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1、2024 Comprehensive ReportFinancial,environmental,social and governance We work withour customers every day to make healthcare betterStryker is a global leader in medical technologies.We offer innovative products and services in MedSurg,Neurotechnology and Orthopaedics that help improve patient and h

2、ealthcare outcomes.Table of contents022024 in reviewPatient impact storyOur company2024 fast factsCEO messageFinancial highlightsCorporate responsibility strategy10Better healthcareHealthcare innovationAdvancing educationProduct quality and safety17Stronger peopleCareer developmentDiversity,equity a

3、nd inclusionEnvironment,health and safetyCommunities28Healthier planetOperational carbon emissionsValue chain carbon emissionsDesign for sustainabilityOperational waste reduction35Good businessGovernanceBusiness ethics and integrity Information security and data privacyHuman rightsUpstream supply ch

4、ain management49AppendixAbout this reportReferences2023 environmental performanceForward-looking statementsLegal disclaimersNon-GAAP reconciliation1Stryker 2024 Comprehensive ReportA second chance at lifeAfter a sudden cardiac arrest,an experienced marathon runner is saved by the quick thinking of h

5、is communityand one of Strykers devices.On the day of the 2024 Belfast Marathon,63-year-old John was feeling fit and ready to run.But he doesnt remember much about the race.Despite his years of experience with long distance running,including two marathons the year before,John collapsed at the halfwa

6、y mark.He wasnt just exhaustedhe was in cardiac arrest.Luckily,bystander Peter OHare saw John collapse and quickly recognized the severity of the situation.Peter is a Senior Manager of Global Upstream Marketing for Strykers Emergency Care Business,and having trained in emergency response,knew that J

7、ohn would need both CPR to keep his blood pumping and the help of an automated external defibrillator(AED)to get his heart beating again.A nurse began CPR while Peter ran to get the Stryker-made AED he keeps in his car,knowing that every minute counts.AEDs are used in cardiac events to help restore

8、the heart to its normal rhythm and are essential to saving the lives of people like John.Strykers devices are designed to be intuitive,easy to use and clinically effective,with proprietary CPR Advisor technology that gives real-time feedback on the quality of CPR.Peter explained that while performin

9、g CPR for John,it was like“having someone standing over your shoulder saying keep doing what youre doing.”John refers to Peter,and the others who intervened that day,as his“angels.”After Peter helped restore his heartbeat at the scene,John was transported to the local hospital,beginning his journey

10、to a full recovery.“My angels were all aligned that day,”says John,“Its a miracle what happened.Im here today because of the defib.”Johns story underscores the importance of having defibrillators in the communityand making them easy to use in emergency situations.Of his work,Peter noted,“Im so grate

11、ful every day that we get to make products that literally help save and change peoples lives.It really is a terrifying experience when someones life is at threat,but Im so thankful I was able to take immediate action.”My angels were all aligned that day.2Stryker 2024 Comprehensive ReportAppendixBusi

12、nessPlanetPeopleHealthcare2024 inreviewOur companyStryker is a global leader in medical technologies,and,together with our customers,we are driven to make healthcare better.We offer innovative products and services in MedSurg,Neurotechnology and Orthopaedics that help improve patient and healthcare

13、outcomes.Alongside our customers around the world,we impact more than 150 million patients annually.More information is available at .Focus areas Biologics Clinical Communication and Workflow Craniomaxillofacial Digital Technologies Emergency and Acute Care Enabling Technologies Foot and Ankle Hips

14、Infrastructure and Integration Knees Minimally Invasive and Open Surgical Visualization Neurosurgical Neurovascular Otolaryngology Power Tools Reprocessing Robotic-Assisted Surgery Spine Sports Medicine Surgical Equipment Trauma Upper ExtremitiesGlobal recognitionGreat Place to Work 2024Global:World

15、s Best WorkplacesBest Workplaces in Asia100 Best Companies to Work For in EuropeU.S.:100 Best Companies to Work For U.S.Best Workplaces in Manufacturing and ProductionBest Workplaces for ParentsBest Workplaces for WomenBest Workplaces for Millennials3Stryker 2024 Comprehensive ReportAppendixBusiness

16、PlanetPeopleHealthcare2024 inreview2024 fast facts*$22.6Bglobal sales53,000employees75 countries in which we operateSYK stock symbol(NYSE)Better healthcareOver 150M patients impacted globally*Completed 7 acquisitionsInvested more than$1.5B in research and developmentLaunched expanded Government Affa

17、irs and Market Access Organization to increase access to careStronger people38.5 percent of our global employees are womenLaunched and expanded five key employee development programsDonated to nonprofits through our employee gift matching programHealthier planetReduced carbon emissions by 32 percent

18、 compared to a 2019 baseline*Used 45 percent renewable electricity to power facilities worldwide*Partnered to launch the Collaborative for Healthcare Action to Reduce MedTech Emissions(CHARME)Good businessIntroduced expanded enterprise-wide risk assessment process96 percent of people managers comple

19、ted course on Fostering a Culture of Integrity70 percent of direct suppliers(by spend)assessed for environmental,human rights and ethical performance;on track for 2027 targetOur valuesIntegrityWe do whats rightPeopleWe grow talentAccountabilityWe do what we sayPerformanceWe deliver*Numbers are round

20、ed.*Figure based on 2023 data.We regularly update our methodology to reflect our business footprint and data availability,which may result in changes to our reported metric.*Figure based on 2023 data.*Total renewable energy was assured by ERM CVS as part of their limited assurance engagement in acco

21、rdance with ISAE 3000(Revised).See page 55 for the full assurance report.4Stryker 2024 Comprehensive ReportAppendixBusinessPlanetPeopleHealthcare2024 inreviewA message from Strykers Chair and CEO,Kevin LoboDear stakeholders,We delivered an excellent year of results in 2024 and continued to grow our

22、global impact,touching the lives of over 150 million patients.We are driving outstanding innovation and had an active year of acquisitions that will help sustain our growth at the high end of MedTech.Our strong talent and culture,combined with our decentralized operating model,are key to our success

23、.Id like to thank our employees for their dedication and continued partnership with our customers to make healthcare better.Talent and cultureOur mission and values are unifying forces in our company and our culture centers on purpose,talent,relationships and growth.Aligned with our commitment to em

24、ployee engagement,we continue to advance our diversity and inclusion efforts,which are contributing to our success.In recognition of our talent and culture,Stryker continues to be honored as a Great Place to Work across the world and across categories including Worlds Best Workplaces,Best Workplaces

25、 in Asia,100 Best Companies to Work for in U.S.and Europe and Best Workplaces for Women.We had two changes to our Board of Directors in 2024.After 15 years of distinguished service,Dr.Srikant Datar announced he would not be standing for re-election(see page 37).We also welcomed new board member Rach

26、el Ruggeri,Executive Vice President and Chief Financial Officer,Starbucks,and she is having a positive impact on the board.InnovationInnovation is the lifeblood of a high-tech MedTech company,and we have healthy product pipelines across our businesses to help fuel future growth.Our deep customer ins

27、ights allow us to understand their needs and build or buy technologies and solutions to address them.We launched numerous high-impact products in 2024 including our Pangea Plating System and LIFEPAK 35 monitor/defibrillator.We were also active in M&A,completing seven deals in the year,which are illu

28、strated on pages 1112.These acquisitions all fit within our existing businesses and will help accelerate growth and deliver more value to our customers.For example,care.ai,is positioned to build upon our recent Vocera purchase,showing our commitment to growing our presence Innovation is the lifebloo

29、d of a high-tech MedTech company,and we have healthy product pipelines across our businesses to help fuel future growth.5Stryker 2024 Comprehensive ReportAppendixBusinessPlanetPeopleHealthcare2024 inreviewin healthcare information technology,and will help optimize clinical and operational workflows

30、for our customers.PerformanceIn 2024,Stryker achieved another year of double-digit organic sales growth.We remain focused on advancing globalization,and our international success continued with 8.8%organic sales growth in the year.We continue to be under-penetrated in many markets outside of the U.S

31、.,and our international opportunity remains significant.We also delivered on our adjusted operating margin goal,expanding margins by 110 bps,and we remain on track to achieve our stated goal of returning to the 2019 level of adjusted operating margin by the end of 2025.Our adjusted earnings per shar

32、e grew an impressive 15%,and we delivered solid free cash flow.Corporate responsibilityWe are committed to making an impact toward a better,healthier world as outlined in our Corporate Responsibility(CR)framework of“stronger people,healthier planet and good business.”We are making progress toward ou

33、r environmental commitments to be carbon neutral in our facilities by 2030 and power all facilities with renewable electricity by 2027.Our environmental initiatives are also beneficial to our business and our customers;for example,by reducing material use in packaging.As you read this report,you wil

34、l see the numerous ways we are driving impact to improve the health of our employees,communities and the planet.I was particularly impressed by the charitable giving of our employees,which was supplemented by a strong company matching program.In summary,our strategy is working,and we continue to dri

35、ve high growth across our key metrics.I would like to thank my fellow employees and Board of Directors for their passion and dedication to living our mission and values.I continue to believe that Strykers best days are ahead of us.Kevin Lobo Chair and CEOOur mission and values are unifying forces in

36、 our company.6Stryker 2024 Comprehensive ReportAppendixBusinessPlanetPeopleHealthcare2024 inreviewFinancial highlightsFinancial overview($in millions,except per share amounts)202420232022Net sales$22,595$20,498$18,449Earnings before income taxes3,4923,6732,683Income taxes499508325Net earnings2,9933,

37、1652,358Adjusted net earnings14,7004,0663,571Net earnings per diluted share of common stockReported7.88.36.2Adjusted112.210.69.3Dividends paid per share of common stock3.23.02.8Cash,cash equivalents and marketable securities3,7433,0531,92803691215Net earnings($per diluted share)2022202320246.28.37.8

38、03691215Adjusted net earnings1($per diluted share)2022202320249.310.612.2012345Dividends paid($per share of common stock)2022202320242.83.03.27Stryker 2024 Comprehensive ReportAppendixBusinessPlanetPeopleHealthcare2024 inreviewFinancial highlights(continued)17%MedicalMedSurg and Neurotechnology16%Tr

39、auma and Extremities 15%Endoscopy13%Instruments11%Knees7%Hips9%Neuro Cranial3%Spinal Implants6%Neurovascular3%OtherOrthopaedicsSales by segment$22.6Bin global sales75.0%United States2024 Geographic net sales19.4%International(developed)5.6%Emerging markets59.8%MedSurg and Neurotechnology40.2%Orthopa

40、edics8Stryker 2024 Comprehensive ReportAppendixBusinessPlanetPeopleHealthcare2024 inreviewCommitted to corporate responsibilityOur mission and values,together with our company strategy,serve as our compass,guiding our commitment to responsible,sustainable practices.This work is a call to action for

