What is threshold in SAP PSM-GPR - Procurement for Public Sector?

SAP Term: threshold

• Component: PSM-GPR

• Component Name: Procurement for Public Sector

• Description: A monetary limit typically applied to purchases that have no contract assignment. For example, you can specify that purchasing organization XYZ can spend EUR 1,000 for office supplies in a certain year.

Smart SAP Assistant

• Key Concepts: 
  Thresholds in the PSM-GPR Procurement for Public Sector component of SAP are used to define the maximum amount of money that can be spent on a particular procurement item. This helps to ensure that public funds are used responsibly and that all procurement activities are conducted in accordance with applicable laws and regulations. 
  
  How to use it: 
  In order to set a threshold for a particular procurement item, the user must first define the item in the system. This includes entering information such as the item description, unit of measure, and estimated cost. Once this information is entered, the user can then set a threshold for the item by entering an amount in the “Threshold” field. 
  
  Tips & Tricks: 
  When setting thresholds for procurement items, it is important to consider the total cost of the item, including any taxes or fees that may be associated with it. Additionally, it is important to ensure that the threshold is set at an appropriate level so that it does not prevent necessary purchases from being made. 
  
  Related Information: 
  For more information on setting thresholds in SAP PSM-GPR Procurement for Public Sector, please refer to SAP Help documentation or contact your local SAP support team.