Leadership Maturity Model There is recognition by the senior executive team of the need to improve operational performance There is limited comprehension of the power of process by the senior executive team Leadership of the process program is centered in the middle management ranks A senior executive endorses and invests in operational improvement The senior executive team has begun to shift from top-down and hierarchical style to an open and collaborative style Level 1 Maturity At least one senior executive has deep comprehension of the process concept, how it can be used to improve performance, and what is involved in process implementation A senior executive has taken leadership and responsibility for the process program A senior executive has set stretch performance goals in customer terms and is prepared to commit resources, make deep change, and remove roadblocks in order to achieve them The senior executive leading the process program is passionate about the need to change and about the process as a key tool for change The senior executive team views the enterprise in process terms and has developed a future state vision of the enterprise and its processes There is a strong alignment in the senior executive team regarding the process program, and there is a network of people throughout the organization helping to promote process efforts The senior executive team operates as a team, manages the enterprise around its processes, and is actively engaged in the process program The senior executive team has delegated control and authority to process owners and process performers The senior executive team perceives process not as a project, but as a way of managing the business for sustained results, and sees their work in process terms People throughout the organization exhibit enthusiasm for process and play leadership roles in process efforts The member of the senior executive team perform their own work as processes, center enterprise strategic planning on processes, and leverage high performance processes for new business opportunities The senior executive team exercises leadership through influence and vision rather than control Level 2 Maturity Level 3 Maturity Level 4 Maturity 2 4 The nine elements will display on one mouse click after the second bullet, giving you time to name them. There is a slight gap between the process and enterprise elements. You may want o refresh the difference. Points three and four will then come up on two more mouse clicks. The left bar of maturity will anchor the next several slides visually, so you may want to say that “in the past year, significant progress has been made toward all nine of these objectives. We still have work to do to get to Level II, but I’d like to quickly capture some highlights of the past year.” Or something to that effect.

Governance Maturity Model Some business processes have been identified Functional managers are responsible for performance, project managers for improvement projects One or more groups advocate and support possibly distinct operational improvement techniques Level 1 Maturity A full enterprise process model has been developed and accepted by the senior executive team Process owners have accountability for individual process capability, a steering committee for overall process progress An informal coordinating body provides needed program management; a steering committee allocates resources for process redesign projects The enterprise process model has been communicated throughout the organization, is used to drive project prioritization, and is linked to enterprise level technology and data architectures Process owners share accountability for enterprise performance A formal Program Management Office, headed by a Chief Process Officer, actively coordinates and integrates all process projects; a Process Council manages cross-process and inter-process integration issues; all process improvement techniques and tools are managed and deployed on an integrated basis The enterprise process model has been extended to link with those of customers and suppliers and is used for strategy development A Process Council operates as the senior-most enterprise management body; process performers share accountability for enterprise performance; inter-enterprise steering committees have been established to drive inter-enterprise process change Process owners work with counterparts in customers and suppliers to drive inter-enterprise process integration Level 2 Maturity Level 3 Maturity Level 4 Maturity What is the Enterprise Governance maturity level for Avnet? 2 3 4 1 The nine elements will display on one mouse click after the second bullet, giving you time to name them. There is a slight gap between the process and enterprise elements. You may want o refresh the difference. Points three and four will then come up on two more mouse clicks. The left bar of maturity will anchor the next several slides visually, so you may want to say that “in the past year, significant progress has been made toward all nine of these objectives. We still have work to do to get to Level II, but I’d like to quickly capture some highlights of the past year.” Or something to that effect. 2

