Every ambitious company dreams of successfully broadening their operational capabilities and, beyond that, of breaking into new markets. Such a grand objective, however, implies tremendous effort, including effective management, substantial financial resources, and risk-taking, which, even when such elements are met, may not materialize in the desired results. Thus arises the need for business models that help companies grow, without them having to compromise on quality or deal with the uncertainties that an expansion typically entails. And the build-operate-transfer model is such a solution.
This engagement model involves three stages, at the completion of which companies are presented with the possibility of taking over the software development centre that has been set up and run for them in another country by local BOT services providers, in accordance with their requirements. In order to have an even better understanding of this concept, let’s briefly describe each of these phases, starting with the “build” stage. This step includes activities related to selecting and hiring the right IT specialists who will become part of the remote team, along with those regarding office set up. Moving on to the next stage, the “operate” phase, this is where all processes surrounding the development of software products take place, as well as employee training and other activities aimed at achieving the desired technical abilities and soft skills of the team. And lastly, there is the “transfer” stage, which refers to the actual transfer of ownership of the development centre from outsourcing partners to their clients, who will be enjoying all of the perks that a new subsidiary comes bundled with.
And speaking of perks, now that we have seen how the build-operate-transfer model works, let’s delve into the benefits that this contractual relationship brings to those who wish to take their business to the next level.
Minimized risks
Having a local partner offers matchless advantages, and one of the most appealing is that revolving around reduced risks. Considering that they are already familiar with the local legislation, the BOT services providers will be able to successfully predict or tackle, if necessary, any legal issues that might arise. They will also be setting up the legal entity, ensuring that the process goes smoothly and all activities surrounding it comply with applicable regulatory requirements and framework. Moreover, since changes can effortlessly be made during the “operate” stage, there are considerably lower risks in terms of product development and more room for innovative ideas.
Cost-efficiency
Then there is cost-efficiency, a perk that in other strategies’ case may come with compromises regarding quality; however, this does not apply to the build-operate-transfer model, that ensures high-quality outcomes. In this context, companies turning to BOT services will be avoiding the costly process of recruiting highly qualified candidates, as well as the expenses occasioned by the establishment of a legal entity in a different country. All of this, while still taking advantage of skilled and experienced IT specialists and of advanced tools and technologies, provided by partnering companies.
Access to cutting edge technology
Which bring us to another important benefit of the build-operate-transfer model, namely the access to state-of-the-art technologies. In this sense, this type of collaboration allows companies to gain access to the latest equipment and technologies and moreover, to the knowledge and expertise of talented professionals, who are also up to date with industry trends. The experience that they possess enables them to choose the appropriate digital tools, in the form of both software and hardware, and consequently, reduce time-to-market.
Tips on how to successfully implement a BOT strategy
- 100% successful transfer rate approach
Always have the successful team transfer in mind. Do your research and choose to work with the best providers, those that can assist you in attaining your goals, in this case, building the core team of your new development centre. A mature company has already in place a system of identifying key people and has the capability of ramping up large teams. Make sure to choose a service provider that has developed best in class practices in operating dedicated teams, that can implement retention policies along with the best security protocols, that can adapt to your company’s work and style and integrate them into the new team. A successful transfer rate depends entirely on your chosen partner so make sure you work with the best.
- Choosing the right partner
The successful adoption of the build-operate-transfer model begins with a thorough research on the potential partnering companies that offer BOT services. And since the development centre that will emerge will be handling core operations, hiring businesses need to be all the more careful when deciding upon their future partner. Looking into the build-operate-transfer services providers’ previous experiences, verifying that they use the latest technologies and tools, searching for reviews, and checking their transfer rate success, is essential at this time, if one wishes to partner up with a company that will bring them closer to their goals.
- Defining vision and clear communication
Once the services provider has been selected, companies must clearly explain their requirements and expectations, for only by doing so they are able to lay the foundation for a successful collaboration. Such demands should, of course, be realistic and in addition, efforts should be made so that no language barrier distorts communication. When presenting their vision, companies should provide full details and as many specifications as they possibly can, regarding their desired product, in order for remote teams to deliver the expected results. Throughout their partnerships, it is also important that companies encourage and receive regular feedback and communicate with remote teams frequently and effectively.
