The document discusses the Dynamic Modification Factor (DMF) used in SAP to prevent large jumps in synthetic profile values. The DMF is a predefined function that calculates a factor multiplied against synthetic profile values. It can be used with day or annual profile allocations and cannot be regenerated once used. Custom DMF algorithms can also be defined. The standard VDEW DMF algorithm calculates a factor based on the date that is multiplied against profile values to generate final synthetic profile values.