41、everyone at Stryker in alignment with our mission to make healthcare better.Our commitment to CR is grounded in our values,and Strykers CR efforts focus on three pillars with one key objective:creating a better,healthier world.We are regularly exploring emerging topics and standards and will continu

42、e to evolve our reporting capabilities to meet the needs of our business and stakeholders.2 To prepare for emerging sustainability disclosure regulations,we are preparing to comply where appropriate,including assessments in line with the Corporate Sustainability Reporting Directive(CSRD).The priorit

43、y topics below may shift as we refine our double materiality assessment in accordance with CSRD.Learn more about our approach to reporting and stakeholder engagement in Strykers Corporate Responsibility reports and resources.PillarsPriority topicsKey commitments Stronger peopleStrengthening the peop

44、le we serve Healthier planetProtecting our planet Good businessDoing business the right wayWe are committed to serving our communities and creating a healthy,and inclusive workplace where employees thrive.We are committed to reducing our environmental impact on the world through responsible,sustaina

45、ble operations.We are committed to helping customers improve patient outcomes and growing responsibly by pursuing quality and integrity in everything we do.Access to quality healthcare Community engagement,charitable giving and volunteering Diversity,equity and inclusion Employee and patient health

46、and safety Employee development and training Engagement with healthcare providers and customers Ethical marketing Product social impact and innovation Air pollution Climate change Environmentally friendly product packaging development and design Operational waste management Ethics,compliance,anticor

47、ruption and antitrust Information security and privacy,intellectual property and cybersecurity Product safety and quality Responsible sourcing and human rights Supply chain transparency and diversity Transparency and stakeholder engagement Advance a culture of inclusion,engagement and belonging Stre

48、ngthen the diversity of our workforce Power all facilities with 100%renewable electricity by 2027 Become carbon neutral for Scopes 1 and 2 at all of Strykers facilities by 2030 Committed to science-based targets Engage 85%of our direct suppliers(by spend)on environmental,human rights and ethical per

49、formance by 2027 Maintain oversight of CR by the Board of Directors9Stryker 2024 Comprehensive ReportAppendixBusinessPlanetPeopleHealthcare2024 inreviewBetterhealthcareStryker aims to make healthcare betterfor the healthcare customers we serve,professionals who use our products and patients receivin

50、g care.We leverage market insights to better understand and create value for the people we impact.To deliver on our mission,Stryker continually adapts to the ever-changing healthcare environment.Digitization is disrupting the industry,providing opportunities for us to help healthcare professionals u

51、se technology to manage complexity and reduce cognitive burdens.Growing global demand and a shift from inpatient to outpatient care is creating new demand for our products in different care settings.Stryker is investing in innovation and acquisitions that allow us to meet these evolving needs.At the

52、 same time,many aspects of our approach remain constant,including a focus on health equity,an emphasis on educating the next generation of healthcare professionals and a steadfast commitment to quality in all we do.Kelly Ritchie,Clinical Specialist10Stryker 2024 Comprehensive ReportAppendixBusinessP

53、lanetPeopleHealthcare2024 in reviewHealthcare innovationInternal research and development(R&D)is an important part of how we innovate.Strykers R&D Fellows program recognizes our most esteemed technical leaders whose impactful innovations have meaningfully advanced Strykers mission to make healthcare

54、 better.In 2024,the company welcomed three new Distinguished R&D Fellows and 10 Technical R&D Fellows.We are also driving innovation suited to local markets with centers of excellence such as Strykers Global Technology Center in Gurugram,India,and an R&D Lab in Brisbane,Australia.For more than a dec

55、ade,mergers and acquisitions have also been a critical part of Strykers growth strategy.The company has completed 60 acquisitions since 2014,and seven in 2024 alone.Inorganic innovation supports our company strategy and complements the work of our R&D Teams to strengthen our portfolio and deliver on

56、 our mission.Investing in advanced digital healthcareStryker has an enterprise-wide focus on integrating digital features and other enabling technologies into our products,that can help improve outcomes and create value for customers and patients.Examples of this innovation from across our portfolio

57、 include:Our latest Spine Guidance 5 Software is designed to help surgeons plan and execute complex spinal procedures.Features include automatic screw suggestion,rod visualization and alert zone notifications that include audible and tactile feedback to help guide the surgeons movement during bone r

58、esection and screw insertion.With over 18+years of experience and more than 1.5 million procedures3 performed across 45 countries globally,Mako SmartRobotics has demonstrated enhanced outcomes,such as shorter recovery times and less pain,for total hip,partial knee and total knee patients when compar

59、ed to manual surgery.4,5,6 LIFEPAK 35 is Strykers first monitor/defibrillator launch in years and comes with technology upgrades that meet the needs of todays healthcare professionals,including a large,intuitive touchscreen and advanced clinical decision-support tools that help reduce cognitive burd

60、en.In 2024,Stryker completed the acquisition of care.ai,whose platform and sensors enable a variety of artificial intelligence-enabled workflows,allowing caregivers to spend more time with patients.This technology will one day integrate with our Clinical Communication and Workflow platform and many

61、other Stryker devices,helping deliver Dynamic Clinical Workflow solutions that further enable a smarter continuum of care.11Stryker 2024 Comprehensive ReportAppendixBusinessPlanetPeopleHealthcare2024 in reviewHealthcare innovation(continued)Responding to evolving sites of careAround the world,people

62、 are staying active as they age.And post-pandemic,more people are opting for elective surgeries.The rising number of elective surgeries,coupled with a shift toward performing these procedures in ambulatory surgical center(ASCs),is reshaping the landscape of care delivery.Today,there are more than 6,

63、300 Medicare-certified ASCs in the United States,and ASCs are being constructed at a ratio of 7 to 1 when compared to traditional hospitals.7,8ASCs are highly specialized facilities,focused on specific types of procedures,such as orthopaedic surgeries.This specialization enables them to handle a hig

64、h volume of cases efficiently,improving patient throughput and allowing more people to receive care in a timely manner.Stryker understands the unique needs of ASCs and offers solutions suited to this emerging care setting,including:The Artelon FlexBand Systems come in single-use,sterile blister pack

65、s,providing a complete set of tools and implants.For ASCs,where efficiency,safety and cost-effectiveness are paramount,sterile-packed solutions can be beneficial.They help streamline operating room(OR)workflows by reducing setup time,minimizing instrument clutter and reducing the need for in-house s

66、terilization.This helps save on both time and resources while reducing the risk of contamination.Designed to support the growing volume of elective soft tissue procedures in ASCs,these kits also feature the Artelon differentiated synthetic technology.This technology is designed to load share with na

67、tive tissue.Load sharing may support induction of regenerative biological signaling.With convenience,reliability,and innovation in one package,the Artelon FlexBand Systems align with the evolving needs of modern ASCs.The Mild procedure,created by Vertos Medical,provides a minimally invasive treatmen

68、t option for patients with lumbar spinal stenosis who are not receiving adequate relief from conservative therapies.Strykers acquisition of Vertos Medical strengthens our Interventional Spine Business,further enhancing our focus on advanced pain procedures.The Triathlon Cementless primary knee impla

69、nt incorporates the same design as the trusted Triathlon brand9 without the need for cement.The Triathlon Cementless knee implant has demonstrated improved patient satisfaction10,11 than cemented knees and allows for enhanced operational efficiencies including OR time savings10,12 and elimination of

70、 cost storage and cement mixers13 that can be beneficial to the ASC setting.12Stryker 2024 Comprehensive ReportAppendixBusinessPlanetPeopleHealthcare2024 in reviewAdvancing educationWorldwide,healthcare systems are evolving.Advances in technology are making novel treatments and procedures an option

71、for people in many parts of the worldwhile others are at risk of being left behind.At the same time,were seeing increased focus on controlling healthcare costs from payers,including governments and insurers.Advancing healthcare accessStrykers Global Government Affairs and Market Access(GAMA)organiza

72、tion is designed to navigate the intricacies of government policies,reimbursement systems and market access challenges across the globe.By advocating for patients,supporting healthcare providers and working to streamline market access,GAMA helps make innovative medical technologies available to thos

73、e who need them most.For example,Stryker recently successfully advocated for increased availability of automated external defibrillators(AEDs)at schools in the state of Michigana development that will help keep children safe.Supporting medical educationAs new procedures and products become available

74、,healthcare professionals knowledge must keep up.Recent highlights from Strykers medical education programs include:Onsite trainingWe continue to focus on hands-on training at our company-owned lab facilities and local institutions.Many of our facilities saw record levels of in-person participation

75、in 2024.Virtual trainingWe have enhanced our virtual training opportunities through the deployment of new learning management systems,technology to support live surgeries and options for virtual surgical observations.We have also increased the amount of online learning available,including new Mako o

76、n-demand courses.Mobile labsStryker had 657 mobile lab stops in 2024.Mobile labs put the latest advancements in Strykers portfolio in reach of more people,including those in rural and remote locations,while reducing the need for busy executives and clinicians to travel.Engaging women in orthopaedics

77、Women remain significantly underrepresented among orthopaedic surgeons.To identify and advance qualified women into the orthopaedics field,Stryker supports organizations including the Ruth Jackson Orthopaedic Society,Women in Arthroplasty,the Orthopaedic Diversity Leadership Consortium and Women Ort

78、hopaedist Global Outreach,all of which work to develop skills and drive more women into this important field.Learn more about Strykers efforts around medical education and healthcare access and affordability in Strykers Corporate Responsibility reports and resources.13Stryker 2024 Comprehensive Repo

79、rtAppendixBusinessPlanetPeopleHealthcare2024 in reviewProduct quality and safetyStrykers Quality Policy guides our approach to product quality,promoting that our healthcare solutions meet or exceed safety,efficacy and efficiency standards.Our global design and manufacturing sites hold International

80、Organization for Standardization(ISO)13485:2016 certification for medical devices and meet numerous other relevant standards.These certifications play a pivotal role in shaping our product design,manufacturing and distribution processes.Dedicated teams ensure that products and solutions obtained via

81、 acquisition meet our quality standards.Stryker undergoes rigorous independent assessments for quality,including 192 external quality audits in 2024.Covering our design,manufacturing,logistics and distribution sites,these audits ensure that our operations consistently meet industry standards.Alongsi

82、de external evaluations,Stryker also conducted 386 independent internal quality audits in 2024.The insights gained from these assessments drive continuous improvement.Quality management metrics202220232024Recalls reported to the U.S.Food and Drug Administration(FDA)Number of FDA Class I recallsNumbe

83、r of FDA Class II recalls*273536Number of FDA Class III recalls2Recalls pending classification04Normalized by revenueRecalls reported to U.S.FDA per billion dollars in revenue1.61.6 1.8U.S.FDA Warning LettersFDA Warning Letters receivedFDA Warning Letters resolvedAudits and inspectionsNumber of audi

84、ts/inspections by external entities(e.g.,worldwide regulatory agencies,notified bodies)181191189Average findings per audit0.70.80.6Number of FDA inspections5714Average observations per FDA inspection0.40.3Number of corporate quality audits conducted233531*Reportability was changed on two 2023 recall

