Smartstaff, a platform that aims at solving staffing issues in the blue-collar workspace, has secured $4.3 million in seed funding led by Nexus Venture Partners, Blume Ventures, and Arkam Ventures, along with Gemba Capital and some angels.
As per sources, the raised funds will be used to improve its product and expand the team. Smartstaff helps organizations in hiring and managing their blue-collar employees by digitizing workforce management techniques. Its objective is to use technology to help India's 100 million blue-collar workers find better jobs.
Arpit Dave, Co-founder & CEO, Smartstaff, said that as more and more industrial workers have access to smartphones, the firm sees a great opportunity to leverage technology to rethink working processes and generate significant value for corporations and employees alike.
Contractors and intermediaries have historically governed blue-collar employees' areas with notice boards, entry registers, and excel sheets.
The consequent inefficiencies and productivity losses are severe, with up to 30% monthly blue-collar worker attrition and up to 20% absenteeism at the shift level in an average manufacturing facility.
Workers also face issues such as improper payments and PF fraud by intermediaries, among other things.
Smartstaff provides mobile-based workforce management and staffing solution to address these issues. It assists the manufacturing industry with migrating away from outdated procedures, lowering attrition and absenteeism while enhancing workers' insight into payments, mandatory contributions, and timesheets.
Every day, the Smartstaff platform tracks approximately 30,000 man-hours of labour for companies like Raymonds, Enamor, Dixcy, and others. By the end of the year, the firm aims to have over 10,000 workers on its platform.
The Smartstaff platform was established in October 2020 by Arpit Dave, Gnanesh Chilukuri, Aravind Reddy, and Viral Chhajer, four co-founders and ex-colleagues of Runnr.
Early investors in Runnr included Blume Ventures and Nexus Venture Partners. All four founders have experience founding and scaling up businesses. The team, which has grown to 60 individuals, has extensive expertise in Product, Technology, Marketing and Operations.