Dynamically Assign Currency



  • Ravit Danino

    Hi Danielle,

    Totango enable you today to define different  currency type for ffie;ds. are you looking for default one that will be always selected?

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  • Danielle Young

    Hello Ravit, we would like it to change for different accounts depending on where in the world the opp is located. Does this help? 

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  • Sean Maguire

    Danielle - Something you will need to be wary of / cautious about if you work with Totango to proceed on this currency localization request is how best to calculate the conversion rates between currencies, when to do that, and how to manage the constant change in currency relationships and rates in the markets. 

    Let's say 2 different Totango users are looking at the same one account or Opp. One wants to see the account or Opp in USD and other wants to see the account or Opp in EUR. Seems reasonable enough, but then you have to explore more deeply what that actually means and what you're actually showing. 

    You need to decide, for example, whether Totango should perform a currency conversion on the spot and in real-time based on what the markets are currently doing right now.  User 1 changes currency from USD to EUR, then Totango goes to current market rates at that second and fetches the conversion number for the calculation.

    Should Totango reference the relationship between those two currencies when the markets closed yesterday? As any of us who've walked though international airports and changed out the cash in our own pockets at a currency exchange service can tell you, those numbers are rather dynamic. 

    Alternatively, you might ask whether User 1 wishes instead for the currency conversion to reference the date the contract was signed (contract start date). If the contract was signed on April 1, 2017 and is currently shown in USD, should Totango fetch the dollar to euro conversion rate on April 1, 2017?

    I think you're likely getting my point, but similarly you need to explore how best to control market volatility in these conversion calculations, and maybe you want Totango to average the conversion rate across a given time period (like average relationship between the dollar and the euro across all of August or all of Q3, for example). This leads to questions of how often those values should be refreshed and reset in whatever reference table Totango uses for the calculation, etc. 

    This can get out of hand and pretty complex extremely quickly if not properly thought through up front (and if the people setting it up are confused about how it works, you can bet that your Totango end users will be even more confused trying to decipher what they're even looking at).

    We manage this on our side by using one currency standard across the whole company and reporting all contract values in that one currency. While it's slightly inconvenient for team members who use a different local currency in their own transactions, it at least avoids the type of data gymnastics I referenced above. 

    Anyway, this turned out to be a much longer post than I'd intended... Sorry about that. Just some food for thought as you explore this idea further with the Totango team. Hopefully it helps you avoid some common pitfalls. Note also that your company's finance team may have existing processes and opinions worth considering, too. 

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  • James Morris

    Hi Sean,

    Thanks for the comment. I work on the same team with Danielle, and manage our Totango implementation from a data integration and pipelining perspective.

    In my opinion, this is not a problem that Totango needs to solve for. We have already defined this logic within our CRM (Salesforce), and is something the Finance teams manage as they are the ones who ultimately know the best way for our business to forecast this. It is logic that is abstracted away, and not super important for me to know. I think the optimal solution (for us, at least), would be to map a currency ISO code for the account, then have two spots to pipe a converted and unconverted value. This allows the logic to live in one place (managing currency conversion rules out of multiple systems is not ideal), and abstracts all the complicated logic out of Totango. 

    This works for us in Salesforce because we operate out of a standard USD currency, and Salesforce provides converted fields automatically for any currency in reports and in page layouts. That way we can choose the ideal field for different audiences in our org. If we could map to that value via the SFDC integration and have similar functionality in Totango, that would be best.

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