85、s after input from FDA.14Stryker 2024 Comprehensive ReportAppendixBusinessPlanetPeopleHealthcare2024 in reviewProduct quality and safety(continued)Quality trainingWe require all employees to complete quality-related training applicable to their roles,using self-paced reading,web-based training and i

86、n-person training as required.When procedures change,we retrain employees as needed.Quality monitoringStrykers quality processes are supported by a robust quality data program that includes key process indicators for different dimensions of quality.The data we collect guides us in managing day-to-da

87、y quality activities and is regularly reviewed with executive leadership.Designing for qualityWe have dedicated Quality Teams working throughout the new product development process to challenge assumptions and drive high standards for product validations.These teams partner with our Design Engineeri

88、ng Teams to instill our quality culture into the product lifecycle.They analyze the risks of health and safety impacts for our products and assess them for improvements.We also take feedback from current-generation products to R&D Teams to improve next-generation designs.Ensuring product security an

89、d trustStryker is committed to ensuring the security and safety of our medical devices through a proactive approach to product security.Our dedicated Product Security Team integrates security measures throughout the product lifecycle,from design and development to deployment and maintenance.We colla

90、borate closely with suppliers,industry partners and regulatory authorities to address emerging threats,safeguard sensitive data and maintain compliance with industry standards such as FDA cybersecurity guidelines for medical devices,as well as industry standards like ISO 13485 and International Elec

91、trotechnical Commission 62304.Learn more about our commitment to product security.15Stryker 2024 Comprehensive ReportAppendixBusinessPlanetPeopleHealthcare2024 in reviewProduct quality and safety(continued)Continuous improvementStryker uses an industry-leading Corrective and Preventive Action(CAPA)p

92、rogram to drive continuous improvement.This program follows a rigorous process to determine the root causes of defects and develop improvement plans to help eliminate recurrence.One vital input to our program is post-market surveillance,where we evaluate customer-reported issues.This information fee

93、ds into our CAPA system,providing a feedback loop directly from customers into future product and process designs.Clinical trialsTo generate data and establish evidence on the safety and efficacy of our products in humans,Strykers Clinical Teams conduct and oversee clinical trials,including Stryker-

94、sponsored and investigator-initiated studies.We conduct clinical trials in line with specific business needs by division and product family.Our clinical trials follow all divisional,corporate clinical and company policies,as well as applicable regional regulations.Strykers clinical trials comply wit

95、h Good Clinical Practice(GCP),the international ethical and scientific quality standard for human subject trials.In addition to clinical trial data credibility,compliance with GCP provides assurance that the rights,safety and wellbeing of trial participants are protected according to principles deri

96、ved from the Declaration of Helsinki.Clinical trials also comply with other applicable standards by geography.Stryker remains committed to updating our clinical procedures and policies in line with regulatory requirements,ensuring high-quality evidence through both clinical studies and real-world da

97、ta.Guided by evolving regulations,we plan to design and conduct clinical studies with broader patient participation.Moreover,our continued advocacy efforts on the regulatory front,coupled with cross-industry collaboration,will help drive representative enrollment in clinical trials,ultimately leadin

98、g to meaningful improvements in patient care.16Stryker 2024 Comprehensive ReportAppendixBusinessPlanetPeopleHealthcare2024 in reviewStrongerpeoplePeople are the heart of our company and core to our mission.We are committed to our employees and the communities we serve,who together form the foundatio

99、n of our culture and fuel our efforts to make a positive impact on the healthcare industry.Stronger people make a stronger culture,and Stryker works to foster this strength through our inclusion initiatives,career development opportunities,commitment to environment,health and safety(EHS)practices an

100、d work we do to improve lives in our communities.These efforts help build our culturea core part of our overall company story.Our mission and values tell the story of why we exist and what we believe,our company strategy tells the story of where we are going and how we will get there,and the followi

101、ng culture statements,introduced in 2024,describe how we get things done.Purpose:Customers and patients are at the heart of what we do Talent:We value our diverse strengths Relationships:We care for each other and collaborate to win Growth:Were passionately driven to deliverOur success depends on ou

102、r ability to attract and retain the best talent.To do so,we continue to focus on creating and maintaining a great workplace.We believe in attracting the right people,maintaining and building employee engagement and developing our employees.When people are able to do what they do best,they will look

103、forward to coming to work and,in turn,will deliver great business results.Mark Larson,Senior Machine Shop Manager17Stryker 2024 Comprehensive ReportPeopleHealthcare2024 in reviewAppendixBusinessPlanetCareer developmentWe proudly live our values,one of which is to grow talent.Through leadership and e

104、mployee development,and by listening to the various points of view of our employees,we have maintained our reputation as a great place to work.In 2024,we built upon the foundation of our Talent Offensea comprehensive approach to attract,engage,align and develop talentto enhance development and goal

105、setting,prepare leaders for critical and evolving roles and expand opportunities to help employees advance their careers.Fostering leadership at every levelSince 2014,our Leadership Expectations have provided common language for our team on what good leadership looks like at every level of the organ

106、ization.They describe the behaviors that drive our success,deliver on our mission and strategy and build a culture that focuses on our purpose,talent,relationships and growth.Since creating our Leadership Expectations,our business has doubled in size,and the external environment has changed dramatic

107、ally.In response,we refreshed our Leadership Expectations in 2024 to align with our culture statements and help ensure we focus on what matters most for employees and leaders today.Our updated Leadership Expectations ask our leaders to:Lead from our missionby designing the future with our customers

108、and patients in mind.Win togetherby collaborating to accelerate innovation and global growth.Develop peopleby investing in everyone to help them reach their full potential.Make growth happenby delivering exceptional results in a sustainable way.We provide specific examples of how to embody these Lea

109、dership Expectations based on different roles in the organization,whether an employee leads an organization,a practice or process,other leaders or employees or themselves.Every leader at every level adds value and paves the way for our future success.18Stryker 2024 Comprehensive ReportPeopleHealthca

110、re2024 in reviewAppendixBusinessPlanetCareer development(continued)Developing goals that matterProfessional growth happens at Stryker in a variety of ways.Individuals set goals for performance,Leadership Expectations and individual development,using Workday as a centralized tool where employees and

111、managers can collaborate and measure progress.In 2024,we evolved our goal-setting process to align with our updated Leadership Expectations.In parallel with this process,our Human Resources Team has created comprehensive support materials to help people understand best practices of goal writing and

112、evaluation,providing a clear roadmap for how to learn,grow and advance at Stryker.Beyond annual performance reviews,we encourage open dialogue by offering two formal manager-employee progress check-ins each year,to ensure there is clear understanding of expectations,performance progress and opportun

113、ities for growth.Additionally,Stryker has more than 330 employees trained to coach other employees on career development.Taking the pulseEmployee surveys also provide valuable insights that managers can use to inform development conversations.More than 40,000 employees participated in our latest pul

114、se survey,which focused on psychological safety,inclusion,career and overall wellbeing.In our annual pulse survey,80 percent reported having meaningful development discussions with their managers.In addition,we saw a notable improvement in employees reporting that they feel managers care about their

115、 wellbeing.19Stryker 2024 Comprehensive ReportPeopleHealthcare2024 in reviewAppendixBusinessPlanetCareer development(continued)Growing participation in career developmentIn 2024,we launched and expanded five key employee development programs,including:Impact from the CoreA program to enable Managers

116、 and Senior Managers to lead through change,create psychological safety on their teams,navigate paradoxes and build their self-awareness280 participants globallyGrow-on-the-GoA new mobile app to support professional development1,600 participants globallyBig ThinkDeveloping leaders through a partners

117、hip with the Big Think platform and Strykers leaders530+employees have completed the program;670more currently enrolledBusiness AcumenA program leveraging an interactive simulation to bring to life the challenges of setting a strategy,balancing priorities,allocating resources and delivering on key m

118、etrics to drive overall business success100 peopleinfirst global cohortPEAK Commercial Leader programA development journey designed to provide leaders with a high impact,personalized learning experience25 seniorleaders participated over nine-month period20Stryker 2024 Comprehensive ReportPeopleHealt

119、hcare2024 in reviewAppendixBusinessPlanetDiversity,equity and inclusionWe are united by our mission and strengthened by our culture.Our employees diverse strengths,experiences and perspectives are essential for driving innovation and making healthcare better.By caring for each other,we foster an inc

120、lusive workplace where everyone feels seen,heard and valued.Our commitment to DE&IWe remain committed to strengthening the diversity of our workforce,advancing a culture of inclusion and growth.We believe that diverse perspectives help drive innovation,engagement and a strong culture.Representation

121、data:Gender(global)20232024OverallWomen 38.1%38.5%Men 61.4%61.1%Not disclosed 0.5%0.4%Team membersWomen 39.0%39.3%Men 60.4%60.2%Not disclosed 0.6%0.5%Managers and DirectorsWomen 35.3%36.0%Men 64.4%63.7%Not disclosed 0.3%0.3%20232024Vice Presidents and aboveWomen 30.9%31.1%Men 69.1%68.9%Not disclosed

122、Board*Women 40.0%50.0%Men 60.0%50.0%Not disclosed*Calculated on the day the directors were elected at the annual shareholders meeting in 2023 and 2024.21Stryker 2024 Comprehensive ReportPeopleHealthcare2024 in reviewAppendixBusinessPlanetDiversity,equity and inclusion(continued)Representation data:R

123、ace/ethnicity(U.S.only)*20232024OverallWhite 68.7%68.3%Hispanic or Latino/a 10.9%10.9%Black or African American 6.3%6.1%Asian 7.6%7.7%Additional races/ethnicities*3.1%3.3%Blank/unspecified 3.4%3.7%Team membersWhite 66.7%66.5%Hispanic or Latino/a 12.7%12.9%Black or African American 7.4%7.4%Asian 6.4%

124、6.3%Additional races/ethnicities*3.6%3.7%Blank/unspecified 3.2%3.2%Managers and DirectorsWhite 74.3%73.0%Hispanic or Latino/a 5.7%5.6%Black or African American 2.9%2.7%Asian 11.3%11.8%Additional races/ethnicities*1.9%2.1%Blank/unspecified 3.9%4.8%20232024Vice Presidents and aboveWhite 82.4%83.1%Hisp

125、anic or Latino/a 1.5%0.9%Black or African American 1.9%1.9%Asian 7.8%7.5%Additional races/ethnicities*1.0%0.9%Blank/unspecified 5.4%5.7%Board*White 50.0%60.0%Hispanic or Latino/aBlack or African American 20.0%20.0%Asian 30.0%20.0%Additional races/ethnicities*Blank/unspecified*This data does not incl

126、ude Puerto Rico.*Includes American Indian,Native Alaskan,Native Hawaiian,Pacific Islander and two or more races.*Calculated on the day the directors were elected at the annual shareholders meeting in 2023 and 2024.Tapping into homegrown talentIn Kalamazoo,Michigan,our efforts to expand access and in

