ST Engineering Sustainability Report 2021

MANAGEMENT APPROACH Governance and Organisation The management of the Group’s productivity movement begins at the top levels of leadership and extends to employees throughout the company. The EXCO appointed the President, Commercial Aerospace, to lead all CI activities globally across the group. He oversees an Operational Excellence Steering Committee (OESC), which works together with leadership of each business area to formulate and disseminate the strategic direction and goals. Productivity efforts are coordinated by the OESC's Continuous Improvement Committee. Implementation The Group’s productivity agenda focuses on six drivers: • Enabling a productive work environment • Encouraging innovation and use of technology • Developing people and enhancing skills • Organising work systems and reviewing work processes • Adopting best practices through networking • Measuring what matters We believe that every employee is an expert at their job and recognise their contributions in identifying and eliminating waste and inefficiencies in our processes. ENVIRONMENTAL → Productivity We embed CI activities into our day-to-day operations to drive productivity. Key actions undertaken include: • Setting and tracking productivity targets • Training our staff on continuous improvement tools such as 5S Housekeeping, DIVE, Kaizen, Quick Changeover, Pareto Analysis, Standard Work, Total Productive Maintenance and VSM • Pursuing the use of new technology including automation, data analytics and digitisation such as Robotic Process Automation • Organising the ST Engineering Best-of-Best CI Award to promote and recognise teams that demonstrate excellence in creating value and raising productivity • Reviewing our structure, systems and processes periodically to achieve higher efficiency and effectiveness 22 ST ENGINEERING SUSTAINABILITY REPORT 2021 OVERVIEW OUR SUSTAINABILITY APPROACH ENVIRONMENTAL SOCIAL GOVERNANCE AWARDS INDEX

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