2023

Sustainability
ReportAbout This Report
This Sustainability report details our performance on important environmental,social, and governance (ESG) topics and contains information covering the period
from January 1, 2023, through December 31, 2023, unless otherwise stated.
This report covers Fortive’s operations owned and operated by Fortive or its
operating companies in 2023, unless otherwise stated. This report’s content isgrounded in our ESG impact assessment and has been informed by the Global
Reporting Initiative (GRI), Sustainability Accounting Standards Board (SASB), andTask Force on Climate-related Financial Disclosures (TCFD).
Data assurance. The data contained in this report has been subjected to internalverification procedures. Additionally, Fortive obtains independent Limited
Assurance of our Scope 1 and 2 greenhouse gas (GHG) emissions profile eachyear. Refer to the assurance reports here for more information.
Note on non-financial reporting. Non-financial information is subject tomeasurement uncertainties resulting from limitations inherent in the natureof, and the methods used for determining, such data. Some of our disclosuresin this report are based on assumptions due to these inherent measurement
uncertainties. The selection of different but acceptable measurement techniques
can result in materially different measurements. The precision of different
measurement techniques may also vary.

Forward-Looking Statements
This report contains statements based on our current assumptions and expectations about our future performance, including statements
regarding our ESG targets, goals, commitments, and programs and other business plans, initiatives, and objectives. The disclosures
included in this report are being provided to the public in an effort to provide transparency into our environmental, social, and governance(ESG) initiatives to respond to investor and other stakeholder requests, and to further enhance our collective understanding of ESG
issues. Our approaches to the disclosures included in this report differ in significant ways from those included in mandatory regulatory
reporting, including under U.S. federal securities laws and regulations. Thus, while certain matters discussed in this report may besignificant, any significance should not be read as necessarily rising to the level of materiality used for the purposes of complying with the
U.S. federal securities laws and regulations, even if we use the word “material” or “materiality” in this report. Certain statements included
or incorporated by reference in this report are “forward-looking statements” within the meaning of the U.S. federal securities laws. All
statements other than historical factual information are forward-looking statements. Forward-looking statements are based on assumptions
and assessments made by our management in light of their experience and perceptions of historical trends, current conditions, expected
future developments, and other factors. Forward-looking statements are not guarantees of future performance and actual results may
differ materially from the results, developments, and business decisions contemplated by our forward-looking statements. Accordingly, you
should not place undue reliance on any such forward-looking statements. Important factors that in some cases have affected us in the pastand that in the future could cause actual results to differ materially from those envisaged in our forward-looking statements are described in
Fortive’s filings with the U.S. Securities and Exchange Commission (SEC). The forward-looking statements included in this report speak only
as of the date of this report, and except to the extent required by applicable law, we do not assume any obligation to update or revise any
forward-looking statement, whether as a result of new information, future events and developments, or otherwise.

Table of Contents
A Letter from Our CEO

42023 Sustainability Highlights

6

Introduction

7

About Fortive

7

Culture & Values

8

Our Business9

Our Commitment to Sustainability

10

Alignment to UN SDGs

10

Materiality

11

Sustainability Framework

12

Sustainability Goals & Progress

13

Management & Governance

14

Innovate for Impact

15

Energy Transition

15

Automation & Digitization

16

Productivity Growth17

member, skillfully captured thisEmpower Inclusive and Diverse Teams

18

breathtaking view on Jeju Island,

People Strategy

18

South Korea. The ocean-side rock,

Community

21

bathed in the soft glow of the firstProtect the Planet

24

Climate Change & Greenhouse Gas Emissions

24

Water Management

26

Work and Source Responsibly

28

Workplace Health & Safety

28

Responsible Sourcing

30

day, we recognize the importance ofOperate with Principle

33

Sustainability in shaping our future.

Ethics & Compliance

33

Rooted in a robust foundation, wePrivacy, Information & Intellectual Property Governance35

work to make a positive impact acrossCybersecurity37

new industries and geographies,

Policies

39

Christina Hall, our talented teammorning light, symbolizes hope,promise, and renewal.
This award-winning photo
encapsulates the essence of a fresh
start—a concept deeply ingrained
at Fortive. Just as the sun rises eachfostering a world where progress andenvironmental stewardship meet.

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

A Letter from Our CEO
Dear Fortive Stakeholders,Since day one, our commitment to Sustainability has beenstrong, steadfast, and strategic. Each year, it is my privilege toshare how Fortive—along with our customers, partners, andshareholders—is leading the way to a more sustainable future.
As a force for good, we continually strive for better bycreating innovative products that enable our customers
to achieve their goals faster, more efficiently, and moresustainably. Sustainability is inextricably linked to ourshared purpose—essential technologies for the people
who accelerate progress. Our vision and commitment to
Sustainability are both expansive and ambitious, because
that’s what progress requires.
We aspire to be a company that is as known for ourcommitments to environmental stewardship, social impact,
community investment, and strong governance as weare for our innovative products. Our culture of continuous
improvement drives this ambition. The Fortive Business
System (FBS) is our engine for progress. It powers our ability todeliver industry-leading solutions, advances our Sustainability
goals, and compels us to do more and do better.

JAMES A. LICO
President and Chief
Executive Officer

APPROXIMATELY 60%
of our revenue is generated
from products and services thatdeliver Sustainability-related
outcomes and are aligned with
the United Nations Sustainable
Development Goals.

4

Fortive Corporation 2023 Sustainability Report

Driving Progress ThroughMeasurable Results
Five years ago, we established our first greenhouse gas(GHG) emissions reduction goal. Since then, we reduced ourabsolute Scope 1 and 2 GHG emissions by more than 25%
from our 2019 baseline, and in 2023 we set a new goal: a 10%
reduction in water use by 2029, from 2022 levels.
In addition to improving our own Sustainability
performance, our products and services enable ourcustomers to do the same. Approximately 60% of ourrevenue is generated from products and services thatdeliver Sustainability-related outcomes and are aligned with
the United Nations Sustainable Development Goals.

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Our teams take pride in being acknowledged for our
Sustainability commitments and performance, achieving
a “B” rating for our CDP Climate change disclosure, an “AA”
ESG rating from MSCI, and secured third-party Limited
Assurance of our GHG accounting for a third time. We
were also recognized by USA Today and Statista as oneof America’s Climate Leaders for our leadership in GHG
emissions reduction. Newsweek named us one of America’s
Most Responsible Companies for a fifth consecutive year
and recognized us as one of America’s Greenest Companies.
While we value these awards and recognitions, it’s our core
belief in better that motivates us.

Striving for Better, Together
This commitment to better fuels how we work as a team, andhow we also support our customers and communities. We
get more done together through our diverse backgrounds,
skills, and perspectives, fostering a culture of continuous
improvement, innovative thinking, and genuine optimism.
We are more together—in the workplace, in our communities,
and in kaizen, or continuous improvement events, where thestrength of our diverse teams knows no limits.

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Building a Strong Foundation of
Trust
Transparency and accountability to all our stakeholders isof highest priority. Our ethics and compliance reporting
channels are always open to our team members andstakeholders. Fortive’s Nominating and GovernanceCommittee and our Board of Directors stand behind our
Sustainability disclosures, inspire progress, navigate risk, andwork continually to earn and keep your trust.
In the appendix of this report, you will find our disclosurealignment with the leading reporting frameworks, including
GRI, SASB, TCFD, the United Nations (UN) Global Compact,
and UN Sustainable Development Goals (SDGs).
So much of the momentum our customers are driving is
intricately tied to overcoming challenges that will shape abrighter future. Our goal is clear—to deliver the innovations
that empower our customers to achieve their goals and makethe world stronger, safer, and more sustainable.
Thank you for joining in our pursuit of progress and our belief
in better, and for putting your trust in us.

How we treat each other and support individual growth
are powerful measures of progress. In 2023, we activatedinclusive leadership experiences within FBS that help seniorleaders advance our inclusive culture and effectively leaddiverse, ambitious, and high-performing teams.
We continue to create positive impacts in the communities
where we work, live, and serve. During our annual Day ofCaring, 100% of our operating companies dedicated their time
and talent, and the Fortive Foundation supported a range of
non-profit organizations that are promoting progress acrossthe globe. As champions for Sustainability, Fortive will always
support people and communities in their quest for a more
inclusive and equitable world.

JAMES A. LICO
President and Chief Executive Officer

As a force for good, we continually strive for better by creating
innovative products that enable our customers to achieve
their goals faster, more efficiently, and more sustainably.

Fortive Corporation 2023 Sustainability Report5Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

2023 Sustainability Highlights

5th

78%
employeeengagement
score

revenue generated fromsustainability-enablingproducts and services

100%

82%

$91.4M

consecutive year
on Newsweek’s
Most Responsible
Companies list

60%

on Human Rights Campaign
Corporate Equality Index, forthe seventh consecutive year

employeeinclusion &belonging score

25.6%

56%

absolute reduction in Scope
1 and 2 GHG emissions,compared to 2019 baseline

certified diverse supplierspend in 2023, approaching
our aspirational goal of $100M
annually by the end of 2025*of operating companies in top
quartile for total recordable
incident rate (TRIR)

B

rating on CDP’s Climate
Change disclosure

37

average days for Speak Up!
case closure, exceeding
goal of 45 days

19K+

hours dedicated tocommunity service* To drive progress toward this aspirational goal, we are focused on such actions as recruiting from a wide variety of supplier sources, providing training on
unconscious bias to our procurement teams, and monitoring policies and practices to ensure that no group is inadvertently disadvantaged. All suppliers areevaluated through a neutral merit-selection process. We do not consider race, ethnicity, gender, or any other protected trait in the selection of our suppliers,
nor do we have any financial set-asides or commitments for any demographic group.