127、vest in local talent are paying off.In 2024,our investments in the Career Right Here program came full circle when Higher Promise interns who came to Stryker through the program became full-time hires.Additionally,we engaged more than 200 students through Stryker Day,a program designed to introduce

128、middle and high school students to career possibilities in medical technology.22Stryker 2024 Comprehensive ReportPeopleHealthcare2024 in reviewAppendixBusinessPlanetEnvironment,health and safetyStryker is committed to a safe and sustainable future.Guided by core values,Strykers business is conducted

129、 in a way that is protective of the health,safety and wellbeing of our people,those working on our behalf,our customers,the environment and our communities.Our EHS management system elevates our organizational success by focusing on people and protecting the environment.The system has established st

130、andards that we implement across our organization,and this helps foster a culture of responsibility,continuous improvement and accountability that is at the core of our business.EHS governance andpoliciesIn 2024,we issued a new Global EHS Policy,which outlines the long-term direction and commitment

131、of the company to support and continually improve EHS performance.Our EHS Leadership Team has also continued to develop and operationalize EHS Management and Technical Standards tailored to our risk profile and aligned with International Organization for Standardization(ISO)14001 and ISO 45001 manag

132、ement systems.Our Global EHS Leadership Team oversees execution of these standards,and a designated owner is identified for each,which helps ensure implementation at the facility level.We continue to expand and strengthen our EHS model with expertise in process safety,industrial hygiene,radiation ph

133、ysics,combustible dust hazards and other domains.EHS Risk Assessment is a fundamental part of our safe workplace,and in 2024 we have seen the benefits of a concerted effort to focus and reduce risk associated with fire safety.We will continue to focus on this fundamental program in 2025 to lower inc

134、ident rates,enhance compliance with regulations and continue to build upon our strong safety culture.Our EHS strategic framework is grounded in four essential pillars:People Promoting the safety,health and wellbeing of all people in the work environmentEngagement Leadership empowering teams to own a

135、nd drive excellence in EHSCompliance Reaching beyond compliance in EHS and operational efficiencyAgility Building capability for sustained growth and asset protection and developmentTogether,we are committed to a safe and sustainable future.23Stryker 2024 Comprehensive ReportPeopleHealthcare2024 in

136、reviewAppendixBusinessPlanetEnvironment,health and safety(continued)Safety performance across our facilitiesPrevention of illness and injury is paramount to all EHS efforts,and we continue to strive to eliminate hazards from our facilities and improve our EHS culture.We engage site leaders and local

137、 EHS committees to implement our risk management strategies and continually improve our safety culture and performance.The risk management plan systematically identifies,assesses,prioritizes,mitigates and monitors potential risks and uncertainties that could impact our employee safety.In 2024 we ach

138、ieved the following:Annual Global Safety Month reached manufacturing,commercial,distribution and field employees.Monthly EHS Leadership Forums were conducted to highlight outstanding performance and opportunities for improvement.We supported year-round efforts,including CPR training and workplace wa

139、lkthroughs.We increased focus on safety observations as a leading indicator.In addition to these initiatives,we continued to strengthen our risk management program,as well as our injury investigation and reporting process.We focused on leading indicators for EHS performance,such as the closure of sa

140、fety observations and hazard identification,which are critical to addressing potentially unsafe conditions.We also continued to measure lagging indicators,including recordable injury rate and lost time injury rate.Focus on our key risk areasAs a leader in selling imaging,medical and other supportive

141、 technologies,Stryker is dedicated to ensuring the safety of customers and other individuals who encounter radiation emitting equipment.Our Radiation Safety program is based on As Low As Reasonably Achievable(ALARA)principles,a radiation safety principle based on the minimization of exposure to ioni

142、zing radiation.In addition,we educate X-ray equipment operators,lab managers and our sales force on safe practices for radiation technology and the importance of data registration and monitoring.In 2024,Stryker focused on other key safety improvements and initiatives,informed by third-party expertis

143、e,to ensure a comprehensive review of operational risk.Key additions to our safety practices include:Risk hazard assessment standard Combustible dust standard Contractor safety standard Blood borne pathogens and other potentially infectious materials standard Driver safety standard24Stryker 2024 Com

144、prehensive ReportPeopleHealthcare2024 in reviewAppendixBusinessPlanetCommunitiesIn 2024,Strykers employees continued to drive our company-wide passion for improving the lives of others.We deepened our signature partnerships and investments in our local communities while forging new initiatives to de

145、liver support where it is most needed.We envision a society where every person feels they belong and can reach their full potential,regardless of their race,identity or area code.Strykers social impact strategy is guided by four areas of focus,all viewed through the lens of equity:Advancing healthca

146、reProvide access to safe,timely healthcare to underresourced groupsSupporting educationHelp public education prepare every child to achieve their potentialImproving environmental healthTackle global and local sustainability challengesEnriching community cultureConnect,strengthen and empower people a

147、nd communitiesEmployees driving impactEmployees have always been key contributors to our social impact efforts,and we amplify their generosity through company giving and volunteering programs.Their involvement not only delivers value to the nonprofits we support but helps support employee engagement

148、 and retention.Our impact in 2024$11.3M donated through our giving and volunteering platform,Impact11,000+employee donors and volunteers35,000+hours volunteered5,700 total nonprofits supportedGiving back inMichiganAs the city where Dr.Homer Stryker founded our company in 1941,we remain committed to

149、investing in Kalamazoo as a vibrant place to live,work and play.In 2024,we provided support to local nonprofits,including YWCA Kalamazoo,Big Brothers Big Sisters of Southwest Michigan,Kalamazoo Nature Center and more.Kalamazoo Regional Educational Service Agency(KRESA)a local cornerstone of the comm

150、unityprovides high-quality educational and career readiness experiences for youth across Southwest Michigan.Stryker supports MiCareerQuest,an interactive career exploration event programmed by KRESA,in which more than 5,000 students participate each year to learn about careers in science,technology,

151、engineering and mathematics(STEM).25Stryker 2024 Comprehensive ReportPeopleHealthcare2024 in reviewAppendixBusinessPlanetCommunities(continued)In 2024,we saw a significant increase in employees engaging with Impact,our global giving and volunteering platform.The number of participants grew from 6,90

152、0 to 11,200 between 2023 and 2024,while the number of hours volunteered also increased from 22,500 to 35,800thanks in part to two new programs that have enhanced employees engagement and ability to give back:Impact 101,a rewards-based campaign,through which the company adds reward dollars to each em

153、ployees“Impact account,”allows individuals to then decide where to donate these funds.Our Global Volunteer Network was launched in 2023 to help employees organize their own volunteer opportunities.The Network includes members who volunteer strategy and guide goal setting and training,as well as plan

154、ning and hosting events.The Global Volunteer Network works with Visit.org,a signature partner,to provide a range of volunteer opportunities globally.For example,in 2024,Strykers employees packed hygiene kits and engaged youth in Costa Rica,created care packages for hospitalized children and supporte

155、d the conservation of local bee populations,all within our giving and volunteering focus areas.Aligning our DE&Istrategywith our volunteeringStrykers Employee Resource Groups(ERGs)are deeply integrated in our volunteering and giving efforts.Through our ERG Social Impact Ambassador network,which laun

156、ched in 2024,representatives meet quarterly to identify key causes,plan giving or fundraising opportunities,and undertake volunteering opportunities on Impact,our global giving and volunteering platform.26Stryker 2024 Comprehensive ReportPeopleHealthcare2024 in reviewAppendixBusinessPlanetCommunitie

157、s(continued)Driving impact with signature partnersStrykers social impact work aims to advance healthcare,support education,improve environmental health and foster community culture.As part of these efforts,we fund a curated group of signature partners and invite employees to support them as well.The

158、se valued partners,whose work aligns with both our social impact strategy and company mission to make healthcare better through giving and volunteering,are:Operation SmileRed CrossProject C.U.R.E.Visit.orgDr.Lorna Breen Heroes FoundationSupporting relief effortsas aRed Cross Annual DisasterGiving Pr

159、ogram(ADGP)memberStrykers humanitarian relief strategy is rooted in the safety and wellbeing of our employees and communities,and we support those impacted by disaster through our partnership with the Red Cross.We are a member of the Red Cross ADGP,providing an annual donation that helps enable the

160、Red Cross not only to respond immediately to disasters around the world,but also proactively prepare before a crisis strikes.Through this partnership,our employees are able to get involved in their communities through organized blood drives,emergency preparedness training and other community initiat

161、ives.Additionally,employees amplify our giving by supporting humanitarian relief through Impact.27Stryker 2024 Comprehensive ReportPeopleHealthcare2024 in reviewAppendixBusinessPlanetHealthierplanetOperating more efficientlyby reducing energy,materials,process complexity and operating costsbenefits

162、Strykers business.It also helps us meet our environmental sustainability goals.As a major player in the medical device and equipment supply chain,Strykers actions to protect the environment are of interest to many stakeholders.Each year,we see a growing interest from customers and investors around w

163、hat were doing to reduce our footprint.We know that future talent and current employees alike take pride in working for a company that sets sustainability goals and steps up to achieve them.For all of these stakeholders and our planet,were proud to share our progress in 2024.Vini Mihill and daughter

164、Lead Analyst28Stryker 2024 Comprehensive ReportPlanetAppendixBusinessPeopleHealthcare2024 in reviewOperational carbon emissionsWe remain committed to making progress on carbon emissions reduction,with the long-term goal for Strykers facilities to be carbon neutral(Scope 1 and 2)by 2030.As of the end

165、 of 2023,we exceeded our interim 2024 goal for emissions reduction,due primarily to our strategic investments in energy efficiency and renewable energy.Eight of our sites are International Organization for Standardization(ISO)certified and have undergone environmental assessments or certification pr

166、ocedures.In 2024,Stryker strengthened our processes to drive completeness and accuracy of our reported data,and,for the first time,we solicited and received third-party limited assurance.Given regulatory requirements and investor requests with respect to transparency into our reporting processes and

167、 data,receiving limited assurance from an external auditor helps Stryker report on our progress with confidence in the accuracy of our claims.For more information on our greenhouse gas emissions and energy consumption,please see our 2023 environmental performance data and assurance certificate in th

168、e Appendix.Progress toward our operational carbon emissions goals14 GoalReduce Scope 1 and 2 carbon emissions by 20%by 2024 and become carbon neutral for Strykers facilities by 2030(compared to a 2019 baseline)14 Progress32%emissions reduction of total Scope 1 and Scope 2 footprint as of the end of

169、2023Power all facilities with 100%renewable electricity by 202745%used 45 percent renewable electricity to power facilities worldwideInstalling renewable energyIn 2024,Stryker added new renewable procurement contracts at three sites and new onsite solar installations at our St.Leonards,Australia,and

