Kaizen 224 - Quote-driven Deal Reconciliation Using Zoho CRM Functions and Automation

Kaizen 224 - Quote-driven Deal Reconciliation Using Zoho CRM Functions and Automation


Hello everyone!
Welcome back to another instalment in the Kaizen series.

This post covers quote-driven deal reconciliation, emphasizing Functions and Automation to address practical sales challenges.

Business Challenge

Sales organizations often mark deals as Closed Won before commercial transactions fully conclude. Quotes generate promptly upon closure, yet businesses typically provide a brief window such as one week for renegotiation or payment. During this period, currency fluctuations, payment delays, and risk thresholds can significantly alter the final deal value.

This Kaizen demonstrates how Zoho CRM Functions and Automation work together to reconcile deal financials with quote activity over time. Sales, finance, and operations teams can thus access accurate, policy-compliant values.
Here is a typical sequence:
  1. Deal closes with Closed Won status
  2. Quote generates immediately
  3. Customer receives grace period (e.g., one week) for payment or adjustments
Key factors during this window:
  1. Exchange rates fluctuate
  2. Payments may succeed or fail
  3. Business absorbs limited losses(up to 10%, for example)
  4. Major variances trigger renegotiation
CRM must reflect actual outcomes rather than initial closure assumptions. Quotes serve as the authoritative commercial record, with final deal values depending on execution timing. This approach captures intermediate and final financial states to enable automated decisions and audits.

Key business scenarios covered

Scenario 1: Payment is made during the grace period

  1. Quote is generated on day 0
  2. Customer completes payment on day 7
  3. Exchange rate has changed since quote generation

Business Requirement

The business wants to calculate the actual payable amount using the exchange rate on the payment day and store it explicitly in CRM.

Outcome

The realized value is captured and stored, ensuring that reports and downstream systems reflect the true commercial result.

Scenario 2: Acceptable loss threshold (10%)

  1. Exchange rate movement results in a loss
  2. The business is willing to absorb losses up to 10%
  3. Loss exceeds the acceptable threshold

Business requirement

If the loss exceeds the defined tolerance, the quote should move to renegotiation instead of being accepted automatically.

Outcome

CRM enforces pricing policy consistently, without manual intervention or subjective judgment.

Scenario 3: Significant currency fluctuations

  1. Exchange rate volatility is unusually high
  2. Even if loss is within limits, risk exposure is significant

Business requirement

Large fluctuations should trigger renegotiation, regardless of absolute loss percentage.

Outcome

Financial risk is handled proactively based on measurable criteria.

Scenario 4: No payment after the grace period

  1. Customer does not pay within the allowed window
  2. Updated exchange rate is favorable to the business

Business Requirement

If the updated rate is profitable, the quote can be revised and reissued with the new amount.

Outcome

CRM reflects market-aligned pricing while maintaining transparency around why the amount changed.

Why Zoho CRM Functions is the best fit?

This reconciliation pattern requires the following capabilities beyond static configuration.
  1. Reading and reconciling data across Deals and Quotes
  2. Applying time-based and threshold-based business rules
  3. Writing calculated values into dedicated fields
  4. Supporting multiple decision paths(accept, renegotiate, revise)
  5. Running logic at specific business moments
Zoho CRM Functions provide the flexibility and control required to implement this logic cleanly, while automation ensures it runs consistently and reliably.

Custom fields used in this post

Deals

  1. Final Accepted Amount - Currency - Amount finally agreed and accepted
  2. FX Impact Percentage - Percent - Gain or loss due to exchange movement
  3. Reconciliation Status - Picklist - Accepted or Renegotiate
  4. Reconciled On - DateTime- Timestamp of final reconciliation

Quotes

  1. Quote Reference Amount - Currency - Amount at quote generation
  2. Quote Exchange Rate - Decimal - Exchange rate used in quote
  3. Payment Due Date - Date - End of grace period
  4. Potential Payable Amount - Currency - Recalculated amount at evaluation time
  5. FX Variance Percentage - Decimal - Difference vs quoted amount
  6. FX Evaluation Status - Picklist - Pending or Evaluated
  7. Recalculate FX - Checkbox - Explicit recalculation trigger
These fields capture commercial intent and outcome, not just static numbers.

High level automation flow

  1. Deal is marked Closed Won
    1. Workflow triggers a function to generate a Quote
  2. Business updates evaluation inputs when needed
  3. User explicitly triggers FX recalculation
  4. Function
    1. Calculates financial impact
    2. Updates quote and deal
    3. Applies business decisions
  5. CRM reflects finalized commercial reality

Function 1: Generate a Quote from the Deal

This function creates a Quote automatically when a Deal is closed, ensuring downstream processes start immediately and consistently.
void automation.generateQuoteFromDeal(int dealId)
{
deal = zoho.crm.getRecordById("Deals", dealId);
if(deal == null) return;

amount = deal.get("Amount");
exchangeRate = deal.get("Exchange_Rate");
account = deal.get("Account_Name");

productItem = Map();
productItem.put("product", {"id":"<PRODUCT_ID>"});
productItem.put("quantity", 1);
productItem.put("list_price", amount);

productList = List();
productList.add(productItem);

quoteMap = Map();
quoteMap.put("Subject", "Quote for Deal");
quoteMap.put("Deal_Name", dealId);
quoteMap.put("Account_Name", account.get("id"));
quoteMap.put("Product_Details", productList);
quoteMap.put("Quote_Stage", "Draft");
quoteMap.put("Valid_Till", zoho.currentdate.addDay(7));
quoteMap.put("Quote_Reference_Amount", amount);
quoteMap.put("Quote_Exchange_Rate", exchangeRate);

zoho.crm.createRecord("Quotes", quoteMap);
}

Function 2: Reconcile Deal from Quote

This function calculates payable values, evaluates financial impact, and updates the Deal with finalized financial information.
void automation.reconcileDealFromQuote(Int quoteId)
{
info "Starting FX reconciliation for Quote ID: " + quoteId;