6

Fortive Corporation 2023 Sustainability ReportIntroduction

Our
BusinessInnovatefor Impact

At a Glance

17

operating companies

18K+

employees worldwide

50+
countries$5.8B

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

About Fortive
Our global team is united by a powerful shared purpose: essential
technologies for the people who accelerate progress. Across 17 operatingcompanies (OpCos), our teams operate across a broad range of industries
and geographies. They work together to propel us towards our goal of asustainable future through development of critical hardware- and softwareenabled workflow solutions, applied intelligence, advanced analytics, andother rapidly advancing technologies.
We are energized by our vision of a stronger, safer, and more sustainable worldand boldly pursue the solutions to get us there. Our products and services
enable our customers to reduce environmental impacts, advance communityand patient health, and ensure safe workplaces and operational continuity ofcritical infrastructure. Our growth mindset and culture of curiosity are powerfulforces that drive the ideation and experimentation necessary to develop the
products and services that accelerate progress for all.
Fortive delivers essential technology and connected workflow solutions
across a range of attractive end markets. Our businesses and strategic
segments—Intelligent Operating Solutions, Precision Technologies, andAdvanced Healthcare Solutions—are built on leading brands, innovativetechnologies, and established market positions.
Making a positive impact on the world is core to who we are, what we do, andhow we do it. Our culture is deeply grounded in continuous improvement, andwe’re equipped with the tools and the drive to accelerate progress for peoplecentric fields like industrial manufacturing, engineering labs, workplace safety,
facility and asset management, product development, and healthcare.

2023 revenue

Fortive Corporation 2023 Sustainability Report7

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Culture & Values
We are guided by our shared purpose to deliver essential technology for the people who accelerate progress. We acceleratetransformation in high-impact fields, such as workplace safety, engineering, and healthcare, delivering high-tech solutions andhigh impact for engineers, scientists, frontline workers, and patients around the world.
Our values guide how we deliver every day for our stakeholders:

We build extraordinary teams for
extraordinary results.

Customer success inspires
our innovation.

We believe we are more together, and we all
have something unique to offer as we cometogether to solve problems no one could
solve alone, committed to a strong andinclusive culture.

We believe our most important breakthroughs
are the ones that help our customers
succeed, and we strive to break down barriers
and forge new paths to world-changing
innovations to move our customers forward.

Kaizen is our way of life.

We compete for our shareholders.

We know we can always do and be better. Ourcommitment to continuous improvement,
grounded in our Fortive Business System inspires
us to approach our work with curiosity. We arealways growing and learning.

We believe that prioritizing trust,
Sustainability, and positive impact creates
long-term value for all our stakeholders—our customers, our employees, ourshareholders, and our communities.

FORTIVE BUSINESS SYSTEM
Our teams across our OpCos are united by our cultureof continuous improvement—characterized by the highexpectations, inclusion, humility, and transparency embodied
in the Fortive Business System (FBS). This cultural foundationis reinforced by the rigor of our disciplined operating
cadence. FBS enables us to operate our businesses with afocus on relentless execution, powered by our mindset anda set of tools and best practices consistently applied across
our portfolio.
We are dedicated to delivering on our commitments andto accelerate and sustain progress in every aspect of
the business, including new product development andcommercialization, finance, human capital management,
and sustainability. We are continually evolving FBS to meetthe changing needs of our portfolio and incorporating
new technology enablers like AI and machine learning todrive faster growth, more productivity, and greater impact.
The execution of our disciplined acquisition strategy isstrengthened by the value FBS creates and is a criticalcomponent of how we achieve sustained results over time.
8

Fortive Corporation 2023 Sustainability ReportIntroduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Our BusinessIntelligent Operating Solutions
At the forefront of accelerating progress for our tens of thousandsof customers in mission-critical workflows, Fortive’s Intelligent
Operating Solutions use advanced instrumentation, software, andservices to keep much of the world running safely, efficiently, andmore sustainably. We have leading positions in electrical test andmeasurement, facility and asset lifecycle software applications, andconnected worker safety. We connect workflows, real-time data,and powerful analytics to keep customers and critical infrastructure
maintained, minimize downtime, and supercharge productivity.

Precision Technologies
Turning the spark of an idea into a world-changing product requires
bold vision, a rigorously customer-centric approach, and specialized
expertise in materials, methods, and measurement. Fortive’s Precision
Technologies help solve tough technical challenges to speed
breakthroughs in a wide range of applications, from food and beverage
production and manufacturing to next-generation electric vehicles
and clean energy, as our customers seek new test solutions to enable
the electrification and connectivity of everything. From deep sea todeep space, engineers and product developers depend on Fortive’s
advanced technologies for safety, precision, and reliability, even in themost demanding and dynamic conditions.

Advanced Healthcare Solutions
As patient care delivery evolves globally, Fortive’s Advanced Healthcare
Solutions are enabling health care providers to deliver exceptional
patient care more efficiently with industry-leading instrument
sterilization solutions, instrument tracking, cell therapy equipment
design and manufacturing, biomedical test tools, radiation safety
monitoring, and end-to-end clinical productivity solutions. Hospitals,
ambulatory surgical centers, and laboratories need these intelligent
technologies to help ensure critical safety standards are met,
instruments and operating rooms are working at peak performance,and complex procedures are followed accurately in these missioncritical healthcare environments.

Fortive Corporation 2023 Sustainability Report9Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetOur Commitment
to Sustainability
We are boldly pursuing our vision of accelerating a sustainable future for all
by investing in our people, our operations, and breakthrough innovations
that directly address environmental and societal challenges. Sustainability is
inextricably linked with our shared purpose—essential technologies for thepeople who accelerate progress—and our values. Innovating solutions that
positively transform our world is both our driving force and our inspiration.
Sustainability is linked to our strategy through the strong secular drivers that
position our portfolio for continued growth. Many of these secular trends havetheir roots in Sustainability, and by aligning our portfolio around those drivers,
we are able to harness the tailwinds of Sustainability across almost all of ourworkflows. Our culture of continuous improvement and the power of FBS
have enabled us to make rapid advancements in our program and are driving
our increased ambition to do more in the future.

Work and Source
Responsibly

Operate with
Principle

Policies

Our portfolio is strategically aligned
to sustainable secular trends
Automation & Digitization
Energy Transition
Productivity Growth60%

revenue generated from
Sustainability-enablingproducts and services

Every day, Fortive’s products, services, and people are working behind thescenes to:• Ensure safe operating conditions for workers in high-risk workplaces• Provide software solutions that manage critical metrics for worker healthand safety as well as environmental performance• Enable operational and process efficiencies that reduce environmental
impacts• Safeguard the operational capacity of critical infrastructure and physicalassets• Advance automated, tailored perioperative care for patients and theirprocedures• Enable quick and accurate results from medical testing10

Fortive Corporation 2023 Sustainability Report

ALIGNMENT TO UN SUSTAINABLE
DEVELOPMENT GOALSOurBusiness

Introduction

Innovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Materiality
Assessing materiality deepens our understanding of the mostimpactful sustainability challenges facing the company, ourstakeholders, and society.
We conduct periodic assessments to maintain a pulse on therelative significance of these issues, stakeholder sentiment,
and industry trends. As a data-driven company, we value
quantitative processes that ensure we check our biases andbase our decisions on the data and science behind them.
In 2023, we conducted a materiality assessment refreshusing Datamaran®, whose AI-powered risk and materiality
software enables us to• Identify and prioritize the Sustainability issues thatmatter most to our business from an impact on theorganization and the impact Fortive’s operations have on
stakeholders and society• Consider the bi-directional impacts of the issues weprioritize for management, measurement, and continuous
improvement, with awareness and accounting of the bidirectional impacts of the issues to and from our operations• Understand the issues that are fundamental and thosethat differentiate us—where our culture of continuous
improvement presents an opportunity to manage
effectively, reduce risks, and deliver results

increasing priority

We undertook a comprehensive analysis of the output of the surveys, ultimately settling on a tiered stakeholder
weighted methodology as the superior logic, best aligned with our values and shared purpose. The resulting
materiality assessment is shown below.

E5 Energy
management

Differentiators
E1 Climate-related
physical risksCore

S6 Talentmanagement
G1 Board composition

E9 Watermanagement

G4 Ethics &compliance
G3 Data privacy& security

S3 Inclusion, diversity,and equity (ID&E)
G2 Sustainability
governance

E8 Wastemanagement

S2 Human rights

E7 ProductdesignG7 Innovation & technology

G8 Sustainability impacts
of products & services
S5 Supply chain& sourcing

S1 Community
relationsSocietal

E6 Environmental
stewardship

S7 Workplace
health & safety

E3 Climate-relatedtransition risks

G4 Business model& resilience

G5 Executive compensation

Operational

G2 Businessconduct

S4 Labor rights

MonitorSocialEnvironmental

Governance

Topics are separated into
three categories to reflect ourcharacterization of the results:
Core: Issues that are high priority
from an operational and societal
impact; we understand these issues tobe non-negotiable, or table stakes
Differentiators: Issues thatare medium-high priority from an
operational and/or societal impact;
we understand the relative priorityof these issues to be influenced by
the unique nature of our business,and therefore, present risks andopportunities unique to Fortive
influenced by our management
approach of each
Monitor: Issues that are low priority
from an operational and societal
impact; we approach these issues
as ones to monitor over time, andvoluntary as to Fortive’s decision
to prioritize

increasing priority
Fortive Corporation 2023 Sustainability Report11Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Sustainability Framework
The Sustainability Pillars serve as the blueprint for our Sustainability strategy, and we define goals in each to drive progress. We
dedicate our resources to prioritize continuous improvement in these areas, because we understand the value they offer to thebusiness, as well as the risks of inaction. The Sustainability Pillars are informed by environmental, social, and governance issues
that are most relevant to our business, informed by our 2020 and 2023 materiality assessments, and their near- and long-termvalue for the company and our stakeholders.

