Traditional IT outsourcing models such as the dedicated development team model or the staff augmentation model, have gained tremendous popularity over the last few years, however, lately, there has been one business engagement model that has attracted the attention of more and more companies, and that is the Build Operate Transfer model. This innovative approach has emerged from companies’ need to retain complete control over their intellectual property, while also being able to enjoy perks like those surrounding flexibility, access to expertise and superior resources, and reduced costs. And the build operate transfer model offers it all, managing to successfully address modern businesses’ requirements and helping companies achieve their objectives.
Furthermore, the build-operate-transfer model assists businesses in expanding their capabilities and entering new markets, as this type of agreement enables companies to effortlessly set up new operational subsidiaries in remote locations. In this sense, the BOT services provider will build a permanent team for its client, secure an office space and all necessary equipment, operate the team and develop products and processes, and finally, transfer the team, along with all of the resources and built-in processes, to its client. With this description, some of the reasons behind companies' decision to turn to BOT services become quite clear, but what exactly motivates companies to partner up with such providers?
Why should you turn to build-operate-transfer services?
One of the main benefits that companies are drawn to, when deciding to adopt BOT solutions, is that related to the access to expertise, more precisely, to talented IT specialists, that global skills shortages crisis has made more difficult to find than ever. The build-operate-transfer model thus allows businesses to tap into the advanced knowledge and experience that their outsourcing partner is able to provide, and that ensures the success of projects.
Another reason why companies have been interested in the BOT partnership model, is that concerning the excellent alignment with their company culture, that this type of agreement brings. More specifically, since hiring businesses share their best practices, standards, values and goals with their BOT services provider, right from the beginning of their collaboration, the team that will be transferred to them will become very familiarised with their company culture. This translates into a seamless integration of the team and easy collaboration.
The reduced time-to-market is yet another reason why businesses opt for BOT, for only by being able to get their products and services on the market faster than their rivals, can companies truly achieve a competitive edge. And this is where BOT partners’ expertise comes in, as they can set up an entity and form a stellar team in significantly less time than it would take their clients.
However, in order to fully enjoy all of these perks, and more, companies need to choose a BOT services provider that best fits their needs, and we have identified a few aspects that businesses should take into account, when selecting their vendor.
Factors to pay attention to, in order to choose the right partner for a build operate transfer project
The first key factor in picking out the right BOT partner, that we will be touching upon, is that in connection to service providers’ expertise, experience and resources. In this regard, companies must carry out thorough research on their potential BOT partner and see if they have a strong industry expertise, have had similar collaborations or completed similar projects to those specific to their business.
But businesses should not focus solely on the experience that vendors have, as their past clients’ references and reputation are relevant as well. Companies should thus gain as much information as they can on their potential BOT partner, for only by doing so, would they be able to make the right decision.
Going forward, companies looking to find the build operate transfer services provider who can make their objectives a reality, should also analyse their potential vendor’s ability to navigate the local scene and their knowledge in local regulations, so as to make sure that setting up their new subsidiary will go smoothly.
Another aspect to be mindful about, when selecting a BOT partner, is that revolving around their core values and goals, and that ideally should be similar to those of hiring companies. For only by sharing such elements, can the latter’s company culture and requirements be fully understood.
Lastly, it is essential that businesses make sure that their build-operate-transfer services provider is able to determine, alleviate and manage project risks. The latter can appear at any time throughout their partnership, so having strong risk management strategies in place, represents a great advantage.
The build-operate-transfer model has become quite a trend in the software development world, as businesses turn to such solutions often, for their matchless benefits and opportunities. To make the most of BOT however, companies must choose their service provider wisely, analysing their potential vendor’s experience, expertise, values, references and ability to navigate the local scene and mitigate project risks, being just a few tips to consider, when selecting their build-operate-transfer partner.
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