// -------------------------------------------------
// Fetch Quote
// -------------------------------------------------
quote = zoho.crm.getRecordById("Quotes", quoteId);
if(quote == null)
{
info "Quote not found";
return;
}

dealInfo = quote.get("Deal_Name");
if(dealInfo == null)
{
info "Quote not linked to Deal";
return;
}

dealId = dealInfo.get("id");

deal = zoho.crm.getRecordById("Deals", dealId);
if(deal == null)
{
info "Deal not found";
return;
}

// -------------------------------------------------
// Mark FX Evaluation as PENDING
// -------------------------------------------------
zoho.crm.updateRecord(
"Quotes",
quoteId,
{"FX_Evaluation_Status" : "Pending"}
);

// -------------------------------------------------
// Read required FX inputs
// -------------------------------------------------
quotedAmount = quote.get("Quote_Reference_Amount");
quoteRate = quote.get("Quote_Exchange_Rate");
evaluationRate = quote.get("Evaluation_Exchange_Rate");

info "Quoted Amount: " + quotedAmount;
info "Quote Rate: " + quoteRate;
info "Evaluation Rate: " + evaluationRate;

if(quotedAmount == null || quoteRate == null || evaluationRate == null)
{
info "Missing required FX inputs";
return;
}

// -------------------------------------------------
// FX Calculations(rounded)
// -------------------------------------------------
payableAmount = (quotedAmount * evaluationRate / quoteRate).round(2);
fxVariance = (((payableAmount - quotedAmount) / quotedAmount) * 100).round(2);

info "Payable Amount: " + payableAmount;
info "FX Variance %: " + fxVariance;

// -------------------------------------------------
// Decide Quote Stage(Business decision here)
// -------------------------------------------------
quoteStage = "";
reconciliationStatus = "";

if(fxVariance <= 10)
{
quoteStage = "Acceptable FX Impact";
reconciliationStatus = "Accepted";
}
else
{
quoteStage = "FX Impact Exceeds Threshold";
reconciliationStatus = "Renegotiate";
}

// -------------------------------------------------
// Update Quote(Final state)
// -------------------------------------------------
quoteUpdate = Map();
quoteUpdate.put("Potential_Payable_Amount", payableAmount);
quoteUpdate.put("FX_Variance_Percentage", fxVariance);
quoteUpdate.put("FX_Evaluation_Status", "Evaluated");
quoteUpdate.put("Quote_Stage", quoteStage);
quoteUpdate.put("Recalculate_FX", false);

quoteResp = zoho.crm.updateRecord("Quotes", quoteId, quoteUpdate);
info "Quote update response:";
info quoteResp;

// -------------------------------------------------
// Update Deal
// -------------------------------------------------
dealUpdate = Map();
dealUpdate.put("Final_Accepted_Amount", payableAmount);
dealUpdate.put("FX_Impact_Percentage", fxVariance);
dealUpdate.put("Reconciliation_Status", reconciliationStatus);
dealUpdate.put(
"Reconciled_On",
zoho.currenttime.toString("yyyy-MM-dd'T'HH:mm:ssXXX")
);

dealResp = zoho.crm.updateRecord("Deals", dealId, dealUpdate);
info "Deal update response:";
info dealResp;

info "FX reconciliation completed successfully";
}

Workflow


Module: Quotes
Trigger: On create or edit
Condition: Recalculate FX = true
Action: Execute reconcileDealFromQuote
Argument: quoteId -> ${Quotes.id}

All decision logic lives inside the function.

Business Outcome

After implementing this pattern,
  1. Deals and quotes stay aligned with real-world behavior
  2. FX risk is measurable and auditable
  3. Renegotiation is policy-driven
  4. Reports reflect finalized values, not assumptions
  5. Sales and finance operate on the same truth.

Summary

Zoho CRM extends beyond static closures by reconciling deals against quote behavior. Functions plus Automation enforce pricing, limit exposure, and capture true outcomes reliably at scale.
The true value of this implementation is not the calculation itself, but the fact that it produces stable, auditable financial states that can be reused across reporting, approvals, integrations, and policy enforcement.

Further extensions

Executive reporting and dashboards

You can build Dashboards that answer questions like
  1. Total revenue before vs after FX reconciliation
  2. Total FX gain or loss by
    1. Region
    2. Currency
    3. Quarter
  3. Sales owner
  4. Percentage of deals renegotiated due to FX risk
Without the function,
  1. FX impact is implicit
  2. Numbers keep changing
  3. Finance does not trust reports
With the function,
  1. Final Accepted Amount is stable
  2. FX Impact % is explicit
  3. Reconciled On gives a time anchor

Policy enforcement and compliance

Examples
  1. Automatically flag deals where FX loss > 10% but status = Accepted
  2. Audit trail for
    1. Who recalculated FX
    2. When renegotiation was triggered
  3. SLA checks when Deals are not reconciled within 'X' days of quote creation
For many companies, FX policy violations are discovered at a later point in time, but you now enforce them at the moment of decision.

Sales coaching and deal hygiene

Unlock insights such as
  1. Which sales reps close deals with high FX volatility or frequently trigger renegotiation?
  2. Which regions or currencies produce unstable deals?
  3. Which deals are consistently over-optimistic at closure?

Other scenarios

  1. Approval and exception workflows
  2. Integration with ERP or accounting systems
  3. Predictive insights to forecast FX risk
  4. Historical snapshots for audit and analytics

We hope you found this post useful. Let us know your feedback in the comments or write to us at support@zohocrm.com.

Thanks!



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