A New York-based startup called Pivot has just pulled in $40 million to shake up the multi-billion-dollar procurement software market. This fresh injection of capital brings Pivot’s total funding to $70 million.
Procurement software, the tools used by companies to manage their purchasing and supply chains, has been dominated by legacy players like SAP and Oracle for decades. But Pivot is one of a growing number of startups betting that AI can bring much-needed innovation to this stodgy industry.
Pivot was founded in 2018 by a team of ex-management consultants from firms like McKinsey and Bain, who realized that the procurement industry was ripe for disruption. Their AI-powered platform, which they call a “procurement operations system,” uses machine learning to analyze a company’s purchasing data and identify opportunities to cut costs and improve efficiency.
The AI engine at the heart of Pivot’s platform is designed to automate routine tasks like catalog management and supplier onboarding, freeing up procurement teams to focus on higher-level strategy and decision-making. But what really sets Pivot apart is its ability to analyze complex data sets and identify patterns that might elude human analysts.
What this means
If Pivot can deliver on its promises, the implications are huge. Procurement teams could save millions of dollars in costs, while also gaining a much deeper understanding of their supply chains. And with $40 million in the bank, Pivot is well-positioned to take on the likes of SAP and Oracle and bring some much-needed disruption to the procurement software market.
The AI advantage
Pivot’s AI-powered platform is designed to automate routine tasks and analyze complex data sets, giving procurement teams a much deeper understanding of their supply chains and identifying opportunities to cut costs and improve efficiency. With its ability to analyze patterns in large data sets, Pivot’s AI engine is uniquely positioned to uncover insights that might elude human analysts.
Scaling up
With $40 million in the bank, Pivot is poised to take its innovative procurement platform to the next level. The company plans to use its fresh funding to expand its team and customer base, with a focus on the mid-market and enterprise sectors.
