This doesn’t deal with the ability of the Flight to discriminate its particular target BSE from others, but rather reflects whether the pilot is able to discriminate the most “valuable” standard target (i.e. resource) belonging to the BSE for adjudication.
From User’s Manual (30 Mar 06), Vol III, Para 9.3.3.1:
Both area and precision-guided munitions draw a random number against the discrimination factor to determine if they will attack the most lucrative standard target. The most lucrative standard target is the one against which the munition has the highest weighted target value, (e.g., SSPd * Target Element Value * Number of Target Elements).
Since precision munitions are only applied to a single target element, the number of target elements for those munitions equals one. If the random draw on the discrimination factor passes, then the most lucrative standard target becomes the Primary Standard Target. If the random draw on the discrimination factor fails, then one of the remaining standard targets will be randomly selected.
Note that the standard target randomly drawn could be the most valuable one, anyway.
As each standard target is adjudicated, succeeding sticks sequentially use a discrimination draw to determine the most valuable of the remaining standard targets.
The Point Discrimination Factor should be labeled the “Munition Discrimination Factor” for both Point and Area munitions. Notice that each A2G munition in the SCL has its own value. The factor works the same for both Point and Area: if they pass the random draw, then they get to attack the most lucrative standard target remaining. If they fail, they get to attrit any of the remaining standard targets. Area munitions get the extra logic to see if they cause any “unintended” attrition based on the ratio of their effects area to the area of the FCPs combined.
Contrast this with Thunder, where target discrimination is used to reflect whether the Flight can discern whether the selected standard target is alive or dead, reflecting a probability that adjudication will occur against resource items which have already been destroyed.