What is primarily assessed during stress testing of ORM?

During stress testing in Operational Risk Management, the primary focus is on assessing the organizational resilience to adverse conditions. This process entails simulating stressful situations or adverse events to evaluate how effectively an organization can continue to operate and respond to challenges that may impact its performance. The objective is to identify vulnerabilities in the organization's systems, processes, and overall operational framework, thereby ensuring that adequate measures are in place to mitigate risks.

This involves analyzing how different scenarios could strain the operational capacity of the organization and determining whether existing risk management strategies are sufficient to prevent significant losses or outages. By focusing on resilience, organizations can develop contingency plans, enhance their response strategies, and ensure stability during times of operational distress.

The other options, such as cost efficiency, market share analysis, and customer feedback, while relevant to broader business considerations, do not directly address the critical aspects of operational resilience that stress testing aims to evaluate. The primary goal of stress testing in the context of ORM is to strengthen the organization’s ability to withstand and recover from adverse events.