Process Ownership Maturity Model Level 4 Maturity Process owner is a member of senior-most enterprise decision-making body Process owner develops rolling strategic plan for the process, participates in enterprise strategic planning, and collaborates with counterparts in customers and suppliers to sponsor inter-enterprise process redesign and improvement initiatives Process owner has control of process execution budget, and strong influence on personnel assignment and evaluation Level 3 Maturity The process is primary for the process owner in terms of time allocation, mind-share, and identity Process owner works with other process owners to address inter-process integration and to achieve enterprise performance goals Process owner has control over process technology and process change initiatives, some influence on personnel assignment and evaluation and on process execution budget The process owner is an official role and is filled by a senior manager with clout and credibility Process owner articulates process goals and vision, sponsors redesign and improvement efforts, plans implementation, and ensures compliance Process owner has authority to convene redesign team and to implement new design, and has some control over technology budget for the systems supporting the process Level 2 Maturity Level 1 Maturity Process owner is an individual or a group with informal responsibility to improve performance of the process Process owner identifies and documents the process, communicates to performers, and sponsors small-scale change projects Process owner has authority to lobby for the process and to encourage functional managers to make local changes The nine elements will display on one mouse click after the second bullet, giving you time to name them. There is a slight gap between the process and enterprise elements. You may want o refresh the difference. Points three and four will then come up on two more mouse clicks. The left bar of maturity will anchor the next several slides visually, so you may want to say that “in the past year, significant progress has been made toward all nine of these objectives. We still have work to do to get to Level II, but I’d like to quickly capture some highlights of the past year.” Or something to that effect. 3

Metrics Maturity Model Level 4 Maturity End-to-end metrics have been derived from inter-enterprise strategic goals Metrics and their targets are regularly reviewed and refreshed as part of an established process management process and are used in strategic planning Level 3 Maturity End-to-end process metrics and cross-process metrics have been formally derived from enterprise strategic goals Metrics are presented to process performers for awareness and motivation; dashboards are presented to relevant managers, and are used in day-to-day process management End-to-end metrics have been derived from customer requirements of the process, and are available in both summary and detailed forms Metrics are used to compare process performance to benchmarks, best-in-class, and customer needs, and to set performance targets Level 2 Maturity Level 1 Maturity Some process metrics of standard types (typically financial and quality) have been identified Metrics are used to track performance, identify the root causes of faulty performance, and drive functional improvements The nine elements will display on one mouse click after the second bullet, giving you time to name them. There is a slight gap between the process and enterprise elements. You may want o refresh the difference. Points three and four will then come up on two more mouse clicks. The left bar of maturity will anchor the next several slides visually, so you may want to say that “in the past year, significant progress has been made toward all nine of these objectives. We still have work to do to get to Level II, but I’d like to quickly capture some highlights of the past year.” Or something to that effect. 4

Expertise Maturity Model A small group of individuals in the organization have a deep appreciation for the power of process One or more methodologies are in use for solving execution problems and making incremental process improvements Level 1 Maturity A cadre of experts have skills in process redesign and implementation, project management, communication, and change management A basic methodology for process redesign is available for use by process redesign teams A cadre of experts have skills in large-scale change management and enterprise transformation A formal methodology for process redesign has been developed and standardized, and is integrated with a standard process for process improvement Substantial numbers of people with skills in process redesign and implementation, project management, program management, and change management are present across the organization; and a formal process is in place for maintaining and developing that skill base Process management and redesign has become a core competence of the enterprise; process management is embedded in a formal system for environmental scanning, change planning, implementation, and process-centered innovation Level 2 Maturity Level 3 Maturity Level 4 Maturity What is the Enterprise Expertise maturity level for Avnet? (if any enabler is not strong enough to be at Level 1 then it is by default at Level 0 maturity) 2 3 4 1 The nine elements will display on one mouse click after the second bullet, giving you time to name them. There is a slight gap between the process and enterprise elements. You may want o refresh the difference. Points three and four will then come up on two more mouse clicks. The left bar of maturity will anchor the next several slides visually, so you may want to say that “in the past year, significant progress has been made toward all nine of these objectives. We still have work to do to get to Level II, but I’d like to quickly capture some highlights of the past year.” Or something to that effect. 5

Design Maturity Model Level 4 Maturity The design has been developed in the context of the customer/supplier processes with which it interfaces, in order to optimize inter-enterprise performance Mutual expectations have been established between the process and the customer/supplier processes with which it interfaces An electronic representation of the inter-enterprise design supports process performance and management, as well as analysis of impacts of environmental change, reconfiguration, and simulation Level 3 Maturity The design has been developed in the context of other enterprise processes with which it interfaces, and is linked to information systems and data architecture, in order to optimize enterprise performance Mutual expectations have been established between the process and other enterprise processes Process documentation includes interfaces with, and mutual expectations of, other enterprise processes, and connections to the enterprise systems and data architecture The process has been consciously designed to an end-to-end basis to optimize process performance The needs of process customers are known and agreed upon There is end-to-end documentation of the process design Level 2 Maturity Level 1 Maturity The process design is a legacy and is used to provide context for improving functional performance Process inputs, outputs, suppliers and customers are identified Process documentation is primarily functional, but does not identify the interconnections among the organizations involved The nine elements will display on one mouse click after the second bullet, giving you time to name them. There is a slight gap between the process and enterprise elements. You may want o refresh the difference. Points three and four will then come up on two more mouse clicks. The left bar of maturity will anchor the next several slides visually, so you may want to say that “in the past year, significant progress has been made toward all nine of these objectives. We still have work to do to get to Level II, but I’d like to quickly capture some highlights of the past year.” Or something to that effect. 6

