Dynamic Thresholds
VaultAP can automatically calibrate its review thresholds based on your organization's historical invoice data. Instead of relying on static cutoffs, dynamic thresholds adapt to your actual risk distribution so that review queues stay manageable and focused on genuinely unusual invoices.
Prerequisites
Dynamic threshold calibration requires a minimum of 100 processed invoices. Until that threshold is reached, the system uses the default static thresholds (auto-clear at 25).
The 100-invoice minimum ensures the system has enough data to produce statistically meaningful thresholds. Invoices from all statuses (approved, rejected, and reviewed) count toward this total.
How It Works
Data collection
VaultAP analyzes the risk scores of all invoices processed in your organization's history.
Statistical targeting
The system calculates thresholds that place the top 5-8% of invoices by score into the high-alert category. This percentile range is designed to surface the most unusual invoices without overwhelming reviewers.
Threshold calculation
Both the auto-clear and high-alert thresholds are recalculated to match the target distribution. If your invoices generally score low, thresholds tighten. If scores are broadly distributed, thresholds widen.
Application
The new thresholds take effect and are used for all incoming invoices until the next recalculation.
Recalculation Schedule
Dynamic thresholds are recalculated weekly, every Monday at 00:00 UTC. Each recalculation uses the full invoice history, not just the prior week, so thresholds stabilize over time as more data accumulates.
If a significant volume of new invoices arrives mid-week, the thresholds will adjust on the following Monday.
Manual Override
You can override dynamic thresholds at any time by switching to manual mode and setting fixed values.
Open threshold settings
Navigate to Settings > Risk Scoring > Thresholds.
Switch to manual mode
Toggle the Threshold Mode switch from "Auto" to "Manual".
Set your thresholds
Enter your desired auto-clear and high-alert threshold values.
Save
Click Save. The new thresholds apply immediately to all incoming invoices.
Switching back to auto mode restores the most recently calculated dynamic thresholds. The system does not lose its calibration data when you switch to manual mode.
Switching Between Auto and Manual Mode
| Action | What happens |
|---|---|
| Auto to Manual | Dynamic recalculation pauses. Your manually entered thresholds are used. |
| Manual to Auto | The most recent dynamic thresholds are restored immediately. Recalculation resumes on the next weekly cycle. |
Monitoring Threshold Performance
After enabling dynamic thresholds, monitor the following in the dashboard:
- High-alert rate — Should hover between 5-8%. If it drifts outside this range, the system will self-correct on the next recalculation.
- False positive rate — If too many high-alert invoices are being approved without issues, consider adjusting rule weights to lower baseline scores.
- Auto-clear rate — A very high auto-clear rate (above 90%) is normal for most organizations but warrants periodic spot-checks.