- Building cultural alignment
The build-operate-transfer model is quite different from other more traditional outsourcing models, and one of the differences that stands out, is that referring to the way remote teams conduct themselves, more specifically to how they act in accordance with the hiring business’ values and principles. However, to leverage the power of cultural alignment, companies must make sure that they share their working styles, practices, and procedures with remote specialists, while also promoting openness and transparency.
- Thinking long-term
We have already touched upon the importance of diligently choosing the BOT services provider, yet there is more to be said on this matter, especially since such a strategy involves long term objectives and investments. In this regard, it is also crucial that companies pay attention to the country that their provider resides in, namely to aspects such as those concerning its talent pool, IT market size, the technologies that it has access to, and economic climate. For only by considering these elements, will businesses be able to secure the successful implementation of a build-operate-transfer model, as they could then easily scale their remote team and expand their development abilities by means of emerging technologies.
Choose Romania as your BOT Partner
Romania is an attractive destination when it comes to build-operate-transfer services, and the increasing number of companies that turn to this country, stands witness to this statement. Businesses have shown growing interest in adopting the BOT model with the help of Romanian specialized companies, and the country’s great talent pool is part of the reason. With 30.000 engineers being delivered every year, of which a significant number specialize in ICT, Romania is able to offer a solid and diverse talent pool, that meets the needs of any company.
And quantity is not the only appealing factor, quality is as well, as Romanian specialists’ excellent technical skills have placed the country on the 20th place amongst countries with the most skilful developers, according to ratings from Hackerrank. Among the programming languages that Romanian IT specialists are familiar with, we must mention Java, C#, HTML, JavaScript, CSS, Python, DevOps, Angular, or React. However, emerging domains such as those revolving around Natural Language Processing, Machine Learning, cloud technologies, Computer Vision or cybersecurity have also been catching the attention of experts.
When it comes to Romania’s economic climate, the country has seen rapid and steady growth, being among only 6 other countries in the world that have showed an increase in GDP in 2021. And the export of software and IT services has played an important role in this win. The software industry is thus one of the strongest in the country and has thrived in the last few years, showing no signs of slowing down in the future.
Global players have already acknowledged the great potential that Romania flaunts, as important names like Microsoft, Google, Oracle, or IBM, have made Romania their preferred destination for IT outsourcing services. Such major companies have opened technology development centres, group service centres, or R&D centres across the whole country, whose IT hubs can be found in the southern area – Bucharest and Craiova, in the north-east – Iasi, west –Timisoara and Oradea, as well as in the centre – Cluj-Napoca and Brasov.
Why TechTalent is your best BOT partner?
For the past 15 years we have been committed to fostering a culture of innovation and, with the help of technology we have been able to deliver state-of-the-art-technology services and products to global companies.
We have an extensive experience in managing dedicated teams and we pride ourselves with a 100% successful transfer rate for our BOT projects, along with established work procedures, culture and leadership.
We have developed best in class practices in ramping up and operating large development teams, we have the resources and the know-how to attract, retain and mentor key people.
Our broad experience in matching IT skills for various industries, such as financial-banking, telecom, software, retail and production recommends us as a trusted technology partner.
Our offering includes office set-up, hardware, software, payroll, legal, HR, accounting and management.
We provide transparent, efficient, proactive work in a multilingual environment, where all of our teams speak fluent English and they use English as the working language.
We are part of the Arnia Software Group, Arnia being ranked in the Deloitte EMEA Technology Fast 500 Companies. Within this group, we have one of the best Machine Learning teams in the country and we have been sustaining long-term partnerships with the technical universities in Romania, where we teach classes and run PHD and internship programs.
Conclusion
The build-operate-transfer engagement model truly stands out from the rest because of its unique features and advantages. The minimal risks that it involves, the flexibility and scalability that it comes bundled with, and the faster time-to-market it brings, along with the access to superior, cutting-edge tools and technologies, have made the BOT model an unparalleled solution for those wishing to expand their business and reach new heights faster, while also adding value. To ensure the successful implementation of the build-operate-transfer model, companies should nevertheless bear in mind a few tricks; conducting extensive research on their potential BOT services provider, clearly expressing their goals and expectations, and having a long-term approach being just some of the tips for making the most of the build-operate-transfer model.