Activity point system can be thought of as a website currency, it can be used in many different ways to manage your users. Users can earn points by doing various actions on your network, and then spend points or purchase items, subscriptions... It also makes things easier for users to manage their point balance with several options and criteria.
In term of management, the app gives Admin control to adjust member points on each activity, along with several user group settings and point settings. You can also configure the conversion rate to convert the activity points to actual rewards such as real money.
There are many ways to use this system efficiently, such as promote some active users to be a moderator of the site, give "real" awards back to some active users or to users whose points over a threshold, etc.
Additionally, no more boundary or limit from the Core system, Activity Point app enables developers to take advantage on pointing system and use it to develop many features which related to Activity Point.