When analyzing the Gartner Top 25 using the Supply Chains to Admire methodology, we find that: 75% underperformed on growth 29% underperformed on margin 42% underperformed on inventory turns

1. Comparison
Supply Chain Insights LLC. Copyright © 2021
1
The Supply C hains t o A dmire A nalysis C ompared t o The
Ga rt ne r Top 2 5 f or 2 0 2 0

2. Comparison Gartner Top 25 Supply Chains to Admire™
Focus Fortune Global 500 and Forbes 2000 lists.
15$B minimum annual revenue. (roughly 300 companies)
All public companies by analyzed by industry
peer groups. 440 companies by 28 peer
groups. No revenue minimum.
No limit on the number of winners peer group.
Likewise, there may be no winner by industry.
Analysis 2018-2020 2011-2020
Calculation 50% Opinion: (Equally split between analyst and peer voting)
50% Quantitative Analysis:.
1, Return on Plant Assets (ROPA): ((2020 operating income / 2020 net property, plant,
equipment + year-end inventory)) *50%) + ((2019 operating income / 2019 net
property, plant, equipment + year-end inventory)) *30%) + ((2018 operating income /
2018 net property, plant, equipment + year-end inventory)) *20%). (20%)
2. Inventory (Average for 2018-2020) 5%
3. Revenue Growth: ((change in revenue 2020-2019) *50%) + ((change in revenue
2019-2018) *30%) + ((change in revenue 2018-2017) *20%). (10%)
4. ESG Component Score: Index of third-party environmental, social and governance
measures of commitment, transparency and performance.
Improvement: Top 2/3 ranking on the Supply
Chain Index.
Performance: At or above the industry mean
for:
• Year-over-year revenue growth.
• Operating margin.
• Inventory turns.
• Return on Invested Capital (ROIC).
Value: At or above the mean for Price-to-
Tangible Book or Market Capitalization.
Index Calculations: https://www.slideshare.net/loracecere/sci-summit-2014-math-behind-sc-
index?qid=27326733-0325-4ee7-aacd-e2827bd216de&v=&b=&from_search=11
History 17th Year 8th Year
Methodology Comparison: Gartner Top 25 and Supply Chains to Admire

3. Supply Chains to Admire
Data-driven
Comparison to Peer Group
Long View
3
Comparison

4. Companies We
Both Agree Are
Winners
Supply Chain Insights LLC. Copyright © 2021

5. 5
Gartner Top 25
Comparison to Peer
Group for 2011-2020
• 75% underperformed
on growth
• 29% underperformed
on margin
• 42% underperformed
on inventory turns

6. 6

7. Sample Orbit
Charts for
Gartner Top 25 Winners
Supply Chain Insights LLC. Copyright © 2021

8. Supply Chain Master P&G
Operating Margin vs. Inventory Turns (2011 – 2020)
[CELLRANGE]
[CELLRANGE]
[CELLRANGE] [CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
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[CELLRANGE]
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[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CEL…
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
4.5
5.5
6.5
7.5
0.14 0.15 0.16 0.17 0.18 0.19 0.20 0.21 0.22 0.23
Inventory
Turns
Operating Margin
Procter & Gamble Household Non-Durable Industry
Best Scenario
Household Non-Durable
Industry
0.16, 5.27
Average (Operating Margin, Inventory Turns)
Source: Supply Chain Insights LLC, Corporate Annual Reports 2011-2020 from YCharts
Procter & Gamble
0.20, 6.52
P&G growth is -1%
against an industry
average of 2%

9. Supply Chain Master Unilever
Operating Margin vs. Inventory Turns (2011 – 2020)
[CELLRANGE]
[CELLRANGE] [CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE] [CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
4.5
5.5
6.5
7.5
0.12 0.13 0.14 0.15 0.16 0.17 0.18 0.19 0.20
Inventory
Turns
Operating Margin
Unilever Household Non-Durable Industry
Best Scenario
Household Non-Durable
Industry
0.16, 5.27
Average (Operating Margin, Inventory Turns)
Source: Supply Chain Insights LLC, Corporate Annual Reports 2011-2020 from YCharts
Unilever
0.16, 6.95
Unilever growth is 1%
against an industry
average of 2%

10. Supply Chain Master Amazon
Operating Margin vs. Inventory Turns (2011 – 2020)
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CELLRANGE] [CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
100.0
0.00 0.02 0.04 0.06 0.08 0.10 0.12 0.14 0.16 0.18 0.20
Inventory
Turns
Operating Margin
Amazon Retail E-Commerce Industry
Best Scenario
E-Commerce
0.13, 29.38
Average (Operating Margin, Inventory Turns)
Source: Supply Chain Insights LLC, Corporate Annual Reports 2011-2020 from YCharts
Amazon
0.03, 5.02
Amazon
underperforms on
growth, margin and
inventory turns

11. Supply Chain Master Apple
Operating Margin vs. Inventory Turns (2011 – 2020)
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
5.0
15.0
25.0
35.0
45.0
55.0
65.0
75.0
85.0
95.0
105.0
0.02 0.04 0.06 0.08 0.10 0.12 0.14 0.16 0.18 0.20 0.22 0.24 0.26 0.28 0.30 0.32 0.34 0.36
Inventory
Turns
Operating Margin
Apple B2B Technology Industry
Best Scenario
B2B Technology
0.06, 8.46
Average (Operating Margin, Inventory Turns)
Source: Supply Chain Insights LLC, Corporate Annual Reports 2011-2020 from YCharts
Apple
0.28, 58.06
Performance is
degrading

12. #1 Cisco
Operating Margin vs. Inventory Turns (2011 – 2020)
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
9.0
10.0
11.0
12.0
13.0
14.0
15.0
16.0
17.0
18.0
0.10 0.12 0.14 0.16 0.18 0.20 0.22 0.24 0.26 0.28 0.30
Inventory
Turns
Operating Margin
Cisco Systems Telecommunications Industry
Best Scenario
Telecommunications
0.12, 12.94
Average (Operating Margin, Inventory Turns)
Source: Supply Chain Insights LLC, Corporate Annual Reports 2011-2020 from YCharts
Cisco
0.24, 12.29
Growth significantly
below peer group.

