Project management in Microsoft Dynamics 365 Business Central tracks time, materials and other costs against individual client projects, giving project-based businesses real-time visibility of project profitability rather than waiting until project completion to understand performance. It supports both fixed-price and time and materials billing arrangements, common among professional services and project-based businesses.
How project management works in Business Central
Each project is set up with planned budgets, tasks and resources. As work progresses, staff record time against the project through timesheets, and material or other costs are recorded against the relevant project task. This builds a real-time picture of actual costs and revenue against budget, which feeds into both project reporting and client billing, whether the project is billed at a fixed price or based on actual time and materials recorded.
Project management in practice
- A consultancy tracks consultant time against client projects through timesheets, with Business Central automatically calculating project profitability as work progresses rather than only at month-end.
- A construction business records material and subcontractor costs against specific projects, comparing actual spend to the original project budget in real time.
- A professional services firm bills clients on a time and materials basis, generating invoices directly from recorded project time and expenses in Business Central.
- A project manager reviews a project profitability report mid-way through a fixed-price engagement, identifying early that costs are running ahead of budget while there is still time to act.
How Advantage configures project management
Advantage configures project structures, timesheet processes and billing rules in Business Central for professional services, construction and other project-based businesses, ensuring project profitability is visible throughout delivery rather than only at completion.
Talk to Advantage about Business Central for professional services →
Frequently Asked Questions
Can Business Central track project profitability in real time?
Yes. By recording time, materials and other costs against a specific project as they occur, Business Central can show real-time project costs against budget and revenue recognised, rather than waiting until project completion or month-end to understand profitability.
Does Business Central support timesheet entry for project work?
Yes. Staff can record time against specific projects and tasks through timesheets in Business Central, which then feed directly into project costing and, where applicable, client billing.
Can project billing be based on either fixed price or time and materials?
Yes. Business Central's project management functionality supports both fixed-price project billing and time and materials billing, where invoicing is based on actual hours and costs recorded against the project, depending on the commercial arrangement with each client.
