Blog October 10, 2024

Common Data Models: Key to Supply Chain Interoperability

By Simon Dubuc
September 17th | 3 min read

Facilitating Interoperability: Common Data Model

The concept of common data models (CDMs) has emerged as a key facilitator of seamless data integration between software. Let’s explore what CDMs are, their significance in business data management, and how Microsoft’s Dataverse exemplifies this approach, particularly within the context of the Microsoft 365 environment and its integration with Business Central.

Understanding Common Data Models

At its core, a CDM provides a standardized framework for defining and structuring data entities and their relationships. It establishes a common language for different systems to communicate and exchange information, eliminating the need for complex data transformations and mappings. The importance of CDMs in business data management lies in their ability to break down data silos, foster interoperability, and enable a unified view of critical business information.

The Dataverse: Microsoft’s Embodiment of a CDM

Microsoft’s Dataverse is a prime example of a CDM in action. It serves as a centralized data repository in the cloud, allowing multiple applications and modules to leverage the same underlying data. The beauty of the Dataverse lies in its ability to support a wide range of applications, from customer relationship management (CRM) and customer service to field service and project management. The integration between the popular Business Central ERP and the Dataverse further amplifies its power, enabling seamless data flow between ERP and other critical business functions.

Imagine a scenario where a customer service representative creates a case in Dynamics 365 Customer Service. Thanks to the common data model underpinning the Dataverse, this case is automatically reflected in Dynamics 365 Sales module, providing sales teams with valuable insights into customer interactions and support history. The same data can be accessed and utilized by various teams across the organization, each with their own tailored views and perspectives.

Microsoft business central common data model

Facilitating Interoperability

Common data models play a pivotal role in facilitating interoperability between disparate systems. Let’s delve into some of the key mechanisms through which CDMs achieve this:

  • Common Data Entities and Traits: CDMs define a set of standard entities (e.g., customer, product, order) and their associated attributes, ensuring consistency across different applications.
  • Extensibility: CDMs allow organizations to extend the standard data model with custom entities and attributes, catering to their unique business requirements.
  • Data Integrations: CDMs simplify data integration processes by providing a common foundation for data exchange between systems.
  • Analytics and Reporting: CDMs enable the creation of comprehensive reports and dashboards that draw data from multiple sources, providing a holistic view of business performance.

Advantages of the CDM Approach

By eliminating the need to build complex system interfaces and data transformations, CDMs significantly reduce development and maintenance efforts. The seamlessness fostered by CDMs streamlines data flow, enhances collaboration, and empowers organizations to make informed decisions based on a unified view of their data.

Final Thoughts

When selecting technology solutions for your business, it is highly beneficial to consider not only the available features, but the ecosystem and underlying data model. The ability to leverage a full suite of tightly integrated solutions not only enhances operational efficiency but also ensures that data flows seamlessly across various platforms. This interconnected approach empowers businesses to harness the full potential of their data, drive innovation, and achieve their strategic objectives with greater precision and agility.


Reach out to the LIDD team to learn more about supply chain technology and maximizing supply chain performance.

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