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2022 SUSTAINABILITY REPORTTABLE OF CONTENTSGROW SUSTAINABLY - High-Growth Sustainable Markets

OPERATE SUSTAINABLY

Introduction

2

Markets

17

GovernanceWelcome to Our 2022 Sustainability Report
2022 Year in Review
Awards and Recognition

2
4
6

High-Growth Sustainable Markets
Customer Relationship Management

17
22

Our ESG Priorities
Business Ethics
Supply Chain
Governance ModelEnterprise Risk Management
Information Security/Cybersecurity

55
55
60
64
67
69
71

OPERATE SUSTAINABLY

Lead Sustainably

7

Environmental

Strategic Imperatives

7

Operationalizing Sustainability
Operational Eco-Efficiency
Environmental Compliance
Risk and Impact Management

GROW SUSTAINABLY - Sustainable Products and Services

OPERATE SUSTAINABLY

Products and Services 8

SocialIntrinsically Sustainable Products and Services
Product Design and Innovation
Product and System Efficiency
Product Circularity
Product Safety

People and Community
Training and Development
Employee Experience
Community Impact

8
9
10
13
15

Ingersoll Rand employees (front cover, top from left): Sherrita Swann, Kelly Dye, Gary Marek(inner circle from left): Ingersoll Rand employees: Jessi Culbertson | Kevin Leal-Cisneros (left)
and Johnny Senn (right)

1

2022 Sustainability Report

23
23
24
33
35

39
39
46
51
52

ReportingStandards and Frameworks
Assurance Statements
Policies
Sustainability Report Data
Disclaimer

72
72
80
81
82
82

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICESWELCOME TO OUR 2022
SUSTAINABILITY REPORT

Chairman and
CEO Message
DEAR STAKEHOLDERS,
Welcome to our 2022 Sustainability Report. This report serves asa testament to the remarkable efforts of our dedicated team andtheir unwavering commitment to driving sustainability throughout
our organization. We have made substantial strides integrating
Environmental, Social and Governance (ESG) principles into our corebusiness strategies, and I am proud to say that sustainability has
become deeply ingrained in our corporate identity.

“While broad-based ownership is not currently
recognized by ESG rating agencies as animportant social initiative, we are leading
the movement to ensure all employees
can participate in the value created bystock ownership. To that end, we haveawarded over $275M in equity to ouremployees since 2017, which has increased
to nearly $590M in value as of March 31, 2023.
We also continue to offer our
Ownership Works Program that
grants equity to all new employees
after their one year anniversary. 1
We believe engaged employeeswith an ownership mindset create
long-term shareholder value.”
Vicente Reynal
Chairman, President and Chief Executive Officer
Employees must be full time and have one year of service to be eligible. Not available to employees who
participate in the company’s management equity program or where prohibited by local law or regulation orwhere such grant is required to be bargained for with an employee union unless such grant is agreed to aspart of such bargaining.

122022 Sustainability Report

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

CONTINUOUS IMPROVEMENTLEADING SUSTAINABLY

We have made significant progress in establishing ourselves as a top
quartile ESG company. Building on this success, we have raised the bar
even higher in 2022 and set a new goal to be recognized among the top
decile within our industry. We are well on our way to achieving this new
goal. In fact, in 2022, we were acknowledged for our industry-leading
sustainability efforts by being named to both the Dow Jones Sustainability World Index (DJSI World) and the Dow Jones Sustainability
North America Index (DJSI North America). Ingersoll Rand was ranked
as the number one performer in the IEQ Machinery and Electrical
Equipment industry in North America and number four globally in 2022.

In 2022, we introduced “Lead Sustainably” as our updated strategic
imperative to acknowledge that sustainability for us is about both
growth and operations.

Furthermore, as of April 2023, Ingersoll Rand received an ESG Risk
Rating of 12.8 from Morningstar Sustainalytics, and was ranked secondin the Machinery Industry Group, which places our company in the
1st percentile in the Machinery Industry Group and in the 6th percentileof all rated companies.
Our inclusion in the DJSI, the reduction of our risk profile with
Sustainalytics, and the improvement of our rating with MSCI from A
to AA in 2022, are clear indicators of our steadfast commitment tosustainable leadership. We are immensely proud to be acknowledged
for the progress we have made and are grateful for the recognition.
However, we know our journey is just beginning. In fact, just recently,
we reiterated our dedication to achieving net-zero emissions acrossScope 1 and 2 by 2050 by committing to the Science Based Targets
Initiative (SBTi). Over the next two years, we will work diligently on
developing a comprehensive plan that aligns with the SBTi’s
rigorous standards.
PIONEERING IN OWNERSHIP

While broad based ownership is not currently recognized by ESG rating
agencies as an important social initiative, we are leading the movement
to ensure all employees can participate in the value created by stock
ownership. To that end, we have awarded over $275M in equity to ouremployees since 2017, which has increased to nearly $590M in value
as of March 31, 2023. We also continue to offer our Ownership Works
Program that grants equity to all new employees after their one year
anniversary.1 We believe engaged employees with an ownershipmindset create long-term shareholder value.

Sustainability is one of the key megatrends that we believe will help
drive our future growth as we (i) supply our customers with energy
efficient products that help them achieve their Scope 1 and 2 greenhouse gas (GHG) reduction goals and (ii) focus our commercial efforts
on high-growth sustainable end markets.
We have also made great strides with respect to our own operations,and we are firmly on track to meet our 2030 goals for GHG emissions,water, waste, and safety.
• GHG: In 2022, we achieved a reduction of 16.3% in GHG emissions(Scope 1 and 2), which is 27% progress towards our 60% GHG
reduction from the 2020 baseline.
• Water: We realized a reduction of 8.7 million gallons (6.1%) fromprior year, representing 36% of our 2030 goal of 17% reduction fromthe 2020 baseline. We expect to meet this goal seven years early by
the end of 2023.
• Waste: Twenty-five additional sites (13% of our total) achieved zerowaste to landfill, bringing our total to 65 and achieving 68% of our2030 goal from the 2020 baseline.
• Safety: Our Total Recordable Incident Rate (TRIR) was 0.69 at theend of 2022, which is 71% better than the Industrial Machinery
Manufacturing average based on U.S. Department of Labor data.
We are building a long-lasting culture of safety where employees
are speaking up about risk and resolving hazards in the workplace.
Over 13,000 near-misses and safety concerns were recognized andcorrective actions put in place in 2022, to make our workplaces andworking conditions at our customer sites safer. Our Behavior-Based
Safety coaches make numerous safety observations and engage indialogue with our employees in the field and factories to sharepositive work practices and identify risk reduction opportunities.

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTINGWELCOME TO OUR 2022 SUSTAINABILITY REPORT CONTINUEDFOSTERING A DIVERSITY, EQUITY, AND INCLUSION CULTURE

At Ingersoll Rand, we are passionately committed to creating an
inclusive workplace that cultivates a sense of belonging, empowerment
and respect for all of our employees across the globe. We aspire to be a
Diversity, Equity, and Inclusion (DE&I) leader within our industry thatmirrors the communities and customers we serve. We leverage DE&I toexceed our business goals, attract and retain the best talent, andaddress today’s global challenges.
EXECUTION DRIVING PROGRESS

Sustainability is fully embedded in every element of our economic
model and decision-making processes. In 2022, we continued toleverage our competitive differentiator—Ingersoll Rand Execution
Excellence (IRX™)—to fuel our performance and power our purpose of
Making Life Better for our employees, planet, customers and shareholders.
Over 300 teams across the globe engage in weekly Impact Daily
Management (IDM) meetings to improve processes, integrate newacquisitions, design products, and develop programs and initiatives
to reach our stated ESG goals.

I am extremely proud of the progress we have made towards oursustainability goals. With our clearly defined roadmaps to 2030 andbeyond, we are on pace to exceed our sustainability goals through theuse of IRX and focused actions of our more than 17,000 employee
owners that make up the community of Ingersoll Rand around the world.
I extend my heartfelt appreciation to our employees, customers,
partners, and shareholders for their invaluable contributions to our
ESG journey. Your support and engagement are instrumental in driving
our progress and realizing our vision of a more sustainable future.
Together, we will continue to make a meaningful difference in the world,
creating a legacy that benefits generations to come. Thank you for yourunwavering support and belief in our shared mission.

PURPOSE AND VALUES

Driven by an entrepreneurial spirit, Ingersoll Rand is dedicatedto Making Life Better for our employees, planet, customers, andshareholders. Customers lean on us for our technology-driven
excellence in mission-critical flow creation and industrial
solutions. We offer a wide range of products and services acrossmore than 50 respected brands. Through a commitment toexpertise, productivity and efficiency, our employees develop
customers for life.

OUR PURPOSE

Sincerely,

Vicente Reynal
Our Values

Chairman, President and Chief Executive OfficerO ur Strategic
Imperatives

OUR VALUES• We think and act like owners• We are committed to making our customers successful• We are bold in our aspirations while moving forwardwith humility and integrity• We foster inspired teams

3

2022 Sustainability ReportINTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

2022 YEAR IN REVIEWLEAD SUSTAINABLY
Safety Total Recordable
Incident Rate1

71%

BETTER THAN THE INDUSTRIAL MACHINERYMANUFACTURING AVERAGEESG Score2

AA
FROM A TO AA

1,300+ suppliers enrolled to our suppliersustainability platform, which represents ~80%of our total annual direct material spend
100% of new product development programs
utilize our Design for Sustainability (DfS)
checklist as of March 2023

DEPLOY TALENTESG Score3

Solar Locations

82
#
#
1

IN NORTH AMERICA

4

Low Risk Score4

FROM 23.5 (MEDIUM RISK) TO 12.8 (LOW RISK)#

2

IN THE WORLD WITHIN THE
MACHINERY INDUSTRY

MANUFACTURING SITES POWEREDBY ONSITE SOLAR

October
2022

82
April
2022

81
80
79
78

April
2021

79

October
2021

82

81

79

77
76

Manufacturing Companies
All Companies

75
74

IN THE WORLDMEMBER OF DJSI WORLD AND MEMBER OF DJSINORTH AMERICA; AS OF FEB 17, 2023, INGERSOLLRAND RANKED AS THE #1 PERFORMER IN THE IEQ
MACHINERY AND ELECTRICAL EQUIPMENT
INDUSTRY IN NORTH AMERICA AND #4 GLOBALLY.

12.8

14

Happiness at Work573

Green Energy

19

LOCATIONS HAVE CONTRACTS IN PLACE
FOR THE PURCHASE OF GREEN ENERGYGreenX Teams

35% OF EMPLOYEES ANSWERING FAVORABLY TO THE QUESTION “HOW HAPPYARE YOU WORKING AT INGERSOLL RAND?”

Employee Ownership$590M

AWARDED APPROXIMATELY $275 MILLION IN EQUITY TO OUR EMPLOYEESSINCE 2017, WHICH HAS INCREASED TO NEARLY $590M IN VALUE AS OF
MARCH 31, 2023.

FOCUSED ON REDUCING ENERGY, WATER AND
WASTE TO REACH OUR OPERATIONAL GOALS

 verage Total Recordable Incident Rate (TRIR) for all Industrial Machinery Manufacturing companies in 2021 (most recent data available) was 2.4 according to the U.S. Bureau of Labor Statistics. At the end of 2022, Ingersoll Rand’s TRIR was 0.69.
AThe use by Ingersoll Rand of any MSCI ESG research LLC or its affiliates (“MSCI”) data, and the use of MSCI logos, trademarks, service marks or index names herein, do not constitute a sponsorship, endorsement, recommendation, or promotion of Ingersoll Rand by MSCI. MSCI services and data are the property of MSCI or its information
providers, and are provided “as-is” and without warranty. MSCI names and logos are trademarks or service marks of MSCI.
3
Receipt of an S&P Global ESG Score does not represent a sponsorship, endorsement or recommendation on the part of S&P Global to buy, sell or hold any security and a decision to invest in any subject company should not be made based on the receipt of any such note. S&P, S&P Global, and the S&P Global logo are trademarks of S&P
Global Inc. or its subsidiaries, registered in many jurisdictions worldwide.
4
As of April 2023, Ingersoll Rand received an ESG Risk Rating of 12.8 from Morningstar Sustainalytics, ranking it second in the Machinery industry group, which places it in the 1st percentile for its industry. This risk rating also places Ingersoll Rand in the 6th percentile of all companies rated by Morningstar Sustainalytics.This risk rating isbased on information and data developed by Sustainalytics and is proprietary to Sustainalytics and/or its third party suppliers and is provided for informational purposes only. The risk rating does not constitute an endorsement of any product or project, nor an investment advice and the information upon which it is based is not warranted
to be complete, timely, accurate or suitable for a particular purpose. The use of the risk rating is subject to conditions available at https://www.sustainalytics.com/legal-disclaimers. In no event shall this risk rating be construed as investment advice or expert opinion as defined by any applicable legislation or otherwise.
5
Employee engagement survey from third-party provider Glint, who administers the survey and provides comparable employee engagement survey figures.
1

2

4

2022 Sustainability ReportINTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

2022 YEAR IN REVIEW CONTINUEDACCELERATE GROWTH
Grew Organic1 Orders

11%

YEAR-OVER-YEAR

Delivered double-digit growthin both orders and revenue on a
year-over-year basis
Doubled e-Commerce Revenue
over two years 2020 to 2022
Doubled Marketing Qualified
Leads over two years 2020 to 2022

Introduced New Products>100
WITH SUSTAINABLE ATTRIBUTESEXPAND MARGINSGrew Organic2 Revenue3

16%

YEAR-OVER-YEAR

Delivered IIoT-Ready
Products and Services

19%

Expanded Adjusted EBITDA Margins3

Invested

IMPROVEMENT IN 2022

IN 12 ACQUISITIONS WHICH WE EXPECT TO GENERATE MORE
THAN $300 MILLION IN REVENUE IN 20234

Expanded Adjusted EBITDA Margins3

Returned to Shareholders

IMPROVEMENT SINCE 20195

THROUGH $262M IN SHARE REPURCHASES AND $32M
IN DIVIDENDS

120bps $800M
470bps $294M

OF TOTAL REVENUE, OUTPACING 2022
AND 2023 TARGETS

Granted Patents

4172$265M in cost synergy savings
delivered since the Gardner Denver andIngersoll Rand transaction
Over 300 weekly Impact Daily Management(IDMS) supporting Ingersoll Rand’s
IRX process

IN 2022. 1,800+ TOTAL ACTIVE PATENTS

Organic Order Growth is defined as reported order growth excluding the impacts of foreign currency and acquisitions.
Organic Revenue Growth is defined as reported revenue growth excluding the impacts of foreign currency and acquisitions.
3
Non-GAAP metric. For definitions and reconciliations of non-GAAP metrics to respective GAAP measures, see Annex A at the end of our 2022 Annual Report.
4
Includes the acquisition of SPX Flow’s Air Treatment business which closed on January 3, 2023.
5
Comparison to 2019 is based on Supplemental Adjusted Revenue and Supplemental Adjusted EBITDA, which are non-GAAP metrics described in Annex A at the end of our 2022 Annual Report.
1

2

5

2022 Sustainability Report

ALLOCATE CAPITALEFFECTIVELY

Paid Down$656M
IN DEBTINTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

AWARDS AND RECOGNITIONCRoSPA Gold Award

U.S. Department of Energy Award

ARO’s EVO Series Electric Diaphragm
Pump wins “Product of the Year” at
the 2023 Pump Industry Awards

CDP
AAB-

B

BCCDD-

Ingersoll Rand received a B rating for Climate Change disclosures in 2022. This score is above
average in the Powered Machinery Industry in North America and globally.

MB Air received the 2022 RoSPA Gold Award. RoSPA Gold
Award winners have achieved a very high level of performance,
demonstrating well-developed occupational health and safety
management system and culture, outstanding control of risk,
and very low levels of error, harm and loss.

Better Project and Better Practice Awards—U.S. Department ofEnergy.

Top 100 Influential Latinos

North Carolina Department of Labor

We are proud to share that our Sheboygan, Wisconsin, facility
has been awarded the 2023 Better Project and Better PracticeAward for its Aluminum Die Casting Water Reduction Project.

Recognized as the most innovative pump introduced into themarket in the last 24-months, the EVO’s design and features
provide all the benefits of air operated diaphragm pumps, plus
the efficiency and control of positive displacement pumps.

EcoVadisSilver status earned Ingersoll Rand a spot in the top 25% of all EcoVadis subscribers.

UNGC
Our chairman and CEO Vicente Reynal was named one of
the top 100 influential Latinos on the Bloomberg Línea list n2022. The list celebrates Latino leaders that drive value andinnovation ideas and positively contribute to their industry
and society. We congratulate Vicente on this well-deserved
nomination and are proud to have him leading the Ingersoll
Rand team with such purpose and dedication.

62022 Sustainability Report

Our Mocksville, NC plant received the Million-Hour Award fromthe North Carolina Department of Labor in 2022.
The NC Department of Labor’s Safety Awards Program recognizes private and public firms throughout the state that achieve
and maintain good safety records. The program is designed tostimulate interest in accident prevention and to promote safety
in the workplace by providing an incentive to employers andemployees to maintain a safe and healthful workplace.

Ingersoll Rand has been a participant in the United Nations Global Compact since July 2022.

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICESSTRATEGIC IMPERATIVESMARKETSENVIRONMENTALSTRATEGIC IMPERATIVESSOCIAL

GOVERNANCEREPORTING

LEAD SUSTAINABLY

Grow Sustainably encompasses two clear and compelling growth paths:

Lead Sustainably
We have five strategic imperatives powering our progress. One ofthese, Lead Sustainably, was unveiled in 2022 and encompasses
our commitment to sustainability with respect to both accelerated
growth and our own operations. We firmly believe that by leading
the way in sustainability, we provide value to our shareholders,establish Ingersoll Rand as the preferred supplier for our customers,
foster a sense of purpose and inspiration among our employees, andmake a positive impact on the planet.

Products and Services: Innovative development of intrinsically sustainable products that deliver efficiency,
circularity and safety to customers across all markets and regions. In 2022, we introduced our DfS process
for new product introductions. This will help us launch new products that continue to meet our customers’
efficiency, circularity and safety needs. In fact, in 2022, over 100 new products were launched with sustainableattributes.
Deploy Talent
The demand for sustainable products is rapidly increasing, and we are already experiencing significant growthin this area. Looking ahead, we anticipate that sustainable products will contribute over 25% of our total
revenue by 2030.

Accelerate Growth“Witnessing our ownership culturein action is truly inspiring, as our
employees act intentionally andcollaboratively to develop
sustainable products and services
for our customers and solve
complex decarbonization challenges
within our operations and supply
chain. Our story places sustainability
as a core priority, aiming to
generate enduring long-term value
while prioritizing the safety of
our employees and customers.
Our future is bright! ”

Lead Sustainably

Mary Betsch, Vice President, Sustainability

Expand Margins

Allocate Capital Effectively

72022 Sustainability ReportMarkets: Supporting customers in high-growth, sustainable markets suchas food, life science, water and clean energy. Our distinctive
advantage lies in our vertical strategy, which focuseson promising growth markets with significant
potential for value creationand enduring resiliencethroughout economic cycles.
Additionally, our ability
to proactively identify andacquire companies operating
within these market ecosystems
further strengthens our position
for success.

Operate Sustainably reflects ourunwavering, authentic commitment to
run our business in ways that Make Life Betterfor all of our stakeholders. Our focus onenvironmental stewardship has led us to
implement innovative solutions that reduce
our carbon footprint and conserve valuable
resources. We have embraced circularity in
our operations, striving to minimize waste
and maximize the efficient use of materials
throughout their lifecycle.

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICESGROW SUSTAINABLY

INTRINSICALLY SUSTAINABLE PRODUCTS
AND SERVICES

Delivering More,
Using Less
The first pillar of our Grow Sustainably strategy encompasses
intrinsically sustainable products and services that deliver
measurable environmental and safety benefits to our customers.
We define intrinsically sustainable products and services as delivering
one or more of the following outcomes:
Efficiency
Efficient products reduce the amount of electricity consumed
while delivering equal or greater flow or performance. Reducing
electricity means customers reduce their Scope 2 emissions,
helping them achieve their decarbonization goals.
Circularity
We offer solutions that conserve natural resources such as
water, minerals, and metals. Moreover, we strive to use
natural resources more thoughtfully and help eliminate
waste by extending the useful life of equipment and facilitating
component reuse and recycling.
SafetyWe deliver products that protect the health and safety of ourcustomers’ associates. This includes technicians, operators,
engineers, assemblers, and other personnel who install, operate,
maintain, and interact with our equipment at manufacturing orservice sites around the world.

82022 Sustainability Report

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTINGINTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTINGGROW SUSTAINABLY

PRODUCT DESIGN AND INNOVATIONDESIGN FOR SUSTAINABILITY PILOT PROGRAMSUNIQUELY POSITIONED TO PROVIDE SUSTAINABLE PRODUCTS
We leverage the unique strengths of our company and the people
within it to deliver sustainable products and services to our industrial
customers:

Responsibly
Designed,Thoughtfully
Executed

An innovative and market-leading portfolio of air and liquid flow
creation and handling products
1,800+ active patents, many of which relate to energy efficiency, safety,
and other sustainability elements>2,000 mechanical, electrical, and software designers and engineers
focused on developing innovative technologies
A system-level approach to performance optimization

Sustainability is a design imperative that is reflected at numerous
points in the lifecycle of our products and services. Extensive work
completed in March 2022 provided us with an assessment of our
Scope 3 use-phase GHG emissions, totaling approximately 175 Million
Metric Tons CO2e in our baseline year of 2020, and an understandingof the contributions to these emissions of each major productplatform in the portfolio.

With the goal of reducing the carbon footprint of our products, wehave adopted DfS as a critical principle of our new product and service
development processes. We define DfS as an approach that establishes
the well-being of people and the sustainability of the environment as
critical when developing new products or service offerings. The productand service design phase is crucial because the sustainability potentialof the offering is often “locked in” based on the choices made by thedevelopment team.

Mike Medaska, Vice President, Corporate Strategy

2022 Sustainability Report

Beginning in Q1 2023, all new product development (NPD) programs
at Gate 0, 1, or 2 across the enterprise will complete a DfS review during
which each team will consider, among other things:

ADOPTING DESIGN FOR SUSTAINABILITY AS A DESIGN PRINCIPLE“Ingersoll Rand is embracing the challenge and opportunity ofsustainability with the full commitment of our resources andcapabilities as a global industry leader. Our Grow Sustainably
strategy starts with the most important needs of our customers
and our planet and results in the delivery of differentiatedsustainable products and services, as well as application-specificsolutions for critical markets such as clean energy and water.”

9

In 2022, we completed two pilot programs for DfS. The first project,
led by our Industrial Technologies and Services segment team, evaluated options to improve the sustainability of our Ingersoll Rand brandrotary screw compressor airends through design, manufacturing, andmaterials choices. The second project, led by our Precision and Science
Technologies segment team based in India, considered multiple paths
to improve the sustainability of our Milton Roy brand side entry mixer
product line including nature-inspired impeller designs and more stringent supplier selection. Following these pilots and in partnership with aleading sustainability consultancy firm, we developed “standard work”
for DfS.

• Product functional and performance requirements• Component and equipment energy efficiency• Options to extend the product lifespan• Recommended maintenance intervals•O ptions for increased use of sustainable or recycled
raw materials• Ability to disassemble, recycle, and reuse components•E limination of inefficient or unnecessary processing andassembly procedures• Supplier locations and associated transport emissions
This work is sponsored by our VP Sustainability and VP Corporate
Strategy and executed through a network of DfS Champions acrossthe company, each of whom serves in a senior engineering, product,
or strategy leadership capacity. To facilitate the adoption and ongoing
improvement of the standard work, the DfS team expects to build anextended network throughout 2023.

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTINGGROW SUSTAINABLY

PRODUCT AND SYSTEM EFFICIENCY

Ensuring Energy
Efficiency
MAXIMIZING RESULTS WITH LESS ENERGY

Improving energy efficiency is the single biggest unmet need of ourcustomers and a significant growth opportunity for Ingersoll Rand.
COMPRESSED AIR SYSTEMS

Commonly referred to as the fourth utility, compressed air systems
are ubiquitous and vital to the economy. Almost 70% of all manufacturing
sites use compressed air1 and approximately 5 million industrial air
compressors2 are currently installed around the world. Depending on
the technology and environment, these compressors have a useful lifeof between seven and 30 years. 2
OPERATIONAL IMPACTS• Compressed air systems can consume up to 30%
of electricity in a manufacturing facility1• The annual electricity cost to operate a compressor
can equal or exceed its initial purchase cost
• Compression involves energy loss to heat and friction• Systems degrade from leaks, moisture, and over-cycling• Demand for air changes with increased production orplant expansion

SUSTAINABILITY CHALLENGES• Air systems are complex with multiple supply and demandconsiderations• Systems are not well instrumented or regularly monitored• Users are focused on optimizing their production process,not their utilities
HELPING CUSTOMERS TO CAPTURE VALUE, EFFICIENTLYThe U.S. Department of Energy and individual state and country
mandates are expected to accelerate the demand for more energyefficient compressors and systems. As a leading compressor
manufacturer, Ingersoll Rand has deep expertise in both compressor
design and system optimization built through our combined indirect
and direct service network. What’s more, our Industrial Internet ofThings (IIoT) capability provides real-time visibility into compressor
performance and optimization.

POTENTIAL U.S. ENERGY SAVINGSIMPROVING COMPRESSED AIR SYSTEM EFFICIENCY BY 15% COULD YIELDA SIGNIFICANT ANNUAL IMPACT.2

15 $1.3B
BILLION KWH –LESS ELECTRICITYCONSUMED

1.
2.

U.S. Department of Energy.
Management estimate.

102022 Sustainability Report

SAVINGS FOR INDUSTRIAL
CUSTOMERS

Ingersoll Rand Employees: Kyle Osborn and Dianne Osborn, Monroe, Louisiana site

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTINGGROW SUSTAINABLY

PRODUCT EFFICIENCY CONTINUED

REDUCING OPERATING COSTS AND SCOPE 1 AND 2 EMISSIONSWITH PRODUCT EFFICIENCYPRODUCTS WITH ENVIRONMENTAL BENEFITS

Across our air, gas, and liquid flow platforms, we provide many
innovative solutions to our customers that reduce their GHG emissions
footprint and improve their economics.
Examples include:
AIR AND GAS FLOW PLATFORM• High-efficiency oil-free rotary, contact-cooled rotary,and centrifugal compressors• Dry screw blowers• High-efficiency vacuum pumps• Variable frequency drives (VFD)• Air dryers (refrigerated) with low-GWP refrigerants• Heat of compression dryers that reuse waste heat
• Energy recovery units• Air system components (controls, valves) to reduce systemlosses and save energy• Electric Q-Drive gas compressors

Gardner Denver Ultima Oil-Free
Rotary Compressor• 13% higher efficiency than theprior generation• 98% heat recovery• Lowest unloaded power(<8kW vs. 20kW) vs. Ingersoll
Rand and competitors at thetime of launch• Ultra quiet (63 dBA)

E-Max Turnkey Heat Recovery
Unit for Water-Cooled Oil-Free
Compressors•R ecovers 92-94% of otherwise
wasted energy from thecompression process toheat water for use in othermanufacturing processes suchas pre-heating boiler feed wateror space heating•A verage payback <1 year,
improves as electricity prices rise

LIQUID FLOW PLATFORM• Low power-consuming pumps• Solar-powered injection pumps• EVO electric-operated positive displacement pumps• Dosatron water-powered dosing pumps(require no electricity)

11

2022 Sustainability Report

Dosatron D30WL
Water-Powered Dosing Pump

ARO EVO Electric
Diaphragm Pump

• Uses no electricity• Specifically designed for highflow drinking water, treatment,
and disinfection applications• Allows fully proportional dosing,regardless of flow and pressure
variations• Innovative design can savemore than 20% in energy costs
compared with competitivemodels and technologies•4 00V electric motor eliminates
the need for compressed air
supplyINTRODUCTION

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MARKETSENVIRONMENTAL

SOCIAL

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PRODUCT EFFICIENCY CONTINUEDCOMPRESSED AIR SYSTEM EFFICIENCY REPRESENTS

Air System Optimization Case Studies

A MAJOR OPPORTUNITY FOR GROWTH

Ingersoll Rand’s Air System Assessment process provides customers
with an objective and data-driven view of the health and efficiency of
their complete compressed air system. Each year, our team of air
system experts conducts thousands of assessments, with most resulting in improved uptime, performance, and/or energy efficiency.

CASE STUDY #1

CASE STUDY #2

Saving a Leading Global Consumer Products
company >$250,000 Annually

Eliminating Critical Inefficiencies for a Global Foodand Ingredient Manufacturer

SITUATIONSITUATION

A >$50B leading global consumer products company with amanufacturing site in the United Kingdom was operating four
competitive, variable speed drive, rotary compressors to provide airfor its process and packaging equipment. The company incurred highannual expenses for electricity and maintenance.

A >$50B global food and ingredient manufacturer with a processing
facility in the Southeastern U.S. was interested in updating the legacy
equipment in its compressor room. An Ingersoll Rand competitor
was a long-standing incumbent supplier to the company.

SOLUTION

SOLUTION

Ingersoll Rand conducted a comprehensive Air System Assessment
to identify ways to increase efficiency and recommended the installation of one centrifugal compressor to provide the base load with tworotary machines providing trim capacity.

An Ingersoll Rand Strategic Account Assessment Engineer
conducted a complete Air System Assessment that revealed a25-psi pressure drop and a collapsed filter in a one-year-old
competitive post-filter assembly. This required unnecessary
overpressurization of the system, with a significant electricity and
GHG emissions impact to the customer.

RESULTSRESULTS

Based on our recommendations, the customer purchased a new
Ingersoll Rand centrifugal compressor and PackageCARE agreement.
This resulted in an annual savings of >$250,000 with payback <1 year
(at current energy rates) as well as an annual reduction in CO2eemissions of 383 metric tons.