Innovatefor Impact• Sustainability
impact ofproducts• Product design

Empower Inclusive& Diverse Teams

Protect thePlanetWork & Source
Responsibly

Operate with
Principle• Talent
management• Climate change& GHG emissions• Ethics &compliance• Inclusion,
diversity & equity(ID&E)• Watermanagement• Employee wellbeing, health &safety• Responsible
sourcing• Cybersecurity• Community
investment

12

Fortive Corporation 2023 Sustainability Report• Wastemanagement• Data privacy

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Summary of Sustainability
Goals & Progress
GOAL

TARGET
YEAR

2023 PERFORMANCE

Reduce absolute Scope 1 and 2 GHG
emissions 50% from 2019 levels

2029

In 2023, we reduced Scope 1 and 2 GHG emissions by 1.7% YoY, a reductionof 25.6% from our 2019 baseline.

Reduce absolute water use 10%,relative to 2022 levels

2029

In 2023, we increased water consumption by 12.8% YoY and by 6.2% YoYacross our high-risk sites. These increases were primarily driven by increasing
on-site employee presence and operations throughout the year.

Achieve top industry quartile scoresfor total recordable injury rate
(TRIR) and days away restricted
or transferred (DART) for 100% of
operating companies

Annually

In 2023, 56% of our operating companies achieved top quartile TRIR and
62% DART, a YoY decrease and increase, respectively.

Complete 100% of Responsible
Sourcing Audits

Annually

In 2023, we completed 100% of responsible sourcing audits acrossthe organization.

Fortive Corporation 2023 Sustainability Report13Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Management & GovernanceManagement and governance are crucial to the successful
integration and implementation of Sustainability
considerations across Fortive and in each of our operatingcompanies. The role of our management and governancemodel is to ensure awareness and alignment of:• Strategic priorities• Risk management• Stakeholder engagement• Compliance and accountability• Resource allocation

FORTIVE SUSTAINABILITY TEAMThe Sustainability team works cross-functionally to guide
implementation of the Sustainability strategy with otherfunctions and the operating companies. The team is
responsible for development and implementation of thecompany’s Sustainability strategy, with primacy for the Protect
the Planet and Invest in Our Communities pillars. The teamreports to Mr. Underwood and briefs the senior leadershipteam each quarter on Sustainability targets and performance.

OUR COMMITMENT TO CORPORATERESPONSIBILITY & TRANSPARENCY• Continuous improvement• Innovation and resilience across the organization
Fortive’s Sustainability governance model is as follows:

BOARD
The Nominating and Governance Committee of the Board
has responsibility for oversight of climate-related strategies
and goals, and disclosure and reporting. Fortive’s SeniorVice President (SVP) and General Counsel provides periodic
updates (at least annually) to the Board’s Nominating andGovernance Committee as well as the full Board of Directors
on Fortive’s Sustainability strategy and goals, and disclosureplans and reports.

This report provides an update on Fortive’s progress toward
our Sustainability goals in calendar year 2023 and is preparedin alignment with the following frameworks:• The Global Reporting Initiative (GRI) standards: Core
(2021 standard)• The Sustainability Accounting Standards Board (SASB)
standard for Electrical & Electronic Equipment (RT-EE
version 2018-10)• The Task Force on Climate-Related Financial Disclosure(TCFD) framework• The United Nations Global Compact• The United Nations Sustainable Development Goals(UN SDGs)

SVP, GENERAL COUNSEL
Fortive’s Sustainability strategy and execution are managed
by our Senior Vice President and General Counsel, Peter
Underwood. Mr. Underwood reports directly to the CEO, andhis responsibilities include management of the Compliance,
the Enterprise Risk Management program, EHS function,and Sustainability. In addition to reporting to the Board, Mr.
Underwood provides regular updates to the Fortive seniorleadership team, segment CEOs, and operating company
leaders on Sustainability-related targets, initiatives,and performance.

In addition, we report our complete greenhouse gas (GHG)
profile and performance via the CDP Climate Change
disclosure each year. View our most recent CDP
disclosures here.

“Our board is proud to be part of a team that’s building a better and more
resilient company, community, and planet for our stakeholders. This reportreflects our commitment to transparency and our optimistic spirit, as wemeet the challenges and opportunities in driving a sustainable future for all.”JEANNINE SARGENT,
Chair of the Nominating & Governance Committee

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Fortive Corporation 2023 Sustainability ReportIntroduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Energy Transition
Fortive is at the forefront of the global shift toward a clean and sustainable energy future. Our mission involves tackling
our customers’ most complex technical hurdles and propelling breakthroughs across diverse applications, ranging frome-mobility to the electrification of everything.

Tektronix’s 2 Series Mixed Signal
Oscilloscope is a battery-powered,cloud-connected, intuitive user interface
that helps operators solve challenges
in EV and industrial applications in thetransition to renewable energy.

Fluke FEV Series improves safety
and charging efficiency at Level 2 AD
and Level 3FAST DC EVE chargers byallowing station operators to easily test
voltage and critical safety components
including GFCIs and RCDs.

Fluke’s Ra-Solar Multifunction
Tester is enabling a more efficienttransition to solar power, helping PV
professionals streamline installation
time by 20%, cutting testing anddocumentation time in half, andimproving quality and consistency
with a single handheld device.

Tektronix acquired ElektroAutomatik (EA), a leading
supplier of electronic test
solutions for energy storage,e-mobility, hydrogen,and renewable energy
applications, furthering
Fortive’s commitment to theglobal energy transition.

The acquisitions of Solmetric,a leader in solar test andmeasurement solutions, andAzima, the premier providerof predictive maintenancesolutions, reinforce ourcommitment to electrificationand put Fortive at the forefrontof solar and connected reliability.

Gems Sensors’ KS98 Rail MultiFunction Controller provides a uniquemodular architecture that helps solar
cell engineers meet the challenging
temperature control requirements ofsolar cell production to drive innovation
in solar infrastructure.

Fortive Corporation 2023 Sustainability Report15

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Automation &Digitization
We find ourselves in an era of transformative breakthroughs in automation and digitization. At Fortive, we empower ourcustomers by streamlining and digitizing their workflows leveraging our deep expertise in hardware, software, and AIdriven data analytics.

Accruent’s acquisition of RedEye enhances
their existing leadership in the EDMS space byoffering a versatile SaaS solution that enables
customers across various industries, whether
on-premise or cloud-based, to securely manage
their engineering documents, drawings, andmedia from any device.

Qualitrol is future-proofing theenergy grid with AKM345 GEN3,an oil and winding temperature
indicator that detects system risks
such as malfunctioning equipment,
friction, and/or rising temperatures,
enabling customers to digitize theirtransformers and support the risingdemand for electricity and newenergy sources.

Accruent introduces Accruent One, a modern centralized hub for engineering
document management that lets customers proactively manage and maintainworkplace functionalities while eliminating paper and driving their own
sustainability goals.

Industrial Scientific champions workplacesafety and environmental health by expanding
its gas detection technology to external devices
that deliver automated warnings to manage
productivity and protect workers.

Gordian’s Green Building Costs with RSMeansis an AI-driven, SaaS-based estimating tool thatenables construction professionals to estimate,plan, and budget the costs the costs of green
construction—both new commercial construction
and renovation work. From high efficiency
infrastructure systems to building shell materials tophotovoltaic panels, green roofs, and wind power,
RSMeans makes construction management
straightforward, scalable, and sustainable.
Hengstler-Dynapar’s multiturnencoders provide precision motion
control feedback to keep factory
automation humming, even inchallenging industrial environments.

16

Fortive Corporation 2023 Sustainability Report

ACTS Analytics
by Intelex is anenvironmental
management
information systemthat helps companies
efficiently track andprecisely manage
air emissions,water quality, soil
contamination, andhazardous waste to
inform compliant
and responsible
environmental
management.

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Productivity
GrowthFrom factory floors to surgical theaters, the demand for productivity and precision has never been greater. Fortive’s
innovations propel productivity enhancements within vital workflows by optimizing essential resources, contributing toa better, safer, and more efficient future.

ASP, an innovator in low temperature sterilization,puts life-saving instruments into the hands ofsurgeons faster than ever before by combining its
proprietary technologies and cutting sterilization timein half. ASP’s use of hydrogen peroxide for sterilization
avoids human health risks to patients, technicians,
and medical providers.

Censis introduces AI2, the first-of-its-kind instrument
tracking software solution that gives hospitals
greater visibility and control over sterile processing
and ensures safety and productivity in the laborconstrained healthcare field. On average, customers
using CensisAI2 see a 25% reduction in trays down at
the start of first shift within the first 6 months.

Our Landauer team, part of Fluke Health Solutions,accelerates progress by helping frontline healthcare
workers stay safe through monitoring their exposure
to ionizing radiation. By leveraging FBS, the team
reduced the time for new feature delivery in its
myLDR customer portal by 50%, while improving theability of Radiation Safety Officers to self-service on
the platform by 29%.

Dover Motion’s SmartStage XY is a highly compact
combination controller/drive circuit/encoderthat fits easily into tight life science labs so that
researchers can focus on breakthroughs instead ofspace constraints.

Fortive Corporation 2023 Sustainability Report

17

Our
Business

Introduction

Empower Inclusive
and Diverse Teams

Innovatefor Impact

Management Approach
Our people strategy is defined by our inclusive growthculture and is advanced through our career development
and rewards systems. We continually measure, review, andrefine our strategy through measured employee experience
processes. These key elements enable us to accelerate
progress for our customers, our teams, and the world.
Our continuous improvement culture came to life througha multi-year Human Resources Transformation initiative,
designed to deliver our business strategy well into the
future. Together, these systems and focused improvements
strengthen our employee value proposition and build our
employer brand while delivering better experiences to ourpeople and results for our customers.
Our Board of Directors, along with the Compensation
Committee, oversee our people strategy andmeasurement actions.

Operate with
Principle

Policies

2023 Goals & Performance

People Strategy
Fortive is a global team, over 18,000 strong, energized
by a powerful purpose. Our people strategy centers on
empowering inclusive teams working together to solve
problems no one could solve alone. We intentionallyseek out different skills, backgrounds, and voices todeliver results for our customers and fulfill our employee
promise—For you. For us. For growth.