170、 Venlo,Netherlands,sites.2024 was the first year we had a full 12 months of production from the North American virtual power purchase agreement(VPPA)we signed with Orsted,which projects to cover roughly 70 percent15 of electricity use at our facilities in North America.We expect this to greatly expa

171、nd our renewable electricity usage in 2024.We are pursuing strategies to remain on track to meet our 2027 100 percent renewable goal.29Stryker 2024 Comprehensive ReportPlanetAppendixBusinessPeopleHealthcare2024 in reviewOperational carbon emissions(continued)Hydroelectricprocurement Windprocurement

172、Onsitesolar Renewableprocurement mix Australia St.LeonardsMainland China Changzhou Suzhou ChangzhouFrance Brest Cestas Grenoble Montbonnot PusignanGermany Freiburg Duisburg Freiburg Kiel Stetten TuttlingenMexico TijuanaNetherlands Venlo VenloSwitzerland SelzachUnited Kingdom Newbury BelfastUnited St

173、ates Arlington,TN Flower Mound,TX Mahwah,NJImproving energy efficiencyStryker continues to identify and execute on more efficient approaches to electricity,heating,ventilation and air conditioning.Recent projects include:Combined heat and powerinstallationArroyo,Puerto Rico 16,500 MWh of electricity

174、 willbe saved annuallyReuse steam energy in production processCary,Illinois 1,490 MWh of electricity willbe saved annuallyEnhanced roof and buildinginsulationTuttlingen,Germany and Montbonnot,France 450 MWh of electricity willbe saved annuallyLED lighting upgradesPhoenix,Arizona 122 MWh of electrici

175、ty will be saved annually*As of 12/31/24.Our 2024 carbon data will be verified in 2025.Stryker locations*30Stryker 2024 Comprehensive ReportPlanetAppendixBusinessPeopleHealthcare2024 in reviewValue chain carbon emissionsThe majority of Strykers carbon footprint is found in Scope 3 emissions,which in

176、cludes our supply chain,transportation,logistics and product use,among other categories.In late 2023,Stryker signed a commitment letter to the Science Based Targets initiative(SBTi),signaling our intent to set a science-based target within two years.Throughout 2024,we focused on refining our Scope 3

177、 data and we are assessing the viability of submitting an SBTi target in 2025.In 2024,we established a Value Chain Carbon Emissions Steering Committee to develop our Scope 3 strategy,focusing on data pre-assurance processes and controls,onboarding a new Scope 3 data platform and creating a supplier

178、engagement roadmap.We also teamed up with Kaiser Permanente and Vizient to launch the Collaborative for Healthcare Action to Reduce MedTech Emissions(CHARME)collaborative.Together with health systems,medical device and equipment suppliers,distributors,group purchasing organizations,and other key ind

179、ustry stakeholders,well explore a roadmap to reduce emissions through product innovation,product durability,reprocessed single-use devices and renewable energy.31Stryker 2024 Comprehensive ReportPlanetAppendixBusinessPeopleHealthcare2024 in reviewDesign for sustainabilityAs a supplier to health syst

180、ems around the world,Stryker strives to incorporate sustainable design into our products and packaging,which helps our customers address their value chain impacts.In 2024,we refined our sustainable design framework to align with four priorities:Selecting materials and process Optimizing lifecycles L

181、ightweighting Reducing disposalThe following examples highlight how we apply these priorities across our products.Selecting materials and processesAdvanced manufacturing processes allow us to use less energy and create less waste.16 For example,additive manufacturing(AM),also known as 3D printing,us

182、es computer-aided design software to create objects one layer at a time.We recently conducted a lifecycle assessment(LCA)comparing one version of our Trident II acetabular shell made with AM with another made by forging.The acetabular shell made with AM was shown to have a lower environmental impact

183、 due to reduced raw material and energy usage versus the similar forged product.17Other state-of-the-art processes were leveraging include Low Pressure Metal Injection Molding,a proprietary technique that streamlines the production of intricate metal components,reducing material usage and environmen

184、tal impact compared to traditional foundry methods.18 Our Knee Business uses this technique to manufacture the Triathlon Pro PS femoral component,for which it won Strykers internal 2024 Design for Environmental Sustainability Award.Optimizing lifecyclesBy making products modular,we make it easier fo

185、r customers to replace only the components they need.Weve also designed selected products for refurbishment and reuse.Stryker offers capital product take-back through various Certified Preowned(CPO)programs.Our Medical,Instruments and Endoscopy Divisions have established CPO programs that revitalize

186、 products and reintroduce them into the market.This approach minimizes waste to landfill and reduces the need for new production.In 2024,our Medical and Instruments Divisions CPO programs diverted approximately 7,000 products,preventing around 940,000 pounds of waste from reaching landfills.Trident

187、II Tritanium Acetabular Shells made with additive manufacturing32Stryker 2024 Comprehensive ReportPlanetAppendixBusinessPeopleHealthcare2024 in reviewDesign for sustainability(continued)The primary focus of Strykers Sustainability Solutions(SSS)Business is to extend the lifecycle of single-use medic

188、al devices through reprocessing.Devices can be reprocessed more than oncesome reusable devices as many as 20 times.19 LCAs underscore the environmental benefits of reprocessing.For example,a 2024 LCA of our reprocessed HARMONIC 1100 HAR1136 Shears showed a 38 percent reduction in carbon footprint fo

189、r devices that are reprocessed compared to those that are not.20 In 2024,SSS helped customers divert more than 5 million pounds of waste from landfills through our reprocessing programs,saving 3,250 customers approximately$239 million.21 In the same time period,we have helped more than 50 Integrated

190、 Delivery Networks save over$1 million annually in supply chain costs.21One way we enhance product lifecycles and reduce waste across various Stryker products is through the repacking of items that have damaged cosmetic outer packaging for select markets.We have established a process that involves o

191、ur distribution center in Venlo,Netherlands,as well as divisional QA and manufacturing sites,to perform reviews of these products.Where repacking is not feasible,the products are returned to manufacturing sites for appropriate rework or recycling.This approach has substantially reduced the necessity

192、 to scrap products or return them to suppliers,saving over 500,000 pounds of product from being discarded thereby reducing environmental costs.LightweightingBy reducing product and packaging weight,we strive to decrease not only materials used,but also the impact associated with transportation.Our C

193、raniomaxillofacial Business unit redesigned the packaging for its QuikFlap product to enhance sustainability.The packaging reduced paper use by 89 percent*,and the cardboard is Forest Stewardship Council certified and is made with 85 percent recycled material.Reducing disposalIn 2024,Stryker expande

194、d its use of electronic instructions for use(eIFUs)and reduced the size of IFUs to minimize waste.Through Project GreenTree in our Instruments Division,we printed IFUs only in required regional languages,avoiding unnecessary printing and conserving resources.At our Kiel site,we implemented a process

195、 to minimize product waste through repacking and resterilization.This initiative prevents products from being scrapped through expiration,significantly reducing waste and reducing disposal.*compared to previous packagingBy repackaging and resterilizing these products,we conserve valuable resources,p

196、rovide high-quality products through smarter processes and support a more sustainable supply chain.The lifespan of medical devices varies,with many designed for only a single use.As a result,hospitals send thousands of tons of medical materials to landfills each year.We look for opportunities to red

197、uce this waste and promote circularity.While SSS prioritizes reprocessing of devices wherever possible,we also recycle some devices that can no longer be reprocessed.For example,our recycling initiatives for pulse oximeter sensors and electrocardiogram leads have sent over 365,000 pounds of these pr

198、oducts to a third-party recycler in 2024.As a member of the Healthcare Plastics Recycling Council,Stryker is also co-leading a project to create a short list of procurement criteria to enhance healthcare plastics recycling.33Stryker 2024 Comprehensive ReportPlanetAppendixBusinessPeopleHealthcare2024

199、 in reviewOperational waste reductionStrykers waste management strategy is to decrease the amount of waste we generate through our operations and increase recycling and reuse where possible.At our six facilities in Ireland,we have achieved zero waste to landfill designation.Operations of SSS in Tiju

200、ana,Mexico,reduce the waste sent to landfill by converting production waste into energy though cement co-processing.Reprocessing single-use medical devices involves extensive use of personal protective equipment(PPE)by employees at our reprocessing facilities.To address this operational waste,SSS ha

201、s collaborated with a third-party partner to recycle PPE used by our manufacturing teams at the Phoenix,Arizona,facility.34Stryker 2024 Comprehensive ReportPlanetAppendixBusinessPeopleHealthcare2024 in reviewGoodbusinessAs we work to make healthcare better,we aim to do so in a way that instills conf

202、idence.A strong foundation of ethical business conduct and compliance with global regulations helps us win in the right ways.In line with the companys strategic objectives,good governance reduces risk and enables growth.Stryker maintains high expectations of our senior leaders,Board of Directors and

203、 other leadership,including those responsible for corporate responsibility at the company.We are continually strengthening our practices and educating employees on our standards for ethical behavior,respect for human rights,security and privacy principles.These expectations extend to third-party par

204、tners,suppliers and others who interact with us.Juliet Younger,Field Operations Associate35Stryker 2024 Comprehensive ReportBusinessAppendixPeopleHealthcare2024 in reviewPlanetGovernanceIn 2024,we updated our Corporate Governance Guidelines to limit the number of public company boards on which our d

205、irectors may serve.Under the new guidelines,Strykers Board members may sit on a maximum of four public company boards,except for sitting CEOs of a public company,who may serve on a maximum of three public company boards.We also periodically review the Board Committee Charters and make updates to all

206、 the committee charters to stay current with new regulations,market trends and investor expectations.All of our directors,other than Strykers CEO Kevin Lobo,are independent under the New York Stock Exchange listing standards.Rachel Ruggeri was elected to the Board at our 2024 annual meeting.For more

207、 information about our governance practices,policies and responsibilities of Board committees,visit our Corporate governance webpage.Our latest Proxy Statement contains information about our shareholder proposal process,current directors experience and information on director compensation.36Stryker

208、2024 Comprehensive ReportBusinessAppendixPeopleHealthcare2024 in reviewPlanetGovernance(continued)Board of DirectorsKevin Lobo ChairMary Brainerd Compensation and Human Capital Committee Governance and Nominating CommitteeGiovanni Caforio,M.D.Compensation and Human Capital Committee Governance and N

209、ominating CommitteeAllan Golston Compensation and Human Capital Committee Governance and Nominating CommitteeSherilyn(Sheri)McCoy Lead Independent Director Compensation and Human Capital Committee Governance and Nominating CommitteeRachel Ruggeri Audit CommitteeAndrew(Andy)Silvernail Audit Committee

210、Lisa Skeete Tatum Audit CommitteeRonda Stryker Governance and Nominating CommitteeRajeev Suri Audit CommitteeJohn Brown Chairman Emeritus and Former Chair President and CEOHoward Cox Jr.Director EmeritusSenior Leadership TeamKevin LoboChair and Chief Executive OfficerYin BeckerVice President,Chief C

