In its simplest form, non-overlapping spheres are centered on the atomic positions. Within these regions, the potential experienced by an electron is approximated to be spherically symmetric about the given nucleus. In the remaining interstitial region, the potential is approximated as a constant. Continuity of the potential between the atom-centered spheres and interstitial region is enforced.
In the interstitial region of constant potential, the single electron wave functions can be expanded in terms of plane waves. In the atom-centered regions, the wave functions can be expanded in terms of spherical harmonics and the eigenfunctions of a radial Schrödinger equation. Such use of functions other than plane waves as basis functions is termed the augmented plane-wave approach (of which there are many variations). It allows for an efficient representation of single-particle wave functions in the vicinity of the atomic cores where they can vary rapidly (and where plane waves would be a poor choice on convergence grounds in the absence of a pseudopotential).