Based on our demonstrated expertise, the customer selected
Ingersoll Rand as its new supplier and ordered two rotary screw aircompressors, one desiccant dryer, and accessories and signed a fiveyear PackageCARE agreement on both legacy and new equipment.
This win created follow-on opportunities at other plants within thecustomer’s network.

OUR AIR SYSTEM ASSESSMENT PROCESS
STEP

1

STEP

Score

•C
 onduct onsite visual
walk-through ofcustomer system by atrained auditor•P erform multipoint
inspection•G rade Supply Side(A-F) and Demand
Side (A-F)

12

2

STEP

Assess• Instrument machines
and system for7+ days• Measure key
attributes• Recommend
remediation actions
including machineor part replacement,
service actions,adjustments tofiltration, piping,storage, valves orcontrols, each withclear return on
investment

2022 Sustainability Report

3

Implement• Implement
remediation actions• Monitor for theachievement ofenergy reduction,
downtime
elimination, etc.

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PRODUCT CIRCULARITY

Circularity in
Our Products
and Services
REDUCING WASTE AND REUSING RESOURCES

Circularity in products and services has emerged as an importantconcept in today’s global economy, driven by the need for sustainable
and responsible practices. We believe Ingersoll Rand is at the forefront of fostering circularity in its products and services, prioritizing
the efficient use of resources, minimizing waste, and promoting theprinciples of a circular economy.

INNOVATIVE SOLUTIONS THAT REDUCE WATER USAGEENVIRONMENTALLY CONSCIOUS REMANUFACTURING SERVICES

Through engineering design, product substitutions, and less energy
consumption, we reduce the volume of water used by our customers.

Through remanufacturing and retrofit programs, we extend the life ofexisting installed equipment, reducing GHG emissions associated withthe production of new units, and saving our customers money.

How we do it:
How we do it:
RunEco Paper Machine Vacuum
Blower Systems• Eliminates the requirement for waterin the pulp and paper drying process• Reduces electricity consumption by~45% on average1•W ater savings: >7.5 billion gallons ofwater per year is being saved by thecurrent installed base2•P otential for saving >50 billion
gallons of water per year with fullmarket adoption; equivalent to theannual water consumption of>450,000 U.S. households3

CONSERVING WATER

At Ingersoll Rand, circularity is key to our environmental efforts.
Here are four ways our products impact water.

1 Products that use less water during their operation
2 Products that transfer water more efficiently
3 Products that serve water and wastewater processing
applications

4 Products that do not use water for their operation
but replace those that do anagement estimate when compared to the typical solution that is replaced by the RunEco system.
MManagement estimate when compared to the solutions that were replaced by the current installed base of
RunEco systems.
3
Average U.S. household consumes >300 gallons of water per day (source: epa.gov/watersense).
1

2

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2022 Sustainability Report

Liquid Ring Vacuum Pumps• Innovative enclosed product design
includes a self-contained onboard
water recirculation system•O nce filled, requires no additional
fresh water

Air Compressor Remanufacturing• Well-established program to rebuild
and refurbish legacy machines andcomponents• Rotary compressor and airend
remanufacturing centers locatedin all regions: Mocksville, North
Carolina (USA), Vignate, Italy, andWujiang, China• Centrifugal compressor
remanufacturing on-site or at
Ingersoll Rand sites• Factory-certified work for customer
peace of mind
• Meaningful contributor to global
compressor revenue

NASH Unit Exchange (UX) Program• Cost-effectiveand sustainable alternative to buying new liquid ring vacuum
pumps• Customers save >50% or more of thecost of a new pump• Environmental benefits: avoids the useof ~3,300 lbs of new cast iron and>850 kWh of electricity per unit
• Significant growth since launch withrunway ahead

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PRODUCT CIRCULARITY CONTINUED

LIFE CYCLE ASSESSMENT (LCA) AND PRODUCT LABELS AND

END OF LIFE CYCLE RESPONSIBILITYDECLARATIONSIngersoll Rand actively pursues opportunities to promote circularity through recycling of our products and their components asdetailed below.

As part of our commitment to advancing towards a low-carbon society,
we have taken an important step by conducting simplified life cycle
assessments (LCAs) on the use-phase of nearly 100% of ourmanufactured products. These assessments serve as a measurement
tool to track our progress towards achieving our 2030 GHG productreduction goal. The LCAs are conducted in alignment with ISO 14040.
A small percentage (0.22%) of products have undergone an extensive
full LCA. Impacts covered by LCAs include but are not limited to:abiotic depletion, land use, water depletion, ecotoxicity, global warming,ozone depletion and impacts on humans, such as human toxicity.
The simplified LCA verified data is covered by the Assurance Statement
delivered by our third party independent global assurance provider.

Product Circularity

2019

2020

2021

2022

% Products sold that can be reused or recycled

33%

70%

72%

75%

Products and materials that were actually reusedor recycled by Ingersoll Rand or a third-party
contracted for this purpose

2.2%

2.3%

1.2%

1.2%

$133M

$109M

$63M1

$72M

Financial benefit from take-back programs

The substantial decrease in 2021 was due to the divestiture of a business unit (Club Car), which had previously generated a meaningful portion of the financial benefit from remanufactured golf
and utility vehicles.

1

RESOURCE EFFICIENCY PRODUCT BENEFITS

We estimate that a significant majority of our products, ~65%, offer
resource efficiency benefits to our customers and consumers during
their use-phase. These products contribute to a range of positive
impacts, including decreased energy and water consumption, reduced
waste generation, lower GHG emissions, pollution reduction, decreased
raw material consumption, and increased product durability andlongevity.

ENVIRONMENTAL LABELS AND DECLARATIONS

The following Environmental labels and declarations provide information about our products and solutions in terms of theiroverall environmental attributes.

Environmental Labels and Declarations% of Revenues Covered
in FY 2022

Type III Environmental Product Declarations(in accordance with ISO 14025 or the European construction standard EN 15804)

0.0%Type II self-declared environmental claims(in accordance with ISO 14021)

0.0%Type I or other ecolabels (in accordance with ISO 14024 or independent ecolabels e.g. WWF,national and international labels e.g. energy star, LEED, or accepted industry-specific best practices).

15.1%

Total

15.1%

Type I is a voluntary label developed by a third-party indicating overall environmental performance based on life cycle considerations; Type II is a self-declaration of environmental informationby the producer; Type III is an eco-label with quantified environmental data awarded by a third-party and based on verified full life-cycle assessment.

142022 Sustainability ReportINTRODUCTION

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PRODUCT SAFETY

Safety is Built Into
Everything We Do
Our pledge to Make Life Better includes protecting those who put
their trust in our products. Our mission-critical flow creation andindustrial products excel in the most complex and harsh conditions,and our rigorous commitment to product safety helps develop
customers for life.
Ingersoll Rand’s Global Environmental Health and Safety (EHS) Policy
outlines our formal dedication to ensuring product safety throughcompliance with applicable regulations, extensive product testingand quality assurance. Each business unit assumes responsibility for
managing product safety, overseen by the Unit’s Vice President/
General Manager who reports directly to the Chairman, President
and CEO.
•T he business units review emerging regulatory and industry
standard changes on an ongoing basis. Any significant impact issocialized to the broader business leadership team for awarenessand necessary action.
• The business units conduct product safety risk assessments toprotect employees and customers from recognized hazards thatare likely to cause physical harm. If a product safety incident occurs,
it is escalated to the Unit’s Vice President/General Manager, aninvestigation occurs, and if necessary, a product hold and/or recall
is initiated. Product recall/safety bulletins are distributed toaffected parties as applicable, when and if any safety-related issue
occurs. All incidents are investigated, and swift mitigation actions
are implemented.
• The annual goal is always zero incidents and, in 2022, our businesses
had zero product safety claims and did not initiate any productsafety recalls.

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NEW PRODUCT DEVELOPMENT PROCESS

During the NPD process, businesses assess technical readiness, productsafety risks, and evaluate regulations and product safety. Ingersoll Randalso has various third-party approvals to supplement our commitment
to product safety. Furthermore, independent third-party inspectors verify compliance with CE and UL regulations by auditing (at a minimum of
every three years) various products and components at multiple Ingersoll Rand sites worldwide.
ISO 9001 CERTIFICATION

A total of 73 Ingersoll Rand manufacturing sites (82% of our total) are
ISO 9001 certified, and these sites undergo a rigorous audit every three
years. Internal Quality Leaders audit sites routinely to monitor productand service safety performance, and corrective actions are managed
within the business’s corrective action tracking system.
PROTECTING OUR CUSTOMERS, EMPLOYEES, OPERATORS,AND TECHNICIANS

By designing safety into our products, we help ensure the health andsafety of all technicians, operators, engineers, assemblers, and otherpersonnel who install, operate, maintain, and interact with ourequipment at manufacturing or service sites around the world.

Touch-safe control panels
Onboard control panels are rated IP20 for
ingress protection against objects larger
than 12mm.
Natural gas odorization
Systems to inject mercaptan into natural gas
streams enable human detection.
Ergonomic Tightening System (ETS) tools
Reduce reaction force experienced by operators
by up to 63%.

DESIGN FOR SERVICEABILITY

We engage our air compressor service technicians during the earlystages of the product development process to identify and implement
opportunities to improve service ergonomics and safety. Custom
tooling and special fixtures are available to ensure the safe removal
and reassembly of components.

How we do it:
Oil-free air compressors and blowers
eliminate the requirement for oil, keeping the air
free of contaminants.
ATEX-certified products
Compressors, vacuum pumps, impact wrenches,
drills, hoists, and other products offer spark- andexplosion-resistance for potentially hazardous
environments.
Air quality monitoring, testing,and purification
We provide comprehensive systems and services
for the analysis and purification of breathing air
in order to keep safe first responders, divers andothers who rely on breathable air.

Ingersoll Rand Employee: Tim McLoughlin, Kansas City site

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PRODUCT SAFETY CONTINUED

INDUSTRIAL INTERNET OF THINGS (IIOT)

HAZARDOUS SUBSTANCE COMMITMENTPROGRESS ON REFRIGERATED DRYERS

IIoT-ready and connected products enable remote machine healthassessments rather than requiring an in-person inspection.

A critical aspect of our sustainability commitment as embodied in our
EHS Policy is the reduction or elimination of hazardous substances fromour products and within our operations. In line with our commitment,
we collaborate with our customers to develop and provide products
and services that help meet or exceed their EHS objectives, including acommitment to phase out hazardous substances.

A vivid illustration of our commitment is the phased discontinuationof the use of Refrigerant R404A. This decision is driven by its highglobal warming potential (GWP) of 3,922. In its place, we havetransitioned to R410A, which has a significantly lower GWP of 2,088.
This change has allowed us to reduce our GHG emissions of ourrefrigerated dryers by 47%.

Ingersoll Rand locations have a process to confirm that the following
banned substances are not used, sold or stored at the site: asbestos,chlorinated solvents including: methylene chloride (MC), perchloroethylene (PCE), 1,1,1-trichloroethane (1,1,1-TCA), trichloroethylene (TCE),
vinyl chloride (VC), cyanide and cyanide-containing compounds andlead, and polychlorinated biphenyls.

We have transitioned 100% of our large refrigerated dryers (1,800
to 24,000 SCFM flow) to low-GWP refrigerants. We plan to transition
all medium refrigerated dryers (200 to 1,600 SCFM) to low-GWP
refrigerants by 2024.

ASSURING BEST PRACTICESAs a market leader, we follow best practices for product design, safety,
quality, engineering, and testing published by leading standards andtrade organizations, including the below:

Ingersoll Rand Employee: P. Purusoth, Chennai, India site

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HIGH-GROWTH SUSTAINABLE MARKETSMARKETS MEETING THESE CRITERIA INCLUDE, BUT ARE NOT LIMITED TO:

Enabling Progress
in High-Growth
Sustainable Markets
The second pillar of our Grow Sustainably strategy is high-growthsustainable markets. We define high-growth sustainable markets
as the set of industries that we expect to grow above Gross Domestic
Product levels because they are supported by sustainability
megatrends including decarbonization, water conservation, and rising
standards of living. We create value for customers in these markets
with a product portfolio and application-specific knowledge built on
decades of accumulated engineering and commercial experience.

Clean Energy

FoodLife Science

Water

Enabling the transition to clean,
low-carbon and zero-carbon energy

Enabling the safe and effective
growth processing, packaging
and delivery of food and beverages

Contributing to human health,care, comfort and longevity

Facilitating the transport,
treatment and protection ofwater and wastewater resources

COMPETITIVE ADVANTAGES IN NEW HIGH GROWTH SUSTAINABLE MARKETS“Sustainability is fundamental to our industrial compounder model and includes
investments to drive organic and inorganic growth. In product and service
innovation, our teams are embracing the DfS process, and a significant percentage
of our intellectual property portfolio is related to sustainability. On the inorganicside, we continue to acquire companies that enhance and expand our product andservice capabilities and enable us to deliver efficiency benefits to customers when
they need it. These investments support our customer acquisition and retention
initiatives.”
Liz Hepding, Senior Vice President, Strategy and Corporate Development

Our deep application-specific knowledge acquired over decades ofexperience and our long-standing relationships with key end-users andsystem/device builders are the basis of our competitive advantage.
Additionally, we possess an extensive global channel and OriginalEquipment Manufacturer (OEM) network, enabling us to cater to bothglobal and small to medium-sized industrial users. Our expansive
Demand Generation database, comprising approximately three million
contacts, reinforces our reach and influence. Furthermore, our capability toscout and acquire new companies operating within these market ecosystems allows us to continuously expand and adapt to changing demands.
SUB-SEGMENTS WITHIN TRADITIONAL INDUSTRIESWe also consider sub-segments within traditional industries, such as
electric vehicles within the broader motor vehicle industry, to be a highgrowth sustainable market. Given our novel collection of assets andcapabilities, we believe we are uniquely positioned to succeed in thesemarkets.

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2022 Sustainability ReportINTRODUCTION

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CLEAN ENERGY

Advancing Clean
EnergyIn the electric vehicle and transport sector, our products include aircompressors for electric vehicle and battery manufacturing plants,
power tools for vehicle and lithium-ion pack assembly, ergonomic
handling devices for battery packs, dosing pumps and mixers forbattery cell production, natural gas compressors for hybrid cargo ships,
and blowers for cargo ship air lubrication systems (ALS).

CLEAN ENERGY CUSTOMER SUCCESS STORIESDEVELOPING A SCALABLE CO2 CAPTURE SYSTEM

CO₂

Finally, for nuclear applications, we offer blowers for steampressurization.

ENABLING THE TRANSITION TO CLEAN, LOW-CARBON AND
ZERO-CARBON ENERGY

We are committed to advancing a responsible economy that provides asustainable and secure future for everyone.

PRODUCTS FOR GROWING SUSTAINABLY WITH CLEAN ENERGY

Our product offering plays a crucial role in supporting decarbonization
efforts throughout the energy transition. For biogas applications,
we provide renewable natural gas (RNG) capture and compression
systems, as well as waste grinding and conveyance pumps.
In the hydrogen sector, our offerings include hydrogen compressors,vehicle refueling stations, and industrial hydrogen (brown, grey, blue,
green) gas compressors. In the wind energy sector, we offer
high-torque cordless power tools for wind turbine assembly andmaintenance, as well as piston pumps for spray-application of turbine
blade coatings.

TRANSFORMING BIOGASES INTO USABLE RENEWABLE NATURAL GAS
Screw blower for marine
Air Lubrication Systems (ALS)For solar energy applications, we provide vacuum pumps for solar
photovoltaic panel production and lamination, adhesive dispensing
systems for solar panel assembly, and precision cordless power tools
for solar farm erection.
In decarbonization, we offer vacuum pumps, blowers, and compressors
for carbon capture, utilization, and storage (CCUS), flare gas capture
and compression systems, zero methane emission natural gas odorizers,
and gas sampling diaphragm pumps.

182022 Sustainability Report

Ingersoll Rand partnered with Aqualung, a clean technology innovator
based in Oslo, Norway to develop a novel system for industrial
CO2 capture. The modular solution marries a patented membrane
technology with four Ingersoll Rand products on each module: aside-channel blower, two vacuum pumps, and one gas compressor.
The new and highly-scalable solution will make viable carbon captureaccessible to more industrial companies seeking to reduce their
GHG emissions.

Haskel hydrogen
refueling station

LeROI HG12 Biogas (RNG)
compressor(RNG)

As landfill and livestock waste degrade,carbon-containing biogases including
methane are emitted, causing more harmto the atmosphere than carbon dioxide. In
a more sustainable solution that is increasingly required by local regulation, thesegases can be captured under membranes
or canopies. Ingersoll Rand LeROI compressors are then used topressurize these biogases, which can be treated and injected into
traditional natural gas pipelines for industrial or residential use orprovided to power plants for electricity generation. LeROI has along-standing strategic partnership with the recognized leader
and innovator in these applications, which is also one of the largest
renewable natural gas producers in the United States.

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FOOD

Enabling a
Sustainable
Food Supply
MEETING THE NEEDS OF PRESENT AND FUTURE GENERATIONS

Our impact spans the entire food and beverage value chain, encompassing stages from harvesting to processing, packaging, and delivery.
We actively contribute to each step of this chain, ensuring efficiency,
sustainability, and innovation throughout.
Our commitment to minimizing the environmental impact in the foodindustry while ensuring sustainable food production for future
generations is reflected in the products we provide. In the agriculture
sector, we offer dosing pumps for precise plant nutrient delivery,
control systems for efficient farm management, cold plasma systems
for water oxygenation, irrigation pumps, and systems for controlledenvironment agriculture (CEA).

In food processing, we offer oil-free air compressors and food-grade
lubricants, blowers for the bulk conveyance of powders, cereals, anddry foods, and progressive cavity, diaphragm, and other pumps forthe transfer of food and beverages. Our Food and Drug Administration(FDA)-compliant diaphragm pumps feature clean-in-place (CIP) designs,
ensuring sanitary operations. We also provide powered hoists for theefficient handling of large containers and bags during processing.
In the packaging phase, we offer high-pressure centrifugal andreciprocating compressors for PET bottle forming, air compressors
for glass bottle forming, and air compressors to power cutting,folding, forming, and other packaging equipment. Our ergonomic
handling systems facilitate efficient box and pallet manipulation,
while vacuum pumps enable robotic or manual handling of packages
and vacuum-sealing food for freshness. Additionally, our nitrogeninjection systems help preserve the freshness of food and beverages.
For transportation and delivery, our micro pumps are utilized inbeverage and soft-serve ice cream dispensing machines, while ourblowers facilitate the unloading of dry bulk powder and liquid fromtankers.
PRODUCTS FOR GROWING SUSTAINABLY IN THE FOOD INDUSTRY

For livestock management, our products include dosing pumps fornutrition and vaccination, control systems for monitoring andmaintaining livestock health, and biogas harvesting compressors.

Maximus precision
GHG management
controller and software

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Ingersoll Rand turbo air
NX2500 oil-free
centrifugal compressor

SEEPEX pumps forthe food industry

CUSTOMER SUCCESS STORIESGROWING FOOD WITH LESS WATER AND LOWER EMISSIONSWith headquarters in Sweden and manufacturing sites in India andTaiwan, Spowdi is a green tech innovation company focused onregenerative, precision agriculture. The company’s flagship product is
an inexpensive solar-powered water supply system used for irrigating
crops in regions without electrical infrastructure. Ingersoll Rand
experts worked together with Spowdi during the product designphase, furnishing a critical system component: a brushless piston
pump to create the flow of water. With this solution, a single person
can easily manage the irrigation of a full acre per day, a 10X
improvement in productivity. In addition, the efficacy of the
precision drip solution versus conventional watering can increase
harvest yields by 100% and reduce total water consumption by
80%, all while producing zero GHG emissions given the use of solar
energy to power the system.

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LIFE SCIENCE

Contributing to
Human Health,Care, Comfort,and Longevity
Ingersoll Rand improves the quality of life for individuals bydesigning products and delivering services that serve the healthcare
industry. Our products play vital roles in drug discovery andproduction, ensure patient care and well-being in hospitals andhomes, and enable laboratory diagnostics and research.
For the pharmaceuticals industries, we offer oil-free compressors forpharmaceutical production sites, blower and vacuum pumps forpharmaceutical manufacturing and hygienic and quick-knock-down andclean-in-place pumps for solution and liquid transfer in pharmaceuticalproduction. We also provide pumps for the transfer of lotions,shampoos, pastes, and other consumer products.

For in-patient care and medical devices, we provide oxygen pumps
for breathing support and respiratory therapy, small pumps andcompressors for medical devices such as blood analyzers, bloodpressure monitors, drug delivery systems, autoclaves, nebulizers,
dental carts, chair lifts, hospital beds, and more. Our offerings also
include diaphragm pumps for respiratory gas capture for capnography,liquid pumps for dialysis machines, vacuum pumps and compressors
for negative pressure wound therapy (NPWT) and compression
therapy, breathing air compressors, hospital and surgical vacuum
systems, liquid ring vacuum pumps for sterilizing systems, andprecision low-torque power tools for medical device and equipment
assembly.
In the field of research, discovery, and laboratory analysis, we supply
small vacuum pumps and compressors for life science researchequipment such as centrifuges, microplate washers, aspiration systems,
cell harvesting devices, concentrators, filtration units, pipetting
instruments, evaporation systems, degassing equipment, tissue
culturing setups, vacuum ovens, and more. Additionally, our portfolio
includes peristaltic pumps for organic fluid transfer in bioprocessing,
peristaltic pumps for laboratory liquid handling, vacuum pumps forsample testing, and laboratory automation systems.
PRODUCTS FOR GROWING SUSTAINABLY IN LIFE SCIENCE
Zinsser analytic
automated liquidhandling system

Elmo Rietschle rotary
vane vacuum pump

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2022 Sustainability Report

Ingersoll Rand QE2
precision fastening
systemLIFE SCIENCE CUSTOMER SUCCESS STORYAUTOMATING SAMPLE PREPARATION FOR A MASS PHOTOMETRYTECHNOLOGY INNOVATOR

A UK-based pioneer in producing analytical instruments that puts
molecular mass measurement within the reach of scientists was
searching for a platform that supplied both great repeatability andhigh-precision pipetting to avoid manual inconsistencies insample preparation for their instrument. Ingersoll Rand’s Zinsser
team responded to the challenge by developing an integrated
platform that included the TriContinent Air-Z Premiere automatedpipettor to cover sample preparation and aliquoting on our partner’s
measurement system, satisfying a demanding specification andtimeline.

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WATER

Sustaining A Vital
Resource
FACILITATING THE TRANSPORT, TREATMENT, AND PROTECTION
OF WATER AND WASTEWATER RESOURCES

Our products and services enable the delivery of clean and puredrinking water, both in established and developing economies, as well
as facilitating the treatment of industrial and municipal wastewater.
We provide a range of specialized products designed for various applications within the water and wastewater sectors. Our product portfolio
includes pumps specifically developed for pH regulation, softening, anddisinfection of drinking water, as well as pumps for chemical dosing in
wastewater and cooling water treatment processes. We offer peristaltic
and diaphragm pumps for precise chemical transfer, along with pumps
dedicated to reverse osmosis (RO) systems. Our progressive cavity
pumps excel in the efficient transfer of sludge, while our effluent
sampling pumps facilitate the collection of representative samples.
Ingersoll Rand blowers and mixers provide effective wastewater
aeration. Additionally, we provide pumps for industrial wastewater
handling, filter press feed, dewatering of mining and construction sites,
and condensate removal. Our cold plasma systems are specificallydesigned for oxygenation and disinfection.

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Within the water and wastewater industry, we serve diverse market
sub-segments. These include water treatment within industrial,commercial, municipal, and residential sectors, covering processes suchas purification, filtration, and disinfection. We also contribute to wastewater treatment in various settings, including industrial, commercial,
municipal, and residential applications. Our involvement extends towater sampling, monitoring, sensing, control, and testing, promoting accurate analysis and management of water quality. Furthermore, we support water infrastructure construction and maintenance, encompassing
mains, basins, sewers, tanks, and inspection processes. Additionally,
we offer solutions for dewatering applications, aiding in the removal ofwater from construction sites or other areas where excess water posesa challenge. Lastly, we contribute to the field of desalination, enabling
the conversion of seawater into freshwater.

PRODUCTS FOR GROWING SUSTAINABLY IN THE WATER SECTOR

Robuschi ROBOX
turbo blower

SEEPEX intelligent
metering pump

WATER AND WASTEWATER CUSTOMER SUCCESS STORY
INCREASING DAILY PROCESSING VOLUME BY 50% FOR A
WATER AND RECYCLING SERVICES LEADERThe largest water utility in England by geographic area, Anglian
Water, supplies water and recycling services to over six million
domestic customers. During 2020–2021, the company processed
142,000 tons of dry solid sewage sludge to generate 115 GWh of
bioenergy used to run the facility and export. However, they
identified that the progressive cavity pumps used to handle sludge
cake were problematic, with high maintenance and logistics costs
and a low transfer rate that limited biogas production. Ingersoll
Rand’s SEEPEX team delivered a turnkey solution by removing thecompetitive pumps and installing progressive cavity pumps withcustom open hoppers that enabled a faster transfer rate and an
isolation device to allow future maintenance without emptying thesilos. This resulted in a 50% increase in daily processing volume anda payback time of less than one year.

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CUSTOMER RELATIONSHIP MANAGEMENT

Customer
Satisfaction
By implementing a proprietary holistic approach known as Demand
Generation, we engage with potential customers and existingclients at every step of their buying journey, supporting andenhancing business capabilities throughout the entire customer
lifecycle. Demand Generation is a proprietary growth engine thatdeepens our ability to leverage the sustainability megatrend andhelps our customers achieve their own GHG emission reduction
goals.

“To accelerate our Demand Generation
efforts, with a particular focus on
Sustainable Markets, we are heavily
investing in both talent and tools.
We are deploying state-of-the-art
technology for our web, data andcustomer relationship tools andprocesses to ensure that we provide
the most relevant information to ourcustomers and prospects when theyneed it.”
Cesare Trabattoni, Vice President,
Demand Generation, Pricing and Commercial
Excellence222022 Sustainability Report

THE RIGHT INFORMATION AT THE RIGHT TIME

We provide our customers with the information they need at the righttime, through the right channel to deliver a great experience andoutstanding results. Our Demand Generation engine, in addition to the
traditional core element of digital marketing, is currently focused ondelivering results in four areas: pricing, commercial excellence andtechnology, e-commerce, and advanced data analytics. These areas
combine to provide the best possible experience to our customers
and channel.
Ingersoll Rand Employees: Mocksville, North Carolina site

IMPROVING THE CUSTOMER EXPERIENCE

Ingersoll Rand continuously enhances customer experience byleveraging Ingersoll Rand Execution Excellence (IRX™) throughout theorganization. Our teams have identified and mapped out criticalcustomer experience journeys, actively collecting feedback from
customers to pinpoint areas for improvement. These improvements
are then implemented through IDM. IDM is executed in 100-day sprints
and prioritizes areas of focus that emphasize the “how” rather than justthe “what,” ultimately leading to long-term success through standardized procedures.
Our strategic focus on leading sustainably extends beyond ourcompany, as we are committed to driving customer sustainability
success as well. This commitment is deeply embedded across all
aspects of our organization, representing another way in which we
consistently deliver value to our customers on a daily basis.
CUSTOMER SATISFACTION MEASUREMENT

In 2021, we launched a company-wide IRX initiative to improve thecustomer experience. As part of this effort, we extended our automatedand scalable survey system to encompass a broader range of business
units. This expansion enables us to assess customer satisfaction acrossmore customer touchpoints, providing us with valuable insights.
The system uses Net Promoter Score (NPS) methodology which
provides a consistent measurement of customer satisfaction acrossthe organization.

The initial program, NPS Request for Quote, involved sending surveys
to customers who requested a quote on any of our websites. Since
its inception, the program has been consistently expanded to include
additional customer touchpoints, such as post-purchase, post-service,
and post-customer service interactions. In cases where low scores arereceived, they are automatically forwarded to the front line sales andservice teams within the relevant business units for prompt follow-up
and action. We conduct monthly reviews of the overall results to ensure
continuous improvement. These reviews allow us to assess the progress
made through this initiative on a regular basis.
The majority of our coverage in 2020 focused on a segment of ourbusiness that had already implemented a strong customer satisfaction
program, resulting in the company attaining high NPS scores within theindustry. However, in 2021, as we expanded our coverage to previously
unaddressed customer touchpoints and extended it to areas of theorganization with less developed customer satisfaction programs, NPS
scores experienced a decline. In 2022, our scores have reached a stablelevel. Although our expanded surveys continue to reveal areas for
improvement, the lower scores are now balanced by enhancements
made in the earlier expansion areas. Below is a table displaying customer
satisfaction measurements.
Customer Satisfaction Measurement
Metric

Unit

2020

2021

2022

Satisfaction Measurement

Net promoter
score

39

18

18

Data Coverage% of Revenue

34

44

54

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLY

OPERATIONALIZING SUSTAINABILITY

Responding to
the Call for
Environmental
ActionAs an industry leader of mission-critical products and services,
we have the responsibility to use our entrepreneurial spirit andownership mindset to positively impact our planet today, tomorrowand for generations to come.

