Lendlease Annual Report 2024

Risk and Climate- Related Resilience 43 Enterprise risk management Lendlease identifies six enterprise risks that relate to its strategic and operational activities. These risks encompass various aspects, including financial, people and sustainability. Risk management is integrated across all business areas, with an assessment of risk appetite, oversight by the Risk Committee and regular reporting to the Board. The Lendlease enterprise risks and risk appetite to manage the risks are set out in the following table. Enterprise risk Risk outcome Risk appetite Business strategy We seek to deploy our capabilities and resources in areas aligned to our strategy, while maintaining resilience to geopolitical challenges and other market forces. • We act with integrity and transparency as we deliver our strategy. • We set and review our strategic goals on a regular basis to ensure business resilience and continuity. • Inform our investment decisions using internal research, market risk expertise, appropriate systems and proficient workforce. • Utilise systems, tools and data captured on our supply chain to better anticipate, report, and mitigate risks. People, corporate culture and customer Our employees seek to live the behaviours expected of them in interactions with colleagues, customers and the broader community. • Employees are engaged and operate with an enterprise mindset. • Attract and retain best, diverse talent and ensure our employees have appropriate skills and capabilities to perform their roles. • We empower our people to act with integrity and transparency. • We expect our suppliers to act in accordance with our Supplier Code of Conduct, upholding our core values and behaviours. Performance and capital We seek to drive consistency in returns against our strategic targets through excellence in execution across our Investments, Development and Construction activities. • Deploy our capital in line with our business strategy to deliver market acceptable returns. • Commit to projects/ opportunities where we have adequate knowledge and experience to identify, assess, resource and manage the execution risks to an acceptable level. • Review and manage commercial and contractual exposures through robust operational controls. EH&S and Assurance We seek to protect our people, our subcontractors, and all of those who interact with a Lendlease place from serious harm to their health, safety, and wellbeing. • Promote activity and decisions that decrease health, safety and wellbeing risks and impacts on our employees, partners, supply chain and the general public. • Invest in health and wellbeing initiatives that improve the lives of our employees and the communities in which we operate. • Ensure our Global Minimum Requirements (GMRs), which addresses both physical safety and health and wellbeing are applied to empower our people to operate to a consistent standard across all our operations and phases of operational lifecycle. • Require our supply chain to act consistently with our Supplier Code of Conduct and GMRs Sustainability We seek to work together with our stakeholders to deliver positive environmental and social outcomes from our activities. • Operate business in line with our sustainability strategy and provide transparent reporting on our activities and progress. • Conduct our business in a sustainable and ethical manner. • Manage environmental, biodiversity and social impacts in accordance with the Lendlease values and sustainability strategy. • Leverage our supply chain partners' sustainability progress to procure sustainable services, products, and materials. Technology and data security We seek to carefully manage our digital assets to prevent unauthorised access to our data and systems and protect our intellectual property. • Employees are aware of cyber risks, manage data securely, use Lendlease technology appropriately and report potential breaches through the correct channels. • Ensure our technology adheres to our security policy and meets business purpose. • Invest in preventative technology and upskill employees to achieve a sustainable security culture – for both physical and data security. • We continue to progress cybersecurity risk mitigation plans with our supply chain to minimise risks to our business and stakeholders.