Tengo Simplifies Public Sector Procurement Chaos with AI Solutions

Tengo harnesses the power of AI to streamline the process of finding, evaluating, and responding to public tenders. This innovative software-as-a-service (SaaS) platform empowers companies to manage public tenders on a large scale, similar to solutions like Govly in the United States. Established within the startup studio Hexa, Tengo has successfully secured €3 million in funding, led by Point Nine (approximately $3.2 million at current exchange rates).

Public tenders often present a vast, untapped opportunity for businesses; however, they typically demand significant resources to navigate effectively. In France alone, over 200 platforms list public tenders, and even identifying suitable opportunities can be a time-consuming task that requires crafting compelling applications.

Due to these challenges, many companies turn to freelancers and consulting firms for assistance. However, Tengo is on a mission to leverage technology to simplify the entire public tender process. As Hugues Renou, co-founder and CEO of Tengo, explained, "In France, the government spends half a billion euros every day across various sectors, including ministries, regions, departments, public agencies, and cities. This funding is directed towards essential projects, like road improvements, school furniture, or training services."

Clients can start by creating a custom feed of public tenders tailored to their specific criteria. Luego, Tengo diligently scans all public portals that list tenders to uncover new opportunities that match these defined parameters.

Public tenders can be exceedingly detailed to prevent corruption and budget overruns, often resulting in lengthy documents of up to 50 pages that outline government requirements. For instance, one of Tengo's clients, OpenClassrooms, focuses solely on fully online training course tenders. Instead of sifting through countless documents, Tengo automatically identifies relevant training courses along with 40 additional criteria important to the client.

Leveraging artificial intelligence, Tengo can analyze the content of these tender documents, highlighting essential facets and referencing vital pages. Like many contemporary SaaS tools, Tengo also serves as a centralized hub for all public tender-related activities. Companies can gain a comprehensive overview of ongoing applications, collaborate by adding comments, and easily share tenders among team members. Furthermore, Tengo clients receive alerts about imminent tender expirations and can stay informed on renewals.

When it comes time to submit applications, Tengo provides built-in AI capabilities to assist in document generation. While many businesses may already be using tools like ChatGPT or other LLM-based assistants to tackle public tenders, Tengo's integration allows users to keep everything within a single platform, eliminating the need to switch services.

Ultimately, Tengo envisions a future where multiple clients can collaborate to submit joint applications for public tenders. "The government actively encourages small and medium enterprises (SMEs) to bid for public contracts due to their unique expertise, as well as to stimulate the economy by utilizing public funds to support more businesses," Renou stated.

Founded just last year, Tengo is still in its nascent stage, boasting a growing clientele that includes names like OpenClassrooms, Citron, Theodo, and Carrefour Pro. As it strives to transform its product into a successful enterprise, the potential market is significant, with over 40,000 companies competing for public tenders in France.