Work and Source
Responsibly

Protect thePlanet78%

Employee
Engagement score82%

Employee Inclusion& Belonging score

Inclusive Growth Culture
Our culture sets the tone for Fortive’s people strategy anddrives Fortive’s success. Along with FBS, inclusion, diversity &equity (ID&E) enable our strategy and culture.
We believe that a diverse workforce creates extraordinary
value for our people and shareholders. Fortive has createdaspirational goals for historically marginalized groups.
We will work towards those goals through such actions
as recruiting from a wide variety of candidate sources,
cultivating an inclusive environment where everyone cansucceed, providing training on unconscious bias, andmonitoring policies and practices to ensure that no group is
inadvertently disadvantaged.
Another part of Fortive’s commitment to diversity is
our adherence to EEO (equal employment opportunity)
principles. All persons are evaluated through a neutral
merit-selection process. We do not consider race,
ethnicity, gender, or any other protected trait in our hiring,promotional, or other processes.

2020 2021 2022 2023
Annual Metrics(1)2020 2021 2022 2023

2020 2021 2022 2023

29%

28%

27%

36%

26%

37%

36%

Professional andManagement BIPOC

36%

BIPOC

34%

34%

34%

33%

32%

48%

31%

50%

38%

Professional andManagement Women

38%

Women

37%

36%

To drive FBS, continuous improvement, and ID&E
accountability at all levels, our VP, Inclusion, Diversity & Equity
works closely with our senior management, ID&E Council,
and ID&E practitioners across our businesses.

2020 2021 2022 2023

2025 Aspirational Goals(1) Based on internal data as of the end of the respective calendar year.

18

Fortive Corporation 2023 Sustainability ReportIntroduction

Our
BusinessInnovatefor Impact

UNLEASHING FBS

2023 went down in history as ourbiggest year of kaizen event activity,
delivering a 67% surge in quarterly
kaizen events and sustaining resultsaround the company:
We held our largest ever annual
CEO kaizen event, which ignites
collaboration and momentum acrossteams and operating companies
through the active engagement of ourmost senior leaders.
Many of our operating companies
experienced significant transformationin their business operations throughthe evolution of FBS to include robotic
process automation (RPA), machinelearning, and AI.
The Tektronix teamused our Policy Deployment tool todeliver breakthroughs and support
their customers’ energy transition,
culminating in the acquisition of EA
Elektro-Automatik.
At our annual leadershipconference, we
recognized Fluke as
the 2023 kaizen core value award
winner. Through more than 115 kaizen
events worldwide—all with impressive
sustainment—the Fluke team drove
exceptional business results such as
strong net dollar retention and working
capital performance.

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Employee Experience and Communication
Our promise to our people is—For you. For us. For growth. To achieve thispromise, our leaders at all levels of the organization actively seek feedback tostrengthen our culture.
Our approach continues to mature through quarterly touchpoints and leader
accountability. In our last comprehensive census survey in Q4-2022, over
80% of our global team responded, delivering steady gains in both overall
engagement and in inclusion and belonging that resulted in historically highratings of 78% and 82%, respectively. Our results continue to inform bothmanagement and our Board of Directors on appropriate actions to enhance
our employee experience.

Employee and Friends Resource Groups
At Fortive, Employee and Friends Resource Groups (EFRGs) activate our cultureof inclusion and create space for all voices to be heard. They’re a powerful way
to connect and learn more about change-making topics like code-switching,
how to be an ally, and unconscious bias.
We have eight Fortive-wide and over 25 company-specific EFRGs, with morethan 3,000 employee members.

Business, Career Development, and Reward
Systems
Our culture of continuous improvement inspires us to keep experimenting,growing, and learning. Our robust career development and reward systems
advance our people strategy by attracting, growing, and retaining theexceptional people we need now and in the future. These business andcareer development systems strengthen our ability to fulfill our employee
value proposition, build our employer brand, drive professional growth for ourpeople, and deliver results for our customers.
We’re committed to offering equal pay for equal work. Not only is it the rightthing to do, but this commitment also allows us to attract and retain talented
people, strengthens our inclusive culture, and results in a higher-performing
company. We regularly review our pay levels, which are defined for eachjob based on market data including geography, and we proactively adjust if
needed to achieve equal pay for equal work.

Fortive Corporation 2023 Sustainability Report19

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Business, Career Development, and Reward Systems (cont.)
Our Performance and Development processes drive results and career growth for our global teams. Performance for Growth
deploys our strategies into goals across the organization, while Development for Growth translates our beliefs and values into
desired leader competencies at all levels of the organization. Together, these processes provide a roadmap for the way we work,
deliver results, and build high-performing teams.
We also invest in our people at every level through our growth and development experiences. These experiences range fromleadership learning and FBS immersion to hands-on skill building in each of our three FBS pillars—growth, lean, and leadership.
Collectively, these experiences build skills, strengthen performance, and prepare our people for challenging opportunities.
With our strong and evolving portfolio, our people have the opportunity to accelerate their career across multiple industries,
meaningfully contributing to customer success, and impact in the world.

EXPERIENCEDESCRIPTION

Fortive Leadership
SummitDevelopment experience tailored toward senior vice presidents and presidents to accelerate growth, drive
unrivaled performance with FBS, and advance our inclusive culture.

People Leader
Experience

Deep, experiential learning for both new and experienced leaders, harnessing the best of interactive learning,and providing critical tools as our people take on greater people leadership responsibilities.

Accelerated
Leadership
Experience

Designed for high performing employees preparing to lead Fortive businesses or functions. We use
immersive and experiential learning, where leaders develop personal skills and insight to fulfill their potential.

FBS Office andUniversity

The FBS Office is dedicated to strategically embedding the mindset and toolset in everything we do. FBS
University, our proprietary virtual and hands-on learning environment, develops and reinforces learningfor hundreds of FBS Champions across our company each year to deliver value for our customers andshareholders.

FBS Ignite

Supported with intensive development in the FBS toolset, active mentoring from the FBS Office, andexecutive career coaching, participants advance and share their expertise across different businesses. In
2023, we expanded FBS Ignite to include our senior operating company leaders, further enabling them tolead with FBS to drive impact.

Growth Accelerator

A key development experience that enables our team to solve challenges in new, inspiring ways throughthree key innovation tools: Deep Customer Insight, Solution Generation, and Experimentation—eachdesigned to enable our people to develop critical, breakthrough solutions for customers.

“Across Fortive, there are a career’s worth of opportunities available toour people. We have a strong commitment to developing our people andwork to support all who want to develop their skillsets through varied
industry, operating company, and business unit opportunities.”
STACEY WALKER,
SVP & Chief Human Resources Officer

20

Fortive Corporation 2023 Sustainability ReportIntroduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Community
We operate on a global scale, but we also work to be a
powerful force for active service and positive change in
our local communities. Our teams contribute to and havea positive impact in the communities around the world
where we live and work.

Management Approach
We lead and organize our efforts to be trusted membersof our communities, as well as responsible global citizens,through three primary channels—our annual Day of Caring,
the Fortive Foundation, and the Fortive Scholarship Program.
Through our annual Fortive Day of Caring, we dedicate ourtime, resources, and talents to support local organizations andcauses we care about most. Each site or operating company
identifies events that are meaningful to their teams andcommunities. This inspires participation and results in lasting
impacts that benefit the community.
The Fortive Foundation was established in 2019 to accelerateand scale our philanthropic efforts and corporate giving. The
Foundation awards charitable contributions to non-profit
organizations whose missions advance and support:

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

2023 Goals & Performance$1.5M

in charitable donations to non-profit
organizations that advance STEM
education, community resilience, andenvironmental stewardship

53

100%

scholarships (20new awards and 33
renewals) awarded
through the Fortive
Scholarship Programof our operatingcompanies hosted atleast one community
volunteer event

19.4K

125+

volunteer hours
contributed through ourannual Day of Caring

communities supported
through over 80 Day ofCaring events worldwide• STEM education• Community resilience• Environmental stewardship
Building on our commitment to education through theFoundation, we also provide scholarship awards to ouremployees’ children to support their pursuit of post-secondary
education through the Fortive Scholarship Program. Each year,
we grant 20 new scholarships, along with renewal awards.

Fortive Corporation 2023 Sustainability Report21

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Day of Caring
Day of Caring is a Fortive tradition that reflects our spirit ofgenerosity and optimism. Acts of service connect us to thecommunities where we live and work, enhance our sense ofwell-being, and provide opportunities to engage in activities
or with organizations that are fulfilling on a personal level.
These events also provide a meaningful way for our teams tocome together and use their talents to help others.
An employee-led initiative, Day of Caring empowers ourteams to come together, engage with causes they careabout, and provide meaningful support to community
partners. Across the company, we offer everyone a full, paid
day off to serve their community.
In 2023, teams across Fortive supported local non-profit andcommunity organizations whose missions support:• STEM education• Children with special needs• Environmental stewardship • Elderly care and well-being
and maintenance• Under-represented• Mental health and wellcommunity support
being• Food security• Animal care

• K-12 education• Outdoor recreation

Day of Caring Champions
Behind each Day of Caring event is a Champion—someone
or a small team at our sites who works with the local nonprofit organizations to identify a need and opportunity for our
local team to support their mission.
Day of Caring Champions collaborate with leaders andemployee teams to plan and execute the service event(s),alongside the community organization’s leaders andconstituents.
From planting or harvesting a garden to taking shelter
animals for walks to cleaning a facility that helps youth-inneed from top to bottom, we roll up our sleeves to help those
who help our communities every day.

Hear from our people
about what Day of Caring
means to them
22

Fortive Corporation 2023 Sustainability Report

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Fortive Scholarship Program

Scaling Impact With Partners

We believe that great minds can realize a positive future.
It begins with our young people: it is their optimism,
their ingenuity, and their ambition that will shape a moresustainable, just future.

