I understand that the outside sensor will determine flow temp and working rate of the boiler. But there must be a room stat to detect temperature inside the house to tell boiler that inside temp has been satisfied and shut off the boiler?
Why? You would need a thermometer to measure the room temperature while the correct curve is being determined, but once that is done, the system takes care of itself.
Let's assume that the radiators need to be run at a temperature of 60C to maintain the required room temperature of 20C. If you have a room stat, it will turn the boiler on and heats the water to, say 75C, and keeps the water flowing at that temperature until the house temperature has risen to 20C. The boiler then turns off and the water in the boiler cools down. When the room temperature has dropped, say 2C, the boiler starts up again and the cycle starts again. The average temperature of the water will be below 75C, approx 60C.
If, instead of turning the boiler on and off, the water is maintained at a constant temperature of 60C, the house will also maintain the desired temperature of 20C.
By measuring both flow and return temperatures, the boiler can tell how close the room temperature is to the desired temperature and adjust the output accordingly. If the boiler has modulated as low as it can and finds the return temperature is still rising, it will go into on/off mode. But, provided the boiler is properly sized, this should only happen when the outside temperature is 10C or higher.
Going back to your customer for a moment, is he asking you just to install the controller or is it part of a boiler swap or or is it a complete package, i.e including radiators?
If it's a swap or just a new controller, you may find that the existing radiators are undersized. This is because radiators running with a 20C differential give of about 15% less heat than those running with an 11C differential.
If you are installing new radiators you just up-size them by 20%.