2022 ESG
Materiality
Update© 2022 Dynatrace© 2021 Dynatrace2022 ESG Materiality Update

What’s inside

03

Message from our CEO

04

Materiality assessment process

06

Materiality matrix

07

Current state of our material ESG topics

12

Material topic definitions

16

About this report©2022 Dynatrace22022 ESG Materiality Update

Message from our CEO
We believe advancing and strengthening ourenvironmental, social, and governance (ESG)
strategy is both paramount to our success and our
responsibility as a global company. With that asa guiding principle, we partnered with an outside
consultant to lead a comprehensive process tobetter understand our environmental, social, andgovernance impacts, as well as the risks andopportunities those factors present, given ourmarket position, business model, and company
values. In this report, we are sharing our process
for determining our most important ESG topics
and the results of the initial analysis.

While this is a critical step, we recognize this is just the beginning of our journey. Our ESG program willcontinue to develop as we implement and enhance sound policies and practices. In our first full ESG report,scheduled for release during the summer of 2023, we will discuss our strategy and performance on theimportant ESG topics we have identified.

Overall, we are committed to transparency and accountability to our valued stakeholders, including our
employees, customers, partners, shareholders, and communities in which we operate. We look forward
to sharing our progress as we continue this journey together.

Rick McConnell
Chief Executive Officer
Dynatrace©2022 Dynatrace3

Materiality assessment
process©2022 Dynatrace42022 ESG Materiality Update

In 2022, we conducted our first materiality assessment to identify the environmental, social, and governance(ESG) risks and opportunities of highest priority to our company and stakeholders. We engaged a third-party
ESG consultancy, qb. consulting, to lead this assessment and provide guidance on navigating environmental,social, human capital, and governance topics.
The findings of this inaugural assessment will inform our ESG strategy and planned inaugural 2023 ESG report.

Step 1: Identification of potentially material topics
A review of external ESG reporting frameworks and research into industry trends served as a starting point tobuild our list of material topics. By assessing emerging concerns in the software industry through the lens ofglobal reporting guidelines, we initially produced a broad list of 65 potentially material ESG topics.
We defined materiality in alignment with the Global Reporting Initiative (GRI). Our material topics directly or
indirectly impact our company’s ability to create, preserve or erode economic, environmental, and social value
for itself, its stakeholders, and society at large.

Step 2: Definition of material topics and stakeholder engagement
We adapted our initial list of ESG topics to reflect our business model and needs, market position, andstakeholder expectations. To gather these perspectives, we spoke with internal stakeholders regarding key
factors that drive our business strategy and contribute to our corporate culture. We engaged with external
stakeholders through an assessment of customer questionnaires, investor communications, and ESG rankingsand rating submissions. Finally, we reviewed relevant existing company documents and policies.

Step 3: Refinement and prioritization
An analysis of these inputs and insights narrowed our initial list of ESG topics to 15 material topics based on
relevance to stakeholders and those most centrally aligned with Dynatrace’s business drivers. Each topic wasthen ranked and plotted according to its relative importance to stakeholder groups and business success,considering the severity and frequency of each topic’s impact.

Step 4: Review and validation
A cross-functional working team at Dynatrace, comprised of representatives from investor relations, legal, andhuman resources, collaborated closely with qb. to validate the materiality matrix. The final materiality matrix
and assessment findings were then presented to Dynatrace’s leadership team, including our chief executive
officer, chief financial officer, and board of directors.

Next steps
Now that we have completed this assessment, our materiality matrix is being leveraged as a tool to inform ourongoing ESG strategy work and internally align company-wide initiatives and communications. This assessment
will also guide content development for our first ESG Report, which we will publish in the summer of 2023.

