Forecast Secures $19M Funding for AI Project Management

The Evolution of Project Management and the Rise of AI-Powered Platforms

Traditionally, project management relied heavily on human expertise. However, this paradigm is undergoing a significant shift. The increasing prevalence of automation, big data analytics, and artificial intelligence is not only fostering the development of innovative project management applications but also cultivating a greater willingness among professionals to adopt these tools.

Forecast Secures $19 Million in Series A Funding

Forecast, a startup pioneering an AI-driven platform for project management and resource allocation, has recently announced a $19 million funding round. The platform leverages artificial intelligence to integrate data from various enterprise applications, providing a comprehensive overview of project status and potential outcomes.

The company intends to utilize these funds to expand its operations into the U.S. market and further enhance its platform and business infrastructure. Forecast maintains its headquarters in London, alongside a development office located in Copenhagen.

Funding Details and Company Trajectory

This Series A funding round arrives less than a year after Forecast’s initial commercial launch. Balderton Capital spearheaded the investment, with participation from existing investors including Crane Ventures Partners, SEED Capital, and Heartcore.

Forecast initially secured seed funding in November 2019, launching its platform amidst the onset of the global pandemic. While some projects were postponed, those that proceeded did so with increased caution regarding financial, organizational, and technical considerations. This proved to be a favorable moment for Forecast, as its tool directly addresses the need for a robust technical platform to manage these complexities, resulting in a tripling of revenues during the year.

Notable clients include organizations such as the NHS, the Red Cross, and Etain. To date, over 150,000 projects have been initiated and managed through the Forecast platform.

The Challenges of Traditional Project Management

Project management – encompassing planning, resource assignment, and progress tracking – has historically faced inherent limitations. It is crucial for successful execution, particularly in organizations with multiple departments or stakeholders.

However, it often remains an imprecise discipline, failing to fully capture the intricacies of real-world projects, and consequently, may not deliver its full potential value.

The Founder's Vision: Addressing the Pitfalls

Dennis Kayser, founder and CEO of Forecast, recognized these shortcomings firsthand through his experience as an engineer and technical lead on numerous large-scale projects. His background includes early work as a developer at Varien, where he contributed to the initial version of Magento – a platform later acquired by Adobe for nearly $1.7 billion and now a leading e-commerce solution.

He also spent several years as a consultant at IBM, contributing to the development of the first iterations of ikea.com. Through these experiences, Kayser observed the consequences of ineffective project management, extending beyond personnel allocation to encompass resource planning and accurate financial forecasting.

He noted that the initial ikea.com site lacked e-commerce functionality, intentionally directing customers to physical stores to avoid the convenience of purchasing only needed items. While modern retailers employ strategies to encourage additional purchases, the early digital landscape presented unique opportunities for innovation. Kayser suggests that improved project management and resource planning tools could have facilitated a more compelling case for embracing digital commerce sooner.

The Need for Integrated Data and Intelligent Insights

“Typically, you encounter a reliance on spreadsheets and fragmented tools, including accounting software, CRM systems, Gitlab, and more,” Kayser explained.

This observation spurred the development of a platform capable of integrating these diverse data sources to create a project management tool that transcends simple reporting. The goal was to provide a solution that actively assists teams in their work.

“By connecting everything to our engine, we utilize data to understand current tasks and identify optimal resource allocation, including the necessary skills and personnel,” he elaborated. This represents a progression beyond existing project management tools, catering to organizations that have outgrown platforms like Monday and Asana due to scale or complexity.

Competitive Landscape and Future Development

Kayser identified Oracle and Mavenlink as existing solutions, describing Mavenlink as Forecast’s closest competitor, though acknowledging its aging platform.

Currently, the Forecast platform integrates with 26 popular project tools, including Salesforce, Gitlab, Google Calendar, and Asana. Recognizing the fragmented nature of the market and the potential insights from additional sources, the company anticipates expanding its integration list based on customer needs and emerging data opportunities.

While not intended to replace human project managers, the platform aims to function as a “digital twin,” empowering project leaders and teams to operate more efficiently.

Investor Confidence and Future Outlook

James Wise, a partner at Balderton Capital, stated, “We are really excited to be an early investor in Forecast.” He further emphasized their belief that future SaaS products will leverage machine learning to proactively address user challenges. Positive feedback from Forecast’s customers highlighted the platform’s impact on their operations, reinforcing Balderton Capital’s commitment to supporting the company’s continued growth.