Resource Efficiency

objective
To increase business resiliency and accelerate carbon reduction through improved energy and water management, materials conservation and increased use of renewable energy.
SCIENCE

We lead by example in helping our customers achieve sustainability goals. We go beyond compliance to reduce our operations’ environmental impact through facility upgrades, technology adoption and process improvements.

CITIZENSHIP

We work to mitigate our impact on the planet’s finite resources by aligning with and exceeding government, industry and societal expectations for environmental stewardship.

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IMPORTANCE

Our lifecycle-based assessments show our operations’ biggest opportunities are to reduce energy use and greenhouse gas (GHG) emissions. Our largest overall GHG challenge is the environmental footprint of our products during the customer use phase, constituting nearly 70 percent of our impact. Financially, we could be affected by future remediation requirements or regulations developed in response to federal, state, local and global concerns for climate risks, other aspects of the environment or natural resources. We reduce our footprint, and that action results in industry-leading outcomes. The Board of Directors and the Executive Leadership Team review our environmental performance at least twice annually.


factors

Energy and carbon management

Managing energy use and GHG emissions associated with company operations, including  fforts to promote energy and water efficiency, use renewable energy and offset emissions.

Hazardous materials and chemicals management

Efforts to manage and reduce hazardous materials and chemical substances throughout our operations and across our value chain, consistent with internationally recognized standards.

Remediation

Efforts to alleviate impacts on the environment and resolve environmental liabilities derived from legacy operations or acquisitions


Operations Goals and Progress2

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2 Includes IS&GS, excludes Sikorsky. Reflects performance from November 2015 through October 2016.

3 Reported for our largest active 72 facilities in the United States, United Kingdom, Canada and Mexico.

4 Reflects Scope 1 and 2 emissions plus an estimate for leased facility space where we do not collect actual data. Reflects unbundled RECs, an off-site power Purchase Agreement and on-site renewable generation. Percent reduction reflects a more conservative calculation based on a lower baseline than is shown here. The lower baseline includes cumulative adjustments to our facilities’ footprint and carbon emissions factors, to best represent current operations. We will re-baseline to incorporate Sikorsky and current emissions protocol in future reporting.

5 2016 water data is reported for our largest 44 facilities in the United States.

Science-based methodologies

Our voluntary carbon emissions targets1 and results outperform a science-based threshold to stabilize atmospheric carbon emissions. Using the Center for Sustainable Organizations’ Context-Based Carbon Metric methodology, we produce less carbon emissions than would be allocated based on our contribution to gross domestic product (GDP).

The 1.0 threshold results from the ratio of the actual emissions to allocated emissions, based on a company’s contribution to GDP.

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1 To account for Lockheed Martin’s acquisition of Sikorsky in November 2015, both the gross margins and estimated carbon data (for 2010-2016) used to obtain the context-based score include Sikorsky. To account for Lockheed Martin’s divestiture of parts of the Information Systems & Global Solutions business segment in August 2016, gross margins (2014-2016) were restated, and the estimated carbon data (2010-2016) excludes emissions from the divested parts of the business segment.