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Segment and Geographic Information
 12 Months Ended
Dec. 31, 2021
Segment Reporting [Abstract]  
Segment and Geographic Information Segment and Geographic Information
We operate in three reportable geographic operating segments: North America, EMEA, and APAC. Our offerings in North America and certain countries in EMEA and APAC include IT hardware, software and services, including cloud solutions. Our offerings in the remainder of our EMEA and APAC segments are largely software and certain software-related services and cloud solutions.
Disaggregation of Revenue
In the following table, revenue is disaggregated by our reportable operating segments, which are primarily defined by their related geographies, as well as by major product offering, by major client group and by recognition on either a gross basis as a principal in the arrangement, or on a net basis as an agent, for the years ended December 31, 2021, 2020 and 2019 (in thousands):
Year Ended December 31, 2021
North AmericaEMEAAPACConsolidated
Major Offerings
Hardware$5,163,225 $676,815 $49,470 $5,889,510 
Software1,315,412 825,361 89,844 2,230,617 
Services1,041,686 201,875 72,425 1,315,986 
$7,520,323 $1,704,051 $211,739 $9,436,113 
Major Client Groups
Large Enterprise / Corporate$5,356,915 $1,219,601 $93,796 $6,670,312 
Commercial1,495,311 65,728 61,627 1,622,666 
Public Sector668,097 418,722 56,316 1,143,135 
$7,520,323 $1,704,051 $211,739 $9,436,113 
Revenue Recognition based on acting as Principal or Agent in the Transaction
Gross revenue recognition (Principal)$7,138,852 $1,591,156 $184,418 $8,914,426 
Net revenue recognition (Agent)381,471 112,895 27,321 521,687 
$7,520,323 $1,704,051 $211,739 $9,436,113 
Year Ended December 31, 2020
North AmericaEMEAAPACConsolidated
Major Offerings
Hardware$4,418,295 $617,825 $31,953 $5,068,073 
Software1,260,757 760,562 82,763 2,104,082 
Services935,980 176,838 55,606 1,168,424 
$6,615,032 $1,555,225 $170,322 $8,340,579 
Major Client Groups
Large Enterprise / Corporate$4,507,041 $1,101,557 $62,734 $5,671,332 
Commercial1,395,298 61,535 60,740 1,517,573 
Public Sector712,693 392,133 46,848 1,151,674 
$6,615,032 $1,555,225 $170,322 $8,340,579 
Revenue Recognition based on acting as Principal or Agent in the Transaction
Gross revenue recognition (Principal)$6,284,948 $1,452,115 $146,770 $7,883,833 
Net revenue recognition (Agent)330,084 103,110 23,552 456,746 
$6,615,032 $1,555,225 $170,322 $8,340,579 
Year Ended December 31, 2019
North AmericaEMEAAPACConsolidated
Major Offerings
Hardware$3,957,507 $622,949 $34,965 $4,615,421 
Software1,269,983 753,729 92,988 2,116,700 
Services796,815 149,966 52,288 999,069 
$6,024,305 $1,526,644 $180,241 $7,731,190 
Major Client Groups
Large Enterprise / Corporate$4,466,384 $1,126,388 $59,786 $5,652,558 
Commercial960,432 76,666 65,033 1,102,131 
Public Sector597,489 323,590 55,422 976,501 
$6,024,305 $1,526,644 $180,241 $7,731,190 
Revenue Recognition based on acting as Principal or Agent in the Transaction
Gross revenue recognition (Principal)$5,759,247 $1,432,300 $156,279 $7,347,826 
Net revenue recognition (Agent)265,058 94,344 23,962 383,364 
$6,024,305 $1,526,644 $180,241 $7,731,190 
The method for determining what information regarding operating segments, products and services, geographic areas of operation and major clients to report is based upon the “management approach,” or the way that management organizes the operating segments within a company, for which separate financial information is evaluated regularly by the Chief Operating Decision Maker (“CODM”) in deciding how to allocate resources. Our CODM is our Chief Executive Officer.
All significant intercompany transactions are eliminated upon consolidation, and there are no differences between the accounting policies used to measure profit and loss for our segments or on a consolidated basis. Net sales are defined as net sales to external clients. None of our clients exceeded ten percent of consolidated net sales in 2021, 2020 or 2019.