The Fortive Foundation supports non-profit
organizations whose missions advance progress in
STEM education, environmental stewardship, andcommunity resilience.

The Fortive Scholarship Program provides scholarshipawards to support their pursuit of post-secondary
education. Scholarships are available to support secondary
education, including two- or four-year college, university, or
vocational school.

In 2023, the Foundation contributed over $1.5M to over
15 organizations, including these keystone partners:

Scholarship awards are based on academic performance,
leadership, and economic need, with each scholarshiprenewable for up to three years.
In 2023, the student scholarship recipients werefrom 11 countries and enrolled in 46 post-secondary
institutions worldwide.

Fortive Foundation
We established the Fortive Foundation to direct and scale ourphilanthropic efforts. Since its first year of operation in 2020,
the Fortive Foundation has increased its annual charitable
contribution more than three-fold by supporting non-profit
organizations worldwide whose missions and impact alignwith the Fortive Foundation’s giving areas:• STEM education• Community resilience• Environmental stewardship
The Fortive Foundation has established partnerships withselect non-profit organizations to further amplify ourphilanthropic efforts. Through both the American Red Cross
and GlobalGiving, team members are able to donate directly
to support communities in need and have their contributions
matched by the Fortive Foundation.

STEM Education
Code.org
AnitaB.org
Engineers Without Borders
Community Resilience
Boys and Girls Club of America
Human Rights Campaign Foundation
Feeding America
Environmental Stewardship
The Nature Conservancy
One Tree Planted
Surfrider Foundation

Through the Fortive Foundation’s partnerships with theAmerican Red Cross and Global Giving, our people areable to donate directly to community campaigns and havetheir contributions matched by the Fortive Foundation.
In 2023, employees across Fortive established theFortive Environmental Alliance, an employee affinity
group, to promote environmental responsibility
awareness and action.
During their inaugural campaign, the Earth Month
EcoChallenge, they saved 488 pounds of CO2 byencouraging carpools and planting more than 100 trees.

Fortive Corporation 2023 Sustainability Report

23

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Climate Change &GHG Emissions
Climate change is one of the most pressing issues facing our planet today. We understand the importance of taking
action to address climate change. As a responsible corporate citizen, we recognize our duty to take bold action to
mitigate the effects of climate change—this is why we committed to reduce absolute Scope 1 and 2 greenhouse gas(GHG) emissions 50% by 2029 from 2019 levels, consistent with the Science Based Targets Initiative (SBTi) guidance.

Management Approach

Total
59,07360,000Total
53,526

Total
52,074

Scope 2

Total
51,16937,911

36,701

13,258Implementation of these initiatives is driven via crossfunctional collaboration with Finance, EHS, Facilities,
Operations, Procurement, and Legal teams across ouroperating companies.

15,373

Organic Efficiency: Indirect emissions reductions gained
via the continued addition of renewable energy to theelectricity grid.

13,85320,00039,67440,00039,385

Renewable Energy: Achieved through utility clean energy
purchases, on-site renewable energy installations, andrenewable energy certificates procured throughunbundled and large-scale renewable energy powerpurchase agreements.

Scope 1

Total
68,784

19,688

Direct Emissions Reductions: Derived from GHG emissions
reduction projects identified and implemented across ourmajor sites. These range from infrastructure upgrades toprocess and workflow efficiencies and/or improvements.

80,00047,595To reduce our Scope 1 and 2 GHG emissions, our plans centeron these three strategies:

GHG EMISSIONS (METRIC TONS OF CO2E)

21,188

Our strategy to reduce GHG emissions across our operations
leverages Fortive’s core strengths—our data-driven culture,scaling smart and impactful results using FBS, and ourcommitment to kaizen to improve and sustain performance.

2023 Goals & Performance

2019

2020

2021

2022

2023

DRIVING CONTINUOUS IMPROVEMENT IN DATA COLLECTION
To further strengthen our GHG emissions accounting and reporting processes, in 2023, we began our transition to a thirdparty managed utility bill management service (UBMS). The purpose of the UBMS is to improve timeliness, accuracy, andcompleteness of the data that informs Fortive’s GHG emissions, water use, and waste generation inventories.
The UBMS has three main benefits:• Eliminating manual data entry by ~100 team members across the globe• Aligning data collection and analysis with the 10-K reporting schedule, per the U.S. Securities and Exchange Commission’s(SEC) climate disclosure rule
• Enabling cost savings via timely closure of utility accounts, identification of energy and/or water system downtime or leaks,
and utility rate analysis
24

Fortive Corporation 2023 Sustainability ReportIntroduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

2029 GHG Goal—Strategic Roadmap

Scope 3 GHG Emissions

In 2022, we announced our commitment to reduce
absolute Scope 1 and 2 GHG emissions 50% by 2029, from2019 levels. Our goal is aligned with the Science Based
Targets Initiative (SBTi) for interim targets, and to achieve
the goal, we have grounded our strategic plan with thesemanagement priorities:

In 2022 and through 2023, we expanded our GHG emissions
accounting to include Scope 3 emissions, i.e., emissions
generated through our upstream and downstream value
chain operations.

• GHG targets for operating companies: To drive
continuous improvement and investment of carbon
reduction initiatives, each operating company has anannual GHG reduction target. Goals are scoped relative tothe operating company’s size and carbon intensity.
• Sustainability kaizens: Across our major operations, ourteams continuously evaluate and identify opportunities toreduce energy, sources of GHG emissions, and water andwaste inefficiency.
• Capital investments: We support capital funding for
projects that deliver meaningful GHG emissions reductions.
• Projects are reviewed by the Fortive Sustainability
Team prior to the annual budget process; approved
projects are submitted for inclusion in the operatingcompany’s budget for the following year.
• Renewable energy: We are developing a multi-faceted
renewable energy strategy, which includes direct-throughutility procurement, on-site renewable energy installations,and large-scale, clean-energy projects.
• We developed an internal renewable energy policy
to guide operating companies’ procurement of
renewable energy to ensure consistency and integrity.

Collecting and analyzing Scope 3 emissions helps
us understand:• Which Scope 3 categories are relevant• Which categories are significant contributors to our GHG
emissions profile• Where and how we can achieve impacts and reductions in
the near- and long-term
In 2023, our Scope 3 GHG emissions totaled over 599k
MTCO2e. Relative to our Scope 1 and 2, our value chain
emissions were more than 11x higher.
Given the alignment of our Scope 1 and 2 GHG reduction goal
to the SBTi, we are actively working with teams across Fortive
to obtain higher fidelity data(1) and understand the near- andlonger-term opportunities we have to drive efficiency acrossthe value chain.

Across the 15 categories of Scope 3 GHG emissions, we
determined that 10 are relevant:• The policy identifies renewable energy instruments
and sources of renewable energy.

SCOPE 3
EMISSIONS,BY CATEGORY(MTCO2E)

UPSTREAM
Purchased goods andservices - 185,489
Capital goods - 119,357
Fuel and energy related
activities - 10,604
Transportation &distribution - 58,982
Waste generated inoperations - 4,214(1) Our Scope 3 data analysis currently leverages economic input-output models.

DOWNSTREAM
Use of sold products- 192,512
End-of-life treatmentof sold products - 26
Investments - 3,438

Business travel - 13,237
Employee commuting 12,061

Fortive Corporation 2023 Sustainability Report25

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Water Management
We recognize the importance of water stewardship in the regions where we operate worldwide. Although our operations
are not water intensive relative to industry standards, we strive to minimize the impact we have on watersheds andwater withdrawals.
In 2023, we announced our commitment to reduce absolute water use 10% by 2029, relative to 2022 levels. In support ofthis goal, we are accelerating our efforts to reduce water use in high-risk regions(1) and at our highest use sites.

Management Approach
We use a rigorous data collection and review process to qualify and quantify water use across our operations. The process is
consistent with our GHG accounting process, including our use of Intelex’s Sustainability Performance Initiatives (SPI) software
for water data collection and management. In 2022, we asked our sites to report water use in a more discrete manner, to better
understand what sources and operations are driving water consumption.
As with GHG emissions and source data, we built and maintain PowerBI dashboards that enable access and visibility to leaders,site managers, and EHS and facilities professionals. Through the dashboards, site managers and team can easily identify
anomalies and trends, which allows them to take action in real-time.
Fortive supports funding for projects that deliver meaningful water reduction. These projects are a key component of our water
reduction strategy, and we leverage our culture of kaizen to examine and identify opportunities for impactful reductions.

Water Risk Assessment
In 2022, we developed a water risk assessment within
our Sustainability Assessment tool to support our initialassessment of at-risk sites and inform water reduction
strategy and targets.
The assessment guides site managers and teams inaccounting for water use and relevant operations. The results
often identify potential water-related risks and opportunities.

Water Use (megaliters)

2022

2023

332.5

374.9

* Our 2023 water consumption increased 12.8% compared to 2022.
We attribute this increase in part to increased operations andemployee presence on-site. Water consumption increased by
6.2% across our high-risk sites.

In preparation for developing plans to achieve the 2029
goal, a team of EHS and facilities professionals across the company collaborated to make substantial improvements to theassessment. The updated tool and training have been shared with teams worldwide.

Waste Management
Due to Fortive’s classification in the Industrial and/or Capital Goods sectors, waste is often flagged as a significant issue. To test thevalidity of this assumption, in 2023, we updated our waste data collection process to better understand the quantities and types
of wastes generated across our major operations. Our findings indicate that Fortive's waste profile is well below industry averages,
and that neither hazardous nor non-hazardous waste is a significant management issue across Fortive.
Therefore, while waste management falls into the moderately significant zone on the Materiality Matrix, driven by industry and/or
sector classifications, we do not consider waste to be a significant issue.

(1)

26

We use the World Resources Institute (WRI) Aqueduct 3.0 Water Risk Atlas tool to evaluate water risk across our global operations. Sites in regions identified
as having “Extreme” or “High” risk are required to complete a water risk assessment. In addition, regardless of risks, those sites with significant water use also
complete a comprehensive assessment.

