What is PSE as a sovereign in SAP FS-BA-PM-CR - Credit Risk?

SAP Term: PSE as a sovereign

• Component: FS-BA-PM-CR

• Component Name: Credit Risk

• Description: Other public sector entity PSE that is treated as a sovereign in the calculation of the credit exposure.

Smart SAP Assistant

• Key Concepts: 
  PSE as a sovereign component is a part of the FS-BA-PM-CR Credit Risk Management module in SAP. It is used to manage the credit risk of a company’s customers and suppliers. It allows companies to monitor their credit exposure and take appropriate action to reduce their risk.
  
  How to use it: 
  The PSE as a sovereign component can be used to set up credit limits for customers and suppliers, monitor customer and supplier payment behavior, and analyze customer and supplier creditworthiness. It also provides tools for managing customer and supplier relationships, such as customer segmentation, customer profiling, and customer segmentation analysis.
  
  Tips & Tricks: 
  When setting up credit limits for customers and suppliers, it is important to consider the company’s risk appetite and the customer’s or supplier’s creditworthiness. It is also important to monitor customer and supplier payment behavior regularly in order to identify any potential risks.
  
  Related Information: 
  The PSE as a sovereign component is part of the SAP Credit Risk Management module, which also includes other components such as Credit Risk Analysis, Credit Risk Monitoring, and Credit Risk Reporting. These components can be used together to provide an integrated approach to managing credit risk.