The simplest definition of "hub and spoke" is that it is a model for integrating the business management software solution used at a company’s headquarters with the systems used by its subsidiaries and branch offices.
The Hub and Spoke concept refers to a parent or holding company that uses one business software system (the hub), which is integrated with another systems used by its subsidiaries, smaller initiatives, divisions or country operations (the spokes) in a decentralized application and strategic landscape.
Together, the hub and spokes form an integrated system that can progress forward as one unit.
Microsoft Dynamics AX works well as an all-in-one solution for both a parent company and its subsidiaries. It is not always practical, however, for a company to use one solution for the entire organization.
Since subsidiaries are only responsible for part of the organization’s overall data processing requirements, it may make more sense for them to use a different solution than the one used at headquarters, depending on the circumstances.
Companies that were acquired, for example, may have their own processes and IT systems in place. Or a subsidiary company may offer products or services that have special IT requirements. In such cases, using one system at the parent company and a different system at the subsidiaries or branches, and then integrating them, can offer many benefits.
Microsoft Dynamics AX is the world’s fastest selling business application and according to Gartner – the IT industry’s leading independent research organisation – is currently the best ERP product available for mid-market organisations.
Offering extensive and robust functionality, Dynamics AX delivers low total cost of ownership (TCO) through its strong integration with other Microsoft products and technologies.
Dynamics AX is designed to make your people and processes more productive. True productivity requires an end-to-end enterprise resource planning (ERP) package that your people will actually use. With Dynamics AX, you can provide a familiar interface that quickly connects your people to the right information and tools to work faster and smarter.