At Lockheed Martin, we integrate sustainability throughout our business strategy. To understand the issues that are most material to our business, it is vital to engage with a wide range of stakeholders to seek feedback and input and to analyze industry trends. Material issues inform our Sustainability Management Plan (SMP), which provides a strong framework to clearly define our goals and drive our sustainability progress. We also report on other potentially relevant sustainability topics which are not considered material but enhance our ongoing support of our workforce, reducing our environmental footprint, positively contributing to our communities and upholding our commitment to integrity.

Lockheed Martin performs a formal materiality assessment every few years to ensure that we continue to prioritize issues that are relevant to our business from a financial, societal or environmental impact perspective. In between the formal assessments, we regularly review trends and make adjustments to our strategy as needed. Our materiality assessment process involves engaging a diverse group of global internal and external stakeholders, including employees, leaders, suppliers, customers, investors, academia and non-governmental organizations through surveys, interviews, and other outreach. 

Our latest double materiality assessment has been informed by the European Sustainability Reporting Standards (ESRS) framework. We further align our processes and reporting according to the International Sustainability Standards Board (ISSB). 

Our Sustainability organization oversees the materiality assessment process. Our Executive Leadership Team, led by our president and chief executive officer, provides final approval of the material issues, which are then presented to the Nominating and Corporate Governance Committee of the Board for concurrence. Our Sustainability organization works with relevant internal functions to create specific business goals aligned with each priority issue that are used to track performance. The focus issues identified in our materiality assessment include important topics to monitor as we evolve our programs. The cross-functional Sustainability Management Team regularly reviews SMP progress and the Risk and Compliance Committee provides a forum for business area and corporate functional executive leadership to review and guide enterprise sustainability initiatives.  

To learn more about the management of each SMP issue, visit our 2030 SMP Management website.

At Lockheed Martin, we have developed robust processes to monitor emerging issues and continue to evolve our sustainability efforts as needed. Our dedicated Sustainability organization includes experienced and expert staff who maintain currency with global program and reporting compliance requirements, emerging priorities, and trends. In addition, we actively participate in sector-specific and broad industry organizations and forums, and we conduct formal and informal benchmarking of our programs, priorities, and goals. As a company, we maintain active engagement with our investors, customers and a broad range of both internal and external stakeholders.