@Sunforged General - well, I didn't say I thought it would turn out well for the German Navy - just that it would create an existential crisis for the Royal Navy. I stand by that; with commitments in the Atlantic, the Mediterranean and in the Far East the Royal Navy would have had a hard time assembling sufficient surface combat power to match a massed sortie. Of course, with carrier-borne strikes, the job gets easier... but with all of your battle line except 4 (KGV class) limited to 23 knots or less, and with British capital ships notoriously short-ranged, the odds get better.
A German admiral who thought the Rheinubung sortie a good idea might have thought sending out 3 or 4 capital ships a better one. As I said, I do think it is unwise to risk what you cannot afford to lose, but with a little luck you could wreck some British capital ships before going down yourself. The Royal Navy could lose battleships - it wasn't going to need them in the Atlantic as long as the German capital ships were taken out, and Germany certainly didn't need capital ships except to force Britain to keep up hers.
No, heavy cruisers by treaty and custom used 8" guns. The 'Deutschland' class were able to use 11" guns because of the provisions of the Versailles Treaty. They were technically replacements for pre-Dreadnought battleships. No heavy cruiser ever carried 11" guns.
The 'Scharnhorst' class were fast battleships, well-protected and fast but somewhat lacking in punch. Those 11"-ers were good guns - very high velocity, but the shell-weight was light. They would have been better off if refitted with 6x15" guns (though the German 15" gun, like the British 16", was not a particularly good gun).
Bear in mind the British 16" shells were hitting 'Bismarck' at point-blank range. At that sort of range the German 11" is rated as penetrating 18" of armor...