211、orporate Affairs OfficerGlenn BoehnleinVice President,Chief Financial OfficerKaty FinkVice President,Chief Human Resources OfficerRob FletcherVice President,Chief Legal OfficerViju MenonGroup President,Global Quality and OperationsAndy PierceGroup President,MedSurg and NeurotechnologySpencer StilesG

212、roup President,Orthopaedics and SpineWithappreciationWe gratefully acknowledge the contributions of our retiring executives and Board member,whose guidance has been critical to our success.Jeanne Blondia TreasurerSrikant Datar Board of DirectorsDon Payerle President,Joint ReplacementBrad Saar Presid

213、ent,Medical37Stryker 2024 Comprehensive ReportBusinessAppendixPeopleHealthcare2024 in reviewPlanetGovernance(continued)Other Leadership membersOther OfficersJason BeachVice President,Finance and Investor RelationsBill BerryVice President,Chief Accounting OfficerRob CummingsVice President,TaxAlan Dou

214、villeVice President,Chief Information Officer and Chief Information Security OfficerTina FrenchVice President,Corporate SecretaryLindsay GardnerVice President,TreasurerDana McMahonVice President,Chief Compliance OfficerJody PowellVice President,Global Quality,Regulatory&ClinicalDivisional Leadership

215、Mike CarlinCustomer SolutionsRobert CohenDigital,Robotics and Enabling TechnologiesDylan CrottyInstrumentsBrent LaddEndoscopyTim LanierTrauma&ExtremitiesJim MarucciNeurovascularJessica MathiesonMedicalRobbie Robinson,Jr.SpineKathy TruppiJoint ReplacementRegional LeadershipMaurice Ben-MayorSouth Paci

216、ficErin BroeskeEast AsiaJohn CollingsAsia PacificSarah JacklinCanadaSatoshi MizusawaJapanJoe NaoumEEMEAPedro RamazzottiLatin AmericaAman RishiIndiaStuart SilkEurope,Middle East and Africa,Canada and Latin AmericaShaobin ZhangChina38Stryker 2024 Comprehensive ReportBusinessAppendixPeopleHealthcare202

217、4 in reviewPlanetGovernance(continued)Corporate responsibility governanceStryker has a Corporate Responsibility(CR)Steering Committee which includes three executive officers who report to the CEO.The Committee meets monthly to drive CR strategy across the company,advocate for responsible,sustainable

218、 practices and oversee performance.The Committee also:Advises on strategy and initiatives for CR Provides accountability for CR-related budget and resources Guides company-level disclosures and business integration strategies Oversees development of future CR operating models Provides accountability

219、 for progress toward goals,including setting new goalsMembers of the CR Steering Committee,along with other Leadership Team members,provide quarterly updates to the Governance and Nominating Committee,which oversees all CR matters at the Board level,as well as annual updates to the full Board of Dir

220、ectors.Strykers Human Resources(HR)function regularly briefs the Compensation and Human Capital Committee and the Board on diversity,equity and inclusion matters and performance.Our global Chief Information Officer/Chief Information Security Officer,a member of our Senior Management,provides quarter

221、ly updates to the Audit Committee and/or full Board of Directors on company policies,practices and performance with respect to cybersecurity risk assessment and risk management.Strykers Board of Directors and the Boards Committees also oversee the Good Clinical Practice(GCP)program with quarterly up

222、dates from our Global Chief Compliance Officer.Stryker includes select non-financial metrics in the compensation plans of Named Executive Officers(NEOs).The details of our NEOs compensation plan for 2024 are available in our Proxy Statement.CR Steering Committee membersMike AndersonEurope,Middle Eas

223、t,Africa,Latin America and Asia PacificJason BeachInvestor RelationsPaul BeanMedSurg,NeurotechnologyYin BeckerCorporate AffairsBill BerryFinanceEileen BuckleyCorporate ResponsibilityKaty FinkHuman ResourcesColleen FlesherOrthopaedics and SpineTina FrenchCorporate SecretaryJamie Leary-EricksonGlobal

224、Real EstateViju MenonGlobal Quality and OperationsErol OdabasiCorporate Sustainability39Stryker 2024 Comprehensive ReportBusinessAppendixPeopleHealthcare2024 in reviewPlanetGovernance(continued)Risk assessmentIn 2024,Stryker significantly overhauled its annual enterprise-wide risk assessment process

225、 to include more data,more voices,participation from more functions and an enhanced focus on risk tolerance and guardrails.Previously,each function identified key risks independently.Our new process includes a survey of more than 300 leaders across the company to help us establish a more accurate an

226、d broad-ranging picture of the risks we face.We use this process as a baseline for risk assessment discussions with business and function leaders,resulting,we believe,in a more quantitative process and more accurate outcomes.More than 30 identified risk owners participate in risk discussions monthly

227、,quarterly or biannually,depending on risk impact and likelihood.These discussions help create an ongoing process of assessment and control instead of annual reassessment.The Enterprise Risk Management(ERM)program has also deepened connectivity with other risk functions by using a model known as dyn

228、amic risk management.This model facilitates better connectivity on risk identification,assessment and control.For example,the enterprise risk assessment now forms the risk baseline for the strategy formulation process,enabling participants in that process to focus on risks to strategy in addition to

229、 risks to the businesses.Our Board of Directors considers environmental,social and governance risks as part of the ERM process.For example,our ERM program includes consideration of risks associated with climate,emissions,waste and resource depletion.We also regularly assess climate-related risks ass

230、ociated with our operations,technology,current and emerging regulation,and reputation.ERM reports to the Governance and Nominating Committee,as well as the full Board of Directors annually.Company leaders and local managers are responsible for these risks.During shareholder engagement sessions perta

231、ining to CR matters,we typically receive questions about our product quality processes and supply chain practices,governance models,ethical marketing practices and carbon reduction commitments.Political engagement andadvocacyStryker engages political leaders at the United States federal and state le

232、vel,as well as globally,to advocate for policies that support our mission.In 2024,our United States federal lobbying expenses totaled$690,000.Stryker neither operates nor contributes to a political action committee,and we do not make political contributions at the United States federal or state leve

233、l.Stryker is a member of trade associations that engage in advocacy on behalf of their members.In 2024,we paid more than$1,600,000 in dues to U.S.trade associations that included:AdvaMed$1,283,009(14 percent)22 Healthcare Leadership Council$200,000(25 percent)Medical Device Manufacturers Association

234、$135,244(30 percent)40Stryker 2024 Comprehensive ReportBusinessAppendixPeopleHealthcare2024 in reviewPlanetBusiness ethics and integrityStrykers GCP program focuses on our core values and aims to promote ethical behavior in all business transactions.The programs key components of prevention,detectio

235、n and response are guided by applicable laws,regulations and industry standards.Focusing on priority risks and business growthThe compliance risk assessment is a process designed to proactively identify,prioritize and manage compliance risks in collaboration with business and other stakeholders.It e

236、nables Strykers business leaders to make risk-informed decisions,drive sustainable growth and allocate resources effectively by standardizing and consistently applying a global approach to monitor risk trends and evaluate the effectiveness of risk mitigation efforts.Continued areas of focus include

237、interactions with healthcare professionals,management of indirect channels and business development through acquisitions.Stryker sells products directly and through third parties,including independent commission agents,distributors,dealers and resellers,which we refer to as indirect channels(ICs).Ou

238、r IC Management Team provides global oversight,alignment and consistency in managing ICs across geographies.We share periodic newsletters with ICs to provide updates,increase understanding of bribery and corruption risk and focus on appropriate healthcare professional interactions.Newsletters also d

239、irect our ICs to the IC Resource Center,where tools,trainings and templates are available for them to enhance ethical decision-making and build their own compliance programs.Stryker has adopted the AdvaMed Code of Ethics and similar regional and local industry association codes to guide our internal

240、 sales force and ICs regarding ethical interactions with healthcare professionals.Read more about Strykers ethical business practices,including ethical marketing,appropriate promotion and our prohibition on making,offering,accepting or requesting improper payments.Code of ConductCorporate Policy 5:O

241、n-Label Product PromotionCorporate Policy 12:Improper Payments41Stryker 2024 Comprehensive ReportBusinessAppendixPeopleHealthcare2024 in reviewPlanetBusiness ethics and integrity(continued)When evaluating potential acquisitions,Stryker conducts a thorough review of each organizations compliance envi

242、ronment.Strykers dedicated Mergers&Acquisitions(M&A)Team,along with local compliance officers and external advisors,identify business practices that may not align with our standards and develop an integration plan that will be implemented as part of the transaction.The GCP Team onboards acquired com

243、panies into Strykers GCP program through education on policies and processes,and implementation of Strykers compliance systems/controls.Code of ConductStrykers Code of Conduct(Code),available in 21 languages,empowers employees to conduct business in line with our values.Throughout the year,we raise

244、awareness of the Code through employee training and focus on integrating key messages of the Code in targeted communication campaigns.100%of employees completedCode of Conduct training97%of people managerscompleted a new course,Fostering a Culture ofIntegrity in 2024Employees and third parties can r

245、eport ethical concerns or allegations of noncompliance with our Code and Strykers policies and standards to their manager,Compliance,Legal,HR or Strykers Ethics Hotline.The Ethics Hotline is accessible via the web,telephone and text messaging,and allows individuals to report their concerns confident

246、ially and anonymously,if desired.Responsibility for the hotline lies with Strykers Ethics Hotline Committee,which receives regular reports on key trends and critical issues.In 2024,more than 1,700 matters were raised and tracked through the Hotline.As part of our effort to build a culture of integri

247、ty,our global Conflicts of Interest program sets clear expectations for employees about identifying,avoiding,disclosing and managing conflicts.The program includes online learning modules for managers and employees,as well as materials to enhance transparency and guide employees in navigating potent

248、ial conflict situations effectively.42Stryker 2024 Comprehensive ReportBusinessAppendixPeopleHealthcare2024 in reviewPlanetBusiness ethics and integrity(continued)Maintaining our culture ofintegrityOur Code emphasizes the importance of managers creating a“speak up”culture and leading by example.Our

249、global Speak Up Policy encourages employees to report concerns and reinforces our commitment to no retaliation against employees who raise concerns in good faith.In 2024,we updated the Speak Up Policy to address new laws and regulations in certain European countries in response to the EU Whistleblow

250、ing Directive.We also organized a global Integrity Matters Week in 2024,during which we aimed to increase awareness about Strykers Speak Up Policy,with a particular focus on nonretaliation.Through interactive workshops for people managers and role-playing exercises,managers improved their listening

251、skills and learned about the investigation process and how to avoid or identify retaliation.Throughout the year,we issued Integrity Matters newsletters that included updates about our prioritized risk areas,including real-world examples and spotlights on employees who showcased integrity,like speaki

