ERP for Wholesale & Distribution: Automating Replenishment & Dropship in Business Central
Running a wholesale or distribution business can feel like a never-ending juggling act. One week, you’re out of stock on bestsellers. The next time, you’re drowning in stuff that isn’t moving. You’re trying to keep up with orders, suppliers, deliveries, and customer demands, all at once. And if you’re doing dropshipping? That’s even more to manage. One delay from your supplier, and your customer’s entire order is off track.
Most teams start off using spreadsheets, emails, or a bunch of different tools that don’t really work together. That might be okay in the early days, but as you grow, things start to slip. Manual work takes too long. Mistakes happen. Customers get frustrated. You spend more time fixing problems than actually running the business.
That’s where an ERP made for wholesale and distribution really helps.
Microsoft Dynamics 365 Business Central brings everything together, such as inventory, orders, dropshipping, suppliers, and more, so it’s all in one place. It automates the tasks that eat up your time and gives you a clear picture of what’s going on across your business.
In this blog, we’ll walk you through how Business Central helps you stay on top of inventory, automate dropshipping, and grow your operations without the worry and complications.
Why Use Business Central for Wholesale Distribution?
Dynamics 365 Business Central is designed for small to mid-sized businesses. It handles everything from accounting to inventory and is especially strong for wholesale and distribution.
Here’s why it works well:
- Real-time visibility across departments
Instead of waiting for reports, you see stock levels, sales, purchases, and money flow all in one place. This helps your team make quick decisions with up-to-date info.
- Connected workflows from purchase to delivery
Orders, stock updates, and invoices flow automatically. This cuts down on manual data entry and speeds up how you process orders and shipments.
- Built-in tools for automation
Business Central includes features like automated replenishment and dropshipping, so you don’t waste time on routine tasks. This means fewer errors and faster order fulfilment.
Using Business Central lets you spend less time sorting through spreadsheets and more time growing your business.
Automated Replenishment in Dynamics 365 Business Central
Manually tracking inventory and reordering is slow and full of mistakes. Business Central makes this easier with automated replenishment.
Here’s what you get:
- Smart stock level tracking
Set minimum and maximum stock levels for each product. The system will alert you or reorder automatically when stock falls too low.
- Forecast-based purchase suggestions
The system looks at past sales, open orders, and supplier lead times. It suggests what and how much to reorder to avoid running out or overstocking.
- Auto-generated purchase orders
When items hit reorder points, Business Central can create purchase orders on its own. You just review and approve them, no typing needed.
With automated replenishment, you always have what you need, keeping customers happy and your cash flow steady.
Dropshipping with Business Central
Dropshipping means you don’t have to keep every product in stock. You sell, then your supplier ships the product directly to your customer.
Business Central makes dropshipping smooth:
- Automatic purchase order creation
When a dropship order comes in, Business Central creates the purchase order and links it to the sales order. No manual work to place the order with the supplier.
- Direct delivery from supplier to customer
The supplier ships straight to the customer, and Business Central tracks the process so you stay in control.
- Seamless updates and invoicing
Once shipped, the system updates the order status and handles the supplier invoice. Your records stay clean and up-to-date.
This Business Central powered automation saves time, cuts costs, and lets you offer more products without extra warehouse space.
Inventory Automation in Wholesale ERP
Keeping accurate inventory across multiple warehouses and sales channels is not easy. Manual tracking causes errors, delays, and lost sales.
Inventory automation solves this:
- Barcode scanning support
Staff use scanners during receiving, picking, and shipping. Stock levels update immediately, cutting errors and speeding processes.
- Bin and location tracking
Each product gets assigned to a specific shelf or zone. This helps warehouse workers find items fast and reduces mistakes.
- Automated cycle counting
Instead of shutting down for full stock counts, Business Central supports regular cycle counts. This keeps stock accurate without stopping operations.
With inventory automation, you avoid surprises, fulfil orders faster, and trust your stock numbers.
Warehouse Management with ERP
Your warehouse is the heart of your business. If it runs well, everything else flows smoothly.
Here’s how Business Central helps manage your warehouse:
- Smart inbound and outbound planning
You know what’s arriving and shipping out ahead of time. This helps staff plan their day and avoid delays.
- Guided picking and packing
Workers get digital pick lists with exact locations for each product. This speeds up packing and cuts errors.
- Support for returns and transfers
Managing returns and moving stock between warehouses is easier, so nothing gets lost or forgotten.
Using Business Central makes your warehouse more organised and ready to handle more orders.
Order Fulfillment in Wholesale ERP
Order fulfilment is where your customers feel the impact of your system. Fast and accurate shipping builds trust and repeat business.
Business Central helps with:
- Automatic stock checks before orders
The system checks real-time stock, so you don’t end up confirming orders you can’t fill.
- Integrated shipping tools
Connect with carriers to print labels, track shipments, and send updates, all inside the system.
- Backorder handling
If part of an order is out of stock, Business Central splits the shipment. It ships what’s available now and automatically sends the rest when it arrives.
Better order fulfilment means happier customers and fewer complaints.
Supply Chain Management in Business Central
A strong supply chain is key to keeping your business running.
Business Central helps by:
- Tracking vendor performance
See which suppliers deliver on time, at the right price, and with good quality. This helps you manage relationships better.
- Demand forecasting and planning
The system looks at past sales and trends to recommend what to order and when. This keeps stock balanced and reduces waste.
- Multi-location coordination
If you have multiple warehouses or stores, Business Central helps move stock between them quickly to meet demand.
With these tools, your supply chain runs smoother and responds faster to changes.
Distribution ERP Software: Why Business Central?
There are many ERP systems, but few focus on wholesale and distribution like Business Central does.
Here’s why it’s a good fit:
- Easy to use and quick to learn
Most users start working in days, not months, even without tech skills.
- Works with Microsoft tools you know
It integrates seamlessly with Excel, Outlook, and Teams, making it easy to adopt.
- Grows with your business
Whether you have one warehouse or many, Business Central scales without a full system overhaul.
- Built-in features distributors need
From dropshipping to automated replenishment and warehouse tracking, it’s all included. No extra add-ons needed.
If you want ERP software made for wholesale and distribution, Business Central is a solid choice.
Final Thoughts
Wholesale and distribution companies have a lot to handle. Spreadsheets and disconnected tools might work when your business is small. But as your wholesale or distribution business grows, those old ways cause delays, errors, and unhappy customers.
If you're still juggling spreadsheets or spending hours on manual tasks, it’s time to move to a system that works for you, not against you. Using an ERP like Dynamics 365 Business Central helps you automate replenishment, dropshipping, inventory, and order fulfilment. You save time, reduce mistakes, and gain full control over your operations.
Ready to Automate Your Wholesale Operations?
Talk to Dynamics Square today. We’ll help you set up Business Central for automated replenishment, dropshipping, and inventory management. Our experts make sure the system fits your business now and grows with you.