:UP FRONT
Full Circle
C
arl Sitzmann was meant to be in the ethanol business. His first taste of the industry came more than 25 years ago when he worked as a production supervisor at Archer Daniels Midland Co.’s ethanol plant in Peoria, Ill. He worked for ADM for three years before deciding to explore the food and chemical industry. In April 2007, he returned to the ethanol industry as chief executive officer of E Energy Adams LLC in Adams, Neb. When he signed on, construction of the 50 MMgy plant was only 50 percent complete. Since beginning production in October, the facility has continually exceeded nameplate capacity, thanks to his leadership. According to Sitzmann, the most effective thing he can do from a management standpoint is treat all stakeholders as customers. He says that kind of relationship creates loyal, lasting and productive relationships. The people are what Sitzmann enjoys most about the ethanol business, but he also really enjoys the smell of an ethanol plant—and hopes to be around it for many more years.
isn’t related to my job. From construction to hiring to policy creation to commodities to finance and investor relations, the one element that ties it all together is people management and leadership. Q: What’s unique about your plant? A: We have a number of unique features that enhance our operation. We’re located more than 50 miles from the nearest ethanol plant, which makes corn origination easier for us, and we have extra corn storage onsite, which enables us to capture harvest prices and the corn carry. In terms of people, we have an excellent management team and are very fortunate to have quite a few operations people that came from the ethanol industry. This was instrumental to our successful start-up and our exceeding nameplate capacity ever since. Q: What are you working on at the moment? A: Now that we are operational, I am focusing on production process optimization and strategic planning. We are participating in benchmarking with other ethanol plants with the goal of becoming more competitive and increasing our profitability. There are
currently many opportunities in the industry, and we are analyzing the ones that will be the biggest added value for our shareholders. Q: Where do you see the ethanol industry in five and 20 years? A: The ethanol industry is very young with many changes to come in the next five, 10 and 20 years. New technologies will be the biggest observable changes, while the drivers behind these changes will still be the same as now—alternative, renewable fuels produced efficiently and economically with the goal of reducing our dependency on foreign oil while protecting the environment. Much will change in the next five years, but I hope to still be heavily engaged in the ethanol industry. The dynamics are quite exciting. In 20 years, I want to be lying on a beach reading Ethanol Producer Magazine.
—Kris Bevill and Anduin Kirkbride McElroy
Q: Please describe a typical work week for you. A: I’m still waiting for one of those. No two weeks have been alike so far. There are so many dynamics involved in constructing and starting a plant. There is no facet of the company that
Name Carl Sitzmann Title Chief Executive Officer Plant E Energy Adams LLC in Adams, Neb. Hometown Le Mars, Iowa Education Bachelor of Science degree in Agricultural Engineering from Iowa State University; Master of Business Administration degree from the University of South Dakota
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ETHANOL PRODUCER MAGAZINE JULY 2008