2030 OPERATIONAL GOALS1, 2(Baseline year 2020)

Reduce Absolute Annual GHG Emissions 60%(Scope 1 and 2)

Reduce Absolute Annual Water
use by 17%>50% of In-Scope Sites
Zero Waste to Landfill

Absolute Progress Since 2020:
Reduction of 17,233 metric tons (16.3%),
representing 27% of our 2030 goal

Absolute Progress Since 2020:
Reduction of 8.7 million gallons (6.1%),
representing 36% of our 2030 goal

Absolute Progress Since 2020:
Increase of 25 sites (13%), representing 68%,
of our 2030 goal

Intensity Progress Since 2020:
Reduction of 9.4 metric tons CO2 e/revenue
in millions USD, representing a 38.5% GHG
Intensity Reduction

Intensity Progress Since 2020:
Reduction of 10.2k gal/revenue in millions
USD, representing a 31% Water Intensity
Reduction27%

In 2021, we took a significant step forward by introducing our ambitious
2030 and 2050 Environmental Goals. These goals are not only
aspirational but also reflect our determination to drive positive change
and shape a sustainable future. At Ingersoll Rand, we are fully committed
to achieving these goals, which form a crucial part of our broader
ESG initiatives. Guided by our ESG framework, we strive to create abetter world for our employees, customers, shareholders, and theplanet we all share.

“As the Operational Sustainability Director leading the implementation of
the GreenX program globally, my passion lies with establishing, training andempowering cross-functional GreenX teams at our manufacturing sites thatwork to drive continuous improvements in operational sustainability year
over year. Through the GreenX program, we are committed to reducing ourenvironmental footprint and embracing innovative solutions that promotesustainability across our operations. By integrating sustainable practices
into our daily operations, we can create a more resilient and environmentallyconscious future. Together with our teams, stakeholders, and partners,
we are dedicated to making a positive impact and fostering a greener world
for generations to come.”
Gordon Smith, Director, Operational Sustainability

23

2022 Sustainability Report

36%

68%

2050 OPERATIONAL GOALS1, 2
Net-Zero (Scope 1 and 2)
Absolute Progress Since 2020:16%

In 2022, our 2020 base year was recalculated for allenvironmental metrics in accordance with the GHG
Protocol Corporate Accounting and ReportingStandard Revised Edition, January 2005, World
Resources Institute. This recalculation included
the locations acquired in 2021 and adjusted for data
errors. All subsequent years after the base year were
calculated in conformance with this method.

1(Baseline year 2020)100% Renewable Energy
Absolute Progress Since 2020:11%

Excluded from the most recent base year recalculation are the locations acquired in 2022 that lack
12 months of data in our Environmental Management
System pursuant to our standard work as allowed
for under the GHG Protocol.
Revenue from 2022 acquisitions has been includedin the intensity calculations as it represents animmaterial amount.
2
Whole values and percent variances represent thechange between 2022 and the recalculated 2020
baseline year.

Footnotes 1 and 2 apply to all 2030 and 2050
operational goals in this report.

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLY

OPERATIONALIZING SUSTAINABILITY CONTINUED

Operational
Eco-Efficiency

By following the program standards, the plant GreenX team becomesthe primary contributor toward reducing the water, waste and energy
footprint of our operations. Our EHS management system thenstandardizes our environmental programs, resulting in sustainability
initiatives being operationalized across our sites.

CLIMATE | WATER | WASTE

We measure our impacts monthly to track performance against our2030 and 2050 Environmental Goals. As we work towards these goals,
we create value by becoming more efficient in our own operations
through reductions in energy, water, material usage, and waste. We have
35 active GreenX Teams around the world with over 143 sustainability
projects active or in the pipeline as of May 2023. In 2022, we completed
nearly 90 sustainability projects.

Operating sustainably is about Making Life Better for our communities
where we operate and the planet we share while creating value forour stakeholders. We take seriously our responsibility to minimize
energy, water and waste impacts by defining, accelerating and scalingsustainability performance in all of our locations through the rigor anddiscipline of IRX. Plant GreenX Teams play a critical role in this process,where Champions own the energy, water and waste pillars and have theresponsibility to identify and implement improvements.
These pillars are:• Compressed Air• HVAC and Lighting• Packaging and Recycling• Manufacturing Efficiency• Water• Waste• Startup/Shutdown
Processes

2022 SUSTAINABILITY AWARD WINNERS:
Two teams, one located in various countries within EMEIA and the otherin Monroe, Louisiana, won the 2022 GreenX Sustainability Awards for theiroutstanding implementation of the GreenX program in multiple categories
across manufacturing operations and services.
These teams demonstrated remarkable collaboration and successfully
executed projects that yielded documented efficiencies in their respective
locations. Their accomplishments reflect their dedication, teamwork, andcommitment to sustainability.

24

2022 Sustainability Reportinitiatives, audits, and data integrity. This structured approach ensuresthat the teams stay aligned with their objectives and provides anopportunity for collaboration and knowledge sharing.
By fostering regular communication and accountability through theseteam meetings, Ingersoll Rand maintains a strong focus on continuous
improvement and sustainability. The GreenX Teams play a vital role indriving the company’s commitment to efficient operations, environmental
stewardship, and a culture of sustainability throughout the organization.

We are pleased to announce that we are already 27% of the way
toward our GHG emissions reduction goal of 60% for Scope 1 and 2.
Additionally, we achieved 16% progress toward our 2050 goal of netzero from the 2020 baseline.
LAUNCHING INGERSOLL RAND’S GREENX TEAMS AND EFFICIENCY TOOLSIngersoll Rand has taken a proactive approach to drive efficiencies andpromote sustainability by establishing GreenX Teams. These teams
have been carefully assembled to focus on specific areas crucial toachieving environmental excellence within the organization.

GreenX Team in Monroe, Louisiana (from left): Christy Aelavanthara, Mark Ingram,
Gordon Smith, Kal Cormier, Toby Truex, Gregg Williams and Tim Hammonds

Each GreenX Team member is assigned specific responsibilities within
their respective focus areas, which include compressed air
management, start-up/shut-down management, temperature
management, waste and water management, and equipment efficiency.
Under the sponsorship of the site manager, these teams work together
to implement strategies and initiatives that enhance operational
efficiency and reduce environmental impact.
To ensure effective communication and progress monitoring, theGreenX Teams hold meetings at least twice a month, with the sitemanager attending once a month. During these meetings, the teamleader guides the discussion around key performance indicators
progress, environmental tracker projects, capital planning, newequipment and site changes, renewable energy purchases and onsite

GreenX Team in Vignate, Italy (from left): Emilio Teruzzi, Vincenzo Ciriello, Gordon Smith,
Marco Fenini, Erika Daloiso, Andrea Gioffrè and Sara Cremonesi

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICESENVIRONMENTAL

MARKETSSOCIAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLY

OPERATIONAL ECO-EFFICIENCY CONTINUED

CLIMATE

Direct GHG (Scope 1)

Proactively
Addressing Climate
ChangeWith concern about climate change continuing to be a top priority,
we are focused on sustainable innovation that leverages alternative
sources of green energy to address this critical issue.

Target: Reduce Absolute GHG Emissions 60%(Scope 1 and 2) by 2030

27%

Absolute Progress Since 2020:
Reduction of 17,233 metric tons (16.3%)
representing 27% of our 2030 goal
Intensity Progress Since 2020:
Reduction of 9.4 metric tons CO2 e/revenue inmillions USD, representing a 38.5% GHG
Intensity Reduction

16%
Target: Net-Zero (Scope 1 and 2) by 2050

Direct GHG (Scope 1)

Unit

2019

2020

2021

2022

2022 TARGET

Total direct GHG emissions(Scope 1)

Metric tons CO2 equivalents

41,18540,31539,00635,771

36,666(-6.0%)

Data coverage(as % of denominator)

Percentage of revenue

68%

100%

100%

100%

Indirect GHG Emission (Scope 2)
Indirect GHG (Scope 2)

Unit

2019

2020

2021

2022

2022 TARGET

Location- based

Metric tons of CO2 equivalents

59,81365,651

63,10365,367

62,169(-1.48%)

Data coverage(as % of denominator)

Percentage of revenue

68%

100%

100%

100%

Market-based

Metric tons of CO2 equivalents

59,81365,651

57,991

52,962

Data coverage(as % of denominator)

Percentage of revenue

68%

100%

100%

100%

54,511(-6.0%)GHG Emission Reduction Roadmap Metric Tons (MT) 2030 Goal: 60% Scope 1 and 2 Reduction (from 2020 recalculated baseline)
Green Excellence
ProgramAbsolute Progress Since 2020:
16% of our 2050 goal

Refrigerant
Reduction Project

2020

Hybrid &Electric Fleet(NA+EU) + Forklift
Electrification

Retail Renewable
Electricity

Baseline

Onsite Solar(PPA & Owned)

Propane Heating
to Electrification

U.S. VPPA+
Anticipated
60% Reduction Goal

GrowthScope 125

2022 Sustainability Report

Scope 22030 Current
EstimateINTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLY

OPERATIONAL ECO-EFFICIENCY CONTINUED

Indirect GHG Emissions (Scope 3)1, 2
2020

2021

2022

2022 TARGET

177,213,018

199,059,718

223,886,412

196,073,822 (-1.5%)

Metric tons CO2e

Metric tons CO2e

Metric tons CO2e

Emissions calculation methodology
and exclusions

1,614,573

2,027,080

2,461,622

Spend (monetary) based method

2. Capital Goods

89,91897,435

111,728

Spend (monetary) based method

3. Fuel-and-energy-related-activities(not included in Scope 1 or 2)

23,20921,35019,535

Average-data method

4.Upstream transportation and distribution

218,249

154,008

201,293

Spend (monetary) based method

4,801

10,7409,381

Spend (monetary) based method

377

2,076

4,103

Fuel-based method

7. Employee commuting

24,85324,47523,270

Average-data method

8. Upstream leased assets

1,318

1,318

1,318

Average-data method

45,16431,87034,488Spend (monetary) based method

7,183

10,146

14,057

Spend (monetary) based method

174,834,057

196,309,808

220,623,559

8,916

10,426

11,987

Average-data method

115,994

134,586

145,679

Spend (monetary) based method

N/A

N/A

N/A

224,407

224,400

224,392

Total metric tons CO2e

Scope 3 Category
1. Purchased Goods and Services

5. Waste generated in operations
6. Business travel

9. Downstream transportation and distribution
10. Processing of sold products
11. Use of sold products
12. End of life treatment of sold products
13. Downstream leased assets
14. Franchises
15. Investments

ISO LCA 14040

N/A
Spend (monetary) based method

In 2022, Ingersoll Rand adjusted the calculation methodology for use of sold products to derive a more accurate calculation of its products’ lifecycle emissions. The International Energy Agency (IEA) emission factors (mostrecently published actuals) were applied to the base year (2020) and all subsequent years reported. Additionally, IEA scenario-based electricity emission factor values (World Energy Outlook Dataset) based on Stated Policies(STEPS) were applied to all years after the reporting year to 2050. Additionally in 2022, Ingersoll Rand adjusted business travel and employee commuting to better align with published EPA emission factors. Also, Ingersoll Rand
previously did not account for business travel emissions. All base year calculations were performed in accordance with the GHG Technical Guidance for Calculating Scope 3 Emissions, 2013, World Resources Institute. All subsequent years after the base year were calculated in conformance with this method. Ingersoll Rand’s Scope 3 emissions data were prepared in accordance with the GHG Protocol Corporate Value Chain (Scope 3) Accounting andReporting Standard. We expect to make regular adjustments to our Scope 3 emissions data in accordance with these standards as we collaborate with external advisors to enhance our methodology and transition from broadmeasurement approaches (such as spend or average) to more detailed methods. These procedural enhancements and external feedback have the potential to lead to noteworthy fluctuations in the Scope 3 emissions data reported
for previously reported periods. Ingersoll Rand’s 2021 and 2022 Scope 3 Use of Sold Products emissions are third-party verified by our global assurance provider.
2
Our use of sold products (category 11) model covers the GHG emissions from 80%+ of our total complete units revenue. The GHG emissions from the remaining portion of our complete units revenue was extrapolated from the model.
1

262022 Sustainability Report

Ingersoll Rand Employees (from left): Ray Myers, Dale Herendeen, Rory Barror, Mocksville, North
Carolina site

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICESENVIRONMENTAL

MARKETSSOCIAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLY

OPERATIONAL ECO-EFFICIENCY CONTINUED

Volatile Organic Compounds Emissions1

1

CASE STUDY: ENERGY CONSUMPTION

Direct VOC emissions

Unit

Direct VOC emissions

Metric tons

Data coverage(as % of denominator)

Percentage of revenue

2019

2020

2021

2022

2022 Target

39

54

61

76

57.3
(-6%)

68%

100%

100%

100%

Only includes facilities that emit greater than 1 ton of volatile organic compound emissions in a calendar year.

Energy Consumption2
Total energy consumption

Unit

2019

2020

2021

2022

2022 Target

Total non-renewable energy consumption

MWh228,295

285,797282,325

261,272

278,147(-1.48%)

Total renewable energy consumption

MWh

0

1,455

22,12332,23622,853(+3.3%)

Data coverage (as % of denominator)

Percentage of revenue

68%

100%

100%

100%

MONROE COMPRESSED AIR AND ENERGY FOCUS

Our Monroe, Louisiana site was challenged with a suboptimized
compressed air system, leading to high electricity costs. To address
this issue, the site team acquired an infrared leak detection gun tolocate multiple air leaks and enable prompt repairs, an investment
with a payback of less than a year. Additionally, several manifolds,
valves, and hoses were upgraded to ensure optimal performance.
In addition to addressing air leaks, the site pursued otherenergy-saving opportunities. A new energy-efficient chiller was
installed, eliminating R-12 refrigerant. To further reduce electricity
consumption, the GreenX Team replaced over 1,000 fluorescentbulbs throughout the facility and parking lot with energy-efficient
LED bulbs.
These successful improvements not only enhanced operational
efficiency but also laid the groundwork for further exploration ofenergy-saving opportunities in the future.

Ingersoll Rand solar panels returned 575 MWh of solar electricity to the grid in 2022. For accuracy, this energy was subtracted from the total energy covered by the Assurance Statement delivered by our third party
independent global assurance provider.

2

Ingersoll Rand Employee: Gregg Williams, Monroe, Louisiana site27

2022 Sustainability ReportINTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLY

OPERATIONAL ECO-EFFICIENCY CONTINUEDGOING SOLAR
A major part of our commitment to leading sustainably isachieving sustainable energy sources for our manufacturing
facilities around the world.
By installing solar photovoltaic panels at our sites, we benefit from aclean and renewable source of energy and reduce the carbon footprintof our operations. To date, 14 Ingersoll Rand manufacturing facilities
throughout China, Germany, India, Italy, Korea, and Spain are actively
using onsite solar energy to power their facilities.
Our Power Tools and Lifting (PTL) facility in Changzhou, China
successfully launched a solar photovoltaic system, which was driven
by a cross-functional team consisting of external support, the in-house
maintenance team, and executive sponsors. The energy producedby the installation of this system is expected to account for 25% of theplant’s electricity usage. Any energy the facility does not use on
weekends or holidays is redistributed to the electricity grid for thesurrounding community. By the end of 2022, this installation saved over
500 metric tons of greenhouse gas emissions. This project supports
Ingersoll Rand’s 2030 and 2050 Environmental Goals and aligns with
China’s Blue-Sky Initiative.

Changzhou, China site,
before solar panel installation

The solar installations at our sites produced over 10 million kilowatt-hours (kWh) of electricity
and saved 5,846 metric tons of CO2 emissions in 2022. This is a critical step on the roadmap
to Ingersoll Rand’s 2030 and 2050 Environmental Goals to improve air, water, and land quality.
Ingersoll Rand is also committed to improving the communities of our facilities as we returned
over 500,000 kWh of solar-generated electricity to the local electrical grid in 2022.

Solar Locations

14

Changzhou, China

Naroda, India

Shandong, China

Sahibabad, India

Wujiang, China

Fogliano, Italy

Wuxi, China

Parma, Italy

Schopfheim, Germany

Vignate, Italy

Simmern, Germany

Busan, Korea

Chennai, India

Barcelona, Spain

Changzhou, China site,
after solar panel installation

28

2022 Sustainability ReportINTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLY

OPERATIONAL ECO-EFFICIENCY CONTINUED

WATER

Water Consumption
Metric

Unit

2019

2020

2021

2022

A. Withdrawal:
Total municipal water supplies (or from otherwater utilities)

Million cubic meters

0.208

0.184

0.202

0.187

B. Withdrawal: Fresh surface water(lakes, rivers, etc.)

Million cubic meters

0

0.276

0.321

0.241

C. Withdrawal: Fresh groundwater

Million cubic meters

—

0.080

0.080

0.079

Target: Reduce Absolute Annual Water
use by 17% by 2030

D. Discharge: Water returned to the source of
extraction at similar or higher quality as raw
water extracted (only applies to B and C)

Million cubic meters

—

—

—

—

Absolute Progress Since 2020:
Reduction of 8.7 million gallons (6.1%)
representing 36% of our 2030 goal

TOTAL NET FRESH WATERCONSUMPTION (A+B+C-D)

Million cubic meters

0.208

0.540

0.603

0.507

Data coverage(as % of denominator)

Percentage of revenue

60%

100%

100%

100%

Water Stewardship
Water is a finite resource. Minimizing water use and harvesting waterfor reuse are key components of our water stewardship program.

36%

Intensity Progress Since 2020:
Reduction of 10.2K gallons/revenue inmillions USD, representing a 31% Water
Intensity Reduction

2022 Target

0.590(-2.5%)

Water Reduction Roadmap Gallons 2030 Goal: 17% Reduction (from 2020 baseline)
Closed Loop - Sedalia

Green Excellence Program

Additional Closed
Loop Systems

Sheboygan Water Efficiency

17% Reduction Goal
2020 Baseline+
Anticipated Growth292022 Sustainability Report

2030
Current Estimate

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCE

OPERATE SUSTAINABLY

OPERATIONAL ECO-EFFICIENCY CONTINUEDHARVESTING RAINWATER FOR IRRIGATION AND DRINKING WATERSHEBOYGAN WATER REDUCTION

Ingersoll Rand India is Making Life Better by providing drinking water
for the people of India in water-stressed areas. During the rainy season,
flooding occurs, and water is harvested at several of our India plants
to sustain groundwater levels for reuse by the plants for irrigation andreuse for drinking water within the communities where we operate.
In Sahibabad, India, the GreenX Team installed three additional rainwater harvesting wells for a total of seven, to recharge the groundwaterand improve the water quality in the aquifers, conserving 1,188,774
gallons/year during the monsoon season. Similarly, our Naroda,
Coimbatore, and Chennai facilities all have rainwater harvesting pits
for a total harvesting capacity of 140,750,087 gallons/year.

To meet our 2030 water goal of a 17%
reduction in absolute water usage, weconcentrated on two pilot machines in our
Sheboygan, Wisconsin die cast operations asthat plant represents over 52% of our total
global water consumption. By implementing
water circulation temperature control systems and improved piping arrangements, werealized a 23% reduction in absolute water
usage in Sheboygan. The impact of thesesavings resulted in a reduction in our global
absolute water consumption of 12%. The
lessons learned from this initiative is expected
to be implemented in 2023 for the remainderof our die-casting and injection molding
machines.
EFFICIENCY IMPROVEMENT PILOT MACHINES#6 AND #9• Added water meters• Measured water consumed per poundof aluminum• Modified
trim press software and addedsolenoid valves to automatically shut-off thewater valves when not in use•A udited all casting machines and trimpresses for correct piping arrangements
Ingersoll Rand Employee: Naresh Kumar, Bahadurgarh, India site

Better Project and Better PracticeAward from U.S. Department ofEnergy for Aluminum Die Casing
Water Reduction Project• Inspected all water savers for proper
functionality•D etermined and verified the optimum
set points for the water savers

Ingersoll Rand Employees(from left): Clayton Dale andGordon Smith302022 Sustainability Report

REPORTINGINTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLY

OPERATIONAL ECO-EFFICIENCY CONTINUED

WASTE

Waste Disposal

Reducing Waste
We are committed to eliminating the impact of waste on theenvironment and are pursuing a wide range of waste reduction
and recycling programs at our sites around the world.
By integrating circular economy solutions into our business models,
we help get more out of the materials and resources we use with less
impact on the environment.

68

%

Unit

2019

2020

2021

2022

Total waste recycled/reused1

Metric tons

9,039

852

18,10816,852

Total waste disposed

Metric tons

1,611

12,57013,531

11,025

Waste landfilled

Metric tons

0

3,461

2,900

2,725

Waste incinerated with energy recovery

Metric tons

0

0

0

0

 aste incinerated without energyWrecovery

Metric tons

0

0

0

0

Waste otherwise disposed

Metric tons

0

0

0

0

Waste with unknown disposal method

Metric tons

1,611

9,109

10,631

8,300

Percentage of revenue

68%

100%

100%

100%

Target: >50% of In-Scope Sites
Zero Waste to Landfill by 2030
Absolute Progress Since 2020:
Increase of 25 sites (13%), representing 68%
of our 2030 goal

31

Metric2022 Sustainability Report

Data coverage(as % of denominator)
Ingersoll Rand started tracking metals recycled in 2021.

1

2022 Target

12,855(-5%)

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLY

OPERATIONAL ECO-EFFICIENCY CONTINUEDDEVELOPING A COOLANT RECLAMATION SYSTEM

Our Ilkeston, U.K. plant took on our strategic imperative of Leading
Sustainably by designing an automated machine coolant reclamation
system to reduce their waste coolant, limit the water used for thesystem, and improve employee safety and health. This system
automatically mixes coolant and water to the correct concentrationand pipes the mixture directly to each Computer Numerical Control(CNC) machine. As the coolant mixture becomes “dirty,” it is sent tobe reclaimed and then added back into the system for reuse, instead ofbeing disposed.
Operators can remotely monitor the coolant levels of each machine
and add or remove coolant as necessary, eliminating exposures to thecoolant.

Hazardous Waste
Metric

Unit

2019

2020

2021

2022

Total hazardous waste recycled/reused

Metric tons

0

0

0

0

Total hazardous waste disposed

Metric tons

548

1,186

1,524

1,443

Hazardous waste landfilled

Metric tons

0

73

32

78

Hazardous waste incinerated with energy
recovery

Metric tons

0

0.15

0.15

124

Hazardous waste incinerated without
energy recovery

Metric tons

0

0

0

245

Hazardous waste otherwise disposed,

Metric tons

0

0

0

0

Hazardous waste with unknown disposal
methodMetric tons

548

1,113

1,492

996

Percentage of revenue

68%

100%

100%

100%

Data coverage(as % of denominator)

2022 Sustainability Report

1,509
(-1%)

IMPACT STORYIMPACT STORYSCHOPFHEIM PACKAGING REDUCTION SAVES TONSBIODEGRADABLE PACKAGING

OF WASTE EACH YEAR

Ingersoll Rand’s team in the Burbank, California facility embraced our value ofmaking our customers successful by reducing the environmental impacts of the
packaging materials of their own products. Packaging wastes become a growing
issue as supply chains stretch around the globe that leave customers with leftovermaterials that are not reusable or recyclable. The Burbank team was able to reduce
the use of a two-part foam system by sourcing foam inserts made of recycled plastic
that are cut by the supplier to fit their highest volume products. This not only
reduces the use of an environmentally harmful foam that cannot be reused, but
provided customers the ability to recycle their inserts. Searching for the next
opportunity to Make Life Better for our customers, communities and the environment,
this team went to the next level by rethinking another packaging material. The site
recently began using 100% biodegradable foam peanuts to protect their smaller
products during shipment, again reducing the use of the two-part foam system.

At our Schopfheim, Germany plant, employees
working in the Shipping Department came up with abrilliant improvement idea to reduce packaging waste.
Instead of adding excess Kraft paper and cardboard
to the shipping crates to protect equipment during
shipment to our customers, now a single sheet ofpost-consumer cardboard is delivered with pre-cut
holes that stabilize our pumps and compressors duringtransport. This simple solution saves three tons ofwaste per year, and our customers can easily recycle
the cardboard.

32

2022 Target

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLY

ENVIRONMENTAL COMPLIANCE

3

Environmental
Health and Safety 4(EHS) Management
5
SystemOur EHS management system framework is comprised of a collectionof processes and practices aimed at minimizing our environmental
footprint while maximizing operational efficiency and safety.
This framework is built upon standardized work, guidelines, andestablished processes, which include the following key components:

1
2

33

The company’s global EHS Council is composed ofrepresentatives from each region and business unit. The council
convenes on a weekly basis to supervise and guide thecompany’s EHS direction.
Standardized procedures serve as the cornerstone of our
EHS Management System. Every Ingersoll Rand facility
worldwide adopts this framework of standardized procedures,and individual functional owners at each site are accountablefor implementing and overseeing all aspects of the EHS
Management System.

2022 Sustainability Report67

 performance management program is in place where eachAsite annually conducts a compliance self-assessment. Approximately every three years, locations are audited by a group ofIngersoll Rand EHS professionals. In addition, some of our sites
are ISO 14001, ISO 45001, ISO 50001, or have other country ororganization-specific certifications such as MASE or VCA.
 est practices are shared across all locations on a monthly
B
Global EHS Learning Session for adaptation by other locations
where relevant.
 HS training is carried out in compliance with both countryE
and local regulations, as well as adhering to Ingersoll Rand’s
standardized procedures. The progress and completion oftraining sessions are recorded either locally or in thecompany database, ensuring comprehensive tracking anddocumentation.
 ll EHS metrics are monitored and recorded in ourAcomprehensive company-wide database. On a monthly basis,these metrics are communicated to our CEO, Executive
Leadership Team, and all location management, ensuringtransparency and alignment across the organization.
Our company database enables us to track capital EHS
investments and operating expenses throughout the entire
process, from the idea stage to implementation. This tracking
encompasses several elements, including resources, capital andoperating costs, waste and recycling, water utilization, energy
consumption, and GHG savings.

Through our EHS Management System, our global EHS leaders are
empowered to prioritize the safety and well-being of our people andcommunities worldwide. This comprehensive system extends its
coverage to all employees as well as workers who are not direct
employees but whose work is overseen by Ingersoll Rand.

ENERGY SECURITY PROGRAM

Ingersoll Rand established an energy security programin 2022. The goal was to develop and implement strategies tominimize the business risks from increased prices for electricity and natural gas in specific European countries due to supply
restrictions and volatility.
Thirteen sites immediately launched a GreenX Team to identify
energy-saving solutions for implementation.
Examples of short-term actions that have been taken include thefollowing:
Review the temperature set points and heat only when needed
Stop running machines or equipment not used routinely
Stop leaks within the compressed air system
Inspect buildings with infrared cameras to identify heat loss
Improve heating efficiency of natural gas boilers

Using the IRX process, the
EHS Council meets weekly
and oversees the EHS
direction of the company.

INTRODUCTION

LEAD SUSTAINABLY

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MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCE

OPERATE SUSTAINABLY

ENVIRONMENTAL COMPLIANCE CONTINUEDEHS Management System: Certification/Audit/Verification
Certification/Audit/
Verification

Coverage (%)1

Examples of Certification
Documents

EMS is verified throughinternational standards(e.g., ISO 14001, ISO 45001,
EMAS certification).

39%

Third party certification/
audit/verification by
specialized companies.

14%

10 Sites have had a Limited
Environmental Health and
Safety Compliance Review

Internal certification/audit/
verification by company’s
own specialists from headquarters.

27%

Corporate EHS Internal
Audits performed by EHS
Professionals throughout
the company. Managed by
our VP of Sustainability.
19 audits performed
in 2022

Total

Return on Environmental Investments2
Currency

2020

2021

2022

$5,200$1,190,433$18,083,399$7,786,972$0$8,000$14,578$34,542

Total Expenses(= Capital
Investment+ Operating
Expenses)$5,200$1,198,433$18,097,977$7,821,514

Savings, cost
avoidance,
income, tax
incentives, etc.

$2,800$452,401$725,906$1,200,103% of operations
covered

44%

100%

100%

100%

CapitalInvestments

28 Sites have verified
certifications

OperatingExpenses

80%
2

1

2019

Table coverage percentage is based on a total of 71 manufacturing sites.

 rojects beginning in previous years generally continue reporting into subsequent years as they are multiPmonth. These values are estimates only and may not reflect the actual investment or savings. Additionally,
these values may not include all environmental projects as the database is continuously being updated.

ENVIRONMENTAL VIOLATIONSIngersoll Rand has not paid any significant fines (> USD $10,000)
related to environmental or ecological issues in the past four fiscal years.

34

2022 Sustainability Report

2019

2020

2021

2022

Number of violations of legal
obligations/regulations

0

0

0

0

Amount of fines/penalties related tothe above

$0

$0

$0

$0

Environmental liability accrued atyear end

$0

$0

$0

$0

REPORTINGINTRODUCTION

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OPERATE SUSTAINABLY

RISK AND IMPACT MANAGEMENT

Biodiversity
OUR BIODIVERSITY COMMITMENT

At Ingersoll Rand, we recognize that the natural environment andits associated benefits are fundamental to the well-being of thecommunities we serve. Our company places great importance on safeguarding biodiversity and protecting threatened species. In line withour commitment outlined in the 2021 Sustainability Report, we recently
completed a comprehensive assessment of the ecosystems in which
we operate worldwide, adhering to globally-recognized standards andframeworks. This evaluation aimed to enhance our understanding ofthese ecosystems and implement measures to prevent biodiversity loss.
Moving forward, we remain dedicated to preserving local biodiversity
and considering how best to achieve a state of no net loss (NNL) of
biodiversity in our own operations. To ensure the effectiveness of
our efforts, we plan to establish a program in 2023–2024, with
monitoring and evaluation set to commence thereafter. This program
will be designed to integrate the responsible management of land,
water, and living resources, promoting conservation and enhancing
the quality of life for our customers, employees, and the environment.
We expect to ultimately report annually on our progress using thefollowing methodology:
Identify priority biodiversity baseline values for each new
1 construction
project and select the priority biodiversity
features that the project can meaningfully influence.
collaboratively with stakeholders to achieve mutually
2 Workbeneficial outcomes.
Apply the biodiversity mitigation hierarchy: avoidance actions,
3 minimization
actions, restoration actions and offset actions.