Process Performers Maturity Model Level 4 Maturity Performers have been educated in industry structure and trends and can describe how their work impacts inter-enterprise performance Performers have been trained in change implementation and change management Performers proactively look for signs that the process needs to change and propose improvements to it Level 3 Maturity Performers have been educated in business concepts and in the drivers of enterprise performance, and can describe how their work impacts other processes and enterprise performance Performers have been trained in business decision-making skills Performers strive to ensure that the process achieves the required performance and results in order to achieve enterprise goals Performers can describe the overall flow of the process; how their work impacts others in the process, customers, and process performance; and actual and required performance levels Performers are skilled in teamwork and self-management Performers strive to adhere to the process design and to perform it correctly, and work in ways that will enable others who work in the process to do their work effectively Level 2 Maturity Level 1 Maturity Performers can name the process in which they work and can identify the key metrics of process performance Performers are skilled in problem-solving and process improvement Performers have some allegiance to the process but exhibit primary allegiance to their function The nine elements will display on one mouse click after the second bullet, giving you time to name them. There is a slight gap between the process and enterprise elements. You may want o refresh the difference. Points three and four will then come up on two more mouse clicks. The left bar of maturity will anchor the next several slides visually, so you may want to say that “in the past year, significant progress has been made toward all nine of these objectives. We still have work to do to get to Level II, but I’d like to quickly capture some highlights of the past year.” Or something to that effect. 7

Infrastructure Maturity Model Level 4 Maturity The process is supported by an information system with a modular and flexible architecture that adheres to industry standards for inter-enterprise communication Hiring, development, reward, and recognition systems reinforce the importance of intra- and inter-enterprise collaboration, personal learning and growth, and organizational change Level 3 Maturity The process is supported by an integrated information system designed to support the process and that adheres to enterprise standards Hiring, development, reward, and recognition systems emphasize process needs and process results, but balance these against enterprise needs and enterprise results The process is supported by an information system constructed from functional components Roles, job descriptions, and competency profiles are derived from process design; job training is based on process documentation Level 2 Maturity Level 1 Maturity The process is supported by fragmented legacy functional systems Functional managers reward functional excellence and resolving functional performance problems in the process context The nine elements will display on one mouse click after the second bullet, giving you time to name them. There is a slight gap between the process and enterprise elements. You may want o refresh the difference. Points three and four will then come up on two more mouse clicks. The left bar of maturity will anchor the next several slides visually, so you may want to say that “in the past year, significant progress has been made toward all nine of these objectives. We still have work to do to get to Level II, but I’d like to quickly capture some highlights of the past year.” Or something to that effect. 8

Avnet’s Mega Processes Customer Engagement Perform Marketing & Market Analysis Create Demand Manage Customer & Supplier Relationships Respond to Customer Inquiry Create & Maintain Sales Orders Bill & Collect Supply Chain Plan Demand & Forecasting Plan & Manage Supplier Relationships Procure Materials & Services Control & Turn Inventory Verify & Pay Supplier Invoices Order Fulfillment Receive & Put Away Goods Pick & Pack Products Perform Value Added Services Execute Regulatory Compliance Transportation Management & Flow Ship Products Perform Reverse Logistics Design To Automate Planning & Organization Develop Applications Manage Infrastructure Delivery & Support Monitor & Measure Credit To Collection Ensure Regulatory Compliance Manage Capital & Risk Develop & Manage Strategic Plans Report Against Annual Budgets Manage Accounting & Control Data Manage Administrative Services Employee Engagement Workforce Planning Talent Acquisition Performance Management Talent Development