What is threshold period in SAP PA-EC - Enterprise Compensation Management?

SAP Term: threshold period

• Component: PA-EC

• Component Name: Enterprise Compensation Management

• Description: Required minimum length of a program period for an employee to be macro eligible.

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• Key Concepts: 
  Threshold period is a feature of the SAP Enterprise Compensation Management (PA-EC) component. It is used to define the period of time in which an employee must meet certain criteria in order to receive a bonus or other compensation. The criteria can be based on performance, attendance, or any other criteria that the company wishes to set. 
  
  How to use it: 
  The threshold period is set up by the company and can be adjusted as needed. The period can be set for a specific length of time, such as one month or one year, or it can be set to run continuously. Once the period has been set, the criteria for receiving a bonus or other compensation must be met within that period in order for the employee to receive it. 
  
  Tips & Tricks: 
  It is important to ensure that the criteria for receiving a bonus or other compensation are clearly defined and communicated to employees before the threshold period begins. This will help ensure that employees understand what they need to do in order to receive the bonus or other compensation. Additionally, it is important to review and adjust the threshold period as needed in order to ensure that it is still relevant and effective. 
  
  Related Information: 
  The SAP Enterprise Compensation Management (PA-EC) component also includes features such as performance reviews, salary planning, and bonus calculations. These features can be used in conjunction with the threshold period feature in order to ensure that employees are rewarded for their performance and attendance.