Fortive Corporation 2023 Sustainability ReportIntroduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse TeamsWork and Source
Responsibly

Operate with
Principle

Policies

Data Management and Governance

UNLEASHING FBS

We have established Intelex as our single source of
truth for GHG and supporting data management. To
drive consistency and alignment to The Greenhouse
Gas Protocol’s standards, we created an internal GHG
Accounting Protocol. We also use the protocol as ateaching and training tool to drive consistency andcompleteness of GHG data collection and accounting.
Applying the rigor and discipline of FBS, we havedefined and refined the GHG data collection,accounting, and reporting processes and controls
to ensure that the data we publish is of the highest
integrity, traceable, and complete. This has been
instrumental in securing third-party Limited Assurancein accordance with ISO 14064-3 and ISAE 3000.
We seek third-party assurance for GHG accounting
and reporting to ensure the following:• Credibility andtrustworthiness

Protect thePlanet• Risk management• Compliance• Stakeholder
expectations• Objectivity andindependence• Continuous
improvement

The Fortive Sustainability Team has primary responsibility
for climate, water, and waste data collection andmanagement processes.
Since announcing our first GHG reduction goal in 2019, we
have continuously improved the integrity, completeness, andprocedures used for climate, water, and waste data collection
and reporting. In less than four years, we have graduatedfrom Excel files to Intelex, a purpose-built environmental datacollection management system, obtained third-party Limited
Assurance for consecutive annual GHG inventories, andbegan implementation of a utility bill management system(UBMS) to automate and expedite the timeliness of our utility
data capture.
In 2018, Intelex launched its first Sustainability data
management application, Sustainability Performance
Indicators (SPI). In 2023, Intelex beta-tested its new
Corporate Reporting for ESG solution, which assists
companies by providing a preconfigured and guided datacollection, management, and reporting solution.
Informed by voice of the customer surveys and interviews,
Intelex designed its new ESG reporting solution to address
customer needs, including:Through each third-party assurance process, we gain
new opportunities to drive continuous improvement.
Third-party assurance also confirms that our internal
protocol and its controls and procedures conform to
the best practices outlined in The Greenhouse Gas
Protocol standards.

• Getting started with reporting and making the most oflimited resources• Mitigating risk with an end-to-end ESG data collection andreporting solution• Evolving ESG reporting from voluntary to mandatory

THE EVOLUTION OF FORTIVE’S ENVIRONMENTAL DATA COLLECTION & MANAGEMENT SYSTEMS
Excel-based
GHG accounting;annual datacollection

Transitioned
to Intelex ESG
software; quarterly
data collection

Fully operational
in Intelex ESG
software; quarterly
data collection

Internal
PowerBIdashboards;
drill-down data

Began implementationof utility bill
management
system (UBMS)UBMS launch;evaluating data
controls andprocedures

2017–19

2020

2021

2022

2023

2024

Used
available
resources

Scaled efficiency
by partneringwith EHS andCompliance

Expandedscope of datacollection

Enhanced internal
visibility toenvironmental dataand performance

Improved timelinessof data collection;
eliminated manual
data entry

Align with new
climate-related
disclosure
requirements

Fortive Corporation 2023 Sustainability Report27

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Workplace Health & Safety
Our vision is to maintain a world-class environmental, health, and safety (EHS) program rooted in the spirit of kaizen. We
strive to proactively identify and mitigate EHS risks for our employees, advance operational efficiency, and eliminate waste.

Management Approach

EHS Governance

We are committed to the health, safety, and well-being ofour people. To keep our teams safe, we have proactive EHS
programs that prioritize identifying risks and mitigatinghazards to avoid injury and incidents.

Fortive’s General Counsel is the executive sponsor of
the EHS Leadership Council (EHSLC), which includes
senior EHS leaders responsible for EHS and Sustainability
initiatives at the operating company level and Fortive’s
Sustainability team, who partner with EHS leaders tointegrate Sustainability into company operations. Each
operating company manages EHS on a day-to-day basis toensure that policies and practices reflect the nature of theirsite-specific work.

We develop preventive and corrective action plans informedby EHS metrics including total recordable incident rates(TRIR) and days away restricted or transferred (DART), which
identify the location, number, and severity of injuries.
To quantify and drive continuous improvement, our operatingcompanies assess the EHS Risk at each of our EHS Significant
Sites and report the EHS Risk Score twice a year. The EHS
Risk Score is a Fortive standard metric comprising five EHS
performance categories:• Leadership involvement• Sustainability• Health & safety• Metrics• Environmental
Our EHS policy aligns with ISO 14001 and reflects ourcommitment to conducting business safely, with the healthand well-being of our people, customers, and planet inmind. We leverage data and FBS tools to ensure that EHS
management meets and exceeds applicable laws andregulations across all of our operating companies.

2023 Goals & Performance

56%

Total Recordable
Incident Rate* (TRIR)

62%

Days Away, Restricted
or Transferred* (DART)* Percentage of operating companies in the top quartile of their industry;refer to the EHS Data Table for certifications.

28

Fortive Corporation 2023 Sustainability Report

The EHSLC develops company-wide policies and supports
our network of over 300 sites across the globe. The EHSLC is
responsible for the EHS policy, which is reviewed every two
years. EHS leaders are responsible for aligning their operatingcompany’s EHS policy to the Fortive EHS policy to ensure
consistency and continuity.
The EHSLC is designed to ensure that EHS professionals andleaders across Fortive can easily communicate progress,
challenges, and opportunities to improve.

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

UNLEASHING FBS

Our operating companies are committed to ensuring
safe workplace environments. Our EHS and facilities
teams work together to understand the situationalrisks that could result in injury or incident across a wide
range of conditions. We recognize timely EHS training
and proactive risk identification and corrective action
as leading indicators of employee safety and prioritizethese strategies accordingly to reduce incidents andworkplace risks.
In 2023, the Sensing Technologies Group’s EHS teams
leveraged FBS to improve employee health and safety
management, including:
The Sensing Technology Group—Anderson-Negele,
Gems Setra, Hengstler-Dynapar, and Qualitrol—
deployed a compliance calendar in the Intelex
Compliance Tasks solution. The calendar includes EHS
regulatory compliance tasks, training requirements,
dates and deadlines, permit renewal dates, inspections,and more. The tool allows the teams at all levels of theorganization to dynamically see, track, and update EHS
activities, documents, and reminders. As a result, the team
improved on-time delivery (OTD) of compliance actions.

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

The EHS Risk Score
The EHS Risk Score is an internal tool used by all ouroperating companies to assess risks, define leading EHS
practices, and drive continuous improvement. Across Fortive,
sites review and assess their EHS risk profile twice annually,and scores are reported to leadership.
The EHS Risk Score is based on site population, and ourgoal is to reduce the average EHS Risk Score across thecompany by implementing EHS programs and initiatives
that reflect and respond to hazards and risks applicable to
our workplaces.
The EHSLC is responsible for management of the EHS Risk
Score, including reviewing and updating the categories andcriteria at least every three years. The EHS Risk Score was
updated in 2022 to include a Sustainability category andincorporate criteria in each of the five categories to improve
EHS risk management for our software-focused businesses.

During the semiannual EHS compliance audit at ourHengstler-Dynapar Kezmarok site, the EHS andengineering teams conducted a problem-solving
process (PSP) kaizen to mitigate an electrical hazard in
the engineering test lab. Together, the teams developed
a safeguarding method that protects the engineers while
maintaining maximum flexibility required for the testing
environment by combining fixed guarding, guarding
interlocks, and presence-sensing light curtains.

The Qualitrol Fairport EHS team conducted a week-longmachine guarding kaizen to evaluate machine guardingneeds across their 80,000 square foot facility. As a result,157 pieces of equipment received machine safeguarding
upgrades and team members were trained on machine
guarding and related safety practices.

Our Hengstler-Dynapar Elizabethtown site hosted
an energy kaizen to conduct a facility-wide air leakstudy. Using the Fluke ii900, the team identified over
400 leaks. The kaizen team, which included auditorsand maintenance personnel, fixed 47 of the identified
leaks during the event, with an action plan to close theremaining leaks identified. The energy waste from theleaks identified represents 168 tons of CO2e emitted and$37,000 in energy spend annually.
Fortive Corporation 2023 Sustainability Report29

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Responsible Sourcing
Setting High Standards for Partners
and Suppliers
We expect our partners and suppliers to share our high standards
for quality and safety, our commitment to fair labor practices, andour stand against corruption and human trafficking.
The Fortive Supplier Code of Conduct (Supplier Code)articulates these expectations and standards for conduct andtransparency. It is extended to all suppliers to:• Clearly articulate our values, standards, and expectations• Ensure alignment with our priorities for safe and fairworking conditions• Promote production practices that ensure quality and safety• Protect the rights of all people and respect for the planet

Building a Stronger and More
Resilient Supply Chain
We work continuously with our suppliers to build a more
resilient supply chain that responds to the evolving demandsof our customers and our world. Our commitment to resilient
supply drives our risk management strategy, which includes:• Defining, deploying, and upholding standards• Building relationships with strategic suppliers who share
our commitments• Broadening our aperture for prospective suppliers undersole source conditions• Reducing risk associated with materials, services, andsupplier readiness• Pursuing partnerships with responsible in-country suppliers

Supplier Code of Conduct
Our Supplier Code is available in 14 languages, and we
proactively engage with suppliers to ensure alignment with ourstandards and expectations.
Guided by the Supplier Code, we work with suppliers that follow
production practices that ensure quality, safety, environmental
protection, and the rights of all people.
The Supplier Code is aligned with the International Labour
Organization (ILO) and includes specific language on humanrights and combating modern slavery. Through our Human Rights
Risk Assessment and Supplier Audit Program, we also educate
suppliers on our expectations outlined in the Supplier Code.
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Fortive Corporation 2023 Sustainability Report

Operate with
Principle

Policies

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

UNLEASHING FBSThe Global Procurement organization turned to theprinciples of kaizen to apply lessons learned throughthe pandemic and subsequent global supply chain
challenges to improve our internal Supplier Risk
Management process and tool. A cross-disciplinary
team came together to explore risk vectors andprioritize mitigation options. After running anexperiment at one of the larger participating
operating companies to ensure they had considered
the appropriate data inputs, they partnered withthe corporate Procurement team to roll out the newprogram through a series of 13 workshops. Today,
100% of Fortive’s hardware operating companies
have adopted the new program, which includes asystematic process for assessing new suppliers andperiodically reassessing the impact of suppliers on
business operations.

