Microsoft Technology Solutions: Maximizing Impact for Commodity Processors
Microsoft technology solutions are renowned for being versatile for businesses of all sizes across various industries.
Agriculture, however, presents unique challenges, from managing commodity purchases to navigating sales intricacies and mitigating risks. Many businesses in the agriculture sector are dealing with large purchasing and production processes and need technology solutions that help fill the gaps that might exist for them.
In this blog, we'll explore why Microsoft technology is highly beneficial in finding commodity processors like you long-term solutions that align with your operational framework. Additionally, we'll touch on Levridge, a Stonridge sister company, and Dynamics 365 add-in that can help you extend your capabilities.
In this blog, we'll explore why Microsoft's technology, in partnership with Levridge, is highly beneficial in finding commodity processors long-term solutions that align with their operational frameworks.
Why Use Microsoft Technology Solutions for your Agribusiness?
When considering Microsoft, it's essential to recognize the evolving landscape of agribusiness. While traditional methods may work for now, the digitization of business processes is becoming increasingly crucial in this sector. Microsoft's secure cloud platform offers more than just technology – it provides a solid foundation for addressing the unique requirements of agriculture and is a strategic move toward modernization and efficiency.
By leveraging Dynamics 365 Finance and Operations and Levridge, agribusinesses gain access to a modern, unified platform that integrates with your existing tools and processes. This partnership gives you a cohesive ecosystem to refine processes and improve overall effectiveness. Some of the tools included in the Microsoft platform include:
- Microsoft Azure - Microsoft's cloud platform that hosts over 200 products and cloud services to help improve your business.
- Power Platform - A suite of solutions that helps you with automation, business intelligence, app development, website building, and more.
- Microsoft 365 - Everyday applications you use like Word, Teams, Outlook, PowerPoint, Excel, and more
- Dynamics 365 - ERP and CRM systems where you can manage your business processes from a central location
- Microsoft Copilot - Microsoft's new AI tool that further enhances your ability to work effectively
- ISVs and other third-party applications, like Levridge
With Microsoft's vast partner network and community support, agribusinesses can tap into a wealth of knowledge and best practices, fostering innovation and collaboration.
How Microsoft Technology Solutions and Levridge Help Agriculture Organizations Drive Innovation
As mentioned earlier, Levridge agriculture-specific add-on to Dynamics 365 Finance and Operations, and a sister company to Stoneridge Software. The partnership between them contains the following three key components:
Inbound Commodity
From complex contracting arrangements to seamless integration with scale systems and optimized settlement procedures, you can handle inbound commodity processes more easily. Here are a few inbound commodity features we want to highlight:
Purchase Contracts:
- Contracting Complexity: Levridge streamlines this complexity of intricate contacts involved in purchasing by managing delivery periods, pricing components (board price, base price, net price), and contract types (base, futures, or unset).
- Weights and Grades Management: Leverage can handle various weights and grades governing contract quantities, distinguishing between origin and destination weights. This ensures accurate tracking and reporting, even accounting for delivery terms and freight arrangements.
- Currency and Units Flexibility: Levridge accommodates international transactions by seamlessly handling multi-currency conversions. Moreover, it supports diverse units of measure, enabling sales in metric tons while managing inventory in bushels.
Delivery:
- Integration with Scale Systems: The Levridge system seamlessly integrates with scale systems, utilizing standard egg XML messages or manual input for scale tickets. Unique features include splitting scale tickets among multiple growers and tracking inbound transit, crucial for rail shipments.
Settlement:
- Settlement Optimization: Levridge automates settlement processes, accounting for discounts, shrinkage (e.g., foreign material, high moisture), lean holders, and deferred payments. This ensures efficient payment handling, whether by check or electronic funds transfer (EFT).
By incorporating specialized functionality atop Dynamics 365, Levridge offers tailored solutions to address the distinctive requirements of agricultural inbound commodity processes.
