Audit Committee Overview slide image

Audit Committee Overview

BAE SYSTEMS Corporate Responsibility Committee - how it works The Committee provides review and oversight of the Company's CR Agenda, through - • . • . Established annual rolling agenda focused on responsible trading policy, anti-bribery & corruption, safety & wellbeing, environment, diversity & inclusion Assurance of compliance with corporate policy & process through • Direct engagement with line management, employees and employee groups • Review of performance metrics • • Review of Internal Audit programme and findings Site visits (see below) Other indicators (e.g. Employee Opinion Surveys, external benchmarking surveys) Setting CR objectives for the CEO and providing recommendation to RemCo on performance rating Annual site visits to confirm effective implementation of corporate approach at business level (visits to date: US Shipyards, UK Munitions, UK Submarines, UK Air, India, MBDA (UK), US Electronic Systems, US Ordnance) Direct employee engagement during site visits & meetings with High Potential employees. Attendance at Trade Union and other employee events (e.g. Graduate Conference) • Approving external reporting (through Annual Report) and external assurance report Sustainability Agenda fundamental to the success of our business Copyright 2020 BAE Systems. All Rights Reserved. BAE SYSTEMS is a registered trademark. 18
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