What AI in ERP for SMBs really looks like today
AlfaPeople |
Oct 14, 2025

What AI in ERP for SMBs really looks like today

AI adoption in business software is no longer a distant ambition; it’s unfolding now. But many small and mid-sized businesses still hesitate when they hear about AI in ERP. Some assume it’s too complex. Others believe it’s designed only for large enterprises with deep budgets and big teams. The reality is very different.

Thanks to platforms like Microsoft Dynamics 365 Business Central, AI in ERP for SMBs is not only possible, it’s practical, scalable, and already delivering results. And with the rise of embedded AI agents, the barrier to entry has never been lower.

Why AI in ERP for SMBs is not a future trend, it´s a present opportunity

The biggest misconception around ERP automation is that it requires a massive investment and long, complex projects. That might have been true in the past. But today’s cloud-native ERP systems, particularly Business Central, are designed with SMBs in mind.

These businesses typically run lean teams, so the benefits of intelligent automation are amplified. When AI agents can process invoices, reorder inventory, or flag customer issues without human intervention, it frees up valuable time and reduces dependence on repetitive, manual work.

What’s more, Microsoft has built its AI and Copilot features into the standard Business Central roadmap. This means:

  • You don’t need custom-built infrastructure
  • You don’t need an internal data science team
  • You don’t need to rip and replace your existing processes
  • If your business already uses Business Central in the cloud, you’re closer than you think.

Small teams, big benefits

One of the key advantages of AI in ERP for SMBs is efficiency. When you have fewer people managing operations, automation isn’t just a time-saver; it’s a lifeline.

Take accounts payable, for example. AI agents can match invoices to purchase orders, post validated entries, and alert staff only when an issue arises that falls outside policy. Instead of spending hours on manual review, your finance team focuses on strategy, forecasting, and growth.

Or consider customer service. Agents can monitor order status, delivery issues, or unusual requests and suggest timely follow-up, without involving support teams unless needed. This keeps service responsive without overburdening your staff.

The point is this: AI doesn’t just scale with size. It scales with impact. The smaller the team, the greater the benefit of having digital coworkers handling repeatable tasks.

You don´t need to start big to gain value

One of the most effective ways to introduce AI into your ERP environment is to start small. Choose one process, something high-volume and rules-based, and introduce agent-powered automation. Measure the time saved, review the agent activity logs, and refine as you go.

Typical low-barrier starting points include:

  • Invoice matching
  • Sales order validation
  • Inventory reordering

As you build trust in the system, you can expand to more complex workflows. The beauty of Business Central is that it allows you to scale automation gradually, without disrupting your operations or overloading your team.

A mindset shift – not just a system upgrade

SMBs that succeed with AI-driven ERP don’t just adopt new features. They adopt a new way of working.

That means involving people early, training them on how agents work, and clearly communicating that automation is there to support, not replace them. Teams that feel confident in the system are more likely to embrace it and use it to its full potential.

Leadership plays a key role in this shift. By positioning AI as a strategic advantage rather than a technical project, you create alignment across departments and make adoption part of your culture, not just your roadmap.

Want to know how AI can help your business scale smarter?

Talk to AlfaPeople about a tailored ERP automation roadmap for SMBs.