Sysco 2010 Annual Report Download - page 11

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We are approaching this transformation with the same level of thoughtful planning
and risk mitigation that we apply across all our activities. We are working from
atimeline that allows us to thoroughly pilot and test each aspect of the system
before proceeding further. Overall, we are allowing more than two years from
theinitial pilot to a full rollout to all our broadline companies.
Managing a change of this magnitude is about much more than technology.
Throughout the process, we have sought the perspective and wisdom of our most
tenured associates, and have engaged them in the transformation project from
theoutset. We have proceeded in this manner so as to ensure that Sysco’s future
framework incorporates the best practices we have developed over the past 40 years.
Our leadership structure is also changing. Ken Spitler, vice-chairman, president
and chief operating ocer of Sysco, retired in June. We thank Ken for his immeasur-
able contributions to our organization over the past 24 years, and know that his
leadership has driven our continuous operational improvements – especially in
the toughest times. Steve Smith, executive vice president, also retired at the end
ofthe fiscal year, after 30 years of dedicated service to our company.
Mike Green has assumed responsibility for overseeing all U.S. broadline operations.
Larry Pulliam continues to lead contract sales, SYGMA, distribution services and
our specialty companies. We have named three additional individuals to executive
management-level positions: Chris Kreidler joined us as chief financial officer
with a wealth of experience in food industry finance; Jim Hope, who is leading
ourbusiness transformation process, was promoted to executive vice president
inNovember; and BillDay, who oversees our merchandising and supply chain
activities, was also promoted to executive vice president in July.
In addition, we have realigned our broadline leadership into eleven geographic
markets. This action, combined with the above leadership changes, enhances
ourgo-to-market strategy, allows us to more effectively implement our business
transformation, helps us to develop and strengthen customer relationships that
cross over local lines, and improves our approach to building a pipeline of acqui-
sitions. In addition, this new structure provides a broader platform to further
develop our most talented and experienced leaders, now and in the future.
As we enter our fifth decade, we move forward from a position of strength to an
even stronger future. We will continue to invest in profitably growing our busi-
ness, both organically and through acquisitions. The business transformation we
are undergoing will enhance our organizational effectiveness in many ways, most
importantly by supporting our efforts to become Sysco’s customers’ most valued
and trusted business partner.
Manny Fernandez Bill DeLaney
Chairman of the Board President & Chief Executive Officer
September 29, 2010 September 29, 2010
2010 Annual Report 9
Dividends Paid
$580 million
Sysco has paid and raised its
dividend in each of its 40 fiscal years
as a public company.