Michelin, primarily known for its tire manufacturing, has implemented Microsoft Dynamics 365 Business Central as part of its digital transformation strategy. The decision resulted from the need to standardize and modernize IT systems across the company’s various sales agencies worldwide.
Why did Michelin bet on Business Central?
Michelin, one of the global leaders in the tire industry, is committed to innovation and growth through mergers and acquisitions. Although their core ERP system handles central operations perfectly, it proved too complex and costly for the smaller entities Michelin was acquiring. Business Central proved to be a solution sophisticated enough, yet simple and affordable, ideal for small and medium-sized businesses (SMBs). Michelin rolled out the system to its commercial agencies outside Europe and some subsidiaries, and the implementation time was less than half that of its leading ERP.
Key elements of the implementation and its progress
The implementation of Business Central aimed at ensuring consistency and efficiency for the acquired companies, which often used outdated IT systems that were not supported by modern standards. As a cloud-based solution, Business Central provided a modern interface, built-in security mechanisms, and the scalability needed to integrate new business units.
Michelin focused on setting up a production environment within 6-12 months, ensuring minimal impact on business continuity. One recent deployment achieved 64% of the sales plan target within four days and surpassed the plan by 134% by the end of the month.
Benefits of implementing Business Central
- Quickly and efficiently integrate new companies into the company's ecosystem,
- Unified financial, sales, and supply chain management, which streamlined daily operations,
- Interaction with Microsoft 365 and Power Platform tools, providing seamless workflow and increased employee productivity,
- Integration with Power BI to create a data repository and generate reports and analysis to support better decision-making.
- Flexibility and stability are crucial in the M&A process,
- Plans to develop solutions based on artificial intelligence to improve IT operations and employee support further.
With Business Central, Michelin has gained a tool to enable flexibility and stability, which is key in the M&A process. Cecile Latour (IT Director for ERP and HR solutions at Michelin) mentions that the next step is introducing artificial intelligence-based solutions to streamline IT operations and employee support further.
Business Central proved to be an ideal solution that combines SaaS flexibility with development and integration capabilities.
Use our Business Central implementation calculator and check the cost of implementing your ERP.
