Assaf Anderson Of MaterialsZone On How To Use Digital Transformation To Take Your Company To The Next Level
Supply chain visibility is crucial for modern businesses seeking digital transformation. By leveraging technology, companies can effectively track and monitor the movement of goods and information throughout their supply chain. For instance, a manufacturing company can implement advanced tracking systems and software solutions to gain real-time insights into inventory levels, shipment statuses, and production processes.
As a part of our series about “How To Use Digital Transformation To Take Your Company To The Next Level”, we had the pleasure of interviewing Dr. Assaf Anderson.
Dr. Assaf Anderson is the CEO and co-founder of MaterialsZone. Prior, he co-founded and Headed the combinatorial lab at Bar Ilan’s Nano Center.
Assaf received his Ph.D. (2011) from Imperial College London (UK), majoring in photochemistry and nanodevices. MSc (Magna Cum Laude, 2008) Chemistry from Bar Ilan University (Israel), majoring in materials science and nanotechnology. He also programmed the brain-research student-laboratory at Bar Ilan.
Assaf has an extensive experience in the Israeli hi-tech industry: DealTime (acquired by eBay), Dmatek (acquired by 3M), and Cyota (acquired by RSA).
Thank you so much for joining us in this interview series. Before we dive in, our readers would love to “get to know you” a bit better. Can you tell us a bit about your ‘backstory’ and how you got started?
After my service in the Israeli Navy, I found myself contemplating my next steps, and a scholarship opportunity opened the door to further education. Seeking advice on what to study, I turned to who would be my future father-in-law, who helped me explore various options. Among them was nanotechnology, a field I found to be multidisciplinary, delving into business, biology, and chemistry. To me, chemistry is the programming language of nature, the foundation for biology, and a way to explain behaviors and phenomena that cannot be explained by physics rules.
Excited by the topic, I attended a conference and then continued my education journey through to a master’s degree and a Ph.D. The post-Ph.D. period, a common crossroads for many, prompted me to seek a postdoc position, considering opportunities in Australia, Sweden, Seattle, and others. However, life took a turn when we discovered my wife’s pregnancy with our second daughter, leading us to stay in Israel. Simultaneously, Professor Arie Zaban of Bar Ilan University presented an opportunity for a three-month project that eventually evolved into a long-term collaboration. As the head of the project, the idea of starting a startup emerged, marking the beginning of MaterialsZone in 2011.
Reflecting on the trajectory, I had spent five years in the university and Professor Zaban was offered a position to become President of the University after his previous role as VP R&D. With his promotion, he offered me to take charge of the lab, however, I reiterated my commitment to the startup, and that’s when the concept of MaterialsZone crystallized. The startup journey was informed by my background, including my experience with three successful startup companies and my family’s entrepreneurial transition led by my mum — from agriculture to independent businesses. My military service further enriched my skill set, and my involvement in various technology companies, like those purchased by eBay, 3M, and RSA, provided exposure to the dynamic world of startups. My diverse experiences, coupled with a passion for technology and entrepreneurship, laid the foundation for my journey, which eventually converged into the inception of MaterialsZone.
Can you share a story about the funniest mistake you made when you were first starting? Can you tell us what lessons or ‘take aways’ you learned from that?
Startup life is full of mistakes, hence the term “fail fast,” so at least you know what doesn’t work, and you can try and fix it. In our early blockchain days, we developed a model and shared some work in progress in an unfinished presentation, with someone who wasn’t part of the team. It was shared via google slides by a MaterialsZone team member. A day later, I signed in the slides and saw four “guests” exploring our presentation. This group decided to “adopt” our ideas and raced against us towards an “initial coin offering” and actually established a blockchain entity before us. None of us made it. Eventually, they ended up offering us the legal infrastructure they developed and everything they’ve achieved, including code and marketing materials, but for us, the understanding that the blockchain idea would have to wait was already apparent. There are many lessons to learn here for both sides, some related to trust, some to borrowing others ideas, some to let others fail fast.
None of us are able to achieve success without some help along the way. Is there a particular person who you are grateful towards who helped get you to where you are? Can you share a story?
In addition to being provided with a toolbox for life, inspiration from my mother, and endurance abilities from my father, two more individuals have played pivotal roles in shaping my professional journey. Professor Arie Zaban, with whom I completed my master’s degree, has been instrumental in opening numerous doors for me. Our strong chemistry extends beyond academic collaboration, and we maintain regular contact to this day. He stands as a key figure in my journey.
The second influential figure is my father-in-law, a distinguished professional with a rich history in the Israeli defense industry. Formerly the Vice President of Strategy for a major player in the sector, he transitioned into venture capitalism for several years before embarking on his own startup venture. It was through his experiences and guidance that the seed of entrepreneurship and startup endeavors was planted in me.