252、ng up and raising concerns.The newsletters,available in multiple languages,also focused on business-related issues for different parts of the company.New in 2024,we introduced guidance for people managers to reinforce the messages shared in these newsletters.43Stryker 2024 Comprehensive ReportBusine

253、ssAppendixPeopleHealthcare2024 in reviewPlanetInformation security and data privacyStrykers cybersecurity program is designed to defend the company and our customers against cybercrime activity around the globe.Our CyberSecurity,Cyber Risk and IT Compliance Team strives to keep Strykers data and ass

254、ets secure while responding quickly to cyber threats and mitigating risks.Our Security Operations Centers and Cyber Fusion Center monitors and detects threat activity 24/7 by gathering,analyzing and acting on intelligence.In 2024,we opened a new Security Operations Center in Warsaw,Poland,to enhance

255、 our security coverage.All of Strykers employees with network access undergo mandatory security education several times a year,including regular cybersecurity awareness training and role-specific security and data protection training.In addition,we provide monthly content for all employees on cybers

256、ecurity topics through newsletters,trainings,in-person sessions,digital signage,our employee social platform,an annual Cybersecurity Awareness Month and local roadshows.Visit our website to learn more about Strykers cybersecurity practices.PrivacyPrivacy is a fundamental aspect of our companys data

257、use and innovation.Our Chief Legal Counsel,Privacy and Technology oversees the Global Privacy organization and program,and leads organizational compliance with laws,regulations and standards.We hold ourselves accountable through comprehensive and role-based training for our workforce and integrating

258、 privacy into data processes and product development.Our practices and standards extend to our third-party partners.Read more about Strykers measures to protect third-party data from unauthorized access or disclosure and our policies on record retention.Code of ConductCorporate Policy 7:Global Infor

259、mation and Systems SecurityCorporate Policy 11:Global Privacy and Data ProtectionManaging artificial intelligence riskThe dynamic landscape of AI and machine learning(ML)technology holds immense promise for revolutionizing healthcare and enabling personalized diagnoses and treatments with unpreceden

260、ted speed and precision.Stryker is an active participant in this transformative journey,evaluating the potential use of AI,ML and deep learning across our development portfolio and internal operations.In 2024,we established an AI Governance Committee dedicated to managing risks and addressing ethica

261、l considerations in Strykers burgeoning AI initiatives.This committee oversees both internal and external AI development and usage,with a goal of our new products meeting the highest standards of safety,effectiveness and security.44Stryker 2024 Comprehensive ReportBusinessAppendixPeopleHealthcare202

262、4 in reviewPlanetHuman rightsThe following practices,captured in our Code and Supplier Code of Conduct,guide how we do business with respect for human rights:No forced labor,involuntary labor or human trafficking No child labor and fair treatment of young workers Fair labor practices Nondiscriminati

263、on and anti-harassment Safe working environmentWe are also guided by global human rights principles,including:International Labour Organization Declaration on Fundamental Principles and Rights at Work Organization for Economic Cooperation and Development(OECD)Guidelines for Responsible Business Cond

264、uct United Nations Guiding Principles on Business and Human Rights Universal Declaration on Human RightsOur Human Rights Council is the highest body responsible for human rights governance and due diligence at Stryker.The Councils members provide input and counsel on human rights strategy and initia

265、tives,embedding and advocating for human rights principles in their respective functions and tracking implementation and results.Our group president of Global Quality and Operations(GQO)serves as executive sponsor.The Council reports directly to Strykers CR Steering Committee and provides regular up

266、dates on human rights topics.We require that Strykers employees who most frequently visit or interact with suppliers complete annual training on the prevention of forced labor and human trafficking in our supply chain.In 2024,100 percent of these employees completed training.We also encourage employ

267、ees to report any human rights concerns to their manager,Legal,Compliance or HR,or by using our Ethics Hotline.Stryker expects third parties,including indirect channels,suppliers,vendors and contractors,to share our commitment to human rights.We engage with suppliers on this topic in accordance with

268、 the OECD Due Diligence Guidance for Responsible Business Conduct.Additionally,human rights topics are addressed in performance assessments in which we engage suppliers to measure progress on responsible,sustainable practices.45Stryker 2024 Comprehensive ReportBusinessAppendixPeopleHealthcare2024 in

269、 reviewPlanetUpstream supply chain managementStryker requires any supplier doing business with us to adhere to our Supplier Code of Conduct through our supplier contracts and purchase order terms and conditions.The Supplier Code communicates our expectations for suppliers in key areas,including:Gene

270、ral business and ethics Human rights Labor and employment Health,safety and environment Intellectual property and dataOur Direct Procurement Team completes annual training focused on understanding the covered topics and assisting suppliers in meeting their obligations under the Supplier Code.In 2024

271、,100 percent of these employees completed this training.Supplier engagement and risk managementWe regularly engage with direct suppliers through our procurement operations and a structured supplier management framework to ensure they understand and meet our expectations.To assess supplier performanc

272、e and foster an open dialogue,we use a balanced scorecard and conduct supplier business reviews with targeted suppliers based on their specific relationship with us.The criteria used in the balanced scorecard and supplier business reviews include responsiveness,delivery,quality,technology,general bu

273、siness(including social and environmental practices and risk topics)and cost.We also continuously monitor risk indicators that inform our risk mitigation activities and sourcing decisions.Specific to human rights,environment and ethics,we assess our direct suppliers through recognized third-party pl

274、atforms leveraging a risk-based approach.Once a supplier has completed an assessment,we review the results and provide feedback as necessary.When we identify areas for improvement,we direct suppliers to relevant development resources available through these platforms and align with them on their imp

275、rovement efforts.Supplier engagement targetEngage 85%of our direct suppliers(by spend)on environmental,human rights and ethical performance by 2027.23 To date,weve assessed suppliers covering 70%of our 2024 direct spend,keeping us on track to meet our 2027 target.46Stryker 2024 Comprehensive ReportB

276、usinessAppendixPeopleHealthcare2024 in reviewPlanetUpstream supply chain management(continued)Supplier quality managementIn order to drive product quality and compliance with regulations and standards,such as International Organization for Standardization(ISO)13485,we implement robust processes to m

277、anage our suppliers.Our approval process includes classifying suppliers by category and risk on our quality-controlled approved supplier list.We evaluate and onboard suppliers to assess their ability to meet quality requirements.This may include execution of audits,quality agreements and other deliv

278、erables,commensurate with risk.Changes to products or processes that may impact quality as per our supplier agreements,are required to undergo a rigorous review and approval process by Strykers Quality Team.Suppliers who propose a quality-impacting change to products must follow a formal risk-based

279、change approval process to ensure that products continue to meet Strykers and customers expectations.Ways we engage with our suppliers to improve quality performance include:Monitoring key performance indicators,including those related to supplier defects per million,product nonconformances,correcti

280、ve and preventive actions,nonconformances not in Strykers control and product field actions Partnering with suppliers to implement quality improvement projects Executing product and process audits Conducting Supplier Quality Onboarding Days,which give suppliers resources to understand our quality re

281、quirements and expectations Holding Supplier Quality Symposiums,both in person and virtually,where suppliers can learn about Strykers quality programs and best practices Providing supplier trainings focused on topics such as line clearance,labeling,human error and risk management Sharing our Supplie

282、r Quality GuidebookIn 2024,we focused on even greater standardization and leaning out of our supplier quality management processes,enabling us to improve upon our quality and service targets for customers.Our conflictminerals reportingWe support the responsible procurement of tin,tantalum,tungsten a

283、nd gold,commonly referred to as conflict minerals,including those that originate from the Democratic Republic of the Congo and adjoining countries.We maintain a Conflict Minerals Policy and provide updates on our efforts in a Conflict Minerals Report,filed annually with the Securities and Exchange C

284、ommission in accordance with the U.S.Dodd-Frank Act.Additionally,we are members of the Responsible Minerals Initiative,which provides companies with tools and resources supporting responsible procurement from conflict-affected and high-risk areas.47Stryker 2024 Comprehensive ReportBusinessAppendixPe

285、opleHealthcare2024 in reviewPlanetUpstream supply chain management(continued)Supplier diversityWe drive positive company and community outcomes by engaging a diverse supply chain to support innovation,resiliency and growth.Strykers Supplier Diversity Council,consisting of senior functional leaders f

286、rom across the company,meets quarterly to oversee the implementation of our strategy.The work of the Council centers on:Building awareness Identifying and growing our business with our current qualified diverse suppliers Identifying new capable diverse suppliers with potential to support future oppo

287、rtunities Engaging our supply base to expand positive supplier diversity outcomesWe engaged externally on supplier diversity topics in 2024 by participating in:National Minority Supplier Development Council Annual Conference and Exchange Womens Business Enterprise National Council National Conferenc

288、e Michigan Diversity Connections events2024 North America spend24$320M with diverse-owned businesses$505M with small businessLearn more about supplier diversity at Stryker on our website.48Stryker 2024 Comprehensive ReportBusinessAppendixPeopleHealthcare2024 in reviewPlanetAppendix49Stryker 2024 Com

289、prehensive ReportAppendixPeopleHealthcare2024 in reviewPlanetBusinessAbout this reportStrykers 2024 Comprehensive Report provides an integrated picture of our financial and corporate responsibility(CR)performance.Further reporting on other matters specific to financial performance can be found in ou

290、r filings with the U.S.Securities and Exchange Commission(SEC),including our Annual Report on Form 10-K and Quarterly Reports on Form 10-Q.Further reporting on other matters specific to our CR performance can be found on our Corporate Responsibility reports and resources webpage.This material refere

291、nces the Global Reporting Initiative(GRI)Universal Standards.We also include information sought by the Sustainability Accounting Standards Board(SASB)Index,and the Task Force on Climate-related Financial Disclosure(TCFD).Our GRI,SASB and TCFD content indexes are available on our Corporate Responsibi

292、lity reports and resources webpage.The process to collect and review the data in this report involves a team of Strykers leaders and subject matter experts,including data analysts,and seeks to preserve data integrity and accuracy.We welcome your questions and feedback on this report at CR.50Stryker

293、2024 Comprehensive ReportAppendixPeopleHealthcare2024 in reviewPlanetBusinessReferencesThe inclusion of information in this report should not be construed as a characterization regarding the materiality or financial impact of that information.For additional information regarding Stryker Corporation,

294、please see our current and periodic reports filed with the SEC,including our Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q.2024 in review 1.Adjusted net earnings and adjusted net earnings per diluted share are non-GAAP financial measures.Refer to page 58 for a reconciliation to the

295、most directly comparable GAAP financial measures,net earnings and net earnings per diluted share.2.Our priority topics are identified through a prioritization assessment involving review of frameworks and regulations,engagement with key internal and external stakeholders and peer benchmarking.We con

296、tinue to monitor frameworks and regulations and evolve our approach by considering concepts introduced by such frameworks and regulations and adapting our reporting approach as needed.Topics may be added or removed from this list accordingly.Better healthcare 3.Strykers internal data on file 4.Kayan

