Lendlease Annual Report 2022

Our focus areas 33 Value created How we measure value Operating safely helps people feel valued and cared for and fundamentally makes us more consistent, reliable and efficient in everything we do. Percentage of projects with no critical incidents: a critical incident is an event that has the potential to cause death or permanent disability. This is an indicator unique to Lendlease. Critical Incident Frequency Rate: a Lendlease indicator measuring the rate of critical incidents. Lost Time Injury Frequency Rate: an indicator and industry standard measuring a workplace injury which prevents a worker from returning to duties the next day. Margins, fees and equity returns across Investments, Development and Construction. Our Portfolio Management Framework sets target guidelines for how we manage our portfolio. Core Operating Return on Equity: the annual Core Operating Profit after Tax attributable to average securityholders’ equity throughout the year. Core Operating Earnings per Security: Core Operating Profit after Tax attributable to securityholders divided by the average number of securities on issue during the year. Evolves our ability to improve the customer experience, building our brand and reputation, enabling us to win more work and grow our business. Customer feedback also provides greater insight into product development and innovation opportunities. Customer satisfaction and advocacy tracked: measured at the regional and business unit level and reported regularly to our Global Leadership Team and the Board. Action plans are developed to drive continuous improvement in the customer experience, supporting the delivery and growth of funds under management, our development pipeline and construction backlog. Capable and motivated people committed to the long term success of our business. Effective succession planning and leadership transitions support business continuity and can reduce risks. Diversity supports innovation, knowledge sharing and better decision making. Retention of key talent: the organisation benefits from its investment in leaders and key workforce capabilities. Succession strength: demonstrates depth of capable talent ready to progress into leadership roles. Leadership positions held by women: demonstrates our broader commitment to diversity and inclusion and our objective of increasing female representation across our business. Employee engagement: provides the organisation with insights to help provide the right environment for our employees to perform at their best. Recognised leadership in sustainability enhances our brand and is a competitive differentiator. It also provides more opportunities to partner with governments, investors and the private sector who are placing increasing importance around Environmental Social Governance (ESG) matters. Measurement of, and reporting on our progress towards our sustainability targets and tangible examples of the way we are addressing our sustainability imperatives. Carbon Target: we are a 1.5ºC aligned company: • Net Zero Carbon by 2025 (scope 1 and 2) • Absolute Zero Carbon by 2040 (scopes 1, 2 and 3, no offsets) Social Target: create $250m of social value by 2025