13. #2 Colgate-Palmolive
Operating Margin vs. Inventory Turns (2011 – 2020)
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
3.5
4.5
5.5
0.14 0.15 0.16 0.17 0.18 0.19 0.20 0.21 0.22 0.23 0.24 0.25 0.26 0.27
Inventory
Turns
Operating Margin
Colgate-Palmolive Household Non-Durable Industry
Best Scenario
Household Non-Durable
0.16, 5.27
Average (Operating Margin, Inventory Turns)
Source: Supply Chain Insights LLC, Corporate Annual Reports 2011-2020 from YCharts
Colgate-Palmolive
0.24, 5.02
Colgate growth is 1%
while the industry grew
3%

14. #3 J&J
Operating Margin vs. Inventory Turns (2011 – 2020)
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[C…
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[C…
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[C…
[CELLRANGE]
[CELLRANGE]
[C…
[CELLRANGE]
2.3
2.8
3.3
0.19 0.20 0.21 0.22 0.23 0.24 0.25 0.26 0.27 0.28 0.29 0.30
Inventory
Turns
Operating Margin
Johnson & Johnson Pharmaceutical Industry
Best Scenario
Pharmaceuticals
0.22, 2.58
Average (Operating Margin, Inventory Turns)
Source: Supply Chain Insights LLC, Corporate Annual Reports 2011-2020 from YCharts
Johnson & Johnson
0.26, 2.92
J&J growth is 3% while
the industry grew 6%

15. #4 Schneider Electric Orbit Chart
Operating Margin vs. Inventory Turns (2011 – 2020)
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE… [CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CEL…
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
4.2
4.7
5.2
5.7
0.11 0.12 0.13 0.14 0.15 0.16
Inventory
Turns
Operating Margin
Schneider Electric Diversified Industries
Best Scenario
Diversified Industries
0.14, 4.96
Average (Operating Margin, Inventory Turns)
Source: Supply Chain Insights LLC, Corporate Annual Reports 2011-2020 from YCharts
Schneider Electric
0.14, 5.14
Below industry
performance on growth
and inventory

16. #5 Nestle
Operating Margin vs. Inventory Turns (2011 – 2020)
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
[CELLRANGE]
[CE…
[CELLRANGE]
3.5
4.0
4.5
5.0
5.5
6.0
6.5
7.0
7.5
8.0
0.08 0.10 0.12 0.14 0.16 0.18 0.20 0.22 0.24 0.26 0.28 0.30
Inventory
Turns
Operating Margin
Nestle Food Manufacuring Industry
Best Scenario
Food Manufacturers
0.11, 6.72
Average (Operating Margin, Inventory Turns)
Source: Supply Chain Insights LLC, Corporate Annual Reports 2011-2020 from YCharts
Nestle
0.16, 5.13
1/5 the rate of growth of
peer group. Declining
inventory performance.

17. Supply Chain Insights LLC Copyright © 2021
01 There is no perfect method for determining
supply chain excellence.
02
Business leaders’ perceptions of corporate
performance are not in alignment with
balance sheet results.
03 Only 4% of companies outperform their
peer groups. Peer analysis matters.
Insights
17

18. Join the Guiding
Coalition for Change.
Imagine the Supply
Chain of the Future
with Peers.
Supply Chain Insights LLC. Copyright © 2021
Register for the Supply Chain Insights Global Summit. www.supplychaininsightsglobalsummit.com

19. Supply Chains to Admire Webinar
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20. Supply Chain Insights LLC. Copyright © 2021
Founded in February 2012 by Lora Cecere, Supply Chain
Insights LLC is in its eighth year of operation. The
Company's mission is to deliver independent, actionable,
and objective advice for supply chain leaders. Our goal is to
help leaders understand supply chain trends, evolving
technologies, and which metrics matter.
20

21. 21
2 years Partner at Altimeter
Group (leader in open
research)
8 years Gartner and AMR
Research
8 years Experience in
Marketing and Selling
Supply Chain Software at
Descartes Systems Group
and Manugistics (now
JDA/Blue Yonder)
Supply Chain Insights LLC Copyright © 2021
Who Is Lora?
Founder of Supply Chain
Insights
“LinkedIn Influencer”, Guest
blogger for Forbes, Author:
Bricks Matter (2012), Supply
Chain Metrics That Matter
(2014), and Shaman’s
Journal (2014-19)
15 Years Leading Teams in
Manufacturing and
Distribution for Clorox,
Kraft/General Foods,
Nestle/Dreyers Grand Ice
Cream and Procter &
Gamble.

22. Thank You…
Supply Chain Insights LLC Copyright © 2021
LORA CECERE, FOUNDER | lora.cecere@supplychaininsights.com