Supply chain management remains a challenging issue for many mid-market companies, who may not have the budget for SAP or lack the IT resources to handle a complex program. Didero, a startup in its early stages, has developed an AI-powered tool to simplify the process for them.
Today, the company announced a $7 million seed investment and revealed that it is coming out of stealth mode, making its product widely available.
"We are building a comprehensive suite that enables procurement teams to manage their suppliers across various existing point solution markets," said Tim Spencer, product lead and co-founder, to TechCrunch.
This includes sourcing suppliers, negotiating contracts, tracking purchase orders, generating invoices, processing payments, as well as providing detailed analysis and handling underlying supplier management tasks.
Spencer explained that by utilizing AI, their product helps mid-market companies overcome resource constraints. While larger companies can dictate terms to suppliers, smaller firms do not have the same leverage, making AI crucial for automating many tasks.
The company employs a range of AI models such as OpenAI and Google Gemini, tailoring them to specific tasks or needs, and continuously explores which models are most effective for their objectives. "We are leveraging established models and APIs. We don't create our foundational models but we fine-tune existing ones," stated company CEO Tom Petit.
Moreover, they have developed specialized models in-house for tasks like data extraction from tables, purchase orders, or price lists — critical documents in the procurement process.
Spencer and co-founder Lorenz Pallhuber bring expertise in supply chain management, with Spencer previously leading procurement at startup Markai and Pallhuber advising Fortune 500 clients on supply chain and procurement software at McKinsey. Petit contributes technical skills and AI/machine learning expertise, having co-founded Landis, a startup that raised $200 million to assist renters in obtaining mortgages.
The company launched in December and has been enhancing its product ever since. The $7 million seed funding round was completed last month, led by First Round Capital and backed by Construct Capital, AI Grant, Box Group, Company Ventures, Conviction, and industry angels.
