Operational Risk Analyst Job Description [Updated for 2025]

In the era of complex business operations, the role of operational risk analysts has become more critical than ever.

As businesses expand and evolve, the need for proficient individuals who can identify, assess, and mitigate potential operational risks is amplified.

But what does it truly entail to be an operational risk analyst?

Whether you are:

• An aspiring professional seeking to understand the nuances of this role,
• An employer striving to outline the perfect candidate,
• Or simply curious about the dynamics of operational risk analysis,

You’ve come to the right place.

Today, we present a versatile operational risk analyst job description template, designed for effortless posting on job boards or career websites.

Let’s delve right into it.

Operational Risk Analyst Duties and Responsibilities

Operational Risk Analysts are essential to identifying, evaluating, and mitigating risks that may affect an organization’s operations.

They are largely responsible for ensuring that the company’s operational processes are not threatened by internal or external factors.

The duties and responsibilities of an Operational Risk Analyst include:

• Identify potential risks and vulnerabilities within an organization’s operations
• Conduct risk assessments to understand the level, significance and scope of the risk
• Develop and implement controls to prevent or mitigate identified risks
• Assist in the design of risk management processes and policies
• Prepare reports summarizing risk assessments and actions taken
• Monitor and analyze risk management data and escalate any significant issues to management
• Participate in developing and implementing contingency plans to deal with emergencies
• Conduct audits of policy and compliance to standards, including liaison with internal and external auditors
• Provide training to staff regarding risk management strategies and programs
• Stay current with industry trends, threats, and security standards

 

Operational Risk Analyst Job Description Template

Job Brief

We are seeking a diligent Operational Risk Analyst to identify and mitigate potential risks to our business operations.

The Operational Risk Analyst will be responsible for identifying operational risks, assessing the potential impacts, designing and implementing controls to mitigate these risks, and monitoring the efficiency of these controls.

Our ideal candidate has a strong analytical mind, excellent problem-solving abilities and substantial experience in risk management or similar roles in the financial sector.

A background in business administration or finance, and understanding of risk management methodologies is also highly desirable.

 

Responsibilities

• Identify and assess areas of significant business risk
• Implement operational risk policies and procedures
• Identify key risk indicators and maintain data quality for reporting
• Analyze root causes and trends of operational risks
• Conduct regular risk assessments and audits to ensure compliance with standards
• Prepare risk management reports for management review
• Train staff on operational risk management procedures
• Provide advice and guidance to staff on risk management issues
• Coordinate with other departments to ensure compliance with risk management protocols
• Stay updated on industry trends and regulations impacting operational risk

 

Qualifications

• Proven experience as an Operational Risk Analyst, Risk Manager or similar role
• Familiarity with industry compliance standards and regulations
• Strong knowledge of risk assessment and control procedures
• Outstanding analytical and problem-solving abilities
• Excellent communication and presentation skills
• Strong organizational and multitasking abilities
• BSc/BA in Business, Finance, Risk Management or a related field
• Professional Risk Manager (PRM) certification is advantageous

 

Benefits

• 401(k) retirement plan
• Comprehensive health insurance
• Dental and vision insurance
• Life insurance
• Paid time off
• Continuing education and professional development opportunities

 

Additional Information

• Job Title: Operational Risk Analyst
• Work Environment: Professional office setting. Occasional travel may be required.
• Reporting Structure: Reports to the Risk Management Director or Operational Risk Manager.
• Salary: Salary is commensurate with experience and qualifications. Market and business considerations also play a role in salary determination.
• Pay Range: $70,000 minimum to $110,000 maximum
• Location: [City, State] (Specify the location or indicate if remote)
• Employment Type: Full-time
• Equal Opportunity Statement: We are an equal opportunity employer and value diversity. All employment decisions are made on the basis of qualifications, merit and business need.
• Application Instructions: Please submit your resume and a cover letter detailing your relevant experience to [email address or application portal].

 

What Does an Operational Risk Analyst Do?

Operational Risk Analysts typically work for businesses across industries, particularly in the finance and banking sector.

They can also be employed by consulting firms specializing in risk management.

Their primary role is to identify, assess, and monitor the operational risks that an organization might face.

This involves analyzing data, creating detailed reports, and making recommendations to mitigate identified risks.

Operational Risk Analysts work closely with other team members, including risk managers and operational managers, to develop and implement risk management strategies.

They also play a key role in developing policies and procedures to ensure compliance with regulatory requirements.

They may also be responsible for conducting internal audits to evaluate the effectiveness of risk management processes and recommend changes as needed.

Part of their job involves staying updated with industry trends and regulatory changes that could impact the organization’s risk profile.

They also need to continuously monitor and report on the organization’s risk exposure and advise on possible impacts on business operations.

They are often required to present their findings to senior management and work with them to develop strategies to manage operational risks.

