One of the top objectives that is included in many companies’ agenda, is that which refers to the expansion of business operations abroad; and striving to reach this goal often involves adopting strategies that entail outsourcing partnerships. Of the latter, the build-operate-transfer model seems to have captured the headlines in the last few years, as this solution offers various inviting benefits to businesses willing to give it a try.

However, getting started with BOT could go much smoother for companies, if they were to follow a few tips, that we will be touching upon later. But first, let’s gain a better understanding of the build-operate-transfer model, by defining the concept and taking a look at the phases that it implies.

So, to put it in a few words, build-operate-transfer, or BOT, can be described as an engagement model meant to assist businesses in entering new markets, by opening and running a subsidiary in either a neighbouring country, or one that is located further away. In this sense, as a result of a contractual agreement, vendors must fulfil a variety of obligations, such as those regarding recruitment, legal compliance, accounting, or real estate, but we will be exploring these responsibilities more in the following, as we break down each phase of BOT at a time.

The build phase

Throughout the first step of the build-operate-transfer model, hired BOT services providers will be performing the necessary activities concerning office spaces. Searching for the latter, putting together the needed documentation for renting out the previously mentioned working spaces, and setting up infrastructure, are some of the tasks that are part of this phase. Besides this, vendors must also provide both software and hardware, in the form of digital devices and office supplies, that the outsourced team will be using. Then it’s time to build the actual remote team, that will be handling the hiring company’s projects. In this regard, vendors will be taking care of interviewing and onboarding processes, and all legal aspects that arise. Once the outsourced team is being assembled, the knowledge and resources transfer can begin, and newly hired specialists can start working on their assignments.

The operate phase

All the actual work surrounding the projects that the contracting business has set out to delegate to their outsourcing partner, takes place during the second phase of BOT. However, the latter does not only involve activities concerning the development of products, but also entails continuously training team members and managing all aspects related to office maintenance and staff. What’s more, vendors will be making sure that all processes are aligned and that progress is measured according to the metrics that were established with the hiring company. In terms of time, this phase can take up to two years, or more, depending on the period that is stipulated in the contract.

The transfer phase

The third and final phase of BOT refers to the transfer of all assets, which include office spaces, teams, and rights to the client. This means that the BOT services provider’s employees will now be employed by the hiring business, the latter enjoying complete ownership of the transferred resources.

Tips for a successful implementation of the BOT model

Now that we have seen how BOT works, let’s shift our attention towards a few best practices and suggestions, that companies interested in adopting the solution, should take into account. In this context, in order to make the most out of the strategy and reap all the great benefits that it has to offer, businesses should first choose their BOT services provider wisely. Conducting thorough research, contacting references, and checking out past projects, that the potential outsourcing partner has completed, are some of the moves that one should make, before going ahead and signing a contract.

Next, once the collaboration starts, hiring businesses should always remember to communicate with their BOT services vendor frequently, establish clear terms, and express their expectations, providing as many details as possible. Explaining requirements and needs right from the very beginning of their partnership, is crucial for companies that wish to succeed. Besides this, sharing insights and aspects regarding company culture is also important, seeing that, after the transfer phase is complete, teams should fit right in with the working style of the hiring business.

Last, but not least, contracting parties should make sure that the operational structure and all processes are being set up and carried out respectively, according to their requirements. To do so, one must consider tracking the project’s progress and establishing clear indicators and metrics. Creating milestones and providing constant feedback are also a couple of tricks that hiring companies could put in place, so that they are always on the same page as their vendor and remote team.    


The build-operate-transfer is a great solution for companies wishing to explore and expand into new markets. And that is partly because the knowledge that a local vendor possesses is priceless and can guarantee the success of a company’s growth journey. However, businesses should play their part too, and be careful when choosing their BOT services provider, make sure to communicate frequently, and track their project’s progress with the help of appropriate tools.   

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