©2022 Dynatrace52022 ESG Materiality Update

Materiality Matrix
Our materiality matrix depicts the relative prioritization levels of our material topics and categorizes them as
Tier 1, 2 or 3 according to their importance to stakeholders and business success. We believe the items in Tier 1
present the most significant opportunity to have the greatest impact. This document details the results of ourassessment and contains definitions for all material topics.
We categorized our material ESG topics into three pillars:
1. Product Innovation
2. Community, People and Culture
3. Responsible Operations
As we develop our ESG strategy at Dynatrace, we will mobilize the necessary resources, including teams,
investments, and communications, to enact change on topics most central to our business and stakeholders.
Our first ESG Report will elaborate on strategic goals and provide more transparency into our progress.

TIER 3

TIER 2TIER 1

Data privacy and security
Employee diversity

Importance to stakeholders

Ethics and compliance
Talent attraction
and retention

ESG management

Workplace culture
Energy and climate

Employee training
and development

Customer ESG enablement
Responsible and inclusive
supply chain

Board structure
and composition
Tech for good

Product accessibility

Sustainable workplace

Systemic risks fromtechnology disruptions

Influence on business success
Environmental©2022 Dynatrace

SocialGovernance62022 ESG Materiality Update

Current state of ourmaterial ESG topics©2022 Dynatrace72022 ESG Materiality Update

Product Innovation
Our mission is to deliver answers and intelligent
automation from data. This enables flawless andsecure digital interactions at scale by simplifying
cloud complexity through a combination of deep
observability, AIOps, and application security. By
delivering the most advanced software intelligenceplatform, we can achieve our vision of a world where
software works perfectly.
Our approach to data privacy and security stems
from Dynatrace’s culture of integrity. We know

start. All Dynatrace employees receive training on

keeping our customers’ data protected is critical,

security awareness upon hiring and at least annually

so we continue to evolve our technology and invest

thereafter. Our training supplements departmental

in data protection and security features for ourand role-specific training on these topics and covers

platform. Dynatrace enforces proactive security

data handling, ransomware, credential management,

controls throughout the software development

social media, impersonation attack, fraud, phishing,

lifecycle, including preventive measures, such as

and identity theft.

threat modeling, code reviews, static code analysis,

More information on our security, compliance, andthird-party library analysis, and post-production

certifications can be found on our Security page.

detection measures, such as penetration tests andvulnerability scans.

In addition, regulatory landscapes are shiftingon product accessibility, and we recognize the

Our platform has many data security controls,

importance of product development that considers

including user authentication, data encryption,a broad spectrum of users. Dynatrace aspires todata segregation between customers, andprovide high-quality products and services that do

automatic integrity verification. We adhere to

not exclude anyone. We seek to address this element

regulatory requirements, compliance standards, andof inclusivity via feature development and assistivecertifications across and within the markets wetechnologies. To achieve this goal, we are working

operate, including but not limited to the EU’s General

towards reaching level AA of the Web Content

Data Protection Regulation (GDPR) and other global

Accessibility Guidelines (WCAG). More information

privacy laws, FedRAMP, and Cloud Security Alliancecan be found on our Accessibility page.

(CSA) standards, and SOC 2 Type II Certification.
Dynatrace’s infrastructure and systems have been
built for resilience to counter systemic risks fromtechnology disruptions. Our cloud orientation andglobal operational model help us limit vulnerability toregional power or internet outages.

There are emerging opportunities to leverage
our product platform and solutions to enable
our customers’ ESG goals and spotlight theiraccomplishments. In this way, Dynatrace can be acomplementary partner for spurring positive ESG
impacts. This includes efficiency gains harnessed

We are not only committed to protecting ourthrough our cloud operations. We are committed

customers’ data but to building a mentality for

to exploring these avenues of customer ESG

cybersecurity amongst our employees from theenablement as our ESG program takes shape.

