LOCKHEED MARTIN CORP

We apply ethics, prudence and training to oversee and deploy artificial intelligence

The Board oversees the Company’s governance of AI and related risks. Senior leadership, including the Chief Technology Officer, discusses our AI strategy with the Board and in 2024 the Board will receive at least two AI briefings. We analyze AI risks through our Enterprise Risk Management process and include AI risk discussions with the Audit Committee. In 2023, senior leadership and subject matter experts discussed with the Audit Committee the use of AI in finance, accounting and auditing applications. The CBS Committee regularly assesses AI matters in the context of our classified programs. The Governance Committee oversees our Sustainability Management Plan, which includes a goal for training AI developers in system engineering approaches to AI ethical principles.

Our Code of Ethics and Business Conduct and our corporate policy “Ethical Development and Use of Artificial Intelligence” together guide Lockheed Martin’s ethical development and use of AI. In 2023, we added AI ethics to our Code of Ethics and Business Conduct and developed and beta tested training materials. We created an AI Ethics Subcommittee in 2020, under the direction of the AI Executive Steering Committee, that oversees AI design, development, deployment and internal use aligned to our adopted principles for the responsible use of AI. These principles are: responsible, equitable, traceable, reliable and governable. We were one of the first large organizations to wholly adopt these principles developed by the U.S. Department of Defense and use them as the foundation for our AI program. This reflects our strong history of ethical use of technology, our Code of Ethics and Business Conduct, and our Core Values. The Artificial Intelligence Ethics Subcommittee includes representatives from all business segments, our Advanced Technology Laboratory and from our human resources, communications, legal, ethics and business transformation functions. The subcommittee meets monthly and reports quarterly to the AI Executive Steering Committee. Both our Chief Engineer and Senior Vice President, Engineering and Technology and our Senior Vice President, Ethics and Enterprise Assurance review performance on a periodic basis and serve as the Executive Leadership Team’s leaders responsible for ethical use of AI.