4 Implement the project plan and monitor progress.
35

2022 Sustainability Report

LEVERAGING RELIABLE TOOLSRISK AND IMPACT MANAGEMENT

Understanding and managing risks and opportunities is an integral
part of our commitment to biodiversity. Through Risk and Impact
Management, we follow detailed processes for identifying andassessing nature-related dependencies, impacts, risks andopportunities in our direct operations.
The first step of this assessment process is focused on understanding the underlying data for biodiversity intactness in the following
four areas:
Overall state of biodiversity in a given area
Depletion in biodiversity
Elements of habitat quantity and quality

The World Resources Institute’s Resource Watch, is the tool Ingersoll
Rand used for the facility-specific biome mapping. Resource Watch isa map of the world’s 14 terrestrial biomes, which represent major ecological communities of organisms that are adapted to that particularclimate and can provide facility-specific biome mapping.
The ENCORE tool is the main tool used to identify Ingersoll Rand’s
dependencies, impacts, and hotspots. The underlying data comesfrom a variety of sources, including the International Union for theConservation of Nature (IUCN). It is a dashboard where sectors andsub-industries can explore dependencies and impacts on natural
capital, including through a biodiversity-specific module.
While most of our manufacturing sites are located in areas with high biodiversity loss, 31% of sites are found in a biodiversity hotspot. Nearly 100%of the hotspot sites are in the four priority biomes.

Does not reflect change

Secondly, all 88 manufacturing sites (by address) were assessed
for nature-related dependencies, impacts, risks and opportunities.
The results were spread across nine unique biomes with fourpriority biomes.
Third, we determined the biodiversity intactness level for eachspecific site and associated biodiversity hotspots. The data wasoverlaid with biome identification and priority biomes to determine
the number of facilities that are located in a priority biome and arein a biodiversity hotspot.
1. Temperate Broadleaf and Mixed Forests (18 locations)
2. Temperate Grasslands, Savannas and Shrublands (4 locations)
3. Tropical and Subtropical Moist Broadleaf Forests (1 location)
4. Tropical and Subtropical Dry Broadleaf Forests (3 locations)

New construction in priority biomes will be evaluated for mitigation
actions using the following hierarchy to help keep the biome intact.

AVOID

|

MINIMIZE|RESTORE|OFFSETINTRODUCTION

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THE LOCATIONS WHERE OUR DIRECT OPERATIONS ARE IN PRIORITY AREAS

POSITIVE EFFECTS FROM OUR EFFORTS

Our commitment to reducing 60% operational GHG emissions by 2030
has an overall positive effect on biodiversity. Furthermore, our emphasis
on reduction and recycling have favorable impacts. Our annual goals
established for each location to improve air quality, water conservationand pollution reduction help drive local improvements.
We factor nature into financial and business decisions for new construction and engage the local government and stakeholders for guidance.
For example, in 2022, we built a new warehouse in Simmern, Germany
where we planted 860 beech trees and 475 silver fir trees to achieve anature-positive outcome.
GOVERNANCE
BOARD OVERSIGHT OF BIODIVERSITY

Our Board of Directors has oversight of biodiversity through its Sustainability Committee which meets at least three times a year. The
biodiversity-related risks identified through the application of theTaskforce on Nature-related Financial Disclosures (TNFD)-applied
framework are reviewed by the Sustainability Committee as well as
the countermeasures designed to address such risks.

BIOME

Temperate Broadleaf
Mixed Forests
Temperate Grasslands
Savannas and Shrublands

MANAGEMENT’S ROLE

Ingersoll Rand Management is involved in the biodiversity risks andopportunities through our ERM process.

Mediterranean Forests
Woodlands and Scrub
Tropical and Subtropical

METRICS AND TARGETS

Dry Broadleaf Forests

The metrics used to assess and manage material nature-related risks andopportunities is in-line with our strategy and risk management process.
1 location

Moist Broadleaf Forests

2 locations

3+ locations

We intend to eventually report annually on new construction using thefollowing methodology:
CHINA

UNITED KINGDOMINDIAFRANCESLOVENIA

Ilkeston, United Kingdom

Naroda (Plant 1), India

Wasquehal, France

Horjul, Slovenia

Enon, OH

Shanghai (Jiamei Road),
China
Shanghai, China (ITS)

Redditch, United
Kingdom

Naroda (Plant 2), India

Sidney, OH

Pune, India

JAPAN

Alsip, IL

Shanghai, China (PST)

Sahibabad, India

Yokohama, Japan

Princeton, IL

Wuxi, China

Bradford (Cross Lane),
United Kingdom
Sunderland, England,
United Kingdom

GERMANYNETHERLANDS

Moers, Germany

Heerlen, Netherlands

UNITED STATESOF AMERICA

Sedalia, MO
St. Charles, MO
Burbank, CA

362022 Sustainability Report

Nantwich, United
KingdomFrankfurt, Germany

1.	Identify priority biodiversity baseline values for each new
construction project and select the priority biodiversity featuresthat the project can meaningfully influence.
2.	Work collaboratively with stakeholders to achieve mutually beneficial
outcomes.
3.	Apply the biodiversity mitigation hierarchy: Avoidance actions,minimization actions, restoration actions, and offset actions.
4. Implement the project plan and monitor progress.

INTRODUCTION

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MARKETSENVIRONMENTAL

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OPERATE SUSTAINABLY

RISK AND IMPACT MANAGEMENT CONTINUEDIDENTIFYING, ASSESSING AND MANAGING NATURE-RELATED RISKS ARE
INTEGRATED INTO THE OVERALL RISK MANAGEMENT PROCESS.

We utilize a continuous ERM process that enables us to pursue ourstrategic mission while identifying, controlling and mitigating risks.
Our ERM process is based on the Committee of Sponsoring
Organizations (COSO) Enterprise Risk framework. The TNFD-aligned
framework has been incorporated into the overall ERM process andis used by Ingersoll Rand to assess and manage biodiversity risks
and opportunities. Our Chief Financial Officer, who is also our Chief
Risk Officer, leads the ERM process, supported by a cross-functional
Executive Committee that includes Ingersoll Rand’s Chairman and CEO,
Chief Information Officer, General Counsel, SVP HR, SVP Strategy andCorporate Development, Corporate Controller, and VP Internal Audit.
Impact identification is grounded in the relationship between impact
drivers, which are quantifiable indicators, natural capital assets, andapplicable impacts for the Industrial Machinery industry. Impact drivers
are a measurable quantity of natural resources and are either used asa natural input to production (i.e., number of logged trees) or ameasurable output of a business activity (i.e., GHG emissions). Thistranslates into Ingersoll Rand’s potential impacts: changes in the stateof nature, which may result in changes in nature’s capacity. The list of
potential impacts were prioritized based on how many impact drivers
can measure the said impact connecting the biomes, hotspots,
dependencies, and impact information. Habitats and Species are
influenced by seven impact drivers, which translate into 11 potential
impacts on habitats and 14 potential impacts on species.
Of these potential impacts, population changes (changes in species
populations over time and space), habitat modification (major changes
in habitat composition and location, for example deforestation), andpollution (threats arising from the introduction of contaminants into
the natural environment), are the most influenced. The most influential
impacts, population changes, habitat modification, and pollution, varyacross biomes and facility operations, but serve as the starting point forconnecting the data points for future action.

37

2022 Sustainability Report

Habitats
Importance of Ecosystem Service toIngersoll Rand Production

Dependence of Ecosystem Service on Habitats

Flood and storm protection

MediumAlthough less practical, production processes
can take place without the ecosystem service due
to availability of protection substitutes.

High
Flood protection is provided directly by a diversityof habitats and their elements, such as mangroves,wetlands, reefs, beaches, sand dunes, and others.

Mediation of sensory impacts

MediumMost of the time the production process
can take place even with full disruption of theecosystem service.

High
Habitats serve as barriers and buffers that mediate
the impact of light, noise, and smells.

Water flow maintenanceMediumMost of the time the production process cantake place with limited (but not full) disruptionof the ecosystem service.

MediumHabitats affect the way water flows through landscapes and changes in habitats can therefore leadto impacts on the water cycle.

Filtration

Very Low
Most of the time the production process
can take place even with full disruption of theecosystem service.

High
Habitats are essential to the provision of filtration,
sequestration, storage, and accumulation by ecosystems. The impact of changes in habitats on theservice is however highly variable as the relationship between the two is non-linear.

Climate regulation

Very Low
Most of the time the production process
can take place even with full disruption of theecosystem service.

High
Habitats are essential to the provision of filtration,
sequestration, storage, and accumulation by ecosystems. The impact of changes in habitats on theservice is however highly variable as the relationship between the two is non-linear.

Mass stabilization and erosion control

Very Low
Most of the time the production process
can take place even with full disruption of theecosystem service.

MediumHabitats are key to erosion control. Most of themprovide this service through vegetation or by
structure of the habitat that protects or buffers
erosion drivers.

Ecosystem Service

INTRODUCTION

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PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLY

RISK AND IMPACT MANAGEMENT CONTINUEDENGAGEMENT OF AFFECTED STAKEHOLDERS.

Ingersoll Rand collaborated with expert consultants to create our own
biodiversity strategy based on nature-related dependencies, impacts,
risks and opportunities identified over the short, medium, and long term.
Time horizons were decided upon given the expected useful life of ourassets and lease agreements for our properties. We have conductedscenario analysis to understand climate-related impacts in the short-term(0–5 years), medium-term (5–10 years), and long-term (10–25 years).
Dependency pathways are grounded in ecosystem services and natural
capital assets. By outlining dependencies on biodiversity specifically,
we can begin to identify potential business risk areas. While Ingersoll
Rand depends on seven of the eight natural capital assets, habitats andspecies are the main biodiversity assets. We can further narrow down
the applicable ecosystem services to eight unique services, with varying
degrees of dependency.

Species
Importance of Ecosystem Service toIngersoll Rand Production

Dependence of Ecosystem Service on Habitats

Flood and storm protection

MediumMost of the time the production process
can take place even with full disruption of theecosystem service.

High
Vegetation is the main natural barrier used toreduce noise and light pollution and is key in
reducing air pollution, including smells.

Mediation of sensory impacts

Low
Most of the time the product process
can take place even with full disruption of theecosystem service.

MediumSpecies provide important services, such as
nutrient cycling and water filtration that
contribute to water quality.

Water quality

Low
Most of the time the production process
can take place even with full disruption of theecosystem service.

MediumSpecies provide important services, such as
nutrient cycling and water filtration that
contribute to water quality.

Filtration

Very Low
Most of the time the production process
can take place even with full disruption of theecosystem service.

High
Species directly provide filtration services.
Any reduction in the quantity or quality of
species can therefore be expected to have anegative influence on the service provision.

Ventilation

Very Low
Most of the time the production process
can take place even with full disruption of theecosystem service.

High
Ventilation and transpiration are directly provided
by species. Any reduction in the quantity or
quality of species can therefore be expected tohave a negative influence on the service provision.

Climate regulation

Very Low
Most of the time the production process
can take place even with full disruption of theecosystem service.

MediumGlobal, regional, and micro-climate regulation byterrestrial ecosystems is sensitive to changes in
species as they play an important role in carbon
sequestration and storage.

Ecosystem Service

OUR NO DEFORESTATION COMMITMENT
We hold a deep reverence for the essential role that forests play insustaining life on our planet. As such, we are dedicated to protecting
and preserving these natural resources. We understand that forests
are not only integral to the natural ecosystem but also serve as global
carbon sinks due to the ability to absorb and store GHGs. We are firmly
committed to protection of forests to help mitigate climate risks, improveclimate change resiliency, safeguard biodiversity and provide livelihoods
and economic opportunities for forest-based communities.
Our goal is to understand the potential consequences of deforestation
throughout our value chain. As we discover our impact and seek totransparently set ambitious and attainable no deforestation goals thatare aligned to our strategic imperatives, we will consider globallyrecognized standards and frameworks.
Once understood, we plan to monitor,
verify, and implement action plans to createa deforestation-free value chain as we seek
long-term sustainability of our businessand shared planet.

38

2022 Sustainability Report

Input is received annually by the Board of Directors (BOD) through its Audit and Sustainability Committees to evaluate alignment ofrisk and opportunity priorities between the BOD and Management. Our ERM process includes a yearly risk identification and review
resulting in an annual update of our risk register as well as a risk analysis and evaluation to ensure the correct prioritization of risks after
taking into account current countermeasures. This process involves a number of senior Ingersoll Rand business and functional leaders
and also includes feedback from our BOD and its committees. Biodiversity-related risks are integrated into this overall process andinclude a third-party-led assessment of biodiversity-related risks and opportunities utilizing the TNFD framework.

INTRODUCTION

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MARKETSENVIRONMENTAL

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OPERATE SUSTAINABLYPEOPLE AND COMMUNITY

Health, Safety,
and Wellness
Nothing is more important than the health and safety of our people.
We are committed to keeping our employees, visitors, and contractors
safe by fostering a positive safety culture. We reduce risk in the workplace and empower employees to speak up about safety concerns.
Our EHS Policy fosters individual participation and motivates employees to play an active role in the overall safety improvement process.
Annually, a variety of safety goals are communicated to our Business
Units, which then share these goals with the individual sites, trackprogress and report to leadership in a monthly scorecard.
The safety goals and associated targets include Total Recordable Injury
Rate (TRIR) of 0.6, Lost Time Injury Rate (LTIR) of 0.06, Safety
Concerns (one for every four employees), Behavior-Based Safety (onefor every four employees),Implementation of Standard Work (80%),and Compliance (90%).

Safety data is reviewed at least quarterly by the Global EHS Council,
and various initiatives are prioritized for integration into our quarterly
IDM operating system action plan. In 2022, such initiatives all related toour accident types of cuts/lacerations and strains/sprains and included:
onboarding new sites to Health and Safety standards, Behavior-Based
Safety, new employee training, and communications. Most importantly,
we have pledged to mitigate the risks occurring from machines due tothe severity of crushing and laceration risk and injuries. To address thisworkplace risk, we set a target of zero serious hand injuries in 2023.
Progress for all our safety initiatives including the hand injury KPI istracked weekly.
Risk assessments are required of all job tasks before starting work. At aminimum, the assessment must include the job steps, the hazards, thepotential consequences, the risk rating and controls including PersonalProtective Equipment (PPE). Ingersoll Rand sites review the assessments and rank all the activities in order of importance to determine
the focus areas. A hierarchy of controls is then applied, which starts
with the controls perceived to be most effective and moves down tothose considered least effective. It flows as follows:
Elimination: Physically remove the hazard
Substitution: Replace the hazard
Engineering Controls: Isolate people from the hazard
Administrative Controls: Change the way people work
Personal Protective Equipment: Protect the worker with PPE“We are proud of our highly engaged
culture, with all 17,000+ employees
focused on living our purpose of
Making Life Better for our customers,
our employees and our communities.
Our employees think and act likeowners...because they are. Our
talented, innovative employees shareownership in creating an inclusive
experience for all.”1

2022 Sustainability ReportZERO

NUMBER OF WORK-RELATED FATALITIES AMONG ALL
EMPLOYEES AND CONTRACTORS

Corrective actions are developed to control risks, targets are set with
time-frames for completion, responsibilities are assigned, and budgetaryneeds are identified for risks that cannot be eliminated. The corrective
actions are tracked in the company database.
Risk assessments are expected to be reviewed annually or when there
is a change in production, process, or controls which may result in new
or additional health and safety exposures. All new chemicals require arisk assessment and identified PPE prior to introducing the newchemical onsite.
In the field, risk assessments are required to be completed on every
customer site for every job. In the factory, risk assessments are required
to be conducted on all jobs before the process is released to operations. If the activity is new or non-standard, no work can begin until athorough risk assessment is completed and reviewed with all employees
involved in the job. At any point, an employee has the authority to stop
work and review the risk until it is satisfactorily mitigated.

Days Away Restricted Transfer Rate1

Kate Keene, Senior Vice President, Human
Resources, Talent and DE&I

39

FY 2019, 2020, 2021, 2022

Days Away Restricted Transfer Rate

Unit

2019

2020

2021

2022

Employees
Days Away Restricted Transfer Rate

N/200,000 hours worked

0.73

0.31

0.36

0.52

Data coverage

Percentage of employees

100%

100%

100%

100%

Contractors
Days Away Restricted Transfer Rate

N/200,000 hours worked

0.38

0.38

0.24

0.07

Data coverage

Percentage of contractors

100%

100%

100%

100%

Data as of December 31, 2022. This footnote applies to all tables within this section excluding the Engagement Survey data.

INTRODUCTION

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OPERATE SUSTAINABLYPEOPLE AND COMMUNITY CONTINUED

A strong and sustainable safety culture is the foundation to all our safety
programming at Ingersoll Rand. We strive to continuously improve
our safety performance and promote safety in everything we do. Our
global EHS community is actively delivering regulatory and Ingersoll
Rand-specific EHS training, implementing standard work, investigatingnear misses and incidents, reducing risk through hazard and ergonomic
assessments, auditing, and rolling out our annual 100 Days of Safety
campaign to all employees worldwide.
One example of this is our Behavior-Based Safety (BBS) program where
employees are actively involved in observing how work is performed
and providing immediate feedback to ensure employees continue theirsafe behavior and correct any at-risk behavior. All employees, whether
at a customer site, factory, or other site such as a repair center,
warehouse or R&D facility, are engaged in BBS. Our BBS Coaches areactively observing employees in their work environment, coaching standard work and getting involved by helping solve some of our employees’ most pressing challenges at work.
Training and education are imperative to our employees’ understanding
to ensure the standard work is followed. In 2022, nearly 60,500 safety
training hours were delivered to our employees. Additionally, at thestart of every meeting, whether in a conference room, online, or on
the shop floor, a Safety Moment is presented to keep everyone’s mind
attentive to safety at work and at home.

100 DAYS OF SAFETY

MACHINE SAFETY INITIATIVE

From June through August every year, we celebrate our 100 Days of
Safety Campaign aimed at educating employees on safety measures
to prevent on- and off-the-job accidents. In 2022, our campaign
focused on creating greater awareness of the most important safetyissues among our employees. The focus of the campaign was on
risk identification and mitigation, including the development of risk
assessment capabilities.

Data has shown that machine injuries can be prevented with physicalguards and operational controls. As such, we launched an initiative toverify that all equipment—from small grinders and drill presses to complex presses, shears, and lathes—is guarded and operating safely. This
included updating our standard work to include specific Ingersoll Rand
requirements for each type of machine.

Some of the improvements resulting from this campaign haveincluded:• Removing trip and fall risks by tying up cables and wiring,
installing retractable air lines, and marking aisles• Eliminating crushing hazards where employees are working
under suspended loads by installing fixtures instead• Improving collision risks by installing mirrors and other alerting
devices in high-traffic areas• Solving oil/coolant slip and fall hazards• Substituting tools to avoid slipped wrenches• Improving driver safety awareness to avoid collisions• Eliminating electrocution at test stands• Covering open and loose electrical wiring

Each quarter, a specific type of equipment was selected for evaluation,
guarding, and operating procedures. Our site EHS leaders were trainedin the requirements and then over 90 days they worked to install theproper guards as necessary, update Job Hazard Assessments, andestablish safe operating procedures including routine equipment
inspections. Once complete, the EHS leaders met with another EHS
leader within the region or country to review and verify the guarding.
All machines were identified by site and tracked to completion.

Globally Eliminated Nearly

870

RISKS, RESULTING IN AN 8.3% REDUCTION IN
POTENTIAL INJURIES DURING OUR CAMPAIGN

402022 Sustainability Report

Before and after photos of a saw in our Coimbatore, India site

INTRODUCTION

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MARKETSSOCIALENVIRONMENTAL

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OPERATE SUSTAINABLYPEOPLE AND COMMUNITYINGERSOLL RAND 2025 DE&I GOALS

Diversity Equity
and Inclusion
We recognize that our employees are our greatest asset, providing
us with a competitive edge. For that reason, we believe the powerof employee ownership best defines our commitment to DE&I. We
are proud to offer all employees equity in our company as part of our
Ownership Works Program.1 By fostering an environment of employee
ownership, we create widespread economic opportunities for all our
employees and their families, regardless of their role, location, orbackground. Ingersoll Rand extends the opportunity of ownershipto thousands of people around the world who would not otherwise
realize the possibility of long-term value creation through stock
ownership. While dialogue and training are critical, employees
thinking, acting and being owners is what sets Ingersoll Rand apartin truly taking action to nurture a DE&I culture.

Advancement

Balancing global representation

Increasing inclusivity

Fostering inspired teams

Increase representation for underrepresented2 employee groups

Foster a sense of belonging and build
global networks/relationships

Help navigate career paths andensure equal opportunities

By 2025

By 2025

By 2025• Increase URT in the U.S. workforce to atleast 30%
• Increase global employment of women toat least 25%• Increase “belonging” on employee
engagement survey to top percentile
ranking among all companies• Build networks, mentoring andsponsorships• Increase “growth” and “equal opportunity’’on employee engagement survey to top
percentile ranking among all companies

Enabling Initiatives• Diversity sourcing strategy and action plan• Platform to support diversity hiring,
tracking and reporting

Enabling Initiatives• Expansion and annual programming of
Inclusion Groups• Mentoring programs• Unconscious Bias training and DE&I
learning path• Employee confidence in careeradvancement regardless of ethnicity or
gender• E-learning platform• Leadership competency model aligned with
DE&I
• Structured career paths for all roles

Progress on Representation Goal

Progress on Representation Goal

Percent of Women in Total Global Workforce

Under-Represented Talent Representation in U.S. Workforce2

Over the past two years, we have cultivated Ingersoll Rand’s DE&I
culture by emphasizing these five areas and fostering an ownershipmindset, driving us closer to our goal of becoming a DE&I leader.

Employees must be full time and have one year of service to be eligible. Not available to employees who
participate in the company’s management equity program or where prohibited by local law or regulation orwhere such grant is required to be bargained for with an employee union unless such grant is agreed to aspart of such bargaining.

Experience

Enabling Initiatives

Beyond employee ownership, Ingersoll Rand’s DE&I culture is focusedon improvement for women and under-represented talent (URT) in five
key areas:• Talent attraction• Engagement• Development• Advancement• Retention

Representation

2020

2021

2022

2023

2024

2025

Target22.0%

22.25%

22.75%

23.50%

24.3%

25.0%

Actual

21.6%

22.6%

21.9%

2020

2021

2022

2023

2024

2025

Target

25.0%

25.5%

26.25%

27.5%

28.75%

30.0%

Actual

25.0%

15.3%

17.5%

1 

41

2022 Sustainability Report2 RT is defined as Black or African American, Hispanic or Latin, Asian, American Indian, Alaska Native, Native Hawaiian. Source: Management Leaders for Tomorrow (MLT). URT representation wasUsignificantly negatively impacted in 2021 due to two divestures of companies that had high levels of URT representation. We are currently developing our standards on how and when to re-baseline targets due to significant divestures, acquisitions or other events and may revise baseline and targets.

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLYPEOPLE AND COMMUNITY CONTINUED

PROGRESS ON EXPERIENCE GOAL

We firmly believe that a sense of belonging is the strongest driver of employee engagement and is at the heart of our value: We Foster Inspired
Teams. When our employees truly feel they belong, we believe it enriches their experience and enables us to deliver exceptional performance.
This creates a positive cycle of success that benefits not only our employees but also our partners, customers and communities. We have improvedon our experience goal over the last two years. Employees who feel a sense of belonging is now in the top-10% of benchmark manufacturing
companies according to our employee engagement survey partner. Our improvement trend with respect to this goal is shown below.
Belonging Historical Trend1

SURVEY QUESTION:“I feel a sense of belonging at Ingersoll Rand.”80

In May, four Ingersoll Rand communities in Charlotte, North Carolina,
Monroe, Louisiana, Atlanta, Georgia and Nashville, Tennessee, participatedin the Black Employee Network Inclusion Group (BEN-IG) community fooddrive to donate food items, raise money and volunteer at the local fooddrive. Jocelyn Cushion, cost accountant at the Charlotte Distribution andLogistics Center (DLC), led this effort to support BEN-IG’s goal to become
more involved in the communities where employees live and work. These
communities each selected local food banks to support.
I ndustrial Technologies and Services (ITS) Americas—Charlotte DLC:The DLC team, donated two pallets of food items to Leah’s Hopes andDreams to support the homeless community in Charlotte, North Carolina.
Thirteen DLC volunteers served breakfast at a community event.

75

70

INCLUSION GROUP SUPPORTS FOUR COMMUNITIESAug 2020

Oct 2020

Dec 2020

Feb 2021

April 2021

Jun 2021

Aug 2021

Oct 2021

Dec 2021

Feb 2022

April 2022

PROGRESS ON ADVANCEMENT GOAL

We are passionate about solidifying and advancing the development of our company culture by increasing diversity of talent, supporting navigation of career paths, and ensuring equity in opportunities. Reflecting on the progress of our 2022 advancement goal progress, our promotion
rate for females outpaced our female representation rate. This encouraging trend indicates that our targeted activities aimed at development andadvancement are proving effective. Furthermore, we are backfilling this talent with a higher rate of gender diversity than our representation rate.
These are leading indicators of success related to our DE&I commitment and investment. Over the past few years, we have demonstrated significant
progress in the advancement of survey ratings that we believe impact our public goals related to equal opportunity and growth. In fact, our ratings forboth equal opportunity and growth now rank in the top 10% of benchmark manufacturing companies as determined by our employee engagement
survey partner. The chart below highlights the positive trend in our survey results for questions relating to equal opportunity and growth.
Equal Opportunity Historical Trend1

SURVEY QUESTION:

 recision and Science Technologies (PST)—Monroe: The Monroe teamP
donated to the Food Bank of Northeast Louisiana. They raised $3,132,
which created about 16,500 meals. They also packed 245 food boxes at
the food bank.
ITS Americas—Atlanta and Nashville sites: Employees from our Atlanta
and Nashville sites contributed to food drives that supported the Atlanta
Community Food Bank.

“Regardless of background, everyone at Ingersoll Rand has an equal opportunity to succeed.”

80

75

70

Aug 2020

Oct 2020

Growth Historical Trend1

Dec 2020

SURVEY QUESTION:

Feb 2021

April 2021

Jun 2021

Aug 2021

Oct 2021

Dec 2021

Feb 2022

April 2022

“I have good opportunities to learn and grow at Ingersoll Rand.”80

Ingersoll Rand employees (from left): Brianna Crawford, Will Stansell, Joseph Quint, Ashleigh Branham,
Maddison Allen, and Barbara Johnson, Atlanta, Georgia site

75

70
1

Aug 2020

Oct 2020

113,535 (87%) employees responded in April 2022.

42

2022 Sustainability Report

Dec 2020

Feb 2021

April 2021

Jun 2021

Aug 2021

Oct 2021

Dec 2021

Feb 2022

April 2022

INTRODUCTION

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PRODUCTS & SERVICES

MARKETSSOCIALENVIRONMENTAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLYPEOPLE AND COMMUNITY CONTINUEDEMPLOYEE TRAINING

To better equip our employees and solidify our expectations, we continue to lay the groundwork to promoterespect, inclusion and belonging by training our employees on unconscious bias. This training teaches
employees to recognize bias in the workplace and encourages self-examination to expose bias in ourselves.
We have deployed our unconscious bias training to more than 82% of our salaried employees and haveconducted personalized sessions to over 150 leaders on “DE&I Matters.” In addition, in 2022, we continued
our powerful initiative called “Lean into Change” where employees from across the company participate inculturally sensitive conversations with trust and transparency.

Diversity Breakdown of our Employee Population in the U.S.
Breakdown

Share in total U.S. workforce(as % of the total workforce)

Share in all management positions, including
junior, middle and senior management(as % of total management workforce)

Asian

3.0%

3.7%

Black or African American

6.9%

2.3%

We are passionate about solidifying and advancing the development of our company culture by increasing
diversity of talent, supporting navigation of career paths and ensuring equal opportunities while fostering a
sense of belonging.

Hispanic or Latino

7.1%

5.5%

White

70.9%

79.5%

DIVERSITY, EQUITY AND INCLUSION WORKFORCE DATA

Indigenous or Native

0.3%

0.0%

11.3% not specified
0.6% two or more races

8.8% not specified
0.3% two or more races

The following documents our 2022 DE&I employee data with respect to our workforce.
Other

Gender Breakdown of our Global Employee Population by Percentage of Employees
Percentage of Total
Employee Population

Diversity Indicator
Females in total workforce

21.9%

Females in all management positions, including junior, middle and senior management(as % of total management workforce)

19.8%

Females in junior management positions, i.e., first level of management(as % of total junior management positions)21.0%

Females in senior management positions, i.e., maximum two levels from the CEO orcomparable positions (as % of total senior management positions)21.5%

Females in management positions in revenue-generating functions (e.g., sales, as % of
all such managers, e.g., excluding support functions such as HR, IT, Legal)

16.0%

Females in STEM (Science, Technology, Engineering, and Math) related positions(as % of total STEM positions)13.0%

17,105432022 Sustainability Report

Differences between employee pay by level
Total Population

Men (Average)

Women (Average)

Management level (base salary only)$96,613$91,577

Management level(base salary + other cash incentives)$124,410$118,217

Differences between male and female annual employee pay
Pay Type (USD)

Age Breakdown of our Global Employee Population
Total Population

Gender Pay Indicators<30 Years Old

30-50 Years Old>50 Years Old

12.1%

56.4%

31.4%

Mean

MedianGender Pay Gap$4,605$10

Gender Bonus Gap$1,530$6INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

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SOCIAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLYPEOPLE AND COMMUNITY CONTINUEDWith more than 17,000 employees across
six continents, Ingersoll Rand prides itself
on creating a diverse workforce that is
welcoming and inclusive. It’s foundational to
our culture and one of the core values underwhich we operate.
MADRID FAMILY DAY FOSTERS TEAM AND SHARES PRIDEOne Saturday in late May, our Ingersoll Rand Coslada, Spain facility
celebrated its first Family Day, bringing to life our value of fostering
inspired teams. Our team’s commitment to fostering a culture thatembraces diverse points of view, backgrounds, and experiences wasevident throughout the family fun day event, which brought together
employees and their families to celebrate inclusion, belonging, andrespect as they bonded and took pride in sharing the exciting work
they do.