Supply Chain GovernanceFortive’s Senior Vice President, FBS Office, is the executive
sponsor of the Procurement and Supply Chain function,
which is led and managed by the Corporate Vice Presidentof Global Procurement & Supply Chain, with support fromthe Fortive Corporate Procurement team as well as the Vice
President and Associate General Counsel for Global Trade.
This team sets global standards and issues global policies
that establish expectations for the operating companies.
Due to the unique sourcing requirements of each operatingcompany, each of our operating companies has a dedicatedprocurement team that is responsible for implementing
policies, programs, and strategies in their daily managementof procurement operations to fulfill the needs of the businessand the customers we serve.

Supplier Audit Program
The Fortive Responsible Sourcing Audit Program aims
to enforce the standards set forth in our Supplier Code,covering a broad spectrum of subjects:• Fair competition• Climate risk management• Corruption• EHS compliance• Trade practices• Materials quality• Human rights• Data privacy

Responsible Sourcing audits are coordinated through our
Human Rights Risk Assessment process. The audit frequency
is informed by the corresponding Corruption Perception
Index (CPI) and Global Slavery Index.
Before conducting audits, every internal auditor undergoes
comprehensive training on identifying the indicators ofhuman rights and modern slavery violations and evaluating
the implementation and effectiveness of recommended
policies to protect workers’ rights and safety.
In 2023, we assessed over 200 direct material suppliers, and100% of suppliers received a satisfactory rating. Areas for
improvement were confined to policy andprocess enhancements.
If a Responsible Sourcing audit reveals a significant issue,
our legal teams evaluate the situation and advise on theappropriate actions required by applicable laws, regulations,and supplier contract terms and conditions. We treat nonconformance by a supplier as severely as we do within our own
operations, as clearly communicated in the Supplier Code.

Sourcing Locally
We continue to prioritize identifying suppliers that are
geographically closer to our sites and customer locations.
This approach diminishes our carbon footprint by minimizing
distances between suppliers and our operations, enhancesbusiness resilience, and contributes value to local communities.

2023 Goals & Performance100%

completion of
responsible sourcing
audits for high-risk
suppliers• Labor rights
Fortive Corporation 2023 Sustainability Report31

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Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

2023 Certified Diverse
Supplier Spend$91.4M

in 2023, approaching our aspirational goalof $100M annually by the end of 2025

Supplier Diversity
Our success depends on delivering high quality innovative
solutions for our customers, and our suppliers are criticalpartners to our success. Ensuring that certified diverse
suppliers have an equal chance to compete for suppliercontracts promotes healthy competition and gives us a fullview of qualified suppliers to ensure we provide the best forour customers.
Our aspirational supplier diversity goal is to spend $100M
annually with certified diverse suppliers by the end of2025. To drive progress, we recruit from a wide variety ofsupplier sources, provide training on unconscious bias to our
procurement teams, and monitor policies and practices toensure that no group is inadvertently disadvantaged.
All suppliers are evaluated through a neutral merit-selection
process. We do not consider race, ethnicity, gender, or any
other protected trait in the selection of our suppliers, nor do
we have any financial set-asides or commitments for any
demographic group.
In 2023, we spent $91.4M with certified diverse suppliers, andwe focused on building out our supplier diversity program
to drive performance and progress through a number of
initiatives.
• Inclusion of Disabled-Owned Diverse Suppliers: We
introduced a new classification to support and recognize
businesses owned by person(s) with a disability.

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Fortive Corporation 2023 Sustainability Report

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Responsibly

Operate with
Principle

Policies• Supplier Diversity Education & Awareness in
Procurement: In partnership with the procurement
organizations at our operating companies, we launched
an education and awareness campaign to highlight theimportance of supplier diversity and integrate it into ourstandard work.
• National Minority Supplier Development Council(NMSDC): We established a partnership to foster
connections with minority business enterprises (MBEs)
and expand our diverse supplier vendor base.

Human Rights
We are committed to conducting our operations in an ethicaland responsible manner, which includes upholding fair labor
standards for all employees across our operating companies.
In our commitment as a signatory to the United Nations
Global Compact, we extend these expectations for businessconduct across our supplier network.
Threats to human rights are constantly evolving and growing.
We take seriously the need to understand labor and humanrights practices across our suppliers. We are engaging moredeeply with our suppliers to ensure they support international
efforts to protect human rights and abolish forced labor, childlabor, and human trafficking and address any issues.
Supporting human rights and fighting modern slavery
advances the safety of the communities from which we source.
Our objective is to leverage our assessment process to educate
our suppliers and raise expectations across our supply base.

This is our 5th year of supplierassessments to address human rights.
The program was significantly updated
in 2021, and 2023 was the third cycle
using the revised program.
To date, we have achieved 100% compliancewith the human rights requirements.

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse TeamsWork and Source
Responsibly

Protect thePlanetOperate with
Principle

Policies

Ethics & ComplianceIntegrity and compliance are integral to our culture and our success. When we do the right thing by acting in accordancewith our Code of Conduct (Code) and our values, we deepen the trust and respect of our colleagues, our customers, ourbusiness partners, and our shareholders.

Management Approach
Fortive’s global compliance program is led by Fortive’s Chief Compliance Officer and the compliance team. The Fortive team sets
global standards and issues global policies that establish expectations for the entire company, including operating companies. The
Fortive team works in collaboration with the compliance personnel within the operating companies to operate the program. The
Audit Committee of the Board of Directors has oversight responsibility for the compliance program and ensuring its effectiveness.
The Global Compliance Program sets the global minimum standard. Each operating company makes an assessment about theirbusiness model and their industry(ies) to determine if there is a need to make policies and procedures more comprehensive or
restrictive, or to adopt new ones. Compliance is a significant element of the Risk Assessment Process (RAP), which is conductedannually and updated regularly throughout the year.
Measuring and tracking our key performance indicators (KPIs) for ethics and compliance is integral to continued positive and real
improvement. We review the KPIs quarterly with senior leadership to ensure visibility and transparency on our program’s current
state and improvement opportunities.
We provide annual ethics and compliance training and learning toolkits on the Code and other critical topics to all of ouremployees. Refer to Unleashing FBS for additional information.

23

2023 Goals & Performance

99.8%

13

languages available for
our Code of Conduct

on-time completion rate foronline compliance training

languages available for required
Code of Conduct training

37

96%+

100%

average days for Speak Up!
case closure, exceeding
goal of 45 days

completion rate for Codeof Conduct training acrossapproximately 16,000 employees

completion rate for complianceduties and responsibilities
training by Board of Directors

SPEAK UP!
Our Speak Up! program exemplifies our open-door policy and commitment to transparency: our employees and business
partners have multiple avenues available to raise questions or integrity concerns. For example, our Speak Up! phone hotline andweb reporting tool are available in 23 languages.
In 2023, building upon the compliance-focused foundation of our Speak Up! program, we updated our hotline, process, andtraining materials to be compliant with the EU Whistleblower Directive (Directive). We expanded local channel resources inregions subject to the greatest changes, to further improve compliance.
Fortive Corporation 2023 Sustainability Report33

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetRisk Assessment Program (RAP)
We proactively approach risk management by identifying and evaluating key risks
using a consistent framework and comprehensive assessments.
Our RAP is a core tool we use to identify and manage risks on an ongoing basis.
Fortive and its operating companies participate in the RAP annually and makeregular updates to ensure that we are effectively identifying risk, mitigating where
necessary, and striving to realize opportunities. Business and functional leaders
evaluate the risks inherent in their operations on topics including:• International dynamics• Data protection and cybersecurity• Human resources• General and internet technology• Regulatory and industry standards• Environmental, health and safety• Finance and accounting compliance• Supply chain• Product safety and security• Climate change• Sales and marketing
We use the RAP results to inform business decisions on topics including ourworkplaces, infrastructure investments, regulatory framework, supplier andcommodity sourcing, compliance, EHS programs, and climate change planning. We
track progress on the countermeasures quarterly and adjust our actions as needed.
Within the RAP, operating companies evaluate and rate physical and transition risks
associated with climate change. Physical risks may be acute or chronic, and Climate
Impact Reports developed by FM Global, our property insurance provider, assist
operating companies with the assessments.
Transition risks assessed by the operating companies broadly include:• Regulations and policies• Technology and technological trends• Market trends• Customer sentimentWork and Source
Responsibly

Operate with
Principle

Policies

UNLEASHING FBS
We leverage our FBS mindset andtoolkit to continuously improve ourCompliance program. Below are somehighlights from 2023.

Continuous Improvement forCompliance Learning
To improve awareness andunderstanding of the tenets andscope of our Code, the Complianceorganization developed customized
training for the Board of Directors
and for Fortive employees worldwide
in 13 languages.

Leveraging Technology
to Enable Efficiency
We developed a chatbot, which will
launch in 2024, to help employees
quickly answer policy questions andlocate the resources they need tosupport our teams and customers.

There are multiple stages of the RAP process, designed to solicit and incorporate
inputs from operating companies, segments, global functions, and regions. Thisrobust process ensures and provides an informed and prioritized view of the risklandscape across the portfolio, globally, and at every level of the organization up to
the Board of Directors.

