Hi, we are Manfred & Jan 😎. We want to share our journey of leading the transformation of Siemens’ Karlsruhe plant in Germany and turning it into the 2021 Factory of the Year.

Here’s our top leadership takeaways:

You need to have a strong partner to drive change – no leader can master all the tasks all the time, so you need a team to make sure all 360 degrees are covered  
Transformation requires a holistic approach that unites the technology-based and people-related aspects
We live in uncertain times: this requires us to be adaptable, agile and embrace change – but also to look after our wellbeing and find moments of calm, focus and strength
Vulnerability and self-reflection (or reflection with another person you trust) are important to enable you to learn and grow; ask yourself if there’s anything you would like to change about yourself first 
Small steps are where the big changes happen – whether that’s appreciating small successes or kicking off a new habit. Don’t be afraid to take the lead and build on that first step

A twist of fate?

We met over 20 years ago when we happened to be neighbors in the same apartment building (Jan was a student and Manfred was living with his young family). Then after a year, we went our separate ways, presumably never to meet again. But fate had other ideas…

Fast forward a couple of decades, and we were reunited in leading the transformation of the Karlsruhe factory. This time, Manfred was head of plant and Jan finance head – and this is where our strong partnership was forged. (By the way: we didn’t forget that twist of fate, as we had a street sign with the name and number of our old home hanging outside our Karlsruhe office!😎)

As we got down to work, we realized that the key to transforming the plant was to combine the “what” and the “how”: that is, reshaping the whole manufacturing set-up and introducing digital technologies, on the one hand, and putting people at the center of change, on the other. Manfred represented the ‘what’ and Jan contributed the ‘how’. Our strength came from doing it together. We also realized that: No manager can handle all topics. You need someone else with you to make sure all 360 degrees are covered.

Reinventing to stay competitive

Bringing apples to our employees as signs of values

So, what was our starting point? It’s probably a familiar one to others in the manufacturing industry: the factory was facing the challenge of hard competitive pressure and increasing customer demand for ever faster deliveries and more individualized products. We both felt the same sense of urgency when it came to meeting these challenges. 

dancing during Masterplan communication in front of 1k+ colleagues

We clearly communicated to our wider team that we all had a chance to build a better future, but we needed everyone on board. We put in a lot of effort to take people with us, and we discussed the situation openly. We felt that it was important to be transparent and show that we had no hidden agenda – this is to ensure that we could build the essential element of trust. 

Answering tomorrow’s questions

We then went about transforming the factory following a holistic technology and people-focused approach. This included a strong technology-based vision that answers the questions of the future and that inspires people.  

At the Karlsruhe plant, this involved adopting matrix flow production, which enabled us to achieve increased productivity, efficiency and quality thanks to digitalization and reshaping of the factory without hindering ongoing operations.  

Alongside the technical aspect, we knew that enabling people to embrace change and adopt an agile mindset was also critical. Our original culture was one of fear of failure and resistance to experimentation – the opposite of a growth mindset. As an example: investments had been made to understand how to put robots in place, but none had actually been implemented. Today, there are around 40 robots in operation. We were also aware that: Mindset change is not achieved overnight. It’s not just a case of putting culture values on PowerPoint slides.

Rather, the essential questions behind transformation are: “Do we really mean it? Have we really changed?” It’s not always easy to convince everyone that culture change is important, but we can demonstrate that if you invest step-by-step in people development, your performance level will be higher in the end. In Karlsruhe, for example, we saw a 40% increase in productivity compared to 5 years previously.

Change comes in small doses

Even so, the factory’s journey continues to this day – and we are both convinced that you have to keep on learning. The latest chapter took place in November 2021, when we were honored with the prestigious Factory of the Year Award by global consultancy firm Kearney.

2021 F actory of the Year asarding ceremony

Although I (Jan) have moved to a new role, the culture of growth, reflection and resilience that was developed with me is still clear to see today. Before meetings, for example, our factory team takes a minute or 2 to sit, focus and breathe, guided by a moderator. We live in a world of great pressure, and you need to have a strong mind.

Other tips? Take time each morning and evening to reflect and write your small successes for the day in a journal. It helps you keep a positive mindset. Or take small steps to change your habits; for instance, stick a Post-it Note next to your screen reminding you of one thing you’d like to change (for example: to listen more.) It’s key to appreciate the small things – in the end, they are what make a big change.  

We both believe that moments of self-reflection and vulnerability are important, as are discussing your feelings and reaching out to others if you need help. This is not always an easy journey. There are times when it’s uncomfortable and exhausting – but you have to believe that failure is OK and that change starts with you.

Some fun facts about us:

Greetings from my dream garden in Venice

My favorite place to be is…
Jan: …at a nice beach with crystal clear waters
Manfred: …my home is my castle
The last time I laughed out loud was when…
Jan: … I saw my 6-year-old son dancing like an old “guy” in the club.
Manfred: …when my tennis partner and me win a challenging and close match for our team
My current music playlist includes…
Jan: …to get prepared for “#DasFest” festival weekend in #Karlsruhe with #JanDelay & Co.
Manfred: …AC/DC: Highway to hell
My favorite food is…
Jan: … Italian with an ice-cold white vino
Manfred: … Chinese & Vietnamese Noddle Soups