 

Operational Risk Analyst Qualifications and Skills

An effective Operational Risk Analyst should possess the qualifications and skills that align with the job responsibilities, such as:

• Strong analytical skills to identify and evaluate operational risks and offer solutions to mitigate them.
• Deep understanding of risk management methodologies, tools, and systems to ensure operational risks are effectively managed.
• Proficiency in data analysis and statistical tools to analyze risk data and identify trends and patterns.
• Excellent communication skills to communicate risk findings and recommendations to both technical and non-technical stakeholders.
• Ability to work in a team, coordinating with different departments to implement risk mitigation strategies and measures.
• Detail-oriented to accurately record and monitor risk incidents and to ensure compliance with risk policies and regulatory requirements.
• Good decision-making skills to determine the impact of operational risks and to prioritize risk mitigation efforts.
• Understanding of financial and operational processes within the organization to identify potential risk areas.

 

Operational Risk Analyst Experience Requirements

Operational Risk Analysts often have a bachelor’s degree in finance, business, economics, or a related field, which prepares them with a good theoretical foundation in risk analysis.

At the entry-level, candidates may have 1 to 2 years of experience, often gained through internships or part-time roles in risk management, finance, or other related business fields.

It’s also common for these professionals to gain practical experience in roles like Risk Assessment Assistant, Junior Analyst, or Compliance Officer.

Candidates with 3 to 5 years of experience may have honed their technical skills, analytical abilities and knowledge of risk management strategies in roles such as Risk Analyst, Financial Analyst, or Business Process Analyst.

Those with more than 5 years of experience are often considered as seasoned professionals, having gained substantial exposure to various operational risks and mitigation techniques.

They may have some leadership experience and be ready for senior roles or team management positions.

Specialized knowledge or experience in a specific industry sector can be beneficial for more senior roles.

Continual professional development and keeping abreast of new risk management techniques and regulatory changes is also crucial for advancing in this field.

 

Operational Risk Analyst Education and Training Requirements

Operational Risk Analysts typically hold a bachelor’s degree in finance, business, economics, or a similar field.

The coursework includes risk management, statistics, financial modeling, and data analysis, providing a solid foundation for this role.

In addition to their degree, they must possess a strong understanding of financial regulations, operational processes, and risk assessment methodologies.

Certain positions may require a master’s degree in business administration (MBA) or finance, focusing on risk management.

Professional certifications such as the Financial Risk Manager (FRM), Certified Risk Manager (CRM), or Professional Risk Manager (PRM) designation may also be beneficial.

These certifications demonstrate a candidate’s specialized knowledge in risk management and their dedication to the field.

Work experience in a related field like finance, auditing, or business analysis can provide practical exposure to risk analysis and management.

Continual professional development is crucial, as the risk analyst must stay updated with financial trends, regulatory changes, and emerging operational risks.

 

Operational Risk Analyst Salary Expectations

An Operational Risk Analyst can expect to earn an average salary of $76,484 (USD) per year.

The actual income can fluctuate based on factors such as professional experience, education, and the specific location of employment.

 

Operational Risk Analyst Job Description FAQs

What skills does an Operational Risk Analyst need?

Operational Risk Analysts should have a strong understanding of risk management principles and practices.

They should also possess strong analytical skills to identify and evaluate risks.

Proficiency in data analysis and statistical tools is crucial to interpret data and form conclusions.

Communication skills are also essential as they need to communicate complex risk assessments to non-technical colleagues.

 

Do Operational Risk Analysts need a degree?

Yes, typically an Operational Risk Analyst is required to have a bachelor’s degree in finance, accounting, business administration, or a related field.

Some employers may require a master’s degree or professional certifications such as Certified in Risk and Information Systems Control (CRISC) or Certified Risk Manager (CRM).

 

What should you look for in an Operational Risk Analyst resume?

Look for a strong educational background in a relevant field, and hands-on experience in risk analysis or management.

Knowledge of risk assessment software and advanced Excel skills are also valuable.

Additional qualifications such as professional certifications in risk management can be a plus.

Also, check for soft skills like problem-solving, teamwork, and communication.

 

What qualities make a good Operational Risk Analyst?

A good Operational Risk Analyst is detail-oriented, meticulous, and has a strong aptitude for problem-solving.

They should have excellent analytical skills to understand complex data and assess potential risks.

They should also have strong communication skills to effectively explain complex concepts to team members and stakeholders.

A proactive mindset and the ability to handle pressure are also crucial qualities in this role.

 

Is it difficult to hire an Operational Risk Analyst?

Hiring an Operational Risk Analyst can be challenging due to the specialized skills and knowledge required for the role.

As it is a niche role, there might be fewer qualified candidates available in the job market.

Employers may need to offer competitive compensation packages and growth opportunities to attract suitable candidates.

 

Conclusion

And there you have it.

Today, we delved into the intricacies of what it truly means to be an operational risk analyst.

Surprising, isn’t it?

It’s not only about data analysis.

It’s about shaping a resilient business landscape, one risk assessment at a time.

Armed with our tried-and-true operational risk analyst job description template and real-world examples, you’re ready to take the next step.

But why halt your journey here?

Expand your horizons with our job description generator. It’s your key to meticulously crafted job listings or refining your resume to the utmost precision.

Remember:

Every risk assessment is part of a larger strategy.

Let’s strengthen that future. Together.

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