ENHANCING COMPLIANCE TRANSPARENCYWorldwide, demand from stakeholders is increasing for information about our Compliancepolicies, programs, and adherence to various standards.
We conducted an in-person kaizen with an operating company legal team to improve
preparation for external inquiries, visits, and audits.
Through and following the kaizen, we completed a policy refresh and created new training
and additional standard work. After 6 months, the team reports markedly fewer hours
spent preparing responses.

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Fortive Corporation 2023 Sustainability ReportIntroduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Privacy, Information &Intellectual Property Governance
Innovation and information are fundamental to our business of providing best-in-class products and services to ourcustomers. With a multitude of artificial intelligence (AI) tools and data science techniques, we are innovating fasterand finding new ways of dramatically improving efficiencies. As we incorporate AI and other cutting-edge technologies
into our products and processes, we continue to maintain robust data privacy, intellectual property, and information
governance programs.

Management Approach
Fortive’s Privacy Information and Governance (PRINGO) team applies governance for data privacy, intellectual property, and AI
usage strategically and cohesively. The PRINGO team develops policies and compliance requirements in accordance with local,
state, and national requirements. These policies and requirements are implemented by the operating companies worldwide.
The PRINGO team provides expertise to the operating companies by implementing specialized shared services that reduce
inefficiencies associated with distributed administration. In addition, the PRINGO team uses automation to streamline workflows
and increase responsiveness, reducing Fortive’s risk profile globally.
The PRINGO office is guided by three principles:

DO BETTER

DO MOREDECREASE EXTERNAL SPEND

by having relevant
accountabilities performed
by a specialist shared service,
reducing administrative burden
on operating companies

using automation to simplify
and scale performance tolegal requirements and raising
the attainment bar to reduce
Fortive’s risk profile globallyby reducing unplanned spend
and creating predictability
in expenses, while delivering
insight and results to operatingcompanies in virtual real time

Fortive Corporation 2023 Sustainability Report

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Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

PRIVACY PROTECTIONS
We are committed to maintaining and protecting customer
privacy in our global operations. We adhere to regulations
and constantly monitor new and emerging requirements toensure our practices are current, effective, and responsive.
The PRINGO team established a toll-free number to enable
our teams and customers in the U.S. and Europe to exercise
their data privacy rights and submit an inquiry. This includes
access to personal information and the right to receive
a copy, the right to deletion and erasure of all data on an
individual, and the right to rectification or the correction ofincorrect or incomplete data.

IP RIGHTS
We respect intellectual property rights, which stimulateinnovation and creation and drive our growth. We continue
to add to our IP portfolio, increasing our number of patents,
software code, trade secrets, and trademarks.

AI AND INFORMATION GOVERNANCE
We are committed to applying appropriate governance overthe use of AI across Fortive, including human supervisionand transparency. As laws and regulations evolve worldwide,
Fortive’s PRINGO team adapts and deploys policies andcompliance requirements to meet those changes.

“We respect our customers’ privacy and continually monitor andcommunicate with our operating companies about practices and theimportance of performing to legal and regulatory expectations.”
BILL KARAZSIA,
Associate General Counsel – Privacy & Information Governance36

Fortive Corporation 2023 Sustainability ReportIntroduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Cybersecurity
Agility is always top of mind in our business operations. We know that business continuity requires having strong, securesystems in place, as well as a nimble and proactive culture. Whether our companies are several years old or decades old,
we are united in our relentless commitment to curiosity, innovation, and our customers.

Management Approach

Cybersecurity Governance

Cybersecurity is an important part of our risk management
processes and an area of focus for our Board andmanagement.

Cybersecurity is an important part of our risk management
processes and an area of focus for our Board andmanagement. To ensure visibility, oversight, and managementof information and cybersecurity, our CIO and/or CISO:

Our Audit Committee is responsible for the oversight of risks
from cybersecurity threats and provides regular reports tothe entire Board. At least annually, the entire Board receives
an overview from management of our cybersecurity
threat risk management and strategy processes covering
topics such as data security posture, results from thirdparty assessments, progress towards predeterminedrisk-mitigation-related goals, our incident response plan,and material cybersecurity threat risks or incidents anddevelopments, as well as the steps management has taken to
respond to such risks.
In such sessions, the Board generally receives materials
indicating current and emerging material cybersecurity
threat risks and describing the company’s ability to mitigate
those risks and discusses such matters with our CIO andCISO. Material cybersecurity threat risks are also consideredduring separate Board meeting discussions of overall key
enterprise risks, operational budgeting, crisis management
planning, and other relevant matters.

• Report to the Audit Committee and to the full Board aboutcybersecurity threat risks and other cybersecurity related
matters• Meet with the information security teams at the operatingcompanies monthly, or as needed, to review escalated
items, compliance with incident response plans, andperformance against strategic targets• Meet with the CEOs of our operating segments and thepresidents of our operating companies to discuss IT
strategies, updates, and initiatives, including those related
to cybersecurity• Meet with the Audit Committee quarterly and the full Board
annually to provide updates on the cybersecurity program,including controls and processes, strategies, achievements,
risks, and recent incidents• Meet with the full Board annually as part of the overall
enterprise risk management review• Meet with other members of the Disclosure Committee
to discuss materiality and disclosure with respect tocybersecurity matters

Our Cybersecurity team’s strategy and annual
performance targets align with the National
Institute of Standards and Technology (NIST)
Cyber Security Framework. NIST’s maturity
rating is the best-in-class industry standard.
Fortive continually benchmarks against
the NIST standard along with several otherexternal and internal measures.

Fortive Corporation 2023 Sustainability Report37

Introduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Cybersecurity Risk Management
Our process for assessing, identifying, and managing material risks associated with cybersecurity threats, including risks related
to disruptions to our operations, compromise of our intellectual property rights, data privacy, litigation, and other legal liability
and reputational impacts, is an important component of our overall enterprise risk management process. As part of this process,both corporate and operating company leaders collaborate with subject matter experts to identify and assess cybersecurity
threats and implement relevant countermeasures.
We have separate cybersecurity-specific risk assessment and management processes that are managed centrally and executed atboth the corporate and operating company levels.
These processes, including corresponding controls, are designed to help us protect against, detect, and respond to
cybersecurity threats, and to manage business continuity, the availability of critical systems, product security, disclosure controls
and procedures, escalation, and regulatory compliance in the event of any cybersecurity disruption.
Our processes also address cybersecurity threat risks associated with our use of third-party software and service providers. Thirdparty risks are included within our overall risk assessment process, as well as our cybersecurity-specific risk identification program.
• We have designed our cybersecurity program based on
the National Institute of Security and Technology (NIST)
framework, Generally Accepted Privacy Program (GAPP)
guiding principles, and ISO 27001/2 standards• Our cybersecurity team, led by our Chief Information
Officer (CIO) and Chief Information Security Officer (CISO),
coordinates with our privacy and information governanceteam within our legal department to help ensure compliancewith applicable regulatory and reporting requirements• The CIO and CISO undertake an annual review of thecybersecurity strategy and initiatives for Fortive and eachof the operating companies, with monthly reviews ofperformance relative to strategic initiatives with the CEO
and the other executive officers• The CIO and CISO participate in product design
efforts with operating company leaders to enhance
our product security• Through the compliance training program, we conduct
mandatory cybersecurity management, data privacy andincident training for all employees• We conduct regular phishing email simulations for all
employees and all contractors with access to corporate

email systems to enhance awareness and responsivenessto possible threats• Through policy, practice, and contract provisions, we require
employees, as well as third-party vendors who process data,to treat customer and other personal information and datawith care and in compliance with regulations• We run tabletop exercises conducted by leading thirdparty cybersecurity experts, with involvement by thebroader IT team, legal team, communications team,executive management team, and the Board, to simulate a
response to a cybersecurity incident and use the findings
to improve our processes and technologies• We conduct regular network and endpoint monitoring,vulnerability assessments, and penetration testing
designed to improve our information systems• We review and update, and provide training on,
cybersecurity incident response plans and business
continuity plans, on our cyber incident escalation plan,
including the involvement of our Disclosure Committee(which includes our CISO as a regular member)• As part of that cyber incident escalation plan, ourDisclosure Committee reviews cybersecurity incidents toassess materiality and consider disclosure requirements

In addition, cybersecurity considerations affect the selection and oversight of our third-party service providers. We perform
diligence on critical third parties that have access to our systems, data, or facilities that house such systems or data, andcontinually monitor any cybersecurity threat risks identified through such diligence. We also generally require those third parties
to agree by contract to manage their cybersecurity risks in specified ways and to be subject to cybersecurity audits, which we
may conduct as appropriate.

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Fortive Corporation 2023 Sustainability ReportIntroduction

Our
BusinessInnovatefor Impact

Empower Inclusive
and Diverse Teams

Protect thePlanetWork and Source
Responsibly

Operate with
Principle

Policies

Policies
Our policies guide and determine how our business activities and relationships are handled. Company-wide policies must be
approved by the senior leader responsible for the topic of the policy.
Relevant policies are provided and communicated to new employees during onboarding and to suppliers via training.
MyPolicies is a centralized resource that houses all company policies, is easily searchable, and is maintained so employees,
people leaders, and leaders can find and reference the resources necessary to carry out their work.
Operating company policies are managed by the operating company teams and made available to employees in a sharedlocation to ensure ready access for all.

Fortive Corporation 2023 Sustainability Report

39

GENERAL CORRESPONDENCEFORTIVE INVESTOR RELATIONS

If you would like to contact a memberof Fortive’s Sustainability team, you
may do so by mail or email:If you would like to contact a memberof Fortive’s Investor Relations team, you
may do so by mail, email, or telephone:

Fortive Corporation
6920 Seaway BoulevardEverett, Washington 98203

Fortive Investor Relations
6920 Seaway BoulevardEverett, Washington 98203

Email: sustainability@fortive.com
www.fortive.com

Email: investors@fortive.com
Tel: (425) 446-5000

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