Factor.io

About Factor.io

Factor.io operated as a specialized platform delivering an AI-based solution to automate and streamline procurement and supply chain operations for hardware manufacturers. The company's core offering focused on managing the complete bill of materials (BOM), automating the ordering and tracking of all components and parts across a multitude of suppliers. By integrating with a company's ERP system, the AI-powered solution reviewed supplier communications, including emails and attachments, to provide real-time visibility into the status and location of every part, from sourcing to final delivery. This addressed critical issues of poor data quality and manual cross-checking, which often lead to costly delays and inefficiencies. The primary clients were manufacturers in high-compliance and agile sectors such as defense, aerospace, robotics, medtech, and consumer electronics. For instance, client Thermo Fischer Scientific reportedly achieved a 38% reduction in spend and a 29% decrease in lead times by utilizing the service.

The company was founded by CEO Doug Shultz, whose background in manufacturing at Johnson Controls and education from Harvard Business School informed the company's strategic direction. In February 2025, Factor.io was acquired by Cofactr, a supply chain and logistics management platform, for an undisclosed amount. This acquisition followed Cofactr's $17.2M Series A funding round in December 2024. The integration of Factor.io's capabilities into Cofactr's platform was designed to create a comprehensive solution for direct material procurement, from electronic components to full BOM management. As part of the acquisition, Doug Shultz joined the Cofactr team as the Head of Strategic Accounts to lead the integration and scale the combined offering.