist he has written for national and trade publications, including BusinessWeek, CNBC.com, Investment Dealers’ Digest, The Red Herring, The Communications of the ACM, and Mobile Computing & Communications, among others.
He is a member of the Association of Independent Information Professionals (AIIP).
Keith holds dual Bachelor of Arts degrees in Magazine Journalism and Sociology from Syracuse University.