FOSTERING A CULTURE OF ALLYSHIPINGERSOLL RAND SUPPORTS HABITAT’S INTERNATIONAL

Our ongoing mission to foster inspired teams by making all employees
feel safe, engaged, and valued is supported by numerous inclusiongroups and developmental programs throughout the company. Most
importantly, it is supported by Ingersoll Rand’s employees whoembrace this responsibility by practicing empathy, breaking down
barriers, and influencing change through a strong commitment and abias for action. This is what allyship is all about.

WOMEN BUILD WEEK

Allyship is the action of promoting equity through supportive
relationships and advocating for those facing organizational inequalities.
Practicing active allyship is not passive but an ongoing commitment. An
ally is any person who continually learns, actively promotes, and works
to advance the culture of inclusion through intentional, positive, andconscious efforts that benefit one another.

•L ive demonstrations of how compressors work, where all thechildren participated by inflating balloons• Equipment demonstrations and education• Presentations showcasing the variety of applications andmanufacturing processes using compressed air• Engineering projects and activities, and the application ofcompressors in transport and their use, allowing attendees
to see the assembly on a truck
It strengthened our bonds and, perhaps even encouraged the next
generation to enter the manufacturing industry with Ingersoll Rand.

2022 Sustainability Report

Women Build served as an exceptional avenue to engage friends andfamily members of all ages in significant work that has a lasting impact.
The act of women supporting and empowering other women sends
a positive and powerful message, reinforcing the importance ofcollaboration, compassion, and community involvement.

Ingersoll Rand Employees: Buffalo, New York site

MOTIVATING GIRLS AND WOMEN TO PURSUE CAREERS IN SCIENCE,TECHNOLOGY, ENGINEERING, AND MATHEMATICS (STEM)

Asian Inclusion Group Employees during the Dragon Boat Race and Asian Festival

Being an ally and advocating for colleagues of different identities cancreate a valuable impact on the well-being, growth, and development
of different groups. We believe that a diverse workforce is linked tostronger performances in innovation, productivity, profitability, andcustomer satisfaction. To promote allyship and support existing allies, Ingersoll Rand deployed ongoing resources, tips, and tools on the subject
matter, including opportunities for discussion and reflection throughour employee-only LinkedIn group.

44

Ingersoll Rand’s team in our Buffalo, New York site joined forces with
Habitat for Humanity during the annual Habitat’s International Women
Build Week. The weeklong event organized by Habitat’s Women Build
program is aimed to make a difference in the lives of families in needand uplift the local community. This rewarding experience not only
improved the local community, but also brought all the employees atthe site together where everyone had a chance to contribute.

Held in May every year, Germany’s Girls’ Future Day is designed tomotivate girls and women to pursue careers in STEM. Our SEEPEX
Germany site offered school girls from 5th grade and higher theopportunity to come onsite to experience industrial-technicalprofessions as a career option.

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSSOCIALENVIRONMENTAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLYPEOPLE AND COMMUNITY CONTINUEDOUR DE&I JOURNEY AHEAD

DE&I ENGAGEMENT ACTIVITIES 2022

As a longstanding supporter of the CEO Action for Diversity andInclusion pledge, we take pride in the diversity of our BOD at
Ingersoll Rand. Currently, 50% of our BOD members represent diverse
backgrounds in terms of gender or ethnicity and the full extended
leadership team is 20% female and is nearly 30% diverse in gender or
ethnicity.
Ingersoll Rand has made significant strides towards fostering inclusivity
through the creation of seven employee inclusion groups in the past
three years. In addition, we have established four regional groups inEurope and Asia Pacific, as well as a DE&I council in Latin America. We
have enhanced our global connectivity and reinforced our commitment
to cultivating a more inclusive organizational culture. Our sevencompany-wide employee inclusion groups include:• Asian Inclusion Group• Pride Alliance• Black Employee Network• Veteran Inclusion Group• Disability Inclusion Group(IRealabilities)• Women’s Inclusion Group

BLACK HISTORY MONTH

DIVERSITY MONTHPRIDE MONTHBACK TO SCHOOLWOMEN IN MANUFACTURING

MLK Day

Earth Day

Juneteenth

Never Give Up Day

World Mental Health Day

UNIVERSAL HUMAN
RIGHTS MONTH

International Day for People
with Disabilities

February

April

June

July/August

October

December

2022
January

March

May

September

November

NEW YEARWOMEN’S HISTORY MONTH

International Women’s Day

MENTAL HEALTH AWARENESS
AND ASIAN HERITAGE MONTHHISPANIC HERITAGE MONTH

International Holocaust
Remembrance Day
DE&I Summit

DIABETES AND NOVEMBER
AWARENESS MONTHWorld Mental Health Day

Memorial Day

Diwali and Veterans Day• Hispanic/Latinx Org for
Leadership Advancement
The groups serve as strategic employee resources for talent management, community influence, employee experience, as well as leadershipdevelopment and mentoring. Ingersoll Rand continues to see anincrease in membership and participation of our employees in thesegroups each year which aligns with continued increase of the sense of
belonging (by 5 points since 2021) and engagement shown in our annual
employee engagement surveys.
Ingersoll Rand’s Inclusion Groups actively participated in and organizedcelebrations for important diversity and inclusion observances in 2022.
Each year, all group leaders from around the world gather to strategize
and develop plans for engaging monthly activities for the employees
as well as enhancing the culture of belonging. The timeline of activities
depicts some opportunities employees can participate in to create anequitable workplace. Year-round events to include, but are not limited
to lunch and learn sessions, facilitated workshops, panel discussions,45

2022 Sustainability Report

empowerment and mentorship circles, art contests, cultural celebrations,external outreaches, community volunteerism, participation in summits
and much more.
Providing educational resources, sharing personal experiences andknowledge enhances the understanding and appreciation of different
cultures, identities, and perspectives cultivated at Ingersoll Rand, andultimately creates a preferred workplace in the industrial manufacturing
space.
At Ingersoll Rand, we are steadfast in our commitment to DE&I, and weunderstand that achieving our objectives requires a continuous focus on
talent attraction, engagement, development, advancement, and retention. By prioritizing these areas, we are confident in our ability to further
advance our DE&I commitment and cultivate a workforce that is not only
highly skilled but also reflects the rich diversity of our global community.

HUMAN RIGHTS
The activities of Ingersoll Rand impact the lives of millions
around the world, and we recognize we play an important role
in respecting and upholding human rights. To illustrate our active
commitment to and respect of human rights in our business
relationships, we developed our human rights policy to further
embed and ensure responsibility for people throughout
Ingersoll Rand.

INTRODUCTION

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PRODUCTS & SERVICES

MARKETSSOCIALENVIRONMENTAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLY

TRAINING AND DEVELOPMENTTALENT DEVELOPMENT

Developing Talent
Recognizing that our employees are the cornerstone of our success,we are deeply committed to investing in their growth anddevelopment.

Talent development programs are essential to growing our business. By aligning learning to our business strategy and goals, incorporating technology,
and ensuring company-wide access to world-class learning opportunities, we have increased employee engagement, development and overallbusiness success. Further, we have placed a strong emphasis on individual development plans tied to specific, measurable, time-bound actions andlearning to drive improvement. These actions not only offer a path to career advancement for our employees, they ensure strong internal succession.
The main objectives of our Talent Development strategy are:1

 e the Employer of Choice by offeringBmeaningful work, attractive benefits,
career growth, and development
opportunities.

2

B uild a Better Employee Experience by
creating an environment that fosters
employee engagement, growth opportunities, and satisfaction.

3P rovide our employees with unmatcheddevelopment opportunities.

Training and Development Inputs
Human Capital Return on Investment
Per Full-time Employee

2022
Human Capital ROI

Average hours of training and development
Average amount spent on training and development

20191

20202

20213

2022

Total Revenue$6,164,500,000$5,380,100,000$5,152,400,000$5,916,300,000

Total Operating Expenses$4,536,000,000$4,350,600,000$4,043,900,000$4,562,100,000

Total Employee-Related Expenses(Salaries + Benefits)$1,195,800,000$1,237,200,000$1,207,400,000$1,286,300,000

Total Employees

17,00015,90015,83017,105Resulting Human Capital Return on
Investmentn (Total Revenue – (Total
Operating Expenses – Total Employee
Related Expenses))/ Total Employee
Related

$2.36

$1.83

$1.92

$2.05

8.98 hours$288.25

For 2019, the amounts include the impact of one full year of standalone legacy Ingersoll Rand Industrial Segment activity.
For 2020, the amounts include the impact of two months (January and February of 2020) of standalone legacy Ingersoll Rand Industrial Segment activity.
3
For 2021, the amounts exclude our two formerly-owned businesses, Specialty Vehicle Technologies and Solutions, that were sold during the year.
12“By fostering a supportive and inclusive work environment, we aim
to attract, develop, and retain top talent. We believe that investingin our people is key to driving innovation, achieving operational
excellence, and sustaining long-term success. Together, we willcontinue to nurture a culture of continuous learning and growth,
ensuring that our organization remains agile and resilient in anever-evolving business landscape.”
Patrick Davis, Vice President, Talent and Organizational Capability

46

2022 Sustainability Report

Our Sustainability Ambassador program offers employees theopportunity to participate in ESG activities such as carbon
accounting, sustainable operations, materiality assessment,
biodiversity and product life cycle assessments to learn aboutsustainability as part of their development program.

INTRODUCTION

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MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLY

TRAINING AND DEVELOPMENT CONTINUEDEMPLOYEE DEVELOPMENT PROGRAMSWith an emphasis on training and development, we offer dozens of
in-house courses that are specifically designed to educate, motivate,
and equip our employees for personal and professional growth. We
exemplify our commitment to ongoing training and development by
providing learning opportunities through: Women in Leadership, Lead
Like an Owner, and LinkedIn Learning.

WOMEN’S LEADERSHIP DEVELOPMENT PROGRAM

Develop Yourself
as a Leader

Personal Development

Business Development

Personal Development

Business Development

Business Development

Assessment
Feedback andDevelopment

Execute Boldlywith IRX™

Confidence andInfluence

Financial Data:
Business Impact

Customer Insight

We are bold in our
aspirations whilemoving forward withhumility and integrity

We foster inspiredteams

We think and act likeownersWe foster inspired
teams

WOMEN IN LEADERSHIPOne initiative that aligns with our talent development strategy
is the Women’s Leadership Development Program (WLDP). This
program develops 30 top-talent women worldwide to prepare them fora new opportunity at Ingersoll Rand. Focusing on areas connected toour purpose and values, the WLDP prepares them for leadership roles
impacting the cohort and the organization. The WLDP measures
success through increased engagement, decreased attrition, and internal role changes.

WLDP purpose:
women’sdevelopment
matters
Learning
framework andexpectations
How women rise

Giving andreceiving feedback
effectively
Personal
assessment

IRX™ overview
IDM excellence:role of the meeting
owner and joyful
observerPreparing for yourfeedback session

Executive
presence
Leadershipbranding
Candor withconfidence

The financial cycle
Key metrics at
Ingersoll Rand
Data and decision
makingNet Promoter
Score (NPS)
Voice of thecustomer
Customer insights

Graduation

Ingersoll Randbusiness unit
overviews

Influencing others

Development
planning

LEADING LIKE AN OWNER

Your Leadership
Matters

LeadIRship
eXcellence

Financial Health:Beyond the
Numbers

Bold
Introspection:
Prepare for
Feedback

Moments of Truth:
IRX Execution

Customer: Insights
to Excellence

Putting it
Together:
Strategy to Action

Complete assigned pre-work
Welcome andintros

Debrief priorsessionDebrief priorsessionDebrief priorsessionDebrief priorsessionDebrief priorsessionDebrief priorsessionDevelopment
matters

Leading theIngersoll Rand way

Discuss the MBRs

Preparing forcoaching

PsychologicalsafetyNPS + customer
satisfaction

Moving fromstrategy to action

Owningdevelopment

Monthly Business
Review (MBR)
homework

Feedback

Radical candor

Customer insights

Reflection:
opportunities &strengths

Creating momentsof truth via IRX™

PAINstorming

Trying it all
together as an
Ingersoll Rand
leader

Expectations
Launchassessment
What’s next

What’s next

Investor
perspective
Data-driven
decisions
Storytelling w/dataWhat’s next

What’s next

What’s next

Support on thejourney
Development plan
What’s next

Complete assigned individual post-class assignments/peer coaching circles meet

2022 Sustainability Report

Putting it all
together as an
Ingersoll Rand
leaderComplete assigned individual post-class assignments/peer coaching circles meet

Learning
framework

47

Tying it Together:
Graduation

Coaching/Mentor Feedback

LEAD LIKE AN OWNER (LLaO)

Our Lead Like an Owner program, focuses on setting the leadershipstandard for Ingersoll Rand. This program is connected to our valueof thinking and acting like owners to enhance our leadership benchstrength. It builds a strong leadership community globally while
increasing the engagement of our top leaders. Thirty leaders responsible
for business segments and functions worldwide align with our values,
strategic imperatives, and execution tools that help Make Life Better forour customers and employees.

We are committed tomaking our customers
successful

Graduation

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSSOCIALENVIRONMENTAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLY

QUANTITATIVE IMPACT OF BUSINESS BENEFITS

The benefits of the WLDP and LLaO align with our goals of
improving retention, talent development, succession planning,
engagement, and DE&I.

12
3
4
Ingersoll Rand Employees: Women in Manufacturing Summit 2022

Career Advancements

7%

OF THE LLaO COHORTSINCE INCEPTION

48

2022 Sustainability Report

33

OF THE WLDP COHORTSINCE INCEPTION%

5

Retention: Employees who feel like there are opportunities
to grow and develop within an organization are more likely
to stay. We expect to reduce attrition for the cohorts andsimilarly situated employees as a result of these programs.
Talent development: Internal mobility can be a powerfultool for talent development. When employees move todifferent roles within an organization, they can gain new
skills and experiences that can help them become morewell-rounded and valuable to the company. Since its
inception in 2021, 7% of the LLaO cohort has moved into
new roles. 33% of the WLDP cohort has moved into newroles since it began in 2022.
Succession planning: Tracking internal mobility can also
be essential for succession planning. By identifying
employees who have the potential to move up within theorganization, we can better prepare them for roles withincreased responsibility.
Engagement: Employee engagement survey results haveindicated the importance of providing development
opportunities to them. The LLaO and WLDP demonstrate
our commitment to providing development
opportunities for our employees.
DE&I: Internal mobility can also be necessary for promoting
DE&I. Tracking internal mobility helps us identify potential
barriers to mobility so we can take steps to address them.
The programs align with our DE&I goals of increasing
growth and opportunity for all. The WLDP specifically aligns
with our goal of increasing women in leadership roles to 25%
by 2025.

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSSOCIALENVIRONMENTAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLY

TRAINING AND DEVELOPMENT CONTINUED

LINKEDIN LEARNING

LINKEDIN LEARNING CONTENT HIGHLIGHTS FROM DECEMBER

Leveraging a world-class skill-building solution like LinkedIn Learning
has strengthened our training and development initiatives. Drawing
from real-time data and insights, LinkedIn Learning offers personalizedrecommendations based on an employee’s interests, job role, andlearning history, making it easier for employees to find high-quality
content most relevant to their career goals. In addition, the platform
enables internal mobility by highlighting open opportunities at Ingersoll
Rand and providing personalized, actionable steps for an employee
to pursue available roles. The adoption has been tremendous, with
Ingersoll Rand learners activating over 4,900 seats in the program’s
first three months.

2022 TO JUNE 2023

4,477

LINKEDIN LEARNING COURSE COMPLETIONS

25,883
LINKEDIN LEARNING COURSE VIEWS

98,350LINKEDIN LEARNING VIDEO COMPLETIONS

123,023
LINKEDIN LEARNING VIDEOS VIEWED492022 Sustainability Report

Ingersoll Rand Employee: Zhou, Vincent, Wujang, China site

INTRODUCTION

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PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLYEMPLOYEE EXPERIENCE

Talent Attraction
and Retention
The most critical asset of our business is our employees. Not only is
supporting our people the right thing to do, it also contributes to thecreation of stronger and more motivated teams. True to our values,
we continue to promote a sense of belonging, empowerment andrespect for employees in our culture.
EMPLOYEE ENGAGEMENT

Employee engagement is critical to our company’s commitment tocreate a diverse, inclusive and equitable culture where everyone has
the opportunity to thrive. Making Life Better for our employees starts
with creating opportunity, which includes a personal ownership stake in
Ingersoll Rand.
OWNERSHIP WORKS PROGRAM

In September 2020, Ingersoll Rand made 16,000 employees owners
with its $150 million worldwide equity grant. We believe this is one of
the largest equity grants ever given to all employees of an industrial
company. This follows the same approach Gardner Denver took in 2017with a $100 million equity grant given to all employees. We believethese grants are a meaningful way to build an ownership culture where
all employees can benefit from creating value as they contribute to our
success.
In recognition of the significance of shared ownership, we introduced
our Ownership Works Program in 2021, which is an equity grant
program that provides equity to employees after one year of service.1 In
2022, we granted an additional $11.6M of equity through this program.

1

 mployees must be full time and have one year of service to be eligible. Not available to employees whoEparticipate in the company’s management equity program or where prohibited by local law or regulation orwhere such grant is required to be bargained for with an employee union unless such grant is agreed to aspart of such bargaining.

50

2022 Sustainability Report

This program allows each and every employee of our company tobecome an owner.1 We believe in the power of ownership as owners
enjoy higher engagement and have a vested interest in Making Life
Better for Ingersoll Rand, its valued customers and local communities.

The score of 80 for “I would recommend Ingersoll Rand as a greatplace to work” is six points higher than benchmark manufacturingorganizations according to our survey partner. Overall, the October
2022 engagement index was six points above the manufacturing
benchmark.

CONNECTIONS EMPLOYEE ENGAGEMENT SURVEYS

While our equity grants illustrate our financial investment to making
our employees owners, we appreciate that true ownership requires
employee engagement at every level of the company. To give a voice toevery employee on the workings of their company, we conduct
Connections Employee Engagement surveys to ensure continuous
improvement and feedback. The confidential survey, conducted by athird party, is a catalyst to ensuring every employee is empowered toinfluence the future of our company and their careers. It also equips
Ingersoll Rand with the data needed to make the best decisions toimprove in the areas deemed most important to our employees.

Responses to all questions exceeded the mean manufacturing benchmark, with ten topics in the top 10% of benchmark manufacturingorganizations: accountability, satisfaction, empowerment, feedback,initiative and respectful treatment. Additional strengths include ourcommitment to safety and manager performance, demonstrating ourownership commitment and “lean on us” mindset.

From the 27-question survey, employee engagement ratings are basedon the answers to two questions: “How happy are you working at
Ingersoll Rand?” and “I would recommend Ingersoll Rand as a greatplace to work.” We ensure industry-leading response rates for our survey
by distributing it to 100% of our employees, providing comprehensive
messaging that emphasizes its significance. We continue to encourage
participation at a local level with local sponsors and employee
engagement champions in order to maintain consistent participation.
OCTOBER 2022 EMPLOYEE ENGAGEMENT SURVEY

We are proud to share that we received a high level of participationfrom our global employee population in the survey, with over 88%
of employees completing it. This participation rate surpasses the
manufacturing benchmark of 80%, reflecting our employees’ commitment to providing feedback and contributing to the improvement of
our organization.
Responses to “How happy are you working at Ingersoll Rand?” scored82, which is eight points higher than benchmark and ranks Ingersoll
Rand in the top 10% of manufacturing organizations, according to oursurvey partner.

Ingersoll Rand Employees: Bordeaux, France site

INTRODUCTION

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OPERATE SUSTAINABLYEMPLOYEE EXPERIENCE CONTINUED

Employee feedback affirms that embracing an ownership mindset leads to positive transformations and aculture characterized by empowerment, continuous improvement and respect for all. All survey questions firstmeasured in 2020 have improved by meaningful margins in just three years. In fact, the six questions withgreatest growth—equal opportunity, feedback, growth, inclusion, strategy and sustainability—directly alignwith our focus on creating measurable success through the IRX™ process and fostering inspired teams.

HIRING

Below is a breakdown of employees by a variety of indicators. All data is as of December 31, 2022.
Hiring Breakdown

2020

2021

2022

Total number of new employee hires

1,321

1,856

2,199

Percentage of open positions filled by internal candidates

18%

26.6%

25.4%

$2,645$1,282$1,902Five-Year Trend for Employee Engagement Survey
Average hiring cost per full-time employee
Employee Engagement

2019

2020

2021

2022

Employee Engagement Index(Index Score of Positively
Engaged Employees)

72

76

78

81

Participation Rate(% of Total Employees)

92%

95%

91%

88%

Employee Turnover Rate

Total Number of Employees by Gender
Male

FemaleUndisclosed

Total

Permanent

13,1643,686

016,850Temporary

186

69

0

255

13,3503,755

017,105

Americas

AP

EMEIA

Total

Permanent

5,764

3,572

7,514

16,850Temporary

24

1

230

255

5,788

3,573

7,744

17,105

Male

FemaleUndisclosed

Total

Full-time

13,2003,530

016,730Part-time

150

225

0

375

13,3503,755

017,105The engagement of our global team members, as well as the power of ownership, is reflected in our turnover rate.

Employee Turnover Rate

2019

2020

2021

2022

Total Employee Turnover Rate

13.9%

16.7%

13.4%

15.9%

Voluntary Employee Turnover Rate

9.0%

7.2%

9.4%

11.1%

Data Coverage (as % of all full-time
employees globally)

100%

100%

100%

100%

40% of employees covered by collective bargaining agreements

EMPLOYEE SUPPORT PROGRAMS

Ingersoll Rand is proud to care for its employees and attract
quality talent with an array of competitive benefits, including
but not limited to:• Flexible work hours• Work-from-home arrangements where available• Part-time work options• Breast-feeding/lactation facilities where available•P aid parental leave for primary caregivers and non-primary
caregivers in excess of the minimum legal requirement512022 Sustainability Report

81

EMPLOYEE ENGAGEMENTINDEX SCORE

Total Number of Employees by Region

Total Number of Employees by Type

INTRODUCTION

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OPERATE SUSTAINABLYCOMMUNITY IMPACTYUNNAN UNIVERSITY PRESERVING CULTURAL HERITAGE

ZhangLang Village is a traditional Chinese village with good ecologicalenvironmental protection and culture. It is located in a remotemountainous area at the border of Yunnan and Myanmar and thelargest Bulang nationality village in the region. Ingersoll Rand
partnered with Yunnan University to carry out image recording andcreative exchange activities around the traditional culture of thevillages, daily production and life, local characteristic industries andother fields by supporting local young talents. Our goal was to help
protect and inherit the excellent traditional culture and provide
practical help for the cultural construction and social developmentof the village to promote the development of local society.

Making Life Better
As global citizens, we are committed to meeting the most pressing
needs of the communities in which we operate by connecting themto the resources they need to thrive.
PST INDIA—INSTALLATION OF PLANT WATER TOWER

After successful completion of three community water purification
projects in India in 2021, Ingersoll Rand’s Precision Science andTechnologies (PST) India division decided to continue the momentum in
2022 and support two additional water purification projects for schools
located in Kelambakkam and Thirukazhukundram.
Both schools relied solely on groundwater for their water supply, but
unfortunately, it was unsuitable for consumption. Situated in a rural
region, the schools lacked the financial means to afford a water purifier
for filtering purposes. Recognizing this issue, Ingersoll Rand and Planet
Water collaborated to select these schools for the installation of an Aqua
tower, effectively providing them with access to clean drinking water.
Overall, 2,298 students benefited from access to fresh water.

Installation of Aqua Tower at school in Kelambakkam, India“Complementing Government
efforts to provide universal accessto clean water, we at Milton Roy
India, have joined hands with Planet
Water Foundation to supply andinstall five Aqua Towers providing
safe and clean water to over
5,000 primary and middle-level
Government school students innearby villages. Our present
initiatives, we hope, will assist
enhance student health, lower
dropout rates, and assure improved
literacy levels in our communities
by helping them meet thisfundamental human need.”
Srikanth Narasimhan, VP and General Manager,
India and Middle East, PST

522022 Sustainability Report

Zhanglang Village, China

Installation of Aqua Tower at school in Thirukazhukundram, India

INTRODUCTION

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Citizenship andPhilanthropy
At Ingersoll Rand, we strongly believe that we have the power andresponsibility to build a better world, and we wake up every day withthe desire to help Make Life Better. Our company-wide citizenshipstrategy guides our philanthropic priorities and activities, which arealigned to the UN Sustainable Development Goals (SDGs) and to ourcompany’s business drivers. Managing our citizenship strategy inthis way provides clear direction and enables us to use our productexpertise and strength of our employee volunteers to have maximum,
measurable societal impact on communities and the world. In 2022,
Ingersoll Rand contributed over $1.25M in charitable donations aroundthe globe.

INGERSOLL RAND GLOBAL CITIZENSHIP STRATEGY

The following principles define Ingersoll Rand’s global
citizenship strategy:

1
2
3

ALIGNMENT WITH UNITED NATIONS SUSTAINABLE DEVELOPMENT GOALS

Ingersoll Rand’s global citizenship efforts­—whether globally or at the
local level—are aligned with the following SDGs:

4
5
6
7

Support Our Purpose and Values. Our global citizenshipstrategy must first and foremost support our Purpose andValues and assist in integrating them into the fabric of ourcompany.
Enhance Our Reputation. A key outcome of our global
citizenship strategy is that it should help support and promote us as the provider, employer and investmentof choice.
Diversity, Equity & Inclusion. Working toward the rightsolutions requires an integrated view of global citizenship,and DE&I; social responsibility requires diverse, equitable
and inclusive perspectives.

OUR CORPORATE CITIZENSHIP/PHILANTHROPIC CONTRIBUTIONSHaving a diversified approach to corporate citizenship ensures wemake full use of the different types of capital at our disposal, including
financial and talent. We manage our corporate citizenship/philanthropic
program with a clear direction and focus on our guiding principles
as outlined in our citizenship strategy. Doing so enables us to haveawareness of community impact, direct beneficiaries and full costs.
We further recognize that charitable contributions can be used as aconduit for bribery and that is why our publicly available Anti-Bribery,
and Corruption Policy, applicable globally, addresses and controls themanner in which these types of contributions can be made, and to whom.
LENDING SUPPORT TO THOSE IMPACTED BY THE EARTHQUAKE IN TURKEY

In response to the 2022 earthquake in Turkey, Ingersoll Rand
partnered with Planet Water Foundation to fund the installation of
an AquaBlock emergency water system, which provided immediateand safe drinking water for up to 10,000 individuals daily.
This donation exemplifies our commitment to living our
Purpose­—Make Life Better—when it’s needed most.

Respond to Local Community Needs. Our global
citizenship strategy must be responsive to identified
needs in our communities that are appropriate for our
involvement to “Think Global, Act Local.”Engage Employee Preference. The interests and preferences of our employees are taken into account when determining the programs we support.
 chieve Impact. Our emphasis will be on making resourceA
investments that lead to measurable, observable changes
in people, communities and the environment.
 everage Resources. Our efforts will maximize our impact
Lby leveraging corporate and local initiatives; all of ouractivities will build on each other to ensure we outperform
our objectives.
Planet Water Foundation Employees installing AquaBlock water system

53

2022 Sustainability ReportINTRODUCTION

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OPERATE SUSTAINABLYCOMMUNITY IMPACT CONTINUED

PRETTY IN PINKEARTH DAY 2023: INVEST IN OUR PLANETThe Ingersoll Rand team in Southern Pines participated in a fundraising
event for the Pretty in Pink Foundation with Ingersoll Rand matching
employee contributions. The foundation is a local non-profit started in
2004 by Dr. Lisa Tolnitch, a Raleigh breast cancer surgeon. Its mission
is to provide uninsured and under-insured breast cancer patients inNorth Carolina, our Champions, with financial assistance for quality,
life-saving medical treatment. This fundraiser brought our team
together for a common goal of helping others in our community.

Each year Ingersoll Rand takes time on April 22 to participate in EarthDay, an annual global event to promote the involvement in actively
improving and protecting the environment. Earth Day provides Ingersoll
Rand the perfect opportunity to Make Life Better.
nd

During Earth Day 2023, 2,751 employees around the world showed theircommitment to the theme of Invest in our Planet by volunteering over
3,873 hours to leave a lasting, positive impact on the environment.
Number of participating locations

70

Number of trees planted

1,268

Energy saved (kWh)1,113

Waste collected (lbs)

5,644

Waste recycled (lbs)

3,604

Number of employee volunteers

2,751

Total number of volunteer hours

3,873

Ingersoll Rand Employees: Nuremberg, Germany site

We believe that through our actions in celebration of Earth Day that
employees from any part of the globe can make positive changes totheir shared environment. We believe in carrying the responsibilities
and actions shown on Earth Day throughout each and every day of
the year by Operating Sustainably and maintaining a commitment toconserving water and energy and reducing waste.

Ingersoll Rand Employees: Southern Pines, North Carolina site

Ingersoll Rand Employees: Chennai, India site

54

2022 Sustainability ReportINTRODUCTION

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OUR ESG PRIORITIESMateriality
Assessment
Process
A Double Materiality Assessment Methodology
Ingersoll Rand’s approach to refreshing our Materiality Assessment
in 20231 was conducted based on the principle of double materiality
as outlined in the Global Reporting Initiative (GRI). This deepened thedefinition of materiality to encompass and emphasize the economic,
environmental and social impacts of our value drivers. In our approach,
we focused on the importance of each topic to stakeholders, long-term
shareholder value creation and competitive positioning. We also considered the short-term and long-term impacts, intended and unintended
impacts, positive or negative impacts, and reversible and irreversible
impacts affecting our financial, organizational, and reputational

THE PROCESS

performance now and in the future. This in-depth analysis helped us
identify the most material topics and allowed us to arrange the topics inorder of significance to stakeholders and impact on Ingersoll Rand.

