Which of the following is a primary component of the NIST Privacy Framework?

The primary component of the NIST Privacy Framework is the management structure, which emphasizes the importance of governance in privacy risk management. This framework is designed to help organizations manage privacy risks in a comprehensive and structured way. The management structure component addresses how an organization can lead and govern its privacy efforts, ensuring accountability and the establishment of roles and responsibilities related to privacy practices.

While other aspects such as monitoring compliance, evaluating software solutions, and auditing financial transactions play roles in a broader context of organizational privacy management and risk assessment, they do not encapsulate the foundational governance principles outlined in the NIST Privacy Framework. The framework is structured to guide an organization in not only defining its approach to privacy but also in fostering a culture where privacy is prioritized and effectively managed at all levels of the organization. This focus on a strong management structure helps in aligning privacy efforts with overall business objectives and regulatory requirements.