©2022 Dynatrace82022 ESG Materiality Update

UNICEF, supplied goods and furnished shelters, andprovided transportation. We plan to partner withmore local organizations around the world as we
continue to expand our program.
At Dynatrace, we take pride in our innovative spirit,and our employees are our most valued asset.
Our vibrant workplace culture empowers our
employees and is integral to our success. Dynatrace
strives for a global work model that supports aculture of innovation, collaboration, and flexibility.
We recently launched the Dynatrace Work Model,
which allows employees to select the best work mode
for them across remote and hybrid options. To ensure
continuous, open communication and collaboration,
we promote a “speak up” culture, encouraging

Community, people
and culture
We recognize the opportunity to utilize our

employees to express their thoughts through various
channels, including anonymous employee surveys,
reporting processes, and regular open-forum town
halls.

core competencies to increase community

We are committed to continuous investment in our

involvement and presence. We are exploring ways

people through company-wide employee training

to promote and include nonprofit organizations

and development programs. Earlier this year, weand underrepresented communities through ourlaunched an internal Learn & Grow site that provides

products, employees, and financial resources. This

resources to support employees’ career development

effort in Tech for Good builds on existing ways

journeys.

Dynatrace employees are encouraged to give back,such as participating in our volunteer paid time-off
program and/or volunteer days hosted by regional
office locations in partnership with local community
organizations.
We are proud of our employees’ generosity andcontribution to their communities. Earlier this year,
Dynatrace announced a partnership with the Girlsin Tech Australia chapter to support programming
aimed to connect and inspire women pursuing
careers in technology. In response to the 2022
Russian invasion of Ukraine, Dynatrace employees
responded immediately, volunteering over 300 hours
and funding 700 refugee beds. In addition, Dynatrace
employees donated money to the Red Cross and©2022 Dynatrace92022 ESG Materiality Update

Our ongoing work in diversity, equity, and inclusion

To create an environment where employees feel

(DEI) is foundational to fostering a sense of belonging

they can bring their authentic selves to work, wefor our employees in our work environment.

offer employee-led resource groups or Dynaspaces,

Employee diversity positively influences teamincluding Dynaspace for Women, Dynaspace fordynamics, customer relationships, and the solutions

Black Employees, Dynaspace for LGBTQ+ Employees,

we offer through our platform. We seek to provide

and Dynaspace for Men of Color. These groups

increased transparency into our talent demographics

provide safe spaces, resources, and programming forand build pathways for increased diversity inemployees of underrepresented groups to ensure

leadership ranks, with particular attention to gender,

they feel valued and supported at Dynatrace.

race, and ethnicity.

We continue to invest in talent attraction

We acknowledge that we have a lot of importantand retention efforts. Dynatrace provides awork to do to broaden and balance gender, race, andcomprehensive benefits package and competitive

ethnicity. We launched a team dedicated to DE&I

compensation to attract and retain our employees.

that is establishing hiring goals focused on increasing

We compensate employees with base salaries andgender, race, and ethnicity. We believe transparency

equity awards in the form of both RSUs and stock

into our current representation in these areas is a

options. Additionally, we grant the opportunity tocritical first step. In fiscal 2022, women represented

participate in the Employee Stock Purchase Program

24% of our global employee population, an increase(ESPP). As a global company, we adapt our benefitsof two points over fiscal 2021. And BIPOC represented

offerings based on local market needs to help us

24% of the employee population in the U.S., reflecting

remain competitive across the globe.

a three point increase over fiscal 2021.

Diversity, equity, and inclusion
Global gender©2022 Dynatrace

Race and ethnicity in the U.S.

Women

YoY change

BIPOC

YoY change

24%

2 pts

24%

3 pts
10

2022 ESG Materiality Update

Responsible operations

Energy and climate actions are an additional
area of priority for our company. We seek to

As a rapidly growing public company, we areminimize our carbon footprint, prioritize the use ofcontinually evolving governance structures andclean energy, and adopt operationally sustainablemechanisms to maintain the highest standards

practices accordingly. We are currently undergoing aof ethics and compliance. We recognize thatgreenhouse gas (GHG) emissions accounting analysis

innovation is integral to our sustainable success.

to inventory baseline environmental data andThis warrants a corresponding increase in ESG

understand our carbon footprint. The outcomes ofmanagement and governance as our ESG program

this will be leveraged in our forthcoming ESG strategy.

and capacities grow. We are committed to dedicating
resources and headcount to our ESG program as we
advance our ongoing ESG strategy work with qb.
Consulting, which includes adding a Head of ESG
during 2022.

