Partner Stories

How Explainable AI Works with Predictive Analytics Inside Microsoft Dynamics 365

Published by Inogic

Businesses can no longer depend on static reports or gut instincts alone; they need predictive foresight to stay ahead of customer behavior, revenue trends, and sales outcomes. 

According to research, more than 63% of sales forecasts are wrong by at least 10%, even in companies using CRM and BI tools. 

Study reports that organizations using predictive AI improve forecasting accuracy by up to 52% and reduce lost revenue by 15–25%.

The gap isn’t data.
The gap is predictive intelligence inside daily workflows.

Why Traditional CRM Forecasting Fails

Most CRM forecasting tools were designed for reporting, not prediction.

They answer:

What happened?

But sales, service, and operations leaders need:

What will happen next — and why?

What’s broken today

  • One-size-fits-all AI models
  • No segmentation by region, deal type, or customer profile
  • Black-box scores with no explanation
  • Predictions that live outside CRM screens
  • Late signals that show up after deals are already lost

This creates a dangerous situation:

  • Teams stop trusting the AI.
  • They stop using the scores.
  • And forecasting goes back to guesswork.

That’s exactly where Predict4Dynamics steps in, turning your Microsoft Dynamics 365 CRM from a historical data repository into a proactive AI-enabled decision engine. 

What Is Predict4Dynamics? 

Predict4Dynamics is a no-code, machine-learning-powered predictive analytics CRM forecasting solution built directly inside Microsoft Dynamics 365 CRM. With it, organizations can train and deploy predictive models on CRM entities like leads, opportunities, cases, and custom tables — enabling:

✅ Lead conversion forecasting
✅ Opportunity win probability prediction
✅ Customer churn anticipation
✅ Revenue forecasting and trend analysis
✅ Get Why behind every prediction
✅ Predictive insights across service, field service, and operations 

This AI-enabled solution integrates seamlessly into your Dynamics 365 workflows, with no data export, no external tools required.

Predict4Dynamics brings predictive analytics and explainable AI directly into Dynamics 365 and Power Apps.

It transforms CRM from a system of record into a system of foresight.

Instead of just showing you what exists, it shows:

  • Which leads will convert
  • Which deals will close
  • Which customers are at risk
  • Which projects will fail
  • Which inventory lines will run out

And most importantly, it explains every prediction in human language.

How Predictive Intelligence Works Inside Dynamics 365

With Predict4Dynamics, AI is not a separate dashboard.

It appears exactly where your users work:

  • Lead forms
  • Opportunity records
  • Case screens
  • Project entities
  • Custom tables
  • Power Apps
  • External systems via API

When a record is created or updated, the AI model runs automatically and shows:

  • A probability or classification
  • A clear explanation
  • The top factors influencing the result

No clicks | No exports | No delays

Predict4Dynamics gives you a reason.

Instead of:

Lead score: 76%

You see:

“This lead is likely to convert because the company operates in an industry with high historical win rates, and there has been strong recent engagement. The score is slightly reduced because the budget is below average.”

This matters because:

According to research, trust in AI increases by 47% when users receive explanations instead of black-box scores.

Explainability turns AI from a threat into a decision assistant.

How AI plays a Role in Sales Forecasting and Predictive Intelligence in CRM

1. Ready-to-Use Predictive Models 

One of the biggest advantages of Predict4Dynamics is its prebuilt, ready-to-use sample models for Leads and Opportunities. These models can be trained on your own CRM data within minutes, providing accurate forecasts without the need to build models from scratch.  This capability accelerates deployment and lets teams quickly identify high-value prospects and areas that need immediate attention.

2. Automatic Prediction Triggers for Real-Time Forecasting

Traditional predictive systems often require manual model execution, but Predict4Dynamics changes that. It automatically generates predictions whenever records are created or updated in Dynamics 365 CRM. 

📍 No manual refreshes
📍 Always up-to-date forecasts
📍 Actionable insights pushed into workflows 

For example, when a new lead is added, the system immediately predicts its conversion probability and potential revenue impact, allowing teams to act proactively rather than reactively. 