My father-in-law initially had aspirations to work for a large corporation, and his exposure to diverse entrepreneurs during his venture capital career naturally steered him toward the startup landscape.Coincidentally, both of us embarked on startup endeavors around the same time. In the inception of MaterialsZone, our startup, my father-in-law consistently offered valuable guidance, drawing from his extensive experience. His insights consistently stressed the importance of assembling the right team, brainstorming ideas, structuring the company, fundraising, and considering costs and budgets.
During the inception of MaterialsZone at Bar Ilan University, Professor Zaban and my father-in-law played complementary roles. While Professor Zaban contributed academic expertise and mentorship, my father-in-law offered practical advice and support, essentially becoming a pre-cofounder. His visits, words of encouragement, and calm demeanor were constants during our startup’s early stages, reflecting a shared belief in the venture’s potential for success. The collaboration with these influential figures underscores our strong commitment and belief in the commercial viability of MaterialsZone.
Is there a particular book, podcast, or film that made a significant impact on you? Can you share a story or explain why it resonated with you so much?
If a TV show is applicable then Silicon Valley was a show I really resonated with. During the early days of launching MaterialsZone, I found myself engrossed in the series. Although I couldn’t complete the entire show due to the demands of my own startup, each episode felt like a reflection of our journey. The similarities were uncanny, almost as if I was peering into a mirror. The show’s accuracy and humor in depicting the startup landscape were astonishing — it resonated so deeply with the realities and challenges we were experiencing.
Extensive research suggests that “purpose-driven businesses” are more successful in many areas. When your company started, what was its vision, what was its purpose?
The genesis of MaterialsZone originated in academia, recognizing a significant gap in how data was handled. While people were engrossed in producing research papers, the generated data was often overlooked. Understanding the pivotal role of data, we envisioned preserving it as a valuable asset, akin to intellectual property (IP). The initial concept aimed to create a marketplace for trading data assets, allowing individuals to collaborate, trade, sell, or lease their data. This marketplace was envisioned as a space where raw data, curated from instruments, machines, and various processes, could be transformed into a tradable and collaborative asset.
However, as the project evolved, it became evident that the primary need was for individuals and organizations to collect and preserve their data, rather than engaging in widespread trading. Consequently, we transitioned to selling software that enabled users to manage and make the most of their data. The original vision pivoted from a marketplace to a platform that empowered users to curate, preserve, and leverage their data effectively.
The vision further expanded with the recognition that incentivizing individuals to contribute data required a blockchain-based approach. This led to the exploration of blockchain technology to create a distributed ledger where IP and data assets could be securely recorded. The concept involved tokenizing data assets, aligning incentives for contributors, and building a decentralized ecosystem around the data. However, the challenges of navigating the volatile landscape of blockchain and regulatory complexities prompted a strategic shift.
Acknowledging the need to focus on product functionality and integration, we moved away from the blockchain-based incentive model. The emphasis shifted to delivering a robust product that catered to industry needs, facilitating data collection and collaboration. This transition aligned with the broader vision of addressing the complexities in material-related data for larger corporations. Today, MaterialsZone is a comprehensive solution, aligning with the evolving landscape of compliance, regulations, sustainability, and data-driven decision-making for companies across various sectors. The purpose has evolved into providing a practical, impactful platform for managing, curating, and deriving insights from material-related data throughout its lifecycle.
Are you working on any new, exciting projects now? How do you think that might help people?
We are consistently looking to expand our knowledge base at MaterialsZone and working towards adding components that address regulation, compliance, and environmental considerations. We believe these persistent efforts are positively impacting manufacturers’ performance and allowing them to keep up with the demands of the industry, reducing their impact on the environment, and much more.
Thank you for all that. Let’s now turn to the main focus of our discussion about Digital Transformation. For the benefit of our readers, can you help explain what exactly Digital Transformation means? On a practical level what does it look like to engage in a Digital Transformation?
Certainly, the places we encounter often still rely on traditional tools like pen and paper or, at best, local Excel spreadsheets created in the manner conceived back in ’85. The challenge lies in these individualized, systematic, yet non-exchangeable structures, making it challenging to trace actions and allowing for a high degree of flexibility that sometimes hampers progress. Some locations may have attempted to implement information systems in the past, often managed by an individual proficient in tools like Access or SQL, resulting in a proprietary schema that becomes stagnant over time and fails to adapt to evolving information system needs.
Moreover, we observe silos of information residing in disparate systems, such as ERPs, quality control systems, and project management tools, lacking connectivity. When addressing material challenges, it becomes apparent that various stakeholders, including procurement, compliance, R&D, process engineers, and quality control personnel, operate in isolation without systematic communication. For MaterialsZone, facilitating digital transformation means unifying these stakeholders, both internal and external (suppliers and customers), on a common information system. This involves collecting existing data, transitioning from manual to digital processes where needed, and establishing connections between data, people, and workflows. The goal is to create a collaborative environment where diverse stakeholders interact with the same items, bridging the communication gap and fostering a cohesive approach to material challenges.
