Sustainability Governance

The Lockheed Martin sustainability governance structure is composed of the Nominating and Corporate Governance Committee of the Board of Directors, the Executive Leadership Team, the Risk and Compliance Committee (RCC) and the Sustainability Management Team.

Our senior vice president, Ethics and Enterprise Assurance, oversees all sustainability programs and serves as Lockheed Martin’s chief sustainability officer. This position reports directly to the chairman, president and chief executive officer and provides regular updates to the Nominating and Corporate Governance Committee.

We link incentive compensation for Lockheed Martin executives to performance on certain sustainability factors, such as attracting and retaining a premier workforce, protecting data from cyber intrusion, ensuring the safety of products and services and stewarding climate responsibility.

See our 2024 Proxy Statement for more information.

Board of Directors

Chairman, President and CEO

Nominating and Corporate Governance Committee

Nominating and Corporate Governance Committee

This committee oversees performance in corporate sustainability, employee safety and health, environmental stewardship, ethical business practices, and diversity and inclusion — all inextricably linked to our sustainability commitments. Members of the Nominating and Corporate Governance Committee annually review company performance against the SMP and the Sustainability Performance Report.

Executive Leadership Team

Chairman, President and CEO

Chief Operating Officer
Senior Vice Presidents, Business Functions
Chief Financial Officers
Business Area Presidents

Executive Leadership Team

This team oversees the sustainability program, supporting the Lockheed Martin strategic plan by enabling personnel in business areas and functions to pursue and implement opportunities and practices that support the corporate sustainability policy. The Executive Leadership team reviews SMP performance twice per year.

Risk and Compliance Committee

Chair: Senior Vice President, Ethics and Enterprise Assurance

Vice Presidents of Business Areas and Corporate Functions

Risk and Compliance Committee

This committee oversees enterprise risk management activities to inform senior executives and the Board on strategic, operational and compliance risk management efforts. The RCC also provides a forum for business area and corporate functional representatives to review and guide enterprise sustainability initiatives and provide input to SMP execution.

Sustainability Management Team

Chair: Director of Sustainability

Directors and Senior Managers responsible for functions related to specific SMP goals

Sustainability Management Team

This team convenes regularly to review SMP progress, review opportunities for program enhancement, and share internal and external insights and best practices.

In addition to our general sustainability governance, Lockheed Martin has strong frameworks for the governance of key topics described below. For further information on Lockheed Martin’s stakeholder governance and the management of our sustainability priorities, please visit our Materiality Assessment or 2025 Sustainability Management Plan website.

Visit our Disclosure Hub to read our guidelines and policies.

Climate Strategy

We are committed to building a strong foundation to support long-term decarbonization, including energy efficiency, renewable energy, carbon removal and carbon offsets. Lockheed Martin’s senior vice president, Ethics and Enterprise Assurance, has leadership oversight for these efforts and provides performance reporting to the Executive Leadership Team. To read more about the acceleration of our carbon strategy and approach to climate-related risk management, visit our Carbon Strategy website. To read more about our climate-related risk analysis, download our Latest Climate-Related Risks and Opportunities report, which is aligned with the Task Force on Climate-related Financial Disclosures (TCFD), and our 2023 Climate Disclosures Project (CDP) Report.

Enterprise Risk Management

Management is responsible for executing the enterprise risk management (ERM) process and the day-to-day management and mitigation of risks, and the Board of Directors is ultimately responsible for Lockheed Martin’s risk oversight. Corporate executives provide the Board and its committees with reports on enterprise-wide, business area and strategic risks. Two primary components of the ERM process are an annual strategic and operational enterprise risk assessment and a biennial compliance risk assessment (CRA). Both assessments are associated with our sustainability strategy, but the latter intentionally integrates our sustainability initiatives to ensure a comprehensive approach to risk management. Approximately 800 subject matter experts across the company are surveyed on compliance risks and vulnerabilities in relation to sustainability matters. Risk owners are identified to address recommendations surfacing from the CRA. The RCC and Integrated Risk Council review the outcomes of both assessments and their accompanied recommendations for mitigation actions. Their outcomes are subsequently reported to the Audit Committee of the Board of Directors. During the last compliance assessment in 2022, the use of artificial intelligence (AI) was one of the new emerging risk topics, and steps were taken to mitigate potential risks, such as including AI ethics in our Code of Ethics and Business Conduct and the development of a “consent-to-use” training program. The latest compliance risk assessment took place in the first quarter of 2024.

Global Diversity and Inclusion

Our global diversity and inclusion (GD&I) strategy is part of the fabric of our core values and is imperative to our success. We know Lockheed Martin’s diverse and inclusive workforce enhances our collective power and ability to recognize, value and draw upon unique perspectives and experiences to drive innovation and solve our customers’ toughest challenges. Our strategy is underpinned by robust policies, which protect employees and exemplify the inclusive culture we strive to foster. Senior responsibility for diversity and inclusion is held by our senior vice president and chief human resources officer and our vice president, Global Diversity and Inclusion. We believe accountability sets the tone at the top to advance representation, accelerate inclusive organizational capabilities and integrate GD&I into business operations. To learn more, visit our Diversity and Inclusion website.

Human Rights

At Lockheed Martin, we believe respect for human rights is an essential element of being a good corporate citizen and is integral to the long-term success of the company. Treating employees with respect, minimizing negative consequences of our business activities, and contributing to economic and social well-being are all key components of our Human Rights Policy and Principles. Lockheed Martin’s activities comply with the laws and regulations of the countries in which we operate, except where such laws conflict with U.S. law, and our compliance with them is reinforced by our robust integrated assurance program and board of directors’ oversight of our enterprise risk management process. Respect for human rights in our operations and supply chain is ingrained through strong policies and training to educate employees and third parties on human rights issues and risks. Our due diligence processes are embedded within our operating and decision-making practices and procedures and are supported by formal grievance mechanisms that can be used by internal and/or external parties to notify and inform us of potential misconduct. To learn more, visit our Human Rights website and read our Human Rights Report.

Political and Public Policy Participation

Lockheed Martin is committed to participating in the political and public policy process in a responsible and ethical way that serves the best interests of our stockholders and customers. Decisions regarding corporate political and public policy activities are managed by the senior vice president, Lockheed Martin Government Affairs, following coordination with individual Lockheed Martin elements in accordance with established policies and procedures and they are ultimately overseen by the Nominating and Corporate Governance Committee of the Board of Directors. Further information on our engagement in the legislative process and political and public policy activities, including our advocacy efforts, government affairs activities, trade association activities and political spending, is available on our Political Disclosures website. In 2022, we completed an evaluation of the public policy positions of selected trade and industry associations of which we are members to assess their alignment with our Sustainability Policy and program. The results can be found on our Climate Strategy website.

Visit our Disclosure Hub to read our guidelines and policies.

Last updated: April 2024