Avnet 2005 Annual Report Download - page 6

Avnet Electronics Marketing Avnet Technology Solutions
1997 1998 2001 2002
From microprocessors to capacitors
to LCDs, Avnet Electronics
Marketing offers one of the broadest
supplier line cards in the industry,
delivering electronic components
and design chain and supply chain
services to original equipment,
electronic component and contract
manufacturers around the world.
With proven on-time delivery,
extensive financial and logistics
services, and a spectrum of value-
added services and complex
solutions, we are the organization
more than 100,000 customers trust.
Our total-systems approach helps customers
integrate suppliers’ technology. They rely
on Avnet Electronics Marketing field
application engineers (FAEs) for objective
component analysis and on our online tools
to research thousands of parts on their own.
FAEs integrate components from multiple
suppliers into reference and evaluation kits
that solve real-world problems. Seminars
and training programs bring people
together for hands-on experience with new
technologies. Demand creation programs
extend suppliers’ products into untapped
markets early in the design cycle. Our
expertise spans hardware design, embedded
software development, ASIC and FPGA
design, RF design and more.
Once in production, maintaining a steady,
risk-free flow of components to
manufacturing locations is crucial.
Suppliers and customers capitalize on
our global warehousing, logistics, finance,
information technology and asset
management capabilities. Just-in-time,
point-of-use inventory replenishment
systems provide pinpoint accuracy. Lean
manufacturing initiatives help customers
reduce inventory. In-plant stores, bonded
and vendor-managed inventory allow
for tailored materials management.
ISO-certified programming, connector
and cable assembly, motor and power
modification services, and other physical
value-added services increase efficiency.
The Avnet Green Initiative helps customers
and suppliers navigate the hazardous
substance and waste materials legislation
being enacted in the European Union.
From design to production, from
engineering solutions to worldwide supply
chain management, Avnet Electronics
Marketing gives customers and suppliers
Support Across the Board™and Support
Across the Globe™.
Avnet Technology Solutions
delivers the information technology
solutions and infrastructures
companies rely on to drive efficient,
effective businesses. Built around
embedded components, enterprise
servers, monitors, storage,
networking, software and services,
Avnet Technology Solutions is
dedicated to designing, developing
and deploying business solutions
tailored to customers’ distinct
and often very complex needs.
Our technology sales and marketing
organization provides solutions worldwide
to original equipment manufacturers,
independent software vendors, system
builders, system integrators, value-added
resellers and end-user customers.
For suppliers, the value we deliver rests
not only in establishing cost-effective
channels to market, but in demand
development, engineering and financing.
Customers rely on us for the technical
expertise and insight required to design
and implement solutions, from individual
component choices to the integration
and delivery of complete systems and
subsystems. We offer flexible assembly,
system configuration and support,
software preloading and system
customization, along with technical,
marketing and finance services, that
are second to none in the industry.
Robust automation tools also help set
Avnet Technology Solutions apart from
the competition. Request to Order™ is
now a part of the award-winning Channel
Connection™online toolkit, simplifying
and streamlining order management for
customers and improving their access
to key information. FasTrac™and
QuickSource™allow customers to quickly
and efficiently design and build storage
subsystems based on proven
configurations, thus accelerating
their time to market.
Customer service excellence and industry
leading services are key to our continued
success in the marketplace. Differentiation
in a market where products are becoming
standardized requires a keen understanding
of the supply chain, the customer and the
products and services comprising a
business solution. Avnet Technology
Solutions continues to make investments
along the entire supply chain to meet the
needs of our partners and customers, with
an eye toward providing the best customer
experience in the industry.
0 4563217
$5.0
$6.3
$5.9
Sales
(in billions)
AVNET ELECTRONICS
MARKETING
FY03
FY04
FY05
0 20015010050 250
$102
$233
$213
Operating Income
(in millions)
FY03
FY04
FY05
043215
$4.1
$4.8
$4.4
Sales
(in billions)
AVNET TECHNOLOGY
SOLUTIONS
FY03
FY04
FY05
0 10050 150
$56
$148
$99
Operating Income
(in millions)
FY03
FY04
FY05
The Consumer Exhibition in Shanghai,
China showcases the services and
solutions Avnet Electronics Marketing
offers its customers throughout the
design cycle.
2005 Annual Report
50 YEARS OF MAKING HISTORY
2002 – In celebration of Avnet’s
industry leadership, Chairman
and CEO Roy Vallee and his
leadership team ring the
closing bell at the New York
Stock Exchange
2002 – For the first time in
its history, Avnet’s earnings
dip into negative territory
Avnet Technology Solutions is the
No. 1 preferred source in information
technology specialty distribution.
– CRN Preferred Sourcing Study
2001 – Computerworld
magazine ranks Avnet
7th on its list of the
“100 Best Places to
Work in IT”
1997 – Avnet is
100% focused
on electronic
components and
computer products
after selling the
last of its Channel
Master businesses
1998 – With almost 25%
of Avnet’s business, the
Computer Marketing
Group is separated from
the Electronic Marketing
Group, which is renamed
Avnet Electronics
Marketing
2001 – The Company
posts a record $12.8
billion in annual
revenue, but Avnet’s
books begin to reflect
the historic downturn
that will stun the
global technology
industry
Avnet Electronics Marketing brings critical
value to its technology business partners
through design chain and supply chain
expertise and established relationships
in every segment of the market in every
major region of the world.
1997 – Avnet
Computer Group
sales reach
$1 billion
1998 – Leon Machiz retires; Roy
Vallee becomes chairman and CEO
1998 – Avnet moves its
corporate operations to Phoenix
and becomes the largest
publicly held corporation
headquartered in Arizona
1997 – Avnet Design Services
is launched to meet customers’
demand for engineering and
technical assistance