A global workforce creates a global real estate
presence, and we intend to heighten oursustainability across workplaces. We seek tostandardize our environmental policies and bring
operational efficiencies across our office and

The nominating and corporate governance committee

lab locations to further develop sustainableof our board of directors has formal oversight overworkplaces. We maintain offices in the United

Dynatrace’s ESG efforts, as reflected in its committeeStates certified by Leadership in Energy andcharter. The board reviews and assesses our policies,

Environmental Design (LEED), and our facilities

practices, strategies, and reporting on ESG matters on

abroad that source renewable energy holda semi-annual basis.

renewable energy credits (RECs). We have invested
in localized workplace initiatives, such as recycling
IT equipment and prioritizing locally grown produce.
Our established initiatives and incentives for public
transport use and low- or zero- emissions commuting
are being reexamined for company-wide adoption
in light of flexible work modes brought on by the
pandemic.
As our ESG efforts mature, we seek to extend
our expectations and values to our supply
chain. We are currently evaluating our vendor
network and developing responsible supply
chain considerations that prioritize sustainableprocurement and encourage supplier transparency
on ESG topics aligned to Dynatrace’s Supplier Codeof Conduct. Additionally, our Human Rights Policy
outlines our commitment to preserving human rights
and the dignity of all people.

©2022 Dynatrace112022 ESG Materiality Update

Material topic
definitions©2022 Dynatrace122022 ESG Materiality Update

Tier 1
Topic

Definition

Topic Boundary

Data privacy and security

Ensuring that customer, employee, and corporate

Operations

data are collected, analyzed, stored, shared, andtransferred in a secure manner that upholds thehuman right to privacy and are protected from

Customers
Employees

unauthorized access, such as security threats andcyberattacks.
Employee diversity

Proactively building diverse teams, at all

Employees

levels, which reflect a range of genders, races
and ethnicities, sexual orientations, cultural
backgrounds, lived experiences, and thoughts,
with a focus on leadership and managerial
diversity.
Employee training and development

Providing transparent and equitable access to

Employees

career development resources and promotional
opportunities.
Ethics and compliance

Promoting a strong culture of ethical businessconduct, integrity, and accountability throughout
our global operations and stakeholder

Operations
Supply Chaininteractions and ensuring compliance with laws

Customers

and regulations across countries of operation.

Employees
Community

Talent attraction and retention

Investing in inclusive, transparent practices
related to compensation and benefits to attract
and retain top talent.

Employees
Candidates

This includes seeking to implement competitivecompensation packages, comprehensive benefits,
and pay transparency and equity.
Workplace culture

Creating a workplace with an inclusive culture
where all employees feel respected, supported,and valued.

Operations
Employees

This includes active two-way communicationand feedback channels between leadership andemployees, strategies to reduce unconscious
bias, flexible work arrangements that support
physical and mental wellbeing in and outside of
our offices, and well-funded employee resourcegroups.

