Operational risk assessment involves analyzing vulnerabilities in business processes, technology systems, human resources, and external dependencies to determine likelihood and impact of operational failures. Assessment methodologies include scenario analysis, process mapping, failure mode analysis, and historical loss data review. Results inform control design, resource allocation, and contingency planning decisions. A manufacturing company conducting operational risk assessment might evaluate risks from equipment failure, supplier disruptions, workplace accidents, and quality control breakdowns, using risk heat maps to prioritize improvement initiatives and determine appropriate mitigation strategies for high-priority exposures.