Looking to establish your software development center in a country with cheaper engineering talent but don’t want to go through the lengthy, error-prone, and costly process of understanding how to find the right people, establish legal entities, and then operate under a different set of laws and customs? There is a solution to this problem: the Build–Operate–Transfer, or BOT, model.
In this model, the offshore provider builds and operates the remote engineering center for a pre-defined period of time. After that, you have the option of transferring the resulting team into a captive center completely owned by you. The benefits of the BOT model are obvious:
- Significantly lowers the time required for the center to start operations by utilizing the provider’s recruiting capabilities; existing personnel and infrastructure; and knowledge of the local laws, business environment, and labor market
- Eliminates the initial up-front investments required for setting up a new offshore center before it becomes productive
- Greatly reduces risk by having an option to cancel the whole operation at short notice, having paid for only the actually used resources and time of hired specialists and avoiding any additional liquidating costs
- Increases the chances of successful operation by using the knowledge of HR, legal, and other specialists in the selected country
- Produces value out of the offshore center from day 1 by selecting a provider that already has experience and employees skilled in the required technology and business areas
Not every project and outsourcing initiative will benefit from following the BOT approach. Auriga’s specialists will be happy to discuss with you the benefits of using the BOT model for your case or relying on more common project or dedicated team models. Please contact us using the form at the right of the page or any other convenient method.