Understand• Review company’s purpose, values, strategies

IDENTIFYING MATERIAL TOPICS

Identifying our material topics was a multi-step process. We firstassessed our prior materiality results. This was followed by identifying
the material topics that are considered important to the manufacturingindustry and assessing these topics against our current strategy,
purpose and values. We reviewed the regulatory frameworks, suchas GRI, Sustainability Accounting Standards Board (SASB), United
Nations SDGs and the Task Force on Climate-Releated Disclosures(TCFD) framework to ensure alignment and completeness of ourmaterial topics.

•R eview types of products, services, customers, and locations•R eview and determine stakeholders and review peerbenchmarking

Identify• Identify impacts on the economy, environment and people,
including impacts on human rights

The results were 20 material topics that we grouped into the following
categories:•E ngage with relevant assessments of business
relationships such as legal or anti-corruption, etc.

• Labor and Employee Matters• Economic Value Creation• Climate Stewardship• Product Stewardship/New Product Development and Innovation•D etermine the population and means of assessments(surveys, focus groups, interviews)

AssessSTAKEHOLDERS“I firmly believe that strong governancepractices are the foundation forsustainable and ethical business
operations. By upholding the highest
standards of transparency, accountability,
and integrity, we not only ensurecompliance with regulations but alsobuild trust with our stakeholders. Good
governance is not just a box to check,but a guiding principle that shapes
our decision-making processes, risk
management strategies, andorganizational culture. At Ingersoll Rand,
we are committed to fostering agovernance framework that promotes
ethical conduct, protects the interestsof our stakeholders, and drives
long-term value creation.”
Andy Schiesl, Senior Vice President and General Counsel

55

2022 Sustainability Report

To ensure a comprehensive understanding of our material topics, wesurveyed our employees as well as selected customers, investors andsuppliers in various geographies. During the process, we conductedinternal interviews, met with focus groups, and conducted an impact
assessment of the material topics on our business within our mostsenior leadership. In the surveys, we asked the stakeholders to rate thetopics that Ingersoll Rand should be most concerned about in respectof impacts on environment, human rights, communities, and theeconomy. We applied a weighting system that assigned a 50% weighting
to external stakeholders and a 50% weighting to internal stakeholders.
Our senior leaders along with the Sustainability Committee of our BOD
provided final approval of the Materiality Assessment.

•A ssess significance of selected topics on environment,
people, communities and the economy•A ssess financial, positive or negative impact on business• Engage stakeholders in the assessment

Prioritize•G roup the topics based on impacts and test against applicable
GRI sector standards to prevent any overlooked topics•V alidation and approval from the highest governance bodyat Ingersoll Rand

1

A Materiality Assessment is conducted every two years at Ingersoll Rand.

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MATERIALITY CONTINUED

MATERIAL TOPICS PRIORITIZATION

We define “material issues” as those issues important to our stakeholders
and the success of our business. We assessed these issues to help
us dedicate resources to those areas where we have a potentiallysignificant impact on the environment, society and the economy.

We identified 20 material topics
categorized in four main categories:

1

We utilize an ERM process that enables us to pursue our strategic
imperatives while identifying, controlling and mitigating risks. This
process is based on the COSO Enterprise Risk framework. The Materiality
Assessment process is incorporated into the overall ERM process and isused to assess and manage material topics. We continue to monitor andupdate material issues on an ongoing basis and engage our key stakeholder groups to keep pulse on any changing environmental, social andeconomic impacts.

2
3

Labor and Employee Matters
Anti-corruption
Labor and Human Rights
Employee
Training and
Development

Ingersoll Rand values diversity and promotes anequitable and inclusive environment for all employees.
Ensuring a “safety first” culture, Ingersoll Rand maintains world-class safety metrics and offers a wide rangeof trainings and resources to support employees’ overall
health, safety and well-being.

ERM AND ONGOING MONITORING OF IMPACT

Material Topics

Economic Value Creation
Although Economic Value Creation is one of our
top four Material topics, it does not correlate to a
UN Sustainable Development Goal.

Employee Engagement
Employee
Diversity, Equity
and Inclusion
Occupational Health and Safety
Employment
Benefits, Healthand Wellness

Impact on Business

While all the issues on the Materiality Matrix carry importance, theissues in the upper right quartile were ranked as the most critical to ourstakeholders and Ingersoll Rand. This assessment is an input into how
we prioritize the issues. We have programs in place to address both therisks and opportunities these issues represent.

Labor and Employee Matters

MATERIALITY MATRIX 2023

High

MATERIALITY MATRIX

Economic Value Creation
Capital Allocation Strategy
Supply Chain Reliability
EBITDA

Climate Stewardship

Debt Leverage
Significant

High
Growth Sustainable
End Markets

Significance to Stakeholders

High

High

Environmental ComplianceGreenhouse Gas Emissions
Product Stewardship/New ProductDevelopment and Innovation
Customer Health and Safety
Product Quality
Understanding
and MeetingCustomer Needs

Impact on Business4

 roduct Stewardship/New ProductP
Development and Innovation

Company Energy Use

High

All Topics

Climate Stewardship
Ingersoll Rand continues to mitigate risks derived fromclimate change and focuses on improvements in its
operations by reducing emissions through energy
efficient projects, installing solar, purchasing hybrid
and electric vehicles, and purchasing green energy.

Significance to Stakeholders

Product Energy efficiency
Through innovation and new product development,
Ingersoll Rand reduces its impact on the environment
through emission reduction and water conservationin products and ensures the health and safety of thecustomers as end-users.

56

2022 Sustainability Report

New
Product Development
and Innovation

Low

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MATERIALITY CONTINUED

ESG PRIORITIESMaterial Issue #1 Labor and Employee Matters
Why Issue is Material to Ingersoll Rand

Primary Business Strategy to Address Issue

Long-Term Metric to Measure Progress on Issue

Our success is largely dependent on the skills, experience, efforts and safetyof our talent across the company. Our future success also depends on ourability to attract, retain and develop qualified personnel at all levels of theorganization. We know the diverse and inclusive views of a global team will
help us deliver strong performance, creating a cycle of success that benefits
our employees, partners and customers. The availability of highly qualified,diverse talent is limited and the competition for talent is robust.

Deploy Talent is the first of Ingersoll Rand’s five strategic priorities, and theone that drives how we, attract, develop, nurture, mentor and retain our
employees. We do this in a number of ways.

Metrics and targets are multi-year with specific public targets announced
through 2025.
Targets related to DE&I include tracking % of women and URT2 including:First, we believe that cultivating an ownership mindset through actual
ownership results in employees having a vested interest in the success of
the Company and desiring to build a long-term career with us. We haveawarded over $275M in equity to our employees since 2017, which has
increased to nearly $590M in value as of March 31, 2023. We also continue
to offer our Ownership Works Program that grants equity to all new
employees after their one-year anniversary.1
We believe a workplace that cultivates a sense of inclusion, belonging andrespect will develop the most talented, engaged and capable employees.
Diverse, inclusive teams improve productivity and quality of work, while
increasing employee engagement, all of which drives employee attraction
and retention.

• 25% women in total workforce by 2050
• 30% URT in the U.S. workforce by 20252
Our 2022 target for employee engagement, which includes questions
regarding employee growth and development, equal opportunity and senseof belonging, was a score of 81, which was achieved.
With respect to safety, Ingersoll Rand targets the following world-class safety
rates on an annual basis:• Achieve world-class Total Recordable Incident Rate (TRIR) safety level of 0.6• Achieve world-class Lost Time Incident Rate (LTIR) safety levels of 0.06

Employee engagement is also critical to our ability to attract, retain anddevelop our employees. In order to give a voice to every employee, we
conduct annual employee engagement surveys. The confidential survey isa catalyst to ensuring every employee is empowered to influence the futureof our company. It also equips Ingersoll Rand with the data needed to makethe best decisions to improve in the areas deemed most important to ouremployees.
Finally, the safety of our employees is imperative and critical to retaining
talent. In addition, when our employees know they are safe at work, we
believe they perform better and work more efficiently.
Employees must be full time and have one year of service to be eligible. Not available to employees who participate in the company’s management equity program or where prohibited by local law or regulation or where such grant is required to be bargained for with an employee union unless such grant is agreed to as part of such bargaining.
URT is defined as Black or African American, Hispanic or Latin, Asian, American Indian, Alaska Native, Native Hawaiian. Source: MLT. URT significantly declined in 2021 due to two divestures of companies that had high levels of URT representation. We are currently developing our standards on how and when to re-baseline targets due tosignificant divestures, acquisitions or other events and may revise baseline and targets.

1

2

Employees with Vicente Reynal, Sunderland, England site57

2022 Sustainability ReportINTRODUCTION

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MATERIALITY CONTINUED

Material Issue #2 Climate Stewardship
Why Issue is Material to Ingersoll Rand

Primary Business Strategy to Address Issue

Long-Term Metric to Measure Progress on Issue

Climate stewardship is material to Ingersoll Rand for anumber of reasons. First, reducing the use of energy,
water and materials significantly reduces our costs andmakes us more efficient. Obtaining efficiencies throughreducing natural resource usage is critical to our futurecompetitiveness and growth. Second, climate changepresents unique physical and transition risks that weneed to be prepared for in order to prevent financial
harm and ensure long term viability. Finally, our mission
is to Make Life Better, and reducing our impact on theenvironment is a key part of fulfilling that mission andprotecting the planet and our communities.

Ingersoll Rand is using the IRX process to operationalize
sustainability within all of our business units. Our primarybusiness strategy to reduce energy consumption throughour Green Excellence (GreenX) Teams has provensuccessful as we are continuously reducing GHG
emissions year over year. The cross-functional GreenX
teams around the world are trained in energy efficiency
opportunities including:Ingersoll Rand has targeted a 4% energy reduction yearover-year within its operations to reach the stated mid
and long-term climate goals.

• Compressed air management• Start-up/Shut-down management• HVAC and lighting systems improvement• Manufacturing efficiency
With respect to each of our physical and transition risks
and opportunities, we have a plan to determine whether
we will monitor, manage, mitigate, enhance or adapt as
the climate risks and opportunities change.
Overall, risks from sea level rise, flooding, wildlife, heatwaves and cold waves are relatively low across our
profile. However, water stress has several properties
in the high risk category and are spread across our
manufacturing and service sites. The risk is not imminent
and with proper planning it is not a significant risk to
Ingersoll Rand. Our plan anticipates the adverse effects
of climate change and takes appropriate action toprevent or minimize the damage they can cause or taking
advantage of opportunities that may arise. Ingersoll Rand
has comprehensive climate and water roadmaps to assist
with mitigation and adaptation measures for our operations. Annually, based on the data from such monitoring,
we determine whether we intend to implement any adaptation measures.

58

2022 Sustainability Report• Reduce operations GHG emissions 60% by 2030
• Achieve net zero GHG emissions by 2050
• All operations will be powered by 100% renewableenergy by 2050
• 17% reduction in water use

Topic Relevance to External Stakeholders,
Environment and Social Matters
Climate stewardship and Ingersoll Rand’s physical andtransition risks are material to our external stakeholders
because our operations contribute to the global
challenge of climate change. In addition, in order for us tocreate economic value for our stakeholders, we need to
be able to operate more efficiently than our competitors.
Reducing our use of energy, water and waste is one way
to do that.
The impacts assessed include our company energy use,environmental compliance and GHG emissions of 100%of our operations. Our company’s energy use andreduction in GHG emissions contribute to the quality of
air, reduce cost and enable investments in renewableenergy, which reflects positively on our stakeholder’s
return on investment, the environment and is linked withthe company’s capital allocation strategy.
Ingersoll Rand calculated a quantitative output metriclinked to this material issue of our operations in total
CO2e emitted annually. Based on the current social costof $51 per metric ton CO2e emitted, the total calculated
cost for Ingersoll Rand’s 2022 combined Scope 1 and 2
emissions of 88,733 MT CO2e amounts to $4,525,383.

INTRODUCTION

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MATERIALITY CONTINUED

Material Issue #3 Product Stewardship/New Product Development and Innovation
Why Issue is Material to Ingersoll Rand

Primary Business Strategy to Address Issue

Long-Term Metric to Measure Progress on Issue

Growing sustainably at Ingersoll Rand is about
attracting customers that are seeking sustainable
solutions to: reduce energy consumption and associated
GHG emissions; reduce water consumption; reduce
waste; extend the useful life of equipment; leverage
the Industrial Internet of Things (IIoT) for operations
optimization and maintenance prediction to eliminate
unplanned downtime; and keep their employees safe,
healthy, and productive.

Ingersoll Rand’s growth strategy is two-fold. We design,
manufacture and deliver products and services that:(1) offer inherent sustainability benefits such as efficiency,
circularity and safety; and (2) serve high-growth,sustainable end markets, including renewable energy(clean tech), water and wastewater, food and beverage,
and life and sciences.

Our goals for product stewardship include:

A key driver of growth for us is the development andsale of intrinsically sustainable products that deliver
efficiency, circularity and safety to customers across all
markets and regions.
Another key aspect of our growth strategy is supporting
customers in high-growth sustainable markets. We are
uniquely positioned to deliver sustainable products andservices into these end markets and make a significant
difference now and in the future.

592022 Sustainability Report

Our DfS process, which is focused on designing innovative and sustainable solutions into our products, is a
critical component of our strategy to offer sustainableproducts to our customers to help them achieve theirsustainability goals.
In addition, we continue to invest in product and service
innovation to deliver a well-positioned portfolio toaddress our customer needs, deliver value to customers
in high-growth sustainable end markets while driving
profitable growth for our Company and making life
better for our customers and our planet.

•G reater than 15% reduction in GHG emissions acrossIngersoll Rand products by 2030•G
 reater than 1 billion gallons of water recycled annuallyusing Ingersoll Rand products by 2030
•G
 enerate >25% of our revenue from high-growth,sustainable end markets (including renewable energy,
water and wastewater, food and beverage, life andsciences) by 2025

Topic Relevance to External Stakeholders,
Environment and Social Matters
Sustainable products and services are material to ourexternal stakeholders because our customers request
efficient, circular and safe products. Additionally, ourproducts help our customers lower their Scope 1 and 2
emissions and have a direct long-term positive impact on
the environment.
The impacts assessed were product energy efficiency,
new product development and innovation, productquality, customer health and safety, and understanding
and meeting customer needs.
Ingersoll Rand calculated a quantitative output metric
which is >15% reduction in GHG emissions acrossIngersoll Rand products by 2030.

INTRODUCTION

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GOVERNANCE

SOCIALOPERATE SUSTAINABLY

BUSINESS ETHICS

Ensuring EthicalBehavior
Integrity, honesty and sound judgment are fundamental to Ingersoll
Rand’s reputation, success and growth. Our Code of Conduct helps
ensure that all employees, irrespective of their position, consistently
conduct themselves in a lawful manner and uphold the highest
ethical standards in every facet of their business interactions. The
Code is designed to assist us in avoiding even the appearance ofimproper behavior and serves as a guide for employees when facedwith legal or ethical questions. All Ingersoll Rand employees are
expected to read the Code carefully, understand its expectations andapply it to all aspects of work. Ingersoll Rand continues to partner withoutside experts to enhance its online Code of Conduct training module,
which has been successfully implemented across the entire organization.
We hold our suppliers to the same high standards, requiring theircompliance with the company’s Supplier Code of Conduct andadherence to the company’s principles of responsible global sourcing
and sustainability.

“The transformation our Compliance program
has experienced over the past three years
really is something to be proud of. We’reseeing levels of awareness, accountability
and action that can take organizations alifetime to accomplish. Quite a testament
to the seriousness with which each andevery Ingersoll Rand employee embodies
doing the right thing.”
Robert Mayfield, Director, Global Compliance

Ingersoll Rand Employees: Cristiana Algieri and Roberto De Fusco, Vignate, Italy site

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2022 Sustainability Report

REPORTINGINTRODUCTION

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BUSINESS ETHICS CONTINUED

CODE OF CONDUCT COVERAGE% Relative to Total Number of:Population

100%

OF EMPLOYEES, SUPPLIERS, SUBSIDIARIES AND JOINT VENTURES(INCLUDING OWNERSHIP ≥10%)

A Code of Conduct is only effective if it is acknowledged and followed.
Ingersoll Rand recognizes that there must be systems and proceduresin place to ensure the Code of Conduct and its guidance is understood
locally, adopted globally and complied with universally. Partnering with
Internal Audit, the Compliance department utilizes a risk and control
program to regularly assess its material operations against high-risk
elements of the compliance system, including integrity and ethical standards, bribery and corruption exposure, and overall policy adherence.

Written/Digital Acknowledgement

100%

OF EMPLOYEES, SUPPLIERS, SUBSIDIARIES AND JOINT VENTURES(INCLUDING OWNERSHIP ≥10%)

Code of Conduct compliance program. Components of the entity-level
control audit procedures include annual confirmation of the global
Code of Conduct certification exercise, verification of the global ethics
hotline, including upward reporting to the Audit Committee of the BOD,
enforcement of the Code of Conduct and the establishment of aManagement Representation Letter that requires quarterly compliancecertification from company leaders.
BRIBERY AND CORRUPTIONCOMPLIANCE SYSTEMS/PROCEDURES

Ingersoll Rand incorporates expected competencies into its
performance appraisal system, which is ultimately linked to employee
remuneration. Within those competencies is Ingersoll Rand’s ultimate
compliance tenant: “acting with integrity regardless of how hard thechallenge.” In the unfortunate instance an employee is seen to havefallen short of that competency, the performance appraisal system isdesigned to identify and reflect that deficiency in the annual employee
remuneration assessment process.
To assure external stakeholders that the Code of Conduct is not only established but also effective, Ingersoll Rand engages Deloitte and Touche,
an independent third party, to perform an annual audit of its consolidated
financial statements and the effectiveness of internal controls. As partof this work, they perform entity-level audit procedures that assess the61

2022 Sustainability Report

Ingersoll Rand maintains its unwavering commitment to conducting
global operations in-line with the utmost ethical standards and in fullcompliance with relevant laws and regulations. This includes strict
adherence to the U.S. Foreign Corrupt Practices Act, U.K. Bribery Act,as well as other anti-corruption and related laws in the countries where
we operate.
The company’s reputation and business success depend on the collective dedication of its employees to uphold these standards with theutmost integrity. We expect a similar level of commitment from ouragents, consultants, representatives, and other entities and individuals
acting on our behalf, as well as those representing our transaction partners in relation to their work for the company. Our steadfast commitmentlies in the prevention of corruption, including any appearance thereof, in
all our business dealings. We maintain a zero-tolerance stance towards

Training

100%

OF EMPLOYEES, SUPPLIERS, SUBSIDIARIES AND JOINT VENTURES(INCLUDING OWNERSHIP ≥10%)bribery and corruption, leaving no room for excuses, even if bribery
is considered customary in a particular country. In simple terms, we
strictly prohibit all forms of bribery, regardless of their scale.
We also acknowledge that political and charitable donations canpotentially serve as a means for bribery. To address and regulatethese types of contributions, we have put in place our global
Anti-Bribery and Corruption Policy which is publicly available. The
policy outlines the following controls and guidelines regarding suchcontributions:•T he company or its personnel are prohibited from making
contributions of any valuable items, on behalf of the company,
to a government employee or charitable organization or cause,
unless such contributions are approved in advance by thegeneral counsel, permitted by law, and made to a legitimate
organization.
•C ompany personnel are only permitted to engage in suchcontributions if explicitly authorized by the director of global
compliance.
• It is strictly prohibited for company personnel to make political orcharitable contributions, either in their own name or on behalf ofthe company, with the intention of obtaining or retaining businessor gaining an improper advantage in business matters.

INTRODUCTION

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BUSINESS ETHICS CONTINUEDETHICS AND COMPLIANCE
INGERSOLL RAND’S CODE OF CONDUCT REPORTING

Aligned with our Purpose and Values, Ingersoll Rand actively cultivatesa culture that promotes open and honest communication as the norm,
rather than the exception. We actively encourage both internal andexternal stakeholders to come forward with good faith reports
concerning suspected violations of our Code of Conduct or seek
guidance regarding internal policies and procedures. We deeply value
the trust placed in us by these individuals and, in accordance with legal
requirements, ensure the necessary protections for those who reportviolations. For stakeholders who prefer to submit anonymous reports
confidentially, our global ethics hotline provides that option.

Below is a breakdown of the reports received through both internal andexternal channels, consolidated through Ingersoll Rand’s global ethics
hotline. The breakdown includes categories for the reports, cases that
led to disciplinary actions, and the overall value of fines associated withall investigations.

2022 Type of Reports

We take our responsibility to address situations that contradict our
Purpose and Values seriously, and that is why we actively promote andrequire the visibility of our integrity materials at every Ingersoll Rand
location worldwide. These materials are made available in local
languages, and we provide in-country phone numbers to facilitate
the reporting process.

# of Reports# of Breaches

Serious1 Cases

Corruption orBribery400Discrimination orHarassment

0

0

0

Customer Privacy
Data

0

0

0

Conflicts of Interest

3

1

0

Money Laundering or
Insider Trading

0

0

0

“Other” Governanceand Ethics2

13

1

0

Total

20

2

0

Fines Imposed

$0

$0

$0

Human Resources

66

622022 Sustainability Report

In 2022, Ingersoll Rand did not make contributions or expenditures
to political campaigns, organizations or lobbying groups whose
primary role is to influence political campaigns, public policy orlegislation. However, Ingersoll Rand does from time-to-time
contribute to trade associations and tax-exempt entities that we
believe support our purpose to help Make Life Better, and it ispossible that these associations and entities may have engaged
in incidental, ad hoc lobbying activities. Further details on thecompany’s contributions to these associations and entities can befound on the next page under Regulations and Public Policy.
CHARITABLE CONTRIBUTIONS AND SPONSORSHIP“Serious cases” equates to those having a material impact on the management of the organization.
“Discipline” is up to, and including, termination. Ingersoll Rand received 20 “Governance & Ethics” reports
globally in 2022 with 10% of those cases substantiated and resulting in employee discipline. All 20 reports
were presented to the global ethics hotline “case management team” consisting of the SVP, General Counsel;
VP, Internal Audit; and Director, Global Compliance. Of those reports, 100% were also disclosed to the Ingerso Rand Board of Director’s Audit Committee.
2“Governance and Ethics” includes all non-Human Resources reports related to Code of Conduct
matters that are not otherwise specified in the table.
1

POLITICAL CONTRIBUTIONSIn 2022, the value of Ingersoll Rand’s corporate citizenship/philanthropic contributions totaled $1.25 million. Further detail on
the reporting of the company’s philanthropic contributions can befound in the Community Impact section.

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Regulation andPublic Policy
Companies frequently engage in legitimate representation within
legislative, political, and public discourse. However, when companies
make excessive contributions to political campaigns, spend significant
amounts on lobbying efforts, or associate too closely with tax-exemptgroups like trade associations, it can potentially harm their reputationand pose corruption risks.
Ingersoll Rand seeks to refrain from making contributions to political
campaigns or organizations that solely aim to influence political
campaigns, public policy, or legislation. As part of our commitment tomaking a positive impact through our purpose of Making Life Better,
Ingersoll Rand occasionally provides support to trade associations andtax-exempt entities that align with our purpose, although their primary
focus is not lobbying. However, it is worth noting that these associations
and entities may engage in incidental, sporadic lobbying activities fromtime to time. In this context, a “contribution” refers to an amount given
during a specific fiscal period to an individual candidate, organization,
ballot measure, or pertaining to an “issue area” or “topic” requiring
lobbying efforts.
The following table provides transparent details regarding Ingersoll
Rand’s annual monetary contributions and expenditures related to
trade associations and other tax-exempt groups. It’s important to notethat Ingersoll Rand does not maintain a Political Action Committee (PAC),
and therefore PAC contributions do not appear in the presented
information.

ASSOCIATION MEMBERSHIPS

Ingersoll Rand actively collaborates with various industry, economic, and environmental
associations, as well as engages in partnerships, endorsements, and memberships with initiatives
that are relevant to our business and hold significance for our employees and communities.
Additionally, we align ourselves with several organizations that promote and advance our coreareas of focus. While the list provided below is representative of these associations and organizations, it may not encompass the entirety of our engagements:• Australian Hydrogen Council• British Compressed Gases Association• CEO Action for Diversity and Inclusion(external social charter)• China Environment Protection Association• China General Machinery Association• China Vacuum Society• Compressed Air and Gas Institute (CAGI)• Compressed Air Association of Australasia• Confederation of Indian Industry• CSA Group Testing and Certification• Ecovadis• European Power Tools Association• Federation of Malaysian Manufacturers• Global Shippers Association•G erman Mechanical and Plant Engineering
Association• Hefei General Machinery Research Institute• Hydrogen Europe• Hydraulic Institute

2019

2020

2021

2022

Lobbying, interest representation or similar

$0

$0

$0

$0

Local, regional or national political
campaigns/organizations/candidates

$0

$0

$0

$0

$933,523$868,108$841,191$1,089,088

Other (e.g., spending related to ballot
measures or referendums)

$0

$0

$0

$0

Total contributions and other spending$933,523$868,108$841,191$1,089,088

100%

100%

100%

100%

Trade associations or tax-exempt groups(e.g., think tanks)

Data coverage (as % of revenue)63

2022 Sustainability Report• Malaysia Motor and Equipment Manufacturers•M anufacturers Alliance for Productivity andInnovation (MAPI)• Material Handling Industry Association• National Society of Black Engineers•P ortuguese Association for the Promotionof Hydrogen• Responsible Minerals Initiative• Shanghai Energy Conservation Association• Society of Hispanic Professional Engineers• Spanish Hydrogen Association• Scottish Hydrogen and Fuel Cell Association•U nited Kingdom Hydrogen and Fuel Cell
Association• United Nations Global Compact• U.S. China Business Council•U .S. Department of Energy’s Better Plants
Initiative (external charter)• Women in ManufacturingINTRODUCTION

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SUPPLY CHAIN

Supply Chain
Management
We deeply value our supplier partners and recognize the pivotal
role they play in manufacturing, delivering, and servicing our
mission-critical products. To ensure the smooth operation of
our supply chain, we have developed a comprehensive strategy
focused on building a resilient and sustainable network of strong
supply partners.
Our supply chain strategy revolves around striking a balance between
in-region/for-region sourcing. This approach aims to maintain supply
chain security and mitigate potential disruptions by sourcing materials
and components locally or within proximity to our operations.
Simultaneously, we also leverage best-cost country sourcing tocapitalize on lower commodity and component costs, enhancing
our competitiveness in the market. We also have a strong sustainability
component to our supply chain strategy, which is ultimately overseen by
the Sustainability Committee of our BOD.

“I want to emphasize our unwavering commitment to collaboratingwith our supply chain partners in achieving Ingersoll Rand’s
sustainability targets. We recognize the critical role they play in
our journey towards a more sustainable future. By fostering strong
relationships and open communication, we can collectively drive
positive change throughout the value chain.
Together, we will continue to prioritize
responsible sourcing practices,
promote resource efficiency, andminimize our environmental impact.
Our shared commitment tosustainability will not only benefit
our business but also contributeto a more sustainable and resilient
global community.”
Chris Neubauer, Vice President,
Global Sourcing and Logistics

642022 Sustainability Report

By adopting this in-region/for-region approach, we not only bolster our
supply chain’s resilience, but also minimize our environmental footprint.
By reducing the distances that finished goods, components, and raw
materials need to be transported, we effectively decrease carbon
emissions associated with transportation and contribute to a moresustainable future.

We have invested in resources to identify “near-shoring” opportunities,
strengthening our ability to find strong supply partners in Latin America,
Eastern Europe, Southeast Asia, and Africa. By driving a greater portionof our supply chain to more local sources, this initiative has significant
impacts to both our supply chain risk as well as our global supply chain
sustainability, significantly decreasing emissions in the transport of thesegoods from supplier to Ingersoll Rand.

OUR TOP FIVE STRATEGIES:
INGERSOLL RAND PREFERRED SUPPLIER PROGRAM

1Consolidate our supplier base to generate cost synergies while
maintaining/improving quality and lead time, and enhance ourcommitment to in-region/for-region sourcing.

2

Assess 100% of supplier spend to determine spend “at risk” dueto (a) sole or single sourcing; (b) current buy of less than 25% inregion of consumption; and (c) inability to buy 100% in region of
consumption (if needed).

3
4
5

Establish standardized systems, reporting and metrics to create
an ongoing, comprehensive view of the supply chain.
Prioritize, standardize and implement existing best practices
across the combined entity.
Achieve net working capital (NWC) improvements throughinventory reduction.

We concentrate on identifying our critical and strongest partners inorder to consolidate our supply base, generate cost synergies, andsupport our in-region/for-region sourcing strategy (#1 and #2 above).
We want to work with our best partners to drive sustainability throughout our supply chain, as well as give these partners the opportunity
to bid on new business as we execute supply chain consolidation andin-region/for-region sourcing strategies.
Ingersoll Rand defines a critical Tier I supplier as one in the Top ~80%of cumulative spend. This represents a small percentage (~6.5%) of ouroverall supply base that drives a significant portion of our business, aswell as our impact on the environment.

Absolute numberof suppliers

Share of total
procurement (%)

Critical Tier I suppliers

1,305

79%

Total Tier I suppliers

20,233100%

Total number of significant
suppliers in non-Tier 1~5,855—

Total number of significant
suppliers (Tier 1 and non-Tier 1)~7,160—Type of supplier

TO DELIVER THESE STRATEGIES, WE ARE FOCUSEDON THE FOLLOWING KEY INITIATIVES:SUPPLY CHAIN RISK ASSESSMENT

The events of the last several years have highlighted the risk in our supply
chain, including the length and complexity of our supply chains globally.
Beginning in late 2022, we executed a strategy (#2 above) to conduct
a systematic assessment of our supply chains globally to assess risk. A
part is considered at risk if it (a) is single or sole sourced; (b) Ingersoll
Rand currently buys less than 25% in the region it is consumed; or (c)Ingersoll Rand does not see a path to source 100% in region (if needed).
Using these criteria, We are taking a hard look on a part-by-part basis
to identify gaps in supply chains with the goal of developing a nimble,
flexible supply chain that ensures a more in-region/for region focus.
Our goal in 2023 is to assess the top 25% of spend in each business.

