E321: CAD-to-ERP handoff opens manufacturing opportunity for Partners

Manufacturing ERP implementations can still run into an old problem after the system goes live: engineering data must reach operations in a format the ERP can actually use.

For manufacturers, that handoff can involve CAD, product data management, product lifecycle management and the ERP layer that manages items, bills of material, routings, purchasing and production. Microsoft’s Business Central documentation describes production BOMs as master data for the components and subassemblies used to produce an item. Its Dynamics 365 Supply Chain Management documentation describes BOMs and formulas as central to product and variant definitions.

That makes the engineering-to-manufacturing handoff more than an integration detail for Microsoft Partners serving manufacturers. It can affect how quickly a customer turns a design into a production-ready item, how accurately material requirements are calculated, and how much manual work is required around an ERP implementation.

Why the CAD-to-ERP handoff affects manufacturing ERP projects

CADTALK, a CAD-to-ERP integration vendor, is one example of how ISVs are positioning around that gap. The company says its Business Central integration and Microsoft Finance and Operations integration connect CAD, PDM or PLM data with ERP and transform engineering bills of material into manufacturing bills of material. CADTALK says the product was first conceived in 1998 and its first version launched in 2006.

John Thomas, who works on CADTALK’s marketing and Partner relationships, told Rick McCutcheon on PartnerTalks that many manufacturers still need help translating engineering information into operational data.

“CADTALK is able to take that CAD, PDM and PLM data, interpret it for the ERP, and then give it data that the ERP can really use and make the most of,” Thomas said.

The issue is most visible in engineered-to-order and complex manufacturing environments, where each job may involve a different design, a larger engineering team or multiple systems. Thomas pointed to discrete manufacturing, industrial manufacturing, sheet metal fabrication, food and beverage, aerospace and defence as examples of sectors where CADTALK has seen use.

Where Business Central and F&O Partners fit

The Partner fit, he said, is strongest in Business Central and Finance and Operations practices that already serve manufacturers. Those Partners may already be working with customers on BOMs, routings, production planning and post-go-live process issues.

“If you have manufacturers that you’re working with, CADTALK certainly can be a fit for all types of manufacturing,” Thomas said.

He said CADTALK is developing a cognitive layer intended to make its implementation experience more accessible to customers and Partners.

That could turn accumulated project knowledge into recommendations for specific industries, ERP setups, or manufacturing processes. For Partners, the near-term opportunity is more practical: identify where engineering data still moves through spreadsheets, re-entry or one-off processes, then treat that handoff as part of the manufacturing ERP conversation rather than an exception after go-live.

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