Conduct, an innovative enterprise AI startup, seeks to revolutionize how businesses handle complex IT systems. Established by three former Palantir engineers—Jan Philipp Haas, Philipp Hoefer, and Henry Thompson—the company introduces a cutting-edge AI platform aimed at enhancing the efficiency and growth of large corporations. Having recently secured $12 million in seed funding, spearheaded by Creandum, Conduct is preparing to make a marked impact on global IT operations. As enterprises increasingly seek to leverage advanced AI technologies, Conduct stands poised to offer solutions that could redefine the sector.
Conduct has consistently identified the challenges many organizations face in modernizing their IT frameworks due to outdated Enterprise Resource Planning (ERP) systems. The startup focuses on integrating AI capabilities to overcome these barriers, a move that distinguishes it from its predecessors. Competitors have struggled in the past to provide seamless system updates and efficient use of IT resources, often resulting in increased costs and decreased operational efficiency. Conduct’s entry into the market offers an alternative, promising personalized AI-powered solutions that aim to streamline processes and reduce operational expenses.
Why is Conduct Focusing on SAP Transformations?
The SAP S/4HANA migration represents a critical shift in enterprise IT infrastructure, prompting Conduct’s strategic focus. Conduct’s AI platform tackles one of the most challenging aspects of IT transformation—legacy systems and their cumbersome upgrades. Henry Thompson, Co-Founder and CTO, mentions their platform’s unique capacity to adapt as it is used, stating,
“The agentic AI that underpins Conduct has been designed so that as teams use Conduct, our platform gains more context about their business, giving back better and better answers.”
This adaptability is particularly crucial as businesses transition to SAP S/4HANA, potentially avoiding costly mistakes and downtime.
What Challenges Arise with ERP System Migrations?
Migrations often confront enterprises with significant uncertainties, particularly regarding custom SAP integrations and the necessary modifications during the transition period. Many organizations face the daunting task of maintaining the integrity of their customized ERP systems while upgrading to SAP S/4HANA. Philipp Hoefer, Conduct’s Co-Founder and CPO, highlighted the financial implications of such transitions, noting,
“For $1 spent on SAP customisation, $2 on average has to be spent on ongoing maintenance costs.”
Conduct’s platform promises to mitigate these challenges by evaluating customizations and streamlining upgrades.
As enterprises approach SAP’s 2027 deadline for migrating ERP systems, Conduct’s solutions have become even more relevant. Organizations such as Daimler Truck and Rittal have already adopted Conduct’s platform in preparation for impending changes. The looming deadline underscores a broader industry trend of balancing innovation with cost-effective solutions.
Conduct’s founding team’s expertise, derived from their time at Palantir, resonates within their technological offerings, guiding their problem-solving methodologies. The startup’s rapid ascent is further buoyed by the backing of esteemed investors like Creandum and input from experts at Google (NASDAQ:GOOGL) DeepMind and SAP.
To sum up, Conduct’s approach provides not only an innovative solution but also a necessary one for modern enterprises facing technological upheaval. The startup’s AI advancements and strategic focus on ERP migrations demonstrate its potential to influence the future of IT operations significantly. Companies preparing for SAP transitions or managing complex systems may find valuable insights and practical benefits from Conduct’s offerings.