In practical terms, envision MaterialsZone as a CRM solution tailored for materials. Rather than managing leads, the system handles items, samples, batches, and inventories. This approach unifies people with varied roles and perspectives under the same information system, transforming how they collaborate on common objectives. It goes beyond just sales and marketing, extending to diverse fields within a company, creating a seamless ecosystem where data, people, and workflows converge. This, in essence, encapsulates the essence of digital transformation in the context of our platform.
Which companies can most benefit from a Digital Transformation?
In the context of MaterialsZone, the platform distinguishes itself by its agnostic nature, making it versatile enough to meet the diverse needs of companies involved in creating material-based products. Unlike software, content, and pharmaceutical sectors, industries dealing with plastic formulation, 3D printing, batteries, and advanced technologies — characterized by intricate components and multi-faceted processes — find a particularly compelling solution in MaterialsZone. The complexity lies in the intricate tracking of numerous dimensions and processes associated with these materials, creating a pronounced demand for our platform.
Consider the scenario where you combine ingredients, formulation processes, and performance or properties. Each element encompasses a multitude of dimensions that require thorough analysis. For instance, when dealing with ingredients, the dimensions extend beyond mere observation to intricate molecular structures, presenting a seemingly endless and challenging array of data. For individuals not versed in data science or software development but with a deep understanding of material science, MaterialsZone becomes an invaluable tool. The platform serves as a bridge, empowering professionals in these industries to navigate the complexities easily, transforming what might seem overwhelming into a manageable and enjoyable process. This targeted approach positions MaterialsZone as a solution tailored to the unique challenges faced by companies engaged in material-centric processes, making it an essential component of their digital transformation journey.
We’d love to hear about your experiences helping others with Digital Transformation. In your experience, how has Digital Transformation helped improve operations, processes and customer experiences? We’d love to hear some stories if possible.
One of the companies utilizing MaterialsZone operates an intricate internal supply chain where raw materials move from one factory to another, undergoing various processes until finished goods are reached. Each stage relies on different information systems, such as ERPs, for tracking customer orders. When issues arise related to materials, the team resorts to navigating SQL databases, exporting specific data to statistical software for analysis, forming hypotheses, and repeating the process weekly, leading to a reactive rather than proactive approach. MaterialsZone bridges these information system silos, creating a continuous conversation and providing a predictive capability to prevent failures.
For example, collaboration becomes nearly impossible in a scenario where multiple factories worldwide operate with different information systems. MaterialsZone systematically catalogs raw materials, formulations, ingredients, and processes, facilitating collaboration and preventing the loss of valuable R&D attempts. The platform establishes a unified system accessible from anywhere, enabling collaboration based on permissions. Compliance, data regulation, sustainability data, and potentially procurement data are integrated, allowing stakeholders to make systematic decisions, optimize supply chains, and improve operations.
Overall, MaterialsZone is a transformative solution that streamlines operations, enhances collaboration, and empowers data-driven decision-making across diverse scenarios, from complex supply chains to cutting-edge research and development.
Has integrating Digital Transformation been a challenging process for some companies? What are the challenges? How do you help resolve them?
Due to skepticism and no proven history of success, veteran industries typically sway away from the early adoption of new technologies. As digital transformation becomes necessary to succeed in the future, some companies are suffering due to a lack of embracing new technologies.
To illustrate, consider the case of CRM utilization. In their initial stages, individuals often express confidence in their reliance on tools like Outlook contacts, business cards, and personal notebooks for progress tracking. However, the true challenge surfaces when a key team member departs, carrying contacts and a wealth of wisdom in their notes. This results in organizations starting anew, perpetuating a cycle of lost knowledge. The same holds for Excel files, where each user’s format may differ, demanding substantial time for onboarding.
At MaterialsZone, our solution provides a comprehensive database platform for manufacturing companies. This platform enables them to capture and preserve data seamlessly from the R&D stages, mitigating the risk of organizational knowledge loss. The way we tackle the challenge of adoption is with our approach which involves identifying early adopters who align with our vision, and fostering a collaborative process where our clients and ourselves contribute to the platform’s development. The emphasis, lies in the onboarding stage, where we meticulously create an environment conducive to migrating and consolidating data. This strategic start ensures that when users engage with our platform, everything is ready and waiting for them. Throughout their journey, we remain a steadfast presence, available every week to provide support and develop additional functionalities based on the company’s evolving needs and this is how we overcome this challenge.
