Better Health for All

The provided articles do not contain specific, quantifiable data points that align with the thresholds defined in the rubric for any of the 'Better Health for All' KPIs. While some articles mention the use of FARO's products in medical applications, such as craniofacial measurements and surgical planning,

and an accuracy improvement for the Quantum X FaroArm Series, they do not provide percentages of the product portfolio dedicated to health, revenue from health-related products, safety records, pricing, accessibility, investment in health innovation, or any other metrics required by the rubric. Therefore, no KPIs can be scored.

Fair Money & Economic Opportunity

FARO Technologies, Inc. designs, develops, manufactures, markets, and supports software and hardware 3D measurement, imaging, and realization solutions. Its core business is not in financial services, lending, or banking. The provided articles focus on the company's financial performance and general ESG commitments, but contain no evidence that FARO.US offers any lending, insurance, or money management services to consumers or businesses.

Therefore, all KPIs related to financial products, services, and their impact on economic opportunity for underserved populations are not applicable to the company's operations.

Fair Pay & Worker Respect

For 2024, the ratio of the President and CEO’s annual total compensation to the median employee’s annual total compensation was approximately 64:1.

The company states that management maintains a positive working relationship with employees and works councils in Germany and France, and has adopted a Human Trafficking Awareness policy and Compliance plan.

Fair Trade & Ethical Sourcing

FARO prohibits all forms of forced labor, human trafficking, and child labor in its operations and expects the same from its business partners

. The company requires suppliers to engage in responsible business practices, adhering to a Supplier Code of Conduct that covers labor standards, health and safety, environmental issues, and business ethics . Compliance with internal policy and legislation, as well as human rights standards, is monitored through audits, assessments, and contractual obligations . FARO's products contain trace amounts of tin, tungsten, tantalum, and/or gold (3TG) . For these materials, FARO identified 47 suppliers and received responses from 46 (98%) of them , requiring certification that conflict minerals are sourced from “conflict free” smelters . FARO provided suppliers with the Responsible Minerals Initiative's Conflict Minerals Reporting Template and planned further engagement, due diligence, and training for 2021 . External partners are required to comply with all applicable environmental laws and regulations, including the European Union's RoHS and REACH directives . Environmental incidents are investigated to establish preventative measures , and salient environmental risks are identified for mitigation . Employees receive annual training on their environmental management system roles , and transparent reports on environmental performance are provided annually .

Honest & Fair Business

FARO's board of directors has affirmatively determined that 8 out of 9 members are independent, representing approximately 89% of the board.

The company has an anti-corruption policy, and required employee training includes annual courses on bribery, corruption, and insider trading, but the frequency and effectiveness metrics of this training are not publicly measured. A third-party Ethics Hotline and non-retaliation practices are in place, and an executive's offer letter includes a protected activity clause for whistleblowing, but there is no explicit evidence of independent investigation processes for general reports. FARO is ISO certified in three categories (ISO 17020, ISO 17025, and ISO 9001), which involves mutual due diligence with independent agencies and internal quality assurance safeguards. The company also provides a free standalone Scan Verification tool to ensure data integrity for its products.

No War, No Weapons

No specific, quantitative, or factual evidence was found in the provided articles to assess FARO.US against any of the 'No War, No Weapons' KPIs. The articles either contained no relevant data or were inaccessible.

While one article mentions FARO's solutions for the defense industry, it provides no quantitative data on revenue, R&D investment, or other specific metrics required by the rubric to assign a score for any KPI.

Planet-Friendly Business

FARO Technologies, Inc. has no reported regulatory actions, violations, fines, or compliance issues.

The company has a stated GHG emissions reduction target of 25% by 2025, as noted in its August 23, 2022, sustainability report.

Respect for Cultures & Communities

FARO's 3D scanning and software technology is actively used for cultural site protection, historic preservation, and restoration.

The company has provided technology to preserve history and culture, including a project involving the transfer of large artifacts from the National Egyptian Museum to the new Grand Egyptian Museum. There are no reported cultural appropriation incidents. While FARO provides technology for cultural preservation, there is no specific percentage of reinvested funds allocated to cultural or linguistic preservation programs. The company has not reported any incidents disrupting cultural or heritage sites.

Safe & Smart Tech

FARO Technologies has not had a significant data breach in the past 5 years, with the last documented ransomware attack occurring in May 2020.

The company's AI Governance program actively tracks compliance, regulatory, and best practices against standards such as ISO 42001:2023, ISO 23894:2023, NIST SP 600-1, and the European Union Artificial Intelligence Act. FARO holds ISO 27001:2022 certification and undergoes annual SOC 2 Type II audits. It is also ISO 9001:2015 certified in several locations and has ISO/IEC 17025:2017 accreditations at many sites. All employees receive annual security, privacy, and regulatory training commensurate with their role. The company uses FIPS 140-2 compliant AES256-CBC encryption or greater for data at rest and TLS 1.2 or greater for data in motion. FARO prohibits unauthorized access to confidential or personal information and implements least access privilege. Its privacy program aligns to GDPR requirements for data subject rights, and it supports multi-factor authentication. The company maintains an active vulnerability management program, utilizing a managed security provider for vulnerability scanning and monitoring. However, FARO does not have a bug bounty program. Third-party security testing is performed at least annually. The company states that only the minimum necessary personally identifiable information (PII) is present on its products to provide access to platform users. FARO has faced regulatory issues, including a $12.3 million settlement with the GSA in 2021 for potential overcharging and a monitorship related to FCPA violations in China that expired in 2012.

Zero Waste & Sustainable Products

FARO is exploring the use of recycled materials to enhance circularity

and designs products using environmentally-friendly materials where possible , indicating minimal consideration of product end-of-life in the design process. The company has programs in place to conserve electricity and reduce solid waste across offices and manufacturing facilities, which include recycling paper products and manufacturing scrap, and disposing of computer equipment and raw materials. FARO works with a third party that manages hydraulic fluids appropriately on-site and disposes of them according to EPA regulations. The company has not incurred any waste disposal violations in the past three years. FARO has a company-wide target to reduce greenhouse gas emissions by 25% by 2025. Suppliers are required to comply with all applicable environmental laws and regulations, including the EU RoHS and REACH directives, and are expected to reduce solid waste, wastewater, and air emissions. FARO's technology enables customers to reduce rework, waste, and scrap.