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SUPPLY CHAIN CONTINUEDOUR PREFERRED SUPPLIER PROGRAM DEFINES CRITERIA AND BENEFITSSTANDARDIZED PROCESSES AND BEST PRACTICESFOR OUR CRITICAL SUPPLIERS

TO MANAGE SUPPLIER RISKOur preferred supplier program focuses on building these strategic
partnerships to ensure quality and delivery while decreasing costs.
We require these suppliers to have clear sustainability plans for theirbusiness and collaborate with us to help achieve our sustainability
targets. In 2022, we successfully achieved 95+% enrollment of ourcritical Tier I suppliers into this program.

To manage the sustainability risk of Ingersoll Rand’s global suppliers,
the supply base is assessed annually based on percent of spend with
Ingersol Rand, operational criticality and business contingencies. In
2022, we assessed our top 1,300 critical Tier I suppliers (representing~80% of spend) for sustainability performance and risk. From this assessment, suppliers are identified as critical or non-critical to ensuring
Ingersoll Rand’s production continuity. The four critical aspects of thisassessment process are described below.

This process will continue to strengthen our existing supplier partnerships
and identify new mutually advantageous partnerships, including our
support of the development of smaller suppliers to enhance theircapabilities. We believe that doing so is critical to ensuring exceptionalcustomer service and continued advancement of our sustainability
objectives.
ESTABLISH CONSISTENT METRICS, SYSTEMS AND BEST PRACTICES TO
MEASURE AND IMPROVE SUPPLY CHAIN PERFORMANCE

We have a global and diverse supply chain that provides goods andservices across our entire portfolio. To achieve consistent, real-timeassessments of our supply chain, it is critical that we standardize
metrics, systems, and best practices to identify opportunities, drive
improvement actions, and measure the effectiveness of those actions.
This is the objective of strategies #3 and #4 above.

SUPPLY CHAIN SPEND

The monetary value of purchases from all suppliers in 2022
was greater than $2 billion, annually.
% Cost of Goods Sold
Consumed by Region

APAC

65

28%

40% Americas% Cost of Goods Sold
Supplied by Region

APAC

33%

38%

32%

29%

EMEIA

EMEIA

2022 Sustainability Report

Americas1. INTEGRITYNEXT—ONGOING ASSESSMENT OF SUPPLY BASE

In order to continually assess the sustainability risk of our supply base,
Ingersoll Rand has established an independent third-party partnershipwith IntegrityNext. The comprehensive assessment program throughIntegrityNext evaluates for potential risks in environmental protection,
human rights and labor, anti-bribery and anti-corruption, health andsafety, and supply chain responsibility (including conflict mineralcompliance). Through IntegrityNext’s data validation process they areable to work with our critical suppliers who have a yellow or red status
and create a corrective action plan to improve their standing. Using afour-step process with IntegrityNext, we can quickly identify andrequest corrective action as needed for sustainability risks. A summaryof this process is as follows:

Ingersoll Rand Employee: Kyle McGee, Mocksville, North Carolina site

Step 1
Real-Time Monitoring

Step 2ESG Assessment

Step 3
Validation Service

Step 4Compliance Profile

IntegrityNext scans around one
billion messages every day toensure we know the risks associatedwith 100% of our suppliers as earlyas possible (news, authorities, social
media etc.).

IntegrityNext uses a pre-built
ESG and compliance selfassessment. It automaticallyobtains the assessment andcertificates from our suppliers to
confirm their compliance with therelevant sustainability standards.

Each time a supplier uploads acertificate to the IntegrityNext
platform or makes changes to theassociated responses, a trained
IntegrityNext staff member checks
the certificate and associatedresponses for content validity andvalidity date, and requests
confirmation of validity from theaccreditation body. In this way,
not only is an initial check carriedout, but the effect of any
improvement measures introduced
are also checked, and findings arereported to Ingersoll Rand.

After the supplier has finished its
self-assessment, a complianceprofile will be generated:
Status Green = Approved (no risk,no action needed)
Status Yellow = Sustainability Risk
(corrective action plan will be
addressed)
Status Red = High Sustainability
Risk (corrective action plan will be
addressed immediately)

Ingersoll Rand successfully enrolled our top 1,300 critical Tier 1 suppliers into IntegrityNext, achieving our 2022 goal. Within that population,
we have begun to address any identified sustainability or other risks. Ingersoll Rand intends to expand this program moving forward, enrolling
suppliers in 1,000 count batches, prioritized by spend, with the goal of incorporating the top 90% of our entire spend base by 2025.

INTRODUCTION

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MARKETSENVIRONMENTAL

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GOVERNANCEREPORTING

OPERATE SUSTAINABLY

SUPPLY CHAIN CONTINUED

2. ONSITE ASSESSMENTS

4. SUPPLY CHAIN REPORTING OR QUANTITATIVE KPIs AND TARGETS

We manage the risks of supply chain disruptions through various
standardized processes, which include enforcing our Global Supplier
Quality Manual, implementing Supplier Corrective Action Request(SCAR) Agreements, and implementing formal correction
action plans as necessary. The SCAR process follows an 8D-based
problem investigation and solving method, which involves the supplierconducting root cause investigation and implementing corrective
actions. If required, our Supply Chain and Quality teams may conduct
in-person, On-Site Assessments (OSAs) to directly identify the root
cause and implement countermeasures with the supplier.

To ensure comprehensive visibility into the performance of our supply
chain, we employ a diverse range of KPIs. The table below highlights a
few essential KPIs, which are either mandatory for conducting businesswith Ingersoll Rand or directly assess the progress made towards thestrategies mentioned above.

Supply Chain Critical Key Performance Indicators (KPIs)

To address on-site suppliers with recurring quality, delivery, or
sustainability issues, our Supply Chain teams regularly monitor andhold weekly meetings. During these meetings, they review high-risk
suppliers in detail. Additionally, the Supply Chain teams present amonthly executive summary to the plant and operational leadershipteam, highlighting suppliers with the most significant business impact
concerns. These sessions provide a comprehensive overview andfacilitate decision-making at a higher level within the organization.

KPI Description

KPI Target

KPI 11(measures Strategy 2)

Assess top 25% of spend by businessto determine “at risk” status and countermeasures as needed.

Target: 25%
total spend

NA

NA

NA

KPI 2
(mandatory to dobusiness with
Ingersoll Rand)

100% of new suppliers will agree toBusiness Partner Code of Conduct.

Target: 100% of
new suppliers
annually

100%

100%

100%

KPI 32(measures Strategy 3
and 4)

Percentage (by spend) of critical Tier I
suppliers that are “red” on IntegrityNext
sustainability scoring

Target: <5%
Target Year: 2024

NA

NA

12%

3. CONFLICT MINERALS

Ingersoll Rand does not source raw materials or minerals; rather,
we acquire finished and semi-finished components and products
from a vast network of companies worldwide. The nature of these
relationships is intricate, necessitating Ingersoll Rand’s efforts to
educate these suppliers about the significance of responsible sourcing.
Additionally, we emphasize the importance of their transparency, as
it plays a crucial role in fulfilling our annual Securities and Exchange
Commission disclosure obligations under the Dodd-Frank Act.
Our commitment to responsible sourcing is expressed in our
Conflict Mineral Policy, and downstream expectations of our suppliers
are clearly articulated in the Ingersoll Rand Supplier Code of Conduct.

66

2022 Sustainability Report

1

Historical Results
2021
2022

KPI

Ingersoll Rand began tracking this measure as of 1/1/22 and figures will be available in 2023.
This new initiative was introduced in 2022 and will be our primary mechanism for scoring sustainability
in our Supply Chain subsequent to 2022.

2

ACHIEVE NET WORKING CAPITAL BENEFITS THROUGHINVENTORY REDUCTIONS

While our final supply chain strategy focused on inventory reduction
may not initially seem to have sustainability implications, it actuallyencompasses an important aspect related to sustainability. One of the
key elements of this strategy involves reshoring critical parts of the
supply chain, which effectively reduces transit distances and lowers
emissions. To achieve this, we intend to establish for each of ourbusinesses KPIs that aim to relocate certain portions of the supply
chain for regional production. Additionally, we plan to closely manage
the frequency of deliveries to our facilities to further minimize theenvironmental impact caused by emissions.

2020

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GOVERNANCE
OPERATE SUSTAINABLY

GOVERNANCE MODEL

Corporate
Governance
At Ingersoll Rand, we bring together sustainability and governancethrough our core value of: We think and act like owners. Ouroperations are guided by a comprehensive framework of ethical,
social, and environmental principles and policies, helping us achieve
our goal of transparency and accountability to all our stakeholders.
In 2022, Ingersoll Rand remained steadfast in our commitment toimplementing industry-leading corporate governance practices.
OUR GOVERNANCE STRUCTURE

As the highest governance body for the company, our BOD holds the
responsibility of making crucial decisions on matters of economic,
environmental, and social significance. Our BOD ensures comprehensive
oversight and expertise in key areas of corporate governance throughour Audit Committee, Compensation Committee, Sustainability
Committee, and Nominating and Corporate Governance Committee.

“S ustainability is at the core of all business practices at Ingersoll
Rand. Whether it be our plans for both organic and inorganic
growth, how we operate in our plants, or our company-wide
governance policies and practices, sustainability is a core
governing principle that we deploy across the enterprise throughthe use of Ingersoll Rand Execution Excellence. The progress
we have seen across all aspects of sustainability in just the past
few years is remarkable and is an ongoing testament to thecommitment and hard work of our global employee base.”
Vikram Kini, Senior Vice President, Chief Financial Officer

Ingersoll Rand Vignate, Italy site

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2022 Sustainability Report

REPORTINGINTRODUCTION

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GOVERNANCE MODEL CONTINUED

AN ACTIVELY INVOLVED BOARD OF DIRECTORS

Our BOD reviews and provides oversight with respect to material
economic, environmental, and social topics and their impacts, risks,and opportunities. The BOD works to ensure that all topics material tothe company and their impacts are addressed appropriately, including
overseeing our Lead Sustainably strategy and our ERM process. This
oversight is accomplished through the BOD’s committees, as more fully
described below, as well as through reporting from management.

BOARD OF DIRECTORS COMPOSITION AS OF JUNE 30, 2023

• Independence/Non-Executive: Nine independent, non-executive
directors and one non-independent director (the CEO).
• Lead Director: The position of independent Lead Director is held
by Mr. William P. Donnelly.
• Tenure: Average of 3.5 years.
• Gender: 20% women; 80% men.

A THOUGHTFUL GOVERNANCE MODEL

In 2022, the Sustainability Committee continued to aid the BOD in
overseeing the company’s strategy with respect to climate strategy,
environmental, employee health and safety, DE&I, corporate social
responsibility, and other sustainability matters. The Sustainability
Committee assesses current aspects of the company’s environmental,
health and safety policies and performance and makes recommendations
to the BOD and management to promote and maintain superior standards of performance. This includes processes to ensure compliance withapplicable laws and regulations and programs to manage risks related toenvironmental and safety matters. These processes are integrated with
our ERM process and the overall risk oversight and direction provided by
the Audit Committee of the BOD. In addition, the Compensation Committee provides oversight with respect to our compensation philosophy
and succession planning, and the Nominating and Corporate GovernanceCommittee provides overall oversight with respect to our governanceprocesses. The involvement of our BOD in our sustainability efforts
through three of its committees demonstrates how we bring the same
intentionality and thoughtfulness to our Governance efforts as we bringto the Environmental and Social aspects of ESG.
COMBINING EXPERTISE

In addition to the Sustainability Committee, the Audit Committee andNominating and Corporate Governance Committee join in advising the
BOD on certain economic, environmental, and governance matters.
The Audit Committee represents the BOD in a risk oversight role byperiodically reviewing our business practices and our compliancewith legal and regulatory requirements and reviewing and assessing
overall company risk through a formalized ERM program. In addition,
the Nominating and Corporate Governance Committee focuses on
ensuring we have appropriate corporate governance structures andprocesses in place.

682022 Sustainability Report•M embership of Underrepresented Social Groups: 50% ofmembers are diverse in gender or ethnicity.
• Meetings: A minimum of four BOD meetings per year are held toenhance the BOD’s collective knowledge and provide updates on
pertinent business topics. In 2022, our BOD held five meetings andacted seven times by unanimous written consent.
• Meeting Attendance: BOD Members are required to attend aminimum of 75% of BOD and committee meetings. In 2022,
each of our current members of the BOD nominated for re-election
attended more than 75% of the aggregate BOD meetings andrespective committee meetings (held during the period for which
he or she was a director).
• Corporate Governance Guidelines: Our BOD publicly commits to aseries of best-in-class guidelines related to corporate governancewhich can be found in the Governance section of our website.
• Performance Reviews: Our BOD and each of its committees
perform an annual performance review, as required by our
Corporate Governance Guidelines. This review is administered byan outside firm (Boardspan, Inc.) that provides its assessment of
performance and works with the BOD, the committees, and theirmembers to implement improvements designed to increase theeffectiveness of the BOD and its committees.

EXECUTIVE-LEVEL RESPONSIBILITY

Our Chief Financial Officer (CFO) has executive-level responsibility foreconomic topics and our overall ERM process and is also ourcompany’s Chief Risk Officer. Our head of internal audit, who is
responsible for monitoring and auditing the company’s operationalrisk management performance, reports to the Audit Committee andadministratively to the CFO. In addition, Ingersoll Rand’s GeneralCounsel/Chief Compliance Officer has executive-level responsibility
for ESG topics. Both the CFO and General Counsel directly report to
the CEO and have reporting responsibility to the BOD (which oversees
Ingersoll Rand’s sustainability approach through its various committees
as described above). In addition, the CEO, General Counsel/Chief Compliance Officer, and CFO formally review and approve the organization’s
public reporting to ensure that all material topics are covered.
For further information on the BOD’s and management’s commitment
to sustainability governance, reference the Ingersoll Rand 2022 Proxy
Statement.

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLY

ENTERPRISE RISK MANAGEMENT

Significant and Emerging Risk Challenges and Opportunities Identified1

Key Impacts, Risks
and Opportunities
To help ensure responsible sustainability, we strive to effectively
handle uncertainty through a meticulous and strategic approachto recognizing, managing, and mitigating risks utilizing our ERM
process.
This well-defined process enables us to identify trends and potential
risks, then develop and implement countermeasures to reduce risks
to an acceptable level based on the risk levels set by our executive
management team, the Audit Committee, and our BOD. Our ERM
process is reviewed regularly for effectiveness and is updated as needed.
The accompanying chart reflects a select number of the risks identified
by our ERM process and also shows mitigation plans for these risks andpotential opportunities associated with these risks.

Risk

Background

Mitigation

Opportunities

Sustainability
Integration

Potential inability to integratesustainability into the businessas quickly as necessary forstakeholder expectations.

Increased transparent public reporting andidentified sustainability maturity plan. ESG gap
closure using IRX. Goals set to provide targets
across products, services and operations.

Innovate products and services to help
customers achieve their environmental
goals by reducing their energy
consumption and water usage.
Integrate broadly to recruit/retain
talent, set bold targets, and maintainand enhance market share. Cost
savings from energy, water and waste
improvements in our own operations.

Employee Matters
and Culture

Working to successfully
spearhead the transition backto work in a manner taking into
account the impact of COVID-19.

Processes and systems established to keep
employees as safe as possible through phased
return to work.

Healthy employees. Returning toface-to-face live interactions increases
opportunities to connect and engage.

Products and Services

Inability to develop new
products and technologies can
impair our competitive position,
which could affect sales andmarket share.

Invest in resources that allow us to remain on
top of technological research and innovation.
Effectively utilize voice of the customer researchand release efficient products that help meetcustomer demands. A robust Innovate to Value(i2V) program is part of our operational framework to re-design products in a cost-efficientmanner using voice of the customer data.

The ability to increase market share andthe ability to reduce Scope 3 emissions.

ClimateIdentification of our climate
strategy to address our impacts
as well as to identify solutions
supporting 2ºC or lower
scenarios.

Created Scope 1 and Scope 2 emissions
reduction targets for operations by 2030.
Scope 3 goal set for product use phase.
Assessed physical risks including water-stressusing WRI’s Aqueduct Water Risk Atlas Tool
during scenario planning. Created water
reduction target for our operations. Createdtarget to eliminate, reduce or recycle >1 billion
gallons of water annually through product use.

Lower operational costs, increase
resiliency. Product changes create newcustomer solutions resulting in increased
product revenue, improved downstream
impacts, and improved customer
sustainability.

Occupational Healthand Safety

Hazards and ill health affect
employees’ ability to thrive
and work.

Company-wide health and safety management
system. Audit program to ensure capabilities ofthe system. Continued use of Behavior-Based
Safety with regular leadership involvement andprogram review.

Reinforce our safety culture andstrengthen trust among the team.

“Our commitment to robust risk
management practices enables
us to protect our stakeholders,maintain business continuity,and seize opportunities evenin the face of uncertainty. At
Ingersoll Rand, we understandthat a well-prepared and agile
approach to risk and crisis
management is a key driverof long-term success andsustainable growth.”
Kimberly Ford, Vice President, Internal Audit

69

2022 Sustainability Report1 ee our Form 10-K included in our 2022 Annual Report for the year ended December 31, 2022, for additional material risk factors, as such factors may be updated from time to time in our periodic
Sfilings with the Securities and Exchange Commission.

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

OPERATE SUSTAINABLY

ENTERPRISE RISK MANAGEMENT CONTINUED

Significant and Emerging Risk Challenges and Opportunities Identified continued
Emerging Risks

Background

Mitigation

Opportunities

Disruptive /Alternative
Technology

The markets in which we operate
are characterized by changing
technologies and introductionsof new products and services.
Our ability to develop
new products based ontechnological innovation,
including those that drive
sustainability, energy reduction
and the reduction and/or
recycling of water in ourcustomers’ processes, canaffect our competitive position.
If we do not compete
successfully, our business,financial condition, results ofoperations and cash flows could
be materially adversely affected.

Ingersoll Rand invests in, designs, manufactures,and delivers products and services that:

Customers purchasing innovative
energy- and water-efficient products.
By offering full system assessments andaudits to our customers, we can help
them identify energy leaks. Because of
their unprecedented capabilities, ourservice technicians are able to makeupgrade recommendations based uponevaluations of energy efficiency. This
interaction presents an opportunity toconnect and educate our customers on
total cost of ownership and energy
efficiency. We estimate that two thirdsof our current global installed base could
realize meaningful improvements in efficiency by upgrading their compressor
system.

Geopolitical Risk

Approximately 59% of ourrevenues for the year ended
December 31, 2022, were from
customers in countries outsideof the United States. We have
manufacturing facilities in several countries outside of the U.S.
Our non-U.S. operations and U.S.
exports sales could be adversely
affected as a result of political or
economic instability or changes
in political policy within andoutside of the U.S.

(a) offer inherent sustainability benefits suchas efficiency, circularity and safety; and(b) serve high-growth, sustainable end markets,
including renewable energy (clean tech),water and wastewater, food and beverage,
and life and sciences.
As part of our strategy to help customers
achieve their environmental goals, we willcontinue to invest in products and services
to improve our offerings.
We have a commitment to product stewardship,including energy efficiency research and newtechnology for product development andinnovation to ensure our products are long
lasting, reliable, sustainable and relevant.

We continue to expand into new countries anddiversify as a strategic initiative which limits
our overall risk and operations in a particulargeography or market. There are plans inplace and active projects to localize, whereappropriate, key components of our supply
chain. This provides immediate response tocustomers and continues to meet demand, while
also lowering product costs and minimizes global
risks. We actively manage and monitor our cash
positions in foreign markets.

We know optimizing compressor andair treatment systems is critical to ourcustomers to help them solve their
Scope 1 and Scope 2 challenges.
Maintain strong processes to avoid
any significant impact from any one
geography or market. Continue toleverage our in-region/for-region
strategy to drive growth and reduce
GHG emissions.

Ingersoll Rand employee: Zhou Jianxin, Wujiang, China site

702022 Sustainability ReportINTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCE
OPERATE SUSTAINABLY

INFORMATION SECURITY/CYBERSECURITY

Information Security
The cybersecurity team at Ingersoll Rand operates under theleadership of the Chief Information Security Officer (CISO). The CISO,
in turn, reports to the Chief Information Officer (CIO), who holds
a key position within the executive management team and reports
to our CEO. This organizational structure ensures a direct line ofcommunication and coordination between the cybersecurity teamand the top-level decision-makers, emphasizing the importance ofcybersecurity within the overall information technology governanceof the company.
Our CISO stays abreast of industry trends and best practices withrespect to cyber threats, security products and regulatory
requirements. Our CISO and dedicated cybersecurity team is tasked
with securing our Information Technology (IT) systems and protecting
customer data, intellectual property and privacy data. Additionally, under
the direction of our CISO, our team performs regular testing of cybersecurity capabilities and engages with third parties to support the fivedomains within the National Institute of Standards and Technology
cybersecurity framework to ensure confidentiality, integrity, and availabilityof IT systems. The Audit Committee of the Board has oversight responsibility for the company’s overall risk management activities, including theeffectiveness of our cybersecurity program.
To reduce the likelihood of negative consequences from an attempted
cybersecurity attack, all employees, contractors and partners are
required to comply with the Ingersoll Rand IT Acceptable Use andSecurity Policy that details our information security requirements. All
employees are also required to take annual security awareness trainingthat includes current security challenges and aligns with the company’srisk management objectives. This training is updated annually and helps
educate our user base on the various cybersecurity risks faced byIngersoll Rand. These risks include disruptive cyber-attacks, fines andinjunctions, unauthorized access to sensitive information, and fraud.

71

2022 Sustainability Report

REPORTINGINTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

STANDARDS AND FRAMEWORKS: 2022 SUSTAINABILITY REPORT GRI INDEXGRI STANDARD

GRI 2: GENERALDISCLOSURES
2021

72

DISCLOSURE NUMBERDISCLOSURE NAMELOCATION REFERENCE

PAGE NUMBER

GRI STANDARDDISCLOSURE NUMBERDISCLOSURE NAMELOCATION REFERENCE

PAGE NUMBER

2-1

Organizational details

10-K in 2022 Annual Report

p. 1

2-23

Policy commitments

Letter from Our CEO

p. 2–32-2

Entities included in theorganization’s sustainability
reporting

10-K in 2022 Annual Reportp. 4–52-24

Embedding policy commitments

Welcome to our 2022
Sustainability Report
Human Rights

p. 2–32-3Reporting period, frequency andcontact point

Sustainability Report Data

p. 82

2-25

Processes to remediate negative
impacts

Our ESG Priorities

p. 55–59

2-4

Restatements of information

Sustainability Report Data

p. 82

2-26

Mechanisms for seeking advice
and raising concerns

Enterprise Risk Management

p. 69

2-5

External assurance

Sustainability Report Data

p. 82

2-27

10-K in 2022 Annual Report

p. 95

2-6

Activities, value chain and otherbusiness relationships

Compliance with laws andregulations

10-K in 2022 Annual Reportp. 3–7
2-28

Membership associations

Business Ethics

p. 63

2-7

Employees

People and Community

2-29

Approach to stakeholder
engagement

Our ESG Priorities

p. 55–59

2-30

Collective bargaining agreements

Employee Experience

3-1

Process to determine material
topicsOur ESG Priorities

p. 55–59

3-2

List of material topics

Our ESG Priorities

p. 55–59

3-3

Management of material topics

Our ESG Priorities

p. 55–59

201-2

Financial implications and otherrisks and opportunities due toclimate change

TCFD

p. 75–78

201-3

Defined benefit plan obligations
and other retirement plans

10-K in 2022 Annual Report

205-1

Operations assessed for risks
related to corruption

Business Ethics

p. 61

205-2

Communication and training
about anti-corruption policies
and procedures

Business Ethics

p. 61

205-3

Confirmed incidents of corruption
and actions taken

Business Ethics

p. 61

p. 39–43

2-8

Workers who are not employees

10-K in 2022 Annual Reportp. 52, 88

2-9

Governance structure andcomposition

2022 Annual Report
Governance Modelp. 11–13
p. 68

2-10

Nomination and selection of thehighest governance body

Governance Model

p. 68

2-11

Chair of the highest governancebody2022 Annual Report

p. 13

2-12

Role of the highest governancebody in overseeing themanagement of impacts

2-13

Delegation of responsibility for
managing impacts

2-14Role of the highest governancebody in sustainability reporting

10-K in 2022 Annual Report

p. 14

2-15

Conflicts of interest

Business Ethics, Code of Conduct

p. 60

2-16

Communication of criticalconcerns

Business Ethics, Code of Conduct

p. 60

2-17

Collective knowledge of thehighest governance body

Our ESG Priorities
Governance Modelp. 55–59
p. 68

2-18

Evaluation of the performance ofthe highest governance body

Governance Model

p. 68

2-19

Remuneration policies

Human Rights Policy

p. 2

2-21

Annual total compensation ratio

2022 Proxy Statement
10-K in 2022 Annual Report

2-22Statement on sustainable
development strategy

Letter from Our CEO

2022 Sustainability Report

2022 Annual Report

10-K in 2022 Annual Report

GRI 2: GENERALDISCLOSURES
2021

p. 13

GRI 3: MATERIALTOPICS 2021

GRI 201:
ECONOMICPERFORMANCE
2016

p. 14

p. 57
p. 26, 104, A1
p. 2

GRI 205: ANTICORRUPTION
2016

p. 51

p. 53, 69–73

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTING

2022 SUSTAINABILITY REPORT GRI INDEX CONTINUEDGRI STANDARD

GRI 302:
ENERGY 2016

GRI 303:
WATER ANDEFFLUENTS 2018

GRI 304:
BIODIVERSITY
2016

GRI 305:
EMISSIONS 201673

DISCLOSURE NUMBERDISCLOSURE NAMELOCATION REFERENCE

PAGE NUMBER

301-2

Recycled input materials used

Product Circularity

p. 14

301-3

Reclaimed products and theirpackaging materials

Product Circularity

p. 14

302-1

Energy consumption within theorganization

Operational Eco-Efficiency

p. 27

302-2

Energy consumption outside of
the organization

Operational Eco-Efficiency

p. 27

302-3

Energy intensity

Operationalizing Sustainability

p. 23

302-4

Reduction of energy consumption

Operationalizing Sustainability
Operational Eco-Efficiency

p. 23
p. 27

302-5

Reductions in energy
requirements of products
and services

Product Efficiency

p. 10–12

303-1

Interactions with water asa shared resource

Water Stewardshipp. 29–30

303-5

Water consumption

Water Stewardshipp. 29–30

304-1

Operational sites owned, leased,managed in, or adjacent to,protected areas and areas ofhigh biodiversity value outside
protected areas

Biodiversity

Significant impacts of activities,
products and services on
biodiversity

Biodiversity

304-2

GRI 308:
SUPPLIER
ENVIRONMENTALASSESSMENT2016

GRI 401:
EMPLOYMENT2016

DISCLOSURE NUMBERDISCLOSURE NAMELOCATION REFERENCE

PAGE NUMBER

306-2

Management of significant
waste-related impacts

Waste

p. 31–32

306-3

Waste generated

Waste

p. 31–32

306-4

Waste diverted from disposal

Waste

p. 31–32

306-5

Waste directed to disposal

Waste

p. 31–32

308-1

New suppliers that were screenedusing environmental criteria

Supply Chain

p. 64–65

308-2

Negative environmental impacts
in the supply chain and actions
taken

Supply Chain

p. 64–65

401-1

New employee hires andemployee turnoverPeople and Community

p. 51

401-2

Benefits provided to full-time
employees that are not provided
to temporary or part-time
employees2022 Annual Report

p. 10

401-3

Parental leave

Employee Experience

p. 51

403-1

Occupational health and safety
management system

People and Community

p. 39–40

403-2

Hazard identification, risk
assessment, and incident
investigation

People and Community

p. 39–40

403-3

Occupational health services

People and Community

p. 39–40

403-5

Worker training on occupational
health and safety

People and Community

p. 40

403-6

Promotion of worker health

People and Community

p. 39–40

403-7

Prevention and mitigation ofoccupational health and safety
impacts directly linked bybusiness relationships

People and Community

p. 39–40

403-8

Workers covered by an
occupational health and safety
management system

People and Community

p. 39–40

403-9

Work-related injuries

People and Community

p. 39–40403-1

Work-related ill health

People and Community

p. 39–40

p. 35–38
p. 35–38

Habitats protected or restored

304-4

IUCN Red List species andnational conservation list species
with habitats in areas affected byoperations

Biodiversity

305-1

Direct (Scope 1) GHG emissions

Operational Eco-Efficiency

p. 25

305-2

Energy indirect (Scope 2) GHG
emissionsOperational Eco-Efficiency

p. 25

p. 35–38

305-3

Other indirect (Scope 3) GHG
emissionsOperational Eco-Efficiency

p. 26

305-4

GHG emissions intensity

Operationalizing Sustainability

p. 23

305-5

Reduction of GHG emissions

Operational Eco-Efficiency

p. 252022 Sustainability Report

GRI 306:
WASTE 2020

p. 35–38

304-3

Biodiversity

GRI STANDARD

GRI 403:
OCCUPATIONALHEALTH AND
SAFETY 2018

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

2022 SUSTAINABILITY REPORT GRI INDEX CONTINUEDGRI STANDARD

GRI 404:
TRAINING
AND EDUCATION2016

GRI 405:
DIVERSITY
AND EQUALOPPORTUNITY
2016
GRI 406: NONDISCRIMINATION2016
GRI 413: LOCALCOMMUNITIES2016

DISCLOSURE NUMBERDISCLOSURE NAMELOCATION REFERENCE

PAGE NUMBER

Average hours of training peryear per employee

Training and Development

p. 46–49

404-2

Programs for upgrading
employee skills and transition
assistance programs

Training and Development

p. 46–49

404-3

Percentage of employees
receiving regular performanceand career development reviews

Training and Development

p. 46–49

405-1

Diversity of governance bodies
and employees

10-K in 2022 Annual Reportp. 9–11405-2

Ratio of basic salary andremuneration of women to men

People and Community
Gender Pay Indicators

p. 43

406-1

Incidents of discrimination andcorrective actions taken

Business Ethics

p. 62

413-1

Operations with local
community engagement, impact
assessments, and development
programs

Community Impact

p. 52–54

GRI 414:
SUPPLIER SOCIALASSESSMENT
2016

414-1

New suppliers that were screenedusing social criteria

Supply Chain

p. 65

GRI 415: PUBLIC
POLICY 2016

415-1

Political contributions

Business Ethics

p. 62

GRI 418:
CUSTOMERPRIVACY 2016

74

418-1

2022 Sustainability Report

GOVERNANCEREPORTING

SASB 2023

404-1

Substantiated complaints
concerning breaches of customer
privacy and losses of customer
data

SOCIAL

Business Ethics andInformation Security

p. 62, 71

TOPIC

ACCOUNTINGMETRIC

CODE

CATEGORYUNITS OFMEASURE

Total energy
consumed

RT-IG-130a.1

Quantitative

MWh

Percentage Grid
Electricity

RT-IG-130a.1

Quantitative

Percentage
Renewable

RT-IG-130a.1

Total recordable
incident rate
(TRIR)REPORTING
FIGURELOCATION/ PAGE

292,933

p. 27

%

38.7%

p. 74

Quantitative

%

11.0%

p. 74

RT-IG-130a.1

Quantitative

Rate

0.69

p. 2

Fatality Rate

RT-IG-130a.1

Quantitative

Rate

0

p. 39

Near missfrequency rate

RT-IG-130a.1

Quantitative

Rate

6.16

p. 74

Fuel Economy& Emissions in
Use-phase

Sales-weighted
fuel efficiency
for non-road
equipment

RT-IG-410a.2

Quantitative

Gallons
per hourNA

NA

Materials
Sourcing

Description of the
management ofrisks associated
RT-IG-440a.1
with the use ofcritical materials

Discussion andAnalysis

NA

NA

10-K in 2022
Annual Reportp. 73

Remanufacturing
Design &Services

Revenue fromremanufactured
products andremanufacturingservices

Quantitative

EnergyManagement

Employee
Health & Safety

RT-IG-440b.1

Reportingcurrency$72,100,000

p. 14

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTINGTASK FORCE ON CLIMATE-RELATED FINANCIAL DISCLOSURES (TCFD)
GOVERNANCE

STRATEGY

Disclose the organization’s climate-related risks and opportunities

Disclose the actual and potential impacts of climate-related risks and opportunities on the organization’s businesses,
strategy, and financial planning where such information is material

GUIDING PRINCIPLESINGERSOLL RAND DISCLOSURESGUIDING PRINCIPLESINGERSOLL RAND DISCLOSURES

Board’s supervision over climaterelated risks and opportunities

Ingersoll Rand’s disclosure impacts of climate change include the risks andopportunities presented by rising temperatures, climate-related policy, andemerging technologies in our changing world. The BOD has oversight of climate
related risks and opportunities through its Sustainability Committee which meetsat least three times a year. The climate-related risks and opportunities identified
through the application of the Task Force on Climate-Related Financial Disclosures(TCFD) framework are reviewed by the Sustainability Committee as well as thecountermeasures designed to address such risks.

