The Board’s Oversight of Risk Boeing takes measured risks as an innovation leader. The Board and senior management avoid imprudent risks and mitigate strategic, operational and compliance risks to emphasize safety, quality, integrity and sustainability. Senior management supervises day-to-day risk management, including creating relevant policies and procedures. The Board oversees and assesses the execution of and approach to risk management. The Board evaluates significant risks during corporate strategy reviews and develops long-range business plans, including significant new development programs. The Board and its standing committees regularly review strategic, operational, financial, compensation and compliance risks with senior management. For further details on our risk management practices, see our Proxy Statement . Product Safety The Aerospace Safety Committee (ASC), established in 2019, is responsible for directly overseeing engineering, design, development, manufacturing, production, operations, maintenance and delivery of aerospace products and services in order to ensure the safety of our commercial, defense, space and other aerospace products and services. The ASC also consults with the Compensation Committee, linking safety review and individual executive performance. Diversity and Inclusion The Board oversees diversity and inclusion efforts, including supervision of outreach efforts as well as reviews of workplace diversity metrics and complaints received — and corrective actions taken — related to behavior inconsistent with Boeing’s values. The Board is committed to its membership’s diversity, with 42% of directors, including the Audit, Compensation and GPP committee chairs, who represent gender, racial or ethnic diversity (as of report publication). Climate Change The Board participates in strategy development for our products, services and operations, including the integral environmental sustainability strategy that considers current and future impact of products and services. The Board oversees climate-related risks, goals and opportunities, including reducing greenhouse gas emissions in operations and maintaining net-zero at manufacturing and other facilities. Boeing has robust processes to control risks and provide management and Board oversight. See graphic on this page. For further details on our identified risks, see our Annual Report . Business Continuity Management Boeing navigated challenges in 2021 that added to the company’s risk profile, including: • COVID-19 related economic and workplace disruptions. • Social and political issues. • Organizational and structural challenges. • Regulatory review of the 737 MAX. Through Business Continuity Management (BCM) we identify vulnerabilities and develop recovery strategies to minimize the impact of potential threats or disruptions. Our BCM is built on five preparedness programs: Business, Emergency, Information Technology, Supply Chain and Human Resources. All come together to aid recovery from emergencies or disasters. Tax Governance and Compliance We are committed to being a responsible taxpayer wherever we operate. Our global tax team is responsible for maintaining the highest compliance standards, being transparent in our dealings with authorities and sustaining robust internal controls for risk management. Boeing’s principled tax approach is grounded in ethical business practices and tax guidance that follows business substance. Please visit our website for information about Boeing’s approach to global tax governance and compliance . Enterprise Risk Management Compliance Risk Management Audit Committee The Audit Committee receives annual reports on Boeing’s Enterprise Risk Management (ERM) and Compliance Risk Management (CRM) processes and regular reporting on the company’s compliance and ethics programs from the Company’s Controller and Chief Compliance Ofcer. Enterprise Risk Management and Compliance Risk Management Annual Employee Training All employees, from senior leaders to new workers, receive annual training on compliance risk areas tailored to their specic work, including U.S. Department of Defense procurement rules, proper handling of sensitive information and anti-corruption. The full Board of Directors reviews enterprise risks on a regular basis as well as conducts regular reviews of our ethics and business conduct programs. ERM assesses strategic risks to the company and industry, including topics within the environmental, social and governance elements of sustainability, such as climate and policy change. The CRM, jointly co-chaired by Boeing’s Chief Compliance Ofcer and Controller, includes senior company leaders who identify, evaluate and prioritize the most signicant compliance risks; assess mitigation strategies; and provide visibility to Boeing’s CEO and Audit Committee of the board. The CRM also regularly pressure-tests the risk mitigation measures to ensure the strongest compliance program possible. 2022 Sustainability Report 16 Contents People Introduction Communities Operations Reporting Approach & Governance Products & Services
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