A portion of our operating segments’ selling and administrative expenses arise from shared services and infrastructure that we have historically provided to them in order to realize economies of scale and to use resources efficiently. These expenses, collectively identified as corporate charges, include senior management expenses, internal audit, legal, tax, insurance services, treasury and other corporate infrastructure expenses. Charges are allocated to our operating segments, and the allocations have been
determined on a basis that we considered to be a reasonable reflection of the utilization of services provided to or benefits received by the operating segments.
The tables below present information about our reportable operating segments (in thousands):
Year Ended December 31, 2021
North
America
EMEAAPACConsolidated
Net Sales:
Products$6,478,637 $1,502,176 $139,314 $8,120,127 
Services1,041,686 201,875 72,425 1,315,986 
Total net sales7,520,323 1,704,051 211,739 9,436,113 
Costs of goods sold:
Products5,874,551 1,380,221 126,136 7,380,908 
Services510,322 64,968 32,358 607,648 
Total costs of goods sold6,384,873 1,445,189 158,494 7,988,556 
Gross profit1,135,450 258,862 53,245 1,447,557 
Operating expenses:
Selling and administrative expenses869,766 210,616 36,748 1,117,130 
Severance and restructuring expenses(3,129)1,328 167 (1,634)
Earnings from operations$268,813 $46,918 $16,330 $332,061 
Year Ended December 31, 2020
North
America
EMEAAPACConsolidated
Net Sales:
Products$5,679,052 $1,378,387 $114,716 $7,172,155 
Services935,980 176,838 55,606 1,168,424 
Total net sales6,615,032 1,555,225 170,322 8,340,579 
Costs of goods sold:
Products5,130,851 1,261,236 104,914 6,497,001 
Services462,793 57,943 22,900 543,636 
Total costs of goods sold5,593,644 1,319,179 127,814 7,040,637 
Gross profit1,021,388 236,046 42,508 1,299,942 
Operating expenses:
Selling and administrative expenses790,913 192,485 30,367 1,013,765 
Severance and restructuring expenses9,273 2,989 132 12,394 
Acquisition-related expenses2,004 204 — 2,208 
Earnings from operations$219,198 $40,368 $12,009 $271,575 
Year Ended December 31, 2019
North
America
EMEAAPACConsolidated
Net Sales:
Products$5,227,490 $1,376,678 $127,953 $6,732,121 
Services796,815 149,966 52,288 999,069 
Total net sales6,024,305 1,526,644 180,241 7,731,190 
Costs of goods sold:
Products4,748,608 1,258,974 117,778 6,125,360 
Services404,583 40,587 22,562 467,732 
Total costs of goods sold5,153,191 1,299,561 140,340 6,593,092 
Gross profit871,114 227,083 39,901 1,138,098 
Operating expenses:
Selling and administrative expenses664,374 186,957 29,406 880,737 
Severance and restructuring expenses4,946 334 145 5,425 
Acquisition-related expenses11,342 — — 11,342 
Earnings from operations$190,452 $39,792 $10,350 $240,594 
The following table is a summary of our total assets by reportable operating segment (in thousands):
December 31,
2021		December 31,
2020
North America$4,920,220 $4,837,155 
EMEA828,456 735,771 
APAC148,737 155,761 
Corporate assets and intercompany eliminations, net(1,208,333)(1,417,955)
Total assets$4,689,080 $4,310,732 
The following is a summary of our geographic net sales and long-lived assets, consisting of property and equipment, net (in thousands):
United
States
United
Kingdom
Other
Foreign
Total
2021
Net sales$7,046,742 $826,800 $1,562,571 $9,436,113 
Total long-lived assets$144,777 $9,282 $22,204 $176,263 
2020
Net sales$6,237,901 $805,401 $1,297,277 $8,340,579 
Total long-lived assets$110,161 $11,042 $24,813 $146,016 
2019
Net sales$5,696,422 $776,051 $1,258,717 $7,731,190 
Net sales by geographic area are presented by attributing net sales to external customers based on the domicile of the selling location.
We recorded the following pre-tax amounts, by operating segment, for depreciation and amortization in the accompanying consolidated financial statements (in thousands):
Years Ended December 31,
202120202019
Depreciation and amortization of property and equipment:
North America$18,532 $22,396 $17,827 
EMEA4,256 5,073 4,166 
APAC588 556 545 
23,376 28,025 22,538 
Amortization of intangible assets:
North America29,576 34,990 22,382 
EMEA1,971 2,088 828 
APAC498 457 461 
32,045 37,535 23,671 
Total$55,421 $65,560 $46,209