©2022 Dynatrace132022 ESG Materiality Update

Tier 2
Topic

Definition

Topic Boundary

Customer ESG enablement

Enhancing continuous product and process

Customers

innovation of our products to accelerate
customers’ digital transformation, increase theiroperational efficiencies, and raise their awarenessof opportunities to lessen their environmental
impact by using our platform.
Energy and climate

Understanding and addressing our greenhousegas (GHG) footprint and climate-related risk
across assets and activities with operational
control (Scope 1 and 2), as well as our supply

Operations
Supply Chain
Customers

chain impact (Scope 3), including the energy
consumption of Cloud services.
ESG management

Implementing optimal policies, processes, andOperations

programs across material ESG topics, includinginternal controls, annual reporting, decisionmaking approaches, board-level oversight, andexecutive accountability.
Product accessibility

Building our products and services to be

Customers

accessible to and inclusive of all user types,
addressing features such as color, language, andassistive technologies.
Responsible supply chain

Setting standards and internal practices thatprioritize sustainable procurement, encourage
suppliers to increase their transparency andOperations
Supply Chain

accountability on ESG topics by aligning to our
Supplier Code of Conduct, and increase spend
with diverse suppliers.
Systemic risks from technology

Mitigating risks related to weather events, natural

disruptions

disasters, technical failures, programming errors,or cyberattacks to ensure the reliability anduptime of business-critical services.

©2022 Dynatrace

Operations
Supply Chain
Customers

14

2022 ESG Materiality Update

Tier 3Topic

Definition

Topic Boundary

Board structure and composition

Effectively managing the appropriate experience

Operations

and skills, independence, diversity, tenure, andcompensation of our board of directors.
Sustainable workplacesStandardizing the usage and efficiency ofnatural resources at our various office locations
to execute our day-to-day operations, which

Operations
Supply Chain

includes water and energy use across facilities,

Customers

waste management, and use of renewable

Employees

energy.
Tech for good

Promoting and enabling the inclusion ofCommunity

underrepresented communities and nonprofit
organizations in the technology industry byoffering access to our products, services, talent,
and financial resources.

©2022 Dynatrace15

2022 ESG Materiality Update

About this report
We partnered with qb. consulting, a small women-

No part of this update constitutes, or shall be taken

owned and BIPOC-led consultancy, to develop thisto constitute, an offer to sell or the solicitation of an

update. Information contained in this document

offer to buy any securities of Dynatrace or any otherreflects certain ESG information at Dynatrace as ofentity. This update is not intended to be relied upon

July 2022. The timing and content of future actions or

as advice to investors or potential investors and does

updates are based on current expectations and are

not take into account the investment objectives, tax

subject to change at our discretion.

considerations, or financial situation or needs of any

We actively seek input from our valued stakeholders
and strive to understand your ESG perspectives. If
you have feedback, questions, or suggestions on our
ESG initiatives and how we can continue building acompany that is sustainable for future generations,
we’d love to hear from you at esg@dynatrace.com.

investor. This update and the information contained
herein are not incorporated by reference into andare not a part of any offer to sell or solicitation of an
offer to buy any securities of Dynatrace pursuant toany offering registered under or any offering exempt
from the Securities Act of 1933.

Note that this update speaks as of the date it ispublished. The contents are preliminary and, as
previously noted, we intend to publish our first ESG
report in 2023. Neither Dynatrace nor any of its
affiliates assume any responsibility or obligation to
update or revise any information, data, opinions or
activities noted in this update. This update does not,and is not intended to, create any relationship, rights
or obligations, legal or otherwise, and you should not
rely upon it to do so.
The inclusion of information and data in this update is
not an indication that such information or data or the
subject matter of such information or data is material
to Dynatrace for purposes of applicable securities
laws or otherwise.
The goals described in this update are aspirations.
They are not guarantees or promises that we willmeet all or any of our goals.

Dynatrace (NYSE: DT) exists to make the world’s software work perfectly. Our unified software intelligence platform combines broad and deep observability
and continuous runtime application security with the most advanced AIOps to provide answers and intelligent automation from data at enormous scale. This
enables innovators to modernize and automate cloud operations, deliver software faster and more securely, and ensure flawless digital experiences. That’s
why the world’s largest organizations trust Dynatrace® to accelerate digital transformation.
Curious to see how you can simplify your cloud and maximize the impact of your digital teams? Let us show you. Sign up for a free 15-day Dynatrace trial.

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