Supply chain start-ups need to prove themselves faster

There is a continued need for innovative European supply chain start-ups due to the ongoing disruptions. For these start-ups, it is difficult both to quantify the benefits of their solution and to secure additional funding. However, the strong interest in artificial intelligence (AI) offers them opportunities. This is the conclusion of the researchers from investment fund Prequel Ventures and consulting firm Oliver Wyman. “Customers don’t care whether it’s AI or something else that solves their problems.”

The rapid rise of AI has not escaped the attention of supply chain start-ups. “AI is the magic word in all start-up environments,” Mathias Bosse, co-founder of Prequel Ventures, observes. “Every pitch has to include AI, especially in the case of the more experienced founders who know how to talk to investors. But what these founders also know, is that many of their customers don’t care whether it’s AI or something else that solves their problems.”

The study finds that while many start-ups are applying AI or GenAI, at least half still aren’t. “What works best is a niche start-up with a pragmatist who is dedicated to a specific problem and has applied machine learning to it – such as in demand forecasting or multi-echelon inventory optimization,” Ulrich Schmid, principal and supply chain expert at Oliver Wyman, claims. “If you want to make that work within a large multinational, you need an ecosystem of IT applications that allows the best-of-breed solution to be plugged in.”

Maturity Matrix and European start-up and scale-up contest

For the seventh consecutive year, Supply Chain Media has published the Maturity Matrix of European start-ups and scale-ups that are up to five years old. In the matrix, the maturity of these young companies is based on age, number of employees, awards won, number of customers and, most importantly, capital raised. They are each assigned to one of ten solution categories: Sourcing & Supplier Compliance, Carbon Accounting, Supply Chain Traceability, Inventory Visibility & Optimization, Asset Tracking & Tracing, Demand Planning & Forecasting, Transport Planning & Visibility, Ocean, Rail & Road Freight Matching, Last Mile Delivery, and Returns Management.

The featured companies have qualified for the European Supply Chain Start-up & Scale-up Contest, which is being organised by Supply Chain Media on 14 May 2025. This contest is part of the inNOWvate Supply Chain Event, held at the Pathé cinema complex in northern Amsterdam.

Download the full Maturity Matrix of European supply chain start-ups Q1 2025

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