Outbound Commodity
From load-based contracts to seamless integration with scale systems, Levridge and Dynamics 365 Finance and Operations streamline the entire outbound process, ensuring efficient tracking, pricing, and invoicing. Below is more detail on these outbound commodity capabilities.
Sales Contract & Load Orders:
- Load-Based Contracts: Levridge introduces load-based contracts, allowing for precise tracking of shipments by load rather than bulk tonnage. This enables better planning with load orders generated to facilitate shipment scheduling and destination management.
Shipments:
- Seamless Shipment Tracking: Similar to inbound processes, Levridge integrates with scale systems to track outbound shipments accurately. This ensures real-time monitoring of shipments in transit, optimizing logistics and pricing strategies.
Invoicing:
- Efficient Invoicing: Levridge simplifies sales invoicing for outbound products, streamlining the process from contract fulfillment to payment. With automated invoicing features, managing sales transactions becomes more efficient and error-free.
Risk Management with Microsoft Technology Solutions and Levridge
At the heart of Levridge's functionality lies its expertise in managing pricing and delivery risks inherent in agricultural operations. Whether it's ensuring adequate product supply for plant operations or navigating fluctuations in market prices, Levridge provides robust solutions to mitigate these risks effectively. Let's delve into how Levridge tackles pricing and delivery risks with its advanced risk management capabilities.
- Futures and Options Management: Levridge offers comprehensive functionality for trading Futures and options on the board of trades. It allows users to track Futures and options positions, integrating them seamlessly into position reports to monitor long, short, or delivery positions accurately.
- Regulatory Compliance: Levridge generates daily position reports, ensuring regulatory compliance and providing insights into inventory positions. This feature is crucial for meeting reporting requirements and maintaining transparency in operations.
- Mark-to-Market Functionality: Levridge facilitates the mark-to-market process, calculating unrealized gains or losses on contracts and hedges. This functionality is essential for accurate accounting and financial reporting, especially in the dynamic agricultural market environment.
By combining robust data management capabilities with sophisticated business functionality, Levridge empowers agricultural businesses to not only operate effectively but also conduct insightful analysis for future planning and optimization.
Extend Microsoft Technology Solutions with the Power BI
Among the many great features of the Power Platform, Power BI stands out for commodity processors as a pivotal component for data analysis and visualization. Traditional data analysis often involves laboriously sifting through rows and columns, but Power BI introduces a paradigm shift by enabling dynamic visualizations.
Here is an example of a comprehensive dashboard illustrating Power BI's ability to merge diverse data sources into a coherent visual narrative. With interactive maps, trend charts, and quality metrics neatly encapsulated in a single dashboard, Power BI eliminates the need for multiple reports and simplifies decision-making.
The Power Platform assists in seamlessly transitioning from static reporting to intelligent, predictive insights, highlighting the journey toward decision automation.
Looking Ahead: Microsoft Technology Solutions and AI
The future of technology in agribusiness holds promising advancements, notably exemplified by Microsoft's Copilot, an innovative Artificial Intelligence (AI) assistant poised to revolutionize operations. Co-pilot assists with various tasks, leveraging natural language interaction and accessing email and conversations for seamless assistance.
Within agribusiness, Co-pilot's potential is immense, from automating bid transactions to providing scale volume predictions and contract summaries. This AI-driven tool streamlines processes, enhancing accuracy and efficiency.
However, it’s essential to realize that while AI presents considerable advantages, it's not a one-size-fits-all solution. Automation and digitization, along with attention to security and mobility, are vital components for agribusinesses seeking to thrive in a competitive landscape. By embracing these technological advancements thoughtfully, agribusinesses can enhance productivity and ensure sustainable growth.
Want to Learn More?
To further discuss the capabilities of the Microsoft platform, please contact Stoneridge Software. Our team can guide you through a software demonstration, offering additional insights into how it can establish a robust technological base for your operations, optimize efficiency, and foster business growth.
If you want to learn more about Levridge, you can click here to go to their website.
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