297、i B,Konan S,Tahmassebi J,Rowan F,Haddad F.An assessment of early functional rehabilitation and hospital discharge in conventional versus robotic-arm assisted unicompartmental knee arthroplasty:A PROSPECTIVE COHORT STUDY.Bone Joint J.2019;101-B:24-33.5.Kayani B,Konan S,Tahmassebi J,Pietrzak J,Haddad

298、F.Robotic-arm assisted total knee arthroplasty is associated with improved early functional recovery and reduced time to hospital discharge compared with conventional jig-based total knee arthroplasty:A PROSPECTIVE COHORT STUDY.Bone and Joint Journal.2018;100-B:930-7.6.Shibanuma N,Ishida K,Matsumoto

299、 T,et al.Early postoperative clinical recovery of robotic arm-assisted vs.image-based navigated total hip arthroplasty.BMC Musculoskelet Disord.2021;22(1):314.7.Number of ASCs per State.Ambulatory Surgery Center Association(ASCA).https:/www.ascassociation.org/asca/medicare/asc-map/ascs-per-state 8.H

300、ula,N.,Wiles,E.4 considerations for creating successful ASC strategies.Advisory Board.https:/ 9.Nam D,Bhowmik-Stoker M,Mahoney OM,Dunbar MJ,Barrack RL.Mid-term performance of the first mass-produced three-dimensional printed cementless tibia in the United States as reported in the American Joint Rep

301、lacement Registry.J Arthroplasty.2023 Jan;38(1):85-89.10.Sharpe,K,Robinson,K,Cohen,R,Barnett TM,Rastogi,A,Masini,M.Does implant fixation affect early return to function following primary total knee arthroplasty.ISTA.2018.London,UK.11.Hannon CP,Salih R,Barrack RL,Nunley RM.Cementless versus cemented

302、total knee arthroplasty:Concise midterm results of a prospective randomized controlled trial.JBJS.2023 Jun 22:10-2106.12.Nam,D,et al.Cemented versus cementless total knee arthroplasty of the same modern design:A prospective,randomized trial.The Journal of Bone and Joint Surgery.101(13):1185-1192,Jul

303、y 3,2019.doi:10.2106/JBJS.18.01162.13.Lawrie CM,Schwabe M,Pierce A,Nunley RM,Barrack RL.The cost of implanting a cemented versus cementless total knee arthroplasty.Bone Joint J.2019 Jul;101-B(7_Supple_C):61-63.doi:10.1302/0301-620X.101B7.BJJ-2018-1470.R1.PMID:31256655.51Stryker 2024 Comprehensive Re

304、portAppendixPeopleHealthcare2024 in reviewPlanetBusinessReferences(continued)Healthier planet 14.Our 2022 Scope 1 and 2 carbon emissions received external verification using the ISO 14064-3:2019 standard.To meet future assurance standards requirements,we initiated external data assurance for 2023 da

305、ta using the International Standard on Assurance Engagements(ISAE)3000 standard;this is now complete,please see page 55.As our methodologies evolve,this may result in updates to our future emissions reporting.15.Based on 2022 demand.Our 2024 carbon data will be verified in Q2 2025.16.LCA of Two Join

306、t Replacement Manufacturing Processes.Accessed February 3,2025.17.Comparative LCA of Trident II Acetabular hip cup production using additive and subtractive manufacturing.Accessed January 5,2024.18.Internal Material usage and tact time report,2024.19.https:/manuals.eifu.abbott/en/detail-screen.htmlA

307、bbott Ensite X Catheter Connector Cables IFU 20.Data on file,2024 according to ISO 14067 compliant CFP study“Comparative Carbon Footprint of Single Use Medical Devices,”dated May 26,2023 21.Data on fileGood business 22.Percentage of dues paid to each trade association that is attributable to advocac

308、y.23.Goal language has been updated to provide additional specifics on our assessment.24.Reporting period is Q4 2023 to Q3 2024.52Stryker 2024 Comprehensive ReportAppendixPeopleHealthcare2024 in reviewPlanetBusiness2023 environmental performanceScope 1 and 2 GHG emissions by yearGreenhouse gas(GHG)e

309、missions(MT CO2e)2023202220212019*Scope 1 GHG emissions(natural gas and diesel)25,673 26,705 24,113 27,076Scope 1 fleet 26,386 26,225 24,993 23,221Scope 1 refrigerants 2,795 4,453 4,082 3,553Scope 2 market-based(MB)emissions 81,619 117,059 120,269 146,705Total GHG emissions(Scope 1+Scope 2 MB)136,47

310、3 174,442 173,457 200,555Percentage change in GHG emissions compared to 2019 baseline-32%-13%-14%Percentage change in GHG intensity compared to 2019 baseline(MT CO2e/million USD)-51%-30%-25%Greenhouse gas(GHG)Scope 1 emissions by region(MT CO2e)2023202220212019North America(NAM)35,09730,62026,63029,

311、037Europe,Middle East and Africa(EMEA)15,09820,59920,63919,269Asia Pacific(APAC)3,8304,5714,3994,126Latin America(LATAM)8291,5921,5201,414Greenhouse gas(GHG)Scope 2 emissions(MB)by region(MT CO2e)2023202220212019NAM49,70388,85088,80489,243EMEA12,0148,05810,04532,146APAC16,28619,79321,06424,966LATAM3

312、,616357357350*Baseline year53Stryker 2024 Comprehensive ReportAppendixPeopleHealthcare2024 in reviewPlanetBusiness2023 environmental performance(continued)Greenhouse gas(GHG)Scope 1(Excluding Fleet)emissions by facility(MT CO2e)2023202220212019Manufacturing Global Quality and Operations(GQO)21,44824

313、,13922,08724,866Office/warehouse(non-GQO)7,0207,0206,1085,763Greenhouse gas(GHG)Scope 2 emissions(MB)by facility(MT CO2e)2023202220212019Manufacturing(GQO)49,97080,26483,175102,632Office/warehouse(non-GQO)31,64936,79537,09444,072Assured data 2023Total Scope 1 GHG emissions54,854 MT CO2eTotal Scope 2

314、 GHG emissions(location-based)142,378 MT CO2eTotal Scope 2 GHG emissions(market-based)81,619 MT CO2eTotal Scope 1 and 2 GHG emissions(market-based)136,473 MT CO2eTotal renewable energy45%54Stryker 2024 Comprehensive ReportAppendixPeopleHealthcare2024 in reviewPlanetBusiness55Stryker 2024 Comprehensi

315、ve ReportAppendixPeopleHealthcare2024 in reviewPlanetBusinessForward-looking statementsThis Report contains information that includes or is based on forward-looking statements within the meaning of the federal securities law that are subject to various risks and uncertainties that could cause our ac

316、tual results to differ materially from those expressed or implied in such statements.Such risks and uncertainties include,but are not limited to:weakening of economic conditions,or the anticipation thereof,that could adversely affect the level of demand for our or Inari Medical,Inc.s(“Inari”)product

317、s;geopolitical risks,including from international conflicts,which could,among other things,lead to increased market volatility;pricing pressures generally,including cost-containment measures that have adversely affected and could in the future adversely affect the price of or demand for our or Inari

318、s products;changes in foreign currency exchange markets;legislative and regulatory actions;unanticipated issues arising in connection with clinical studies and otherwise that affect approval of new products,including Inari products,by the United States Food and Drug Administration and foreign regula

319、tory agencies;inflationary pressures;increased interest rates or interest rate volatility;supply chain disruptions;changes in labor markets;changes in coverage and reimbursement levels from third-party payors;changes in the competitive environment;breaches,failures or other disruptions of our or our

320、 vendors or customers information technology systems or products,including by cyber attack,data leakage,unauthorized access or theft;a significant increase in product liability claims;the ultimate total cost with respect to recall-related and other regulatory and quality matters;the impact of invest

321、igative and legal proceedings and compliance risks;resolution of tax audits;changes in tax laws and regulations;the impact of legislation to reform the healthcare system in the United States or other countries;costs to comply with medical device regulations;changes in financial markets;changes in ou

322、r credit ratings;our ability to integrate and realize the anticipated benefits of acquisitions in full or at all or within the expected timeframes,including our acquisition of Inari;our ability to realize any anticipated cost savings;potential negative impacts resulting from climate change or other

323、environmental,social and governance and sustainability-related matters;the impact on our operations and financial results of any public health emergency and any related policies and actions by governments or other third parties;unexpected liabilities,costs,charges or expenses in connection with the

324、acquisition of Inari;and the effects of the Inari transaction on the parties relationships with employees,customers,other business partners or governmental entities.Additional information concerning these and other factors is contained in our filings with the United States Securities and Exchange Co

325、mmission,including our Annual Report on Form 10-K and Quarterly Reports on Form 10-Q.We disclaim any intention or obligation to publicly update or revise any forward-looking statement to reflect any change in our expectations or in events,conditions or circumstances on which those expectations may b

326、e based,or that affect the likelihood that actual results will differ from those contained in the forward-looking statements,except to the extent required by law.56Stryker 2024 Comprehensive ReportAppendixPeopleHealthcare2024 in reviewPlanetBusinessLegal disclaimersThis reports goal is to inform the

327、 companys results in 2024;it is not intended to promote our products.This report contains many of the valuable trademarks owned and/or used by Stryker and our subsidiaries and affiliates in the U.S.and internationally to distinguish products and services of outstanding quality,including the followin

328、g:Artelon,care.ai,FlexBand,HeartSine,LIFEPAK,Mako,Mild,Our goal is zero,Pangea,QuikFlap,Samaritan,SmartRobotics,Stryker,Together with our customers,we are driven to make healthcare better.,Triathlon,Trident,Vertos Medical,and Vocera.All other trademarks are trademarks of their respective owners or h

329、olders.This document is governed solely by applicable U.S.laws and governmental regulations.Laws,regulations and policies concerning coverage and reimbursements are complex,subject to change and updated regularly.Information in this report regarding our corporate responsibility and sustainability re

330、porting may,in certain cases,provide more detail than that required to be included in our filings with the Securities and Exchange Commission.In addition,the data in this report has been prepared using data and methodologies which are subject to certain limitations,including developments in:(a)appli

331、cable laws and regulations;(b)techniques and standards for measuring and analyzing relevant data;(c)judgments,estimations and assumptions;and(d)availability of relevant data.Climate-related laws and regulations,data and methodologies are rapidly evolving,and those underlying our corporate responsibi

332、lity and sustainability reporting remain subject to change over time.As a result of improvements to the quality and completeness of our data and updates to our methodology over time,we may include information in future disclosures that differs from those contained in this report.Actual results and o

333、utcomes may differ from those expressed in or implied in this report due to,among other factors,any applicable legal requirements and/or industry standards in providing such data.Patient outcomes following surgical procedures vary based on various factors,including but not limited to patient height,weight,activity level,comorbidities,and surgical technique.The patient activities reflected in image