Production Optimization Startup LeaderMES Raises $5 Million

Israel-based production software startup Emerald Information Systems Ltd., also known as LeaderMES, has raised $5 million in a Seed round led by Tel Aviv-based venture capital firm Firstime Ventures, the company announced Monday.

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With 20 employees working out of Haifa, a port city in northern Israel, LeaderMES develops a cloud-based system for monitoring and optimizing the production process in factories. The company’s software transfers data collected in real time from the manufacture-line to the cloud, allowing managers to analyze trends and data using a mobile app. Originally founded in 2000, LeaderMES underwent a reorganization process in 2015 and launched its product in early 2017. LeaderMES intends to use the funding for hiring additional staff, expanding marketing and sales in Israel and abroad and for research and development.

Founded in 2014, Firstime invests in early stage companies focused on digital technologies. Portfolio companies include New York-headquartered interactive content company Playbuzz Ltd. and Israel-based video broadcasting startup Pixellot Ltd.

Workforce productivity in Israel is among the lowest in OECD countries, especially in traditional production lines, Amir Aloni, founder and CEO of LeaderMES said in a phone interview with Calcalist on Monday. “We do not want to replace employees, just give them better tools to work with,” he added.