Recognizing the need for broader connections, we actively work towards building an organizational movement that embraces this transformative change. This comprehensive strategy streamlines technical processes and fosters a cultural shift, aligning the organization more efficiently and allowing for collaborative practices. This multifaceted approach defines our commitment to facilitating not just a tool but a meaningful shift in organizational dynamics.
Based on your experience and success, what are “Five Ways a Company Can Use Digital Transformation To Take It To The Next Level”?
In the context of manufacturing, five ways manufacturers can use digital transformation are:
- Materials Informatics for lean R&D:
Materials informatics involves the use of data-driven approaches, including advanced analytics and machine learning, to accelerate the discovery and development of new materials. In manufacturing, incorporating materials informatics platforms into R&D processes can lead to more efficient and innovative product development.
A manufacturing company adopts a materials informatics platform to analyze vast datasets related to material properties, performance, and potential applications. By leveraging machine learning algorithms, the platform identifies patterns and predicts optimal material combinations for specific product requirements. This accelerates the research phase, reduces the time and cost of development, and facilitates the creation of high-performance materials tailored to the company’s needs.
2. Collaboration in Paperless Organizations:
In the era of digital transformation, fostering collaboration is paramount for seamless operations. One innovative approach involves creating paperless organizations where communication and coordination thrive. For example, implementing collaborative platforms and tools can significantly enhance information sharing among different entities in the supply chain. This not only reduces reliance on traditional paperwork but also streamlines processes, leading to increased efficiency and responsiveness to market demands.
3. Smart Manufacturing and IoT Integration:
Smart manufacturing involves the integration of Internet of Things (IoT) devices into the manufacturing processes. These devices collect and transmit data, enabling real-time monitoring and control of equipment.
With IoT integration, a manufacturing facility can use sensors on machinery to gather data on performance and health. This data allows the company to predict when equipment is likely to fail, enabling proactive maintenance and minimizing downtime.
4. Automation and Robotics:
Automation involves using technology to perform tasks without human intervention. In manufacturing, this often includes the use of robotics to handle repetitive and routine processes.
Implementing robotic arms in assembly lines, or robots in a warehouse automates repetitive tasks, speeding up production and reducing errors. This allows human workers to focus on more complex and strategic aspects of manufacturing, improving overall efficiency and product quality.
5. Supply Chain Visibility:
Supply chain visibility is crucial for modern businesses seeking digital transformation. By leveraging technology, companies can effectively track and monitor the movement of goods and information throughout their supply chain. For instance, a manufacturing company can implement advanced tracking systems and software solutions to gain real-time insights into inventory levels, shipment statuses, and production processes.
Using blockchain technology for supply chain visibility ensures transparency and traceability. This can help a manufacturing company and its partners quickly identify the source of issues, improve efficiency, and build trust with customers who value transparency in the production process.
These digital transformation initiatives in manufacturing aim to leverage technology to enhance efficiency, make more informed decisions, reduce downtime, and improve overall business performance. Each of these strategies brings unique benefits that contribute to the modernization and competitiveness of manufacturing companies in a rapidly evolving market.
In your opinion, how can companies best create a “culture of innovation” in order to create new competitive advantages?
In my perspective, fostering a “culture of innovation” within companies revolves around recognizing the paramount role of data. The direction should primarily focus on the people level, where the practice of storing data becomes pivotal. It is imperative to convey to individuals within the organization that investing a little extra effort in data preservation can yield richer information, consequently fueling innovations. The approach should emphasize that innovations lie in the collective contribution of the company’s people.
By actively encouraging a workforce to suggest and pitch ideas backed by robust data, making it a prerequisite to support new ideas with data, organizations can ensure that the innovations are grounded in a solid foundation. This strengthens the credibility of the ideas and aligns with the ethos that data is the cornerstone of our innovation endeavors and competitive edge.
Can you please give us your favorite “Life Lesson Quote”? Can you share how that was relevant to you in your life?
“Lower your head, bite your tongue, and continue to move forward.”
This saying has been my guide as I lead MaterialsZone. For me, it means staying focused, controlling emotions, and persisting through challenges. In the world of materials science and tech, things can get tough, but this quote reminds me to keep my head down, be patient with words, and keep going.
In my job, when facing problems or leading the team through tough projects, this quote helps me stay strong. It encourages me to stay focused, be careful with my words, and keep moving forward, even when things get hard.
So, in simpler terms, this quote is like a roadmap for me in leadership. It reminds me that challenges are part of the journey, but by staying determined, being careful, and staying persistent, I can overcome them and keep making progress.
How can our readers further follow your work?
Materials Zone Website — Materials.Zone
Assaf Anderson LinkedIn — https://www.linkedin.com/in/assafanderson/
MaterialsZone Linkedin — https://www.linkedin.com/company/materials-zone/
MaterialsZone Blog — https://www.materials.zone/blog
Thank you so much for sharing these important insights. We wish you continued success and good health!
