Indicator for Procurement
whenever I assign the procurement indicator in OPUU transaction, then default value is copied as per the setting of procurement indicator in customisation, while assigning component to activity.
Also I observe if there is no input in OPUU in procurement field, system pop-up for different possibiliteies, either PR, reservation, PR+RES etc.
Is it coming up from SAP standard settings?
yes , you are right this standard SAP setting
Using OPS8 you can view the settings.