3. Customizable AI Models for Unique Business Needs

Every business has different priorities, and Predict4Dynamics lets you tailor the predictive logic to match yours.

Using the Model Customization feature, CRM admins can:

✅ Select the most relevant fields for prediction
✅ Apply business-specific filters
✅ Adjust logic to align with organizational goals 

This means AI predictions can reflect real-world business conditions — like forecasting which quarterly leads are most likely to close based on region, historical interactions, or customer segment. 

4. Segment-Specific Predictions with Multiple Models

Predict4Dynamics lets you train and deploy multiple models for the same CRM entity, such as leads or opportunities. 

💡 Why this matters:

  • You can build a model specifically for enterprise leads.
  • You might have another tailored for SMB segments.
  • Or separate models for different geographies and campaigns.  

Multi-model flexibility empowers teams to fine-tune predictions, increase forecast accuracy, and drive better decisions for various business units.

Example: Region-Based Opportunity Forecasting

Contoso (North America)
Win Probability: 70%
Explanation:

“Deals in this region with early executive engagement and high product interest usually close successfully.”

Fabrikam (Germany)
Win Probability: 55%
Explanation:

“European deals of this size typically have longer sales cycles and require a strong internal champion, which is not yet identified.”

Same product | Same deal size |Different market reality

5. Explainable AI: Understand Why behind Every Prediction

A major challenge with traditional AI is transparency, but Predict4Dynamics solves it by providing Explainable AI (XAI) outputs. This means every prediction comes with a human-readable explanation that shows why the outcome was predicted.

Example:

“This lead has an 82% conversion probability because it shares characteristics with previously closed deals in your pipeline.”

This level of clarity builds trust across teams and improves CRM adoption, especially among sales, service, and leadership groups.

6. Secure, Tenant-Isolated AI Architecture

Data privacy and security are critical. Predict4Dynamics runs all predictive analytics and AI operations within your Azure tenant, ensuring:

🔐 Full privacy
🔐 No external data sharing
🔐 Compliance with organizational policies and regulations 

You retain complete control over your data while benefiting from advanced predictive insights.

Predictive Intelligence Beyond Sales

Predict4Dynamics doesn’t stop at CRM. Using secure Web APIs, it connects to:

  • Business Central
  • Power Automate
  • Custom web apps
  • Supply chain systems
  • Finance and operations

5 Key Benefits of AI-Driven Sales Forecasting in Dynamics 365

Predict4Dynamics doesn’t just predict outcomes, it explains them. With machine learning and explainable AI inside Dynamics 365, sales teams get forecasts they can trust and act on.

1. Know why a deal will close

Instead of just a probability score, Predict4Dynamics shows what’s driving each deal—engagement, deal age, stage movement, similar past deals, and rep activity—so reps know exactly what to fix or push.

2. Spot risk before it kills revenue

When a deal is at risk, the system explains why: low activity, stalled progress, disengaged buyers, or failed patterns from the past. Teams don’t just see red flags, they know how to resolve them.

3. Forecasts leaders can trust

Every forecast is transparent. Leaders can see which deals are strong, which are risky, and which may slip—making revenue planning reliable for sales, finance, and leadership.

4. Sales and marketing on the same page

Both teams see why leads and opportunities matter. Marketing knows which campaigns bring a quality pipeline. Sales knows which leads to chase—and which not to.

5. Learn from every win and loss

Predict4Dynamics reveals what works, what doesn’t, and how top performers sell—turning every deal into a lesson that improves strategy, training, and playbooks.

Final Thoughts: Predict the Future of Your Business

AI-driven predictive analytics is no longer a luxury; it’s essential for competitive CRM strategies. Predict4Dynamics transforms Dynamics 365 CRM into a forward-looking, AI-augmented engine that helps organizations predict outcomes, explain them with clarity, and make better decisions. 

Ready to move from reactive reporting to proactive intelligence? 

Start your journey with Predict4Dynamics and unlock the future of predictive CRM today.

Want to have first-hand experience? Request a demo at crm@inogic.com, and our AI experts will walk you through the product in real time.

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