Short-, medium-, and long-termclimate-related risks and opportunities
identified

Management’s role in assessing andmanaging climate-related risks andopportunities

Ingersoll Rand utilizes a continuous ERM process that enables Ingersoll Rand to
pursue its strategic mission while identifying, controlling and mitigating risks thatis based on the COSO Enterprise Risk framework. The TCFD framework has been
incorporated into the overall ERM process and is used by Ingersoll Rand to assess
and manage climate-specific risks and opportunities. The Chief Risk Officer leads
the ERM process, supported by a cross functional Executive Committee that
includes Ingersoll Rand’s Chairman, President and CEO, Corporate Controller, Chief
Information Officer, SVP HR, SVP General Council, VP Strategy and Innovation, and
VP Internal Audit.

Climate-related risks were evaluated over the short, medium, and long term.
The climate-related risks in priority order of high to low include:• Component shortages• Fuel price fluctuations• U.S. Securities and Exchange Commission (SEC) reporting regulations• Environmental regulations• Severe weather• Heat stress, sea-level rise
• Water scarcity• Ingersoll Rand’s reputation

Input is also received annually by the BOD to evaluate alignment of risk priorities
between the BOD and Management. The process includes Risk Identification
through an annual review and update of Ingersoll Rand’s risk register, risk
analysis, and risk evaluation by a number of leaders throughout the business andfunctions to assess the prioritization of risk in the risk register based on the current
countermeasures in place for the risk. The process also includes a third-party led
assessment of climate-related risks and opportunities utilizing the TCFD framework.
Risk mitigation is developed by the subject matter experts/Risk Owners for thoserisks (including climate-related risks) that need additional countermeasures to bring
the risk to an acceptable level. Monitoring by the Chief Risk Officer and the ERM
Committee occurs on a quarterly basis. During these quarterly meetings, updates
are provided on status of new countermeasures identified by the committee orrisk owners and to monitor the key performance indicators of the top risks of thecompany as identified though the risk evaluation.
In support of our strategic imperatives including our “Lead Sustainably” objective,
our CEO, Executive Officers and Managers had a 2022 objective for achieving a 6%
GHG emission reduction in their Performance Management Plans. An employee’s
achievement of the objectives in their Performance Management Plan is taken into
account in determining their compensation.

75

2022 Sustainability Report

The climate-related opportunities in priority order from high to low include:• Energy-efficient equipment• Sustainable end markets• Oil-free products and consumables• Clean energy-related products• Remanufacturing• Operational energy efficiency• Increased renewable energy use• Operational water use and operational waste

Climate-related risks and opportunities
having significant impact on theorganization’s businesses, strategy
and financial planning

Annually, the functions and businesses complete a multi-year strategy and financial
plan called Making Life Better (MLB). Sustainability risks and opportunities are
specifically addressed by each business unit as part of this process including theclimate-related impacts on the business units’ financials. The plan is reviewed andapproved by the Executive Leadership Team and CEO. The plan is pulsed monthly in
the Management Business Review and adjustments made to ensure Ingersoll Rand
realizes the short- and long-term climate goals.

Potential impacts from different
climate-related scenarios on theorganization’s business, strategy
and financial planning

We have evaluated Ingersoll Rand’s physical risk related to sea-level rise, flood,water-stress, wildfire, heatwaves, and cold waves. Overall, risks from sea-level rise,
flooding, wildlife, heatwaves and cold waves are relatively low across our profile.
However, water-stress has several properties in the high-risk category and are
spread across our manufacturing and service sites. Our strategic planning enables
us to proactively address water-stress. Our resilient strategy allows time to address
water-stress risks and develop site-specific and regional mitigation strategies in
response, which could include shifting production to non-stressed areas, water
reclamation, rainwater harvesting, and process efficiency improvements through oursite GreenX teams.

INTRODUCTION

LEAD SUSTAINABLY

PRODUCTS & SERVICES

MARKETSENVIRONMENTAL

SOCIAL

GOVERNANCEREPORTINGTASK FORCE ON CLIMATE-RELATED FINANCIAL DISCLOSURES (TCFD) CONTINUEDRISK MANAGEMENT
Disclose how the organization identifies, assesses, and manages climate-related risks
GUIDING PRINCIPLESINGERSOLL RAND DISCLOSURES

Organization’s processes for
identifying and assessing
climate-related risks

Ingersoll Rand followed the TCFD framework to identify climate-related risks as part of its ERM process. This
assessment focused on physical and transitional risks. A physical risk assessment was performed on Ingersoll
Rand’s properties to identify their risk to sea-level rise, flood, water-stress, wildfire, heatwaves, and cold waves.

Wildfire:• ADMIN-Auburn, CA-USA: fire protection systems, fire warning systems, relocate the property or work
remotely

Data was utilized from S&P Global and World Resources Institute to obtain climate risk scores for each property.
Ingersoll Rand has completed an assessment of material physical climate risks using the Intergovernmental Panelon Climate Change (IPCC) Representative Concentration Pathway (RCP) to understand our climate trajectory.
We used the following pathways to capture these future trends:

A transitional risk assessment was performed and interviews were conducted to identify climate-relatedrisks and opportunities relevant to the business as the world transitions to a lower-carbon economy. Ourassessment is based on potential scenarios for legislation, technological development or market conditions
and is based on short-, medium- and long-term time horizons considering the expected lifetime of the assets
or activities. These risks and opportunities were evaluated for likelihood, impact, and velocity and the final
compilation of risks and opportunities was assessed through the ERM strategic process.

• RCP 2.6
• RCP 4.5
• RCP 8.5
Time horizons were decided upon given the expected useful life of our assets and lease agreements for our
properties. We have conducted scenario analysis to understand climate-related impacts in the short-term(0-5 years), medium-term (5-10 years), and long-term (10-25 years). These time horizons align with our goals of
reducing absolute GHG emissions in our operations by 60% by 2030 and achieving net-zero by 2050.
Our plan below outlines mitigation measures for controlling the physical high-risk properties.
Sea-Level Rise:• SVC-New Orleans, LA-USA: Relocate property or work remotely• MFG-Wujiang-China: Flood-proofing, flood warning systems, flood preparedness; improve drainage systems,
building or inflatable temporary flood barriers (e.g. water-gates, flood guards around windows), shifting
production to low-risk areas
Rain and River Flooding:• MFG-Sheboygan, WI-USA: Flood-proofing, flood warning systems, flood preparedness; and building or
inflatable temporary flood barriers (e.g. water-gates, flood guards around windows).
•S VC-Rexdale, ON-CAN: Relocate property or work remotely
Water-Stress:• MFG-Wujiang-China: Temporary-water trucking, rainwater harvesting, water reclamation systems, water reuse
and water conservation improvements, well installation, shifting production to low-risk areas, outsourcing
painting operations and other water intensive processes.
• MFG-Naroda-India: Install and/or overhaul rainwater harvesting systems, water reclamation systems, waterreuse and water conservation improvements•S VC-Jenison, MI-USA: Relocate property or work remotely•S VC-San Antonio, TX-USA: Relocate property or work remotely•S VC-Goshen, IN-USA: Relocate property or work remotely•S VC-Aurora, CO-USA: Relocate property or work remotely•S VC-Phoenix, AZ-USA: Relocate property or work remotely•S VC-Buena Park, CA-USA: Relocate property or work remotely•M FG-Burbank, CA-USA: Temporary-water trucking, Install rainwater harvesting, water reclamation systems,
water reuse and water conservation improvements, well installation, Relocate property•S VC-San Diego, CA-USA: Relocate property or work remotely

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Ingersoll Rand uses qualitative and quantitative climate-related transition scenario analysis. We used
two scenarios from the International Energy Agency (IEA) for climate scenario analysis: Net-Zero Emissions
by 2050 Scenario (NZE) and Stated Policies Scenario (STEPS). The scope of the assessment includes all
our own factory operations globally based on our short, medium, and long-term climate-related risks andopportunities. The qualitative scenario analysis assessed the sensitivity of each risk and opportunity relative
to each of the two scenarios and the associated level of impact.
The majority of our risks have a larger potential impact in the STEPS due to them being more closely related
to physical impacts (e.g., component shortages that may be exacerbated by supply chain disruptions).
The majority of opportunities have a larger potential impact in the Net-Zero emissions by 2050 Scenario(NZE) due to Ingersoll Rand being able to supply products that aid in the transition to a lower-carbon
economy (e.g., energy-efficient equipment and clean energy-related products).
Transitioning to a lower-carbon energy-efficient economy involves both risk and opportunity for Ingersoll
Rand. To that end, we will continue to monitor and mitigate risks that have an associated physical impact that
can impact operations and disrupt Ingersoll Rand’s supply chain. R&D investments in more energy-efficient,
low-carbon technologies are planned to capitalize on potential opportunities.

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GOVERNANCEREPORTINGTASK FORCE ON CLIMATE-RELATED FINANCIAL DISCLOSURES (TCFD) CONTINUEDRISK MANAGEMENTRISK MANAGEMENT

Disclose how the organization identifies, assesses, and manages climate-related risks

Disclose how the organization identifies, assesses, and manages climate-related risks

GUIDING PRINCIPLESINGERSOLL RAND DISCLOSURESGUIDING PRINCIPLESINGERSOLL RAND DISCLOSURES

Organization’s processes for managing
climate-related risks

Ingersoll Rand’s plan anticipates the adverse effects of climate change and takes
appropriate action to prevent or minimize the damage they can to cause or takeadvantage of opportunities that may arise. Our ability to monitor, manage,
mitigate/enhance, and adapt to climate-related risks was evaluated using thefollowing definitions:

How to integrate the processes ofclimate-related risk identification,assessment and management into theoverall risk management

Ingersoll Rand utilizes a continuous ERM process that enables Ingersoll Rand to
pursue its strategic mission while identifying, controlling and mitigating risks thatis based on the COSO Enterprise Risk framework. The TCFD framework has been
incorporated into the overall ERM process and is used by Ingersoll Rand to assess
and manage climate-specific risks and opportunities. The Chief Risk Officer leads
the ERM process, supported by a cross-functional Executive Committee that
includes Ingersoll Rands’ Chairman and CEO, Corporate Controller, Chief Information
Officer, SVP HR, SVP General Council, VP Strategy and Innovation, and VP Internal
Audit.

Monitor: Observe our operations and activities for potential impacts
Manage: Address day-to-day impacts associated with risks
Mitigate/Enhance: Attempt to address the root cause of the impacts
Adapt: Address the long-term impacts associated with risks
A summary of Ingersoll Rand’s assessment of risks and opportunities is below:
Risks:• Component Shortages: Monitor and Adapt• Fuel Price Fluctuations: Monitor, Manage and Adapt• SEC Reporting Regulations: Monitor and Adapt• Environmental Regulations: Monitor and Adapt• Severe Weather: Monitor and Adapt• Heat Stress/Sea-Level Rise: Monitor, Manage and Adapt• Water Scarcity: Monitor and Adapt• Ingersoll Rand’s Reputation: Monitor, Mitigate and Adapt
Opportunities:• Energy-Efficient Equipment: Monitor, Enhance and Adapt• Sustainable End Markets: Monitor, Enhance and Adapt• Oil-free Products and Consumables: Monitor, Enhance and Adapt• Clean Energy-Related Products: Monitor, Enhance and Adapt• Remanufacturing: Monitor, Enhance and Adapt• Operational Energy Efficiency: Manage and Adapt• Increased Renewable Energy Use: Monitor, Enhance and Adapt• Operational Water Use and Operational Waste: Manage and Adapt
Transitioning to a lower-carbon energy efficient economy involves both risk andopportunity for Ingersoll Rand. To that end, we will continue to monitor and mitigate
risks that have an associated physical impact that can impact operations and disrupt
Ingersoll Rand’s supply chain. Research and Development (R&D) investments
in more energy-efficient, low-carbon technologies are planned to capitalize on
potential opportunities.
Ingersoll Rand’s risk assessment and plan to adapt to physical climate risks cover
39% of total revenue. Annually, we monitor the risks and opportunities, and basedon the data from such monitoring, we determine if adaptation measures need to be
adopted, and if so, will begin to implement those measures for completion in lessthan five years.

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Input is also received annually by the BOD to evaluate alignment of risk priorities
between the BOD and Management. The process includes Risk Identification
through an annual review and update of the Ingersoll Rand Risk Register, Risk
Analysis, and Risk Evaluation by a number of leaders throughout the business andfunctions to assess the prioritization of risk in the risk register based on the current
countermeasures in place for the risk. The process also includes a third-party-led
assessment of climate-related risks and opportunities utilizing the TCFD framework.
Risk mitigation is developed by the subject matter experts/Risk Owners for thoserisks (including climate-related risks) that need additional countermeasures to bring
the risk to an acceptable level. Monitoring by the Chief Risk Officer and the ERM
Committee occurs on a quarterly basis. During these quarterly meetings, updates
are provided on status of new countermeasures identified by the committee or riskowners and to monitor the key performance indicators of the company’s top risks ofthe company as identified though the risk evaluation.

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GOVERNANCEREPORTINGTASK FORCE ON CLIMATE-RELATED FINANCIAL DISCLOSURES (TCFD) CONTINUEDMETRICS AND TARGETS

METRICS AND TARGETS

Disclose the metrics and targets used to assess and manage relevant climate-related risks and opportunities where suchinformation is material

Disclose the metrics and targets used to assess and manage relevant climate-related risks and opportunities where suchinformation is material

GUIDING PRINCIPLESINGERSOLL RAND DISCLOSURESGUIDING PRINCIPLESINGERSOLL RAND DISCLOSURES

Indicators used by the organization
to assess climate-related risks andopportunities in line with its strategy
and risk management process

The climate metrics used by Ingersoll Rand include the following: renewableelectricity (purchased, generated and returned), non-renewable electricity, naturalgas, propane, diesel, gasoline/petrol and refrigerants. The data is reviewed, andactions are developed to meet the publicly stated 2030 and 2050 goals, as well as
annual targets, to mitigate identified risks including regulatory changes and drive
revenue and growth through product improvements and growth into sustainable
end markets. The results of the review are communicated broadly throughout theorganization at regular frequencies to all employees. Additionally, the metrics arereported to the Chief Risk Officer and the Executive Committee for review andresponse in alignment to the climate-specific risks and opportunities.

Scope 1, Scope 2, and Scope 3 GHG
emissions, and the related risks

Scope 1 and Scope 2 climate-related potential risks include: (1) Increased frequencyof severe weather, which can cause disruptions to Ingersoll Rand’s operations andsupply chain; (2) Difficulty in obtaining the water used by our facilities that are inareas of projected water-stress (although our manufacturing processes do not use
particularly large amounts of water compared to other industries); and (3) Sea-Level
Rise including to the manufacturing facility in Wujiang, China, where there is a highrisk score.

The data is reviewed and actions are developed by the company through its annual
MLB (Make Life Better) strategic plan and ERM process to stay on track to meet or
exceed the publically stated 2030 and 2050 goals. We have an Operationalizing
Sustainability IDM that covers all business units globally with accountability forspecific impact plans to achieve the annual targets. In addition, our operationalizing
sustainability strategy includes roadmaps to achieving the metrics primarily throughimplementation of site-specific GreenX Teams and specific tools to improve energy
and water efficiency. With respect to climate-related opportunities, our greatest
opportunity is our energy efficient product portfolio that has the opportunity todramatically help our customers reduce their GHG emissions. Ingersoll Rand’s
strategy for addressing climate change is most notable with its product efficiencies.
Product improvements create new customer solutions resulting in improved
downstream impacts, improved customer sustainability, and increased revenue.
We know that nearly all of our customers now consider energy efficiency when
making decisions, and governments around the world are now regulating energy
conservation standards for compressors. We embrace this trend and aim to remain
at the forefront of these requirements with 100% of our new product innovation
designed with energy efficiency improvements. This is how Ingersoll Rand manages
its contribution to the 2oC or lower scenario, which includes a 15% reduction in
product use-phase GHG emissions.
Operationally, Ingersoll Rand is ensuring the resiliency of its organizational strategy
with onsite solar installations, purchasing renewable energy, introducing Virtual
Power Purchase Agreements and other site-specific energy efficiency projects.
Ingersoll Rand has business continuity plans in place to successfully execute on
the organizational strategy as various climate scenarios take place. These business
continuity plans ensure Ingersoll Rand will be able to supply energy efficient
products to help achieve global climate goals.
Energy efficiency is integral to our new product development process. Each new
product includes an evaluation of total GHG emissions measured using a life-cycle
assessment process. The opportunities created by this new product innovation arereflected in the annual MLB (Make Life Better) strategic financial plan developed byeach of Ingersoll Rand’s business units.

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Scope 3 climate-related risks include: (1) Regulations around equipment efficiency
could present risks if our products don’t meet these standards; and (2) Potential
regulations of a carbon tax and other regulations around emissions have thepotential to disrupt our business due to the global supply chain and emissions
associated with sourcing components overseas (mostly from China and India).
According to the GHG Protocol, Ingersoll Rand has conducted GHG inventories of
direct emissions (Scope 1) and indirect emissions (Scope 2) and verified the amountbased on the ANSI ISO 14046-3 GHG inventory standards. With reference to GHG
Protocol Scope 3, Ingersoll Rand conducts GHG inventories of Scope 3, which
include employee commute, businesss travel, use of sales products, and obtains theISO 14064-3 GHG verification report for employee commute and business travel
only. For product use, the product use is evaluated against the ISO 14000 seriesof standards and the GHG Protocol. The results are identified in the AssuranceStatements.

Targets used by the organization to
manage climate-related risks andopportunities and performanceagainst targets

GHG reduction of 60% by 2030 and Net-Zero by 2050 targets have been publicly
stated. Additionally, by 2050, Ingersoll Rand aims to be using 100% renewableenergy. The company has overall roadmaps to reach 2030 and 2050 goals and thebusiness units are executing annually towards the goals. Weekly, the business units
report on their progress to Corporate with a quarterly business review with the CEO
and CFO. Our progress to the climate goals is an early indicator of the resiliencyof our strategy we have achieved. We are executing towards the goals in all ourbusiness units and have achieved an absolute reduction of 16.4% in GHG emissions in
2022, which is 27% progress towards our 60% GHG reduction goal and 16% progress
towards net-zero goal.

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UNITED NATIONS SUSTAINABILITY DEVELOPMENT GOALSAs an industrial company, Ingersoll Rand has a significant role to play in addressing the United Nations Sustainable Development Goals (SDGs)
and contributing to a more sustainable future. Our operations, products, and services align with the 17 SDGs:

No Poverty: Through employment opportunities andpromoting fair wages, Ingersoll Rand supports economic
growth by reducing poverty, enhancing economic well-being
and contributing to local communities around the world.
Zero Hunger: Ingersoll Rand contributes to this goal byproviding food for employees in some countries aroundthe world. Additionally, we ensure efficient and equitable
distribution of food resources by supporting external companies and volunteering in areas of need of food and water.
Good Health and Well-being: Ingersoll Rand prioritizes
workplace safety by providing access to healthcare services
and benefits, and promoting employee well-being on the
job and beyond.
Quality Education: Ingersoll Rand supports educational
initiatives by providing STEM education and training
programs in schools, supporting educational institutions,and promoting skill development to help achieve
quality education and lifelong learning opportunities.
Gender Equality: By promoting diversity and genderequality within our workforce, implementing equal
opportunity policies, and supporting initiatives thatempower women, Ingersoll Rand contributes to achieving
gender equality in our industry.

Clean Water and Sanitation: Ingersoll Rand implements
sustainable water management practices and usage
reduction solutions through our GreenX efforts. We continue
to develop water-efficient technologies, ensuring cleanwater and sanitation.
Affordable and Clean Energy: Ingersoll Rand continues
to invest in renewable energy sources, improving energy
efficiency, and promoting sustainable energy practices.
Decent Work and Economic Growth: Ingersoll Rand
provides fair and equal employment opportunities,
promotes safe working conditions and supports economic
growth in all areas of operations.
Industry, Innovation, and Infrastructure: In ever-growing
and evolving infrastructure, Ingersoll Rand promotes
technological advancements in its products, and fosters
innovations within the industry that are aligned with this goal.
Reduced Inequalities: Ingersoll Rand promotes equal
opportunities, diversity, and inclusion in the workplacewith the goal of ensuring equal opportunities for all
employees. We contribute to reducing inequalities withinsociety through various partnerships with marginalized
communities.
Sustainable Cities and Communities: Ingersoll Rand
supports communities through implementation of green
building practices that are crucial for achievement of this
goal.

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Responsible Consumption and Production: Ingersoll Rand
strives to adopt and implement sustainable production
methods, minimizing waste generation, and recycling.
Climate Action: Implementing strategies to reduce
GHG emissions, promoting energy-efficient practices
throughout the organization, and adopting sustainableproduction processes contribute to addressing climatechange. Additionally, we are implementing sustainable
solutions to provide energy-efficient and lower GWP
refrigerant equipment in our product portfolio.
Life Below Water: Within our operations, we take measures
to prevent water pollution and therefore protect theecosystems and marine flora and fauna.
Life on Land: Ingersoll Rand has been working onunderstanding the impacts on biodiversity andmade a commitment to support and protect life on land.
Peace, Justice, and Strong Institutions: Ingersoll Rand
promotes ethical business practices, upholds human rights,
and supports transparent governance align withthis goal.
Partnerships for the Goals: Ingersoll Rand understands theimportance of collaborating with stakeholders, engaging inpublic-private partnerships, and contributing to sustainable
development initiatives.

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LEAD SUSTAINABLY

PRODUCTS & SERVICESASSURANCE STATEMENTS
Ingersoll Rand’s 2022 Assurance Statements (as well as past years’ AssuranceStatements) are publicly available at 2022 Assurance Statements.

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POLICIES
Anti-Bribery and Corruption Policy
Conflict Minerals Policy
Environmental, Health & Safety Policy
Human Rights Policy
Code of Conduct
Supplier Code of Conduct
Political Involvement Policy

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SUSTAINABILITY REPORT DATADISCLAIMERREPORTING PERIODAll ESG data for Ingersoll Rand reflects calendar year 2022,
unless otherwise noted.

This report addresses a multitude of topics to meet the requests and interestsof the company’s wide range of stakeholders. Due to the varied interests ofthese groups, this report contains voluntary disclosures and includes certain
information that the company believes is not material to the company as suchterm is defined under applicable securities laws. Accordingly, the inclusionof information in this report should not be construed as a characterization
regarding its materiality or significance for any other purpose, including for
purposes of applicable securities laws or any other laws of the United States
or any other jurisdiction, or as that concept is used in the context of financial
statements and financial reporting. This report covers the calendar year 2022
unless otherwise noted and contains forward-looking statements (within
the meaning of the Private Securities Litigation Reform Act of 1995) that are
subject to risks and uncertainties. Forward-looking statements are based onIngersoll Rand’s current expectations and projections about future trends,
events and uncertainties. These forward-looking statements generally are
identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,”“forecast,” “outlook,” “target,” “endeavor,” “seek,” “predict,” “intend,”“strategy,” “plan,” “may,” “could,” “should,” “will,” “would,” “will be,” “on track
to” “will continue,” “will likely result,” or the negative thereof or variations
thereon or similar terminology generally intended to identify forward-looking
statements, although not all forward-looking statements contain such terms.

REPORTING CYCLE
Ingersoll Rand’s ESG reporting is on an annual cycle.
REPORTING IN ACCORDANCE WITH GLOBAL REPORTING INITIATIVE (GRI)
STANDARDS AND IS IN ALIGNED WITH SASB
This report is in accordance with the Global Reporting Initiative (GRI) standards
core option.
RESTATEMENTS OF INFORMATION AND CHANGES IN REPORTING
There are no restatements from our inaugural 2019 Sustainability Supplement.
This 2022 report reflects 100% data coverage for Ingersoll Rand. Unlessotherwise noted, all data for all periods is presented on a pro forma basis totake into account the Merger of Gardner Denver and the Ingersoll Rand
Industrial segment on March 1, 2020.
PROCESS FOR DEFINING THE REPORT AND TOPIC BOUNDARIESThe process to define the Ingersoll Rand ESG reporting data is to set its
organizational and operational boundaries; this report has two topic boundaries:
1. O rganizational boundaries use the financial control approach forenvironmental data and the operational control approach for safety data.
2. Operational boundaries in respect to direct and indirect emissions are
determined by the use of the GHG Protocol Corporate Accounting andReporting Standard.
EXTERNAL ASSURANCE
Environmental and safety data was assured by LRQA—a third-party certified
specialist. This represents 100 percent of the company’s global operations andproducts manufactured for 2022. For further details and results, access the2022 Assurance Statements.
REPORT CONTACT
Mary Betsch, VP, Sustainability; makinglifebetter@irco.com.
For online version of our report and more information on our ESG efforts,
please visit Ingersoll Rand Sustainability.

Forward-looking statements may include, among others, statements
regarding the company’s plans, objectives, expectations and intentions,
legal, economic and regulatory conditions, the future impact of the ongoingcoronavirus (COVID-19) pandemic on the company’s business and otherstatements regarding Ingersoll Rand’s future beliefs, expectations, plans,
intentions, liquidity, cash flows, financial condition or performance. You
should not place undue reliance on forward-looking statements, which speak
only as of the date they are made, are not guarantees of future performanceor results, and are subject to risks, uncertainties and assumptions that are
diffcult to predict or quantify. The statements made in this report are opinions
and beliefs of Ingersoll Rand and should not be relied upon as a promise or
representation as to past or future performance. Actual results may differ fromthose set forth in the forward-looking statements due to a variety of factors,
including those described in Ingersoll Rand’s Annual Report on Form 10-K forthe year ended December 31, 2022 and the company’s other filings with the
U.S. Securities and Exchange Commission, available at the company’s Investor
Relations site at investors.irco.com. Ingersoll Rand undertakes no obligation
to update or revise any forward-looking statement, whether as a result of
new information, future events or otherwise, except as may be required bylaw. Additionally, the information contained on our website and social media
platforms are not incorporated by reference into this report.
This report may contain links to other Internet sites and may frame material
from other Internet sites. Such links or frames are not endorsements ofany products or services in such sites, and no information in such site has
been endorsed or approved by Ingersoll Rand. We make no warranties orrepresentations of any kind as to the accuracy, currency, or completeness of
any information contained in such third-party websites, including any thirdparty social media or mobile app platform.

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REPORTING