Dr. Ottmar Ernst

Assoziierter Partner

Ottmar Ernst is operations manager and specialist for efficient company processes worldwide. Global optimization strategies help to increase the overall profitability of companies. On-site support is possible.

since 2020
Associated partner SDC Executives
Hüppe, Bad Zwischenahn (shower systems) – COO
PlasTec Technology, Trappenkamp (plastic components) – managing director
2018 Hako, Bad Oldesloe (cleaning technology, vehicle construction) – COO
Heraeus, Hanau (technology company in the field of precious and special metals) – exec. VP Operations
Moritex, Tokyo / Japan (components for automatic quality monitoring) – Board member
Schott, Mainz (optical image and light guides) – exec. VP
Schott Fiber Optics, Southbridge / USA (fiber optics) – plant manager

With experience safely through the COVID crisis
Ottmar Ernst shows the operations development path in an international sanitary technology company.

As part of an interim management mandate with responsibility for purchasing and supply chain management as well as operational responsibility for the two plants, it was necessary to develop a new operational strategy and improve delivery performance.

The Covid-19 pandemic created an additional challenge. The aim here was to ensure continuous delivery capability despite the interrupted supply chains.

To ensure the ability to deliver, the raw material inventory was expanded by a range of 100 days. Coordination with suppliers took place on a weekly basis. A change of supplier was initiated in several cases. The finished goods inventory was increased by 1,500 finished products per plant. To avoid infections, distance and hygiene rules were introduced and audited.

All late deliveries were documented as a basis for improving delivery performance. Purchasing, production and logistics received data on their delays on a daily basis. As part of regular meetings, these three units were asked to identify problem areas, associated causes and sustainable countermeasures.

To develop the operations strategy, a number of analyzes were made (including process analyzes, 7 types of waste, make or buy analyzes, comparisons of manufacturing costs). The design of the detailed approaches was supported by discussions with market leaders of relevant technologies (including providers of MES, WMS and AGV systems as well as providers of logistics automation solutions).

In addition to implemented adjustments to the production organization and the in-sourcing of a component, detailed planning for a profitable location concept as well as the integration of a significant value-added stage with a total amortization period of approx. 1 year was shown with the operation strategy.

The delivery performance could be increased by 700 basis points.

As a partial measure, with the help of limited investments and process improvements, a doubling of the production output of a critical sub-area was achieved.

During the Covid-19 crisis, the ability to deliver was consistently ensured. In close coordination with the works council and systematic personnel deployment planning, it was possible to organize the strongly fluctuating production volume in a cost-efficient manner with an initial decrease of 43% and a subsequent recovery to the original value. The additional inventory could be reduced again by the end of the mission.

All of this was achieved through quick recording of local processes, close coordination with the management team and extensive coaching, especially for the younger managers.