Imagine that you want to integrate a process inside your company, maybe a tier 1-2 support for your users or a Software Development Department. It looks like a great idea from the point of view of cost reduction and managing your know how. But you don’t feel experienced enough to start the whole thing by yourself. You feel unsure that you will have the time and the knowledge of the ins and outs of this new area of your company. But there is no doubt that this project will happen.

In the following lines I will explain what a BOT engagement is and how it can help you solve this kind of problems

How does a Build Operate Transfer Engagement looks like?

In essence it looks like a great way to reduce risk and gain access to the benefits of an investment without paying for it up front. If we get back to think about our example of the tier 1- 2 support, wouldn’t it be nice to have a partner with enough experience in the subject to start it for you, make the whole thing run smoothly and then transfer it to you? Of course it would be nice! Well that is exactly how a BOT engagement looks like.

A BOT Engagement will start like a normal Team Augmentation Engagement will do, except for the fact that after a certain period of time and obviously a certain amount of money, the whole operation will be owned by the Client.

What to expect when you go for a BOT engagement.

This kind of engagement comes with great advantages for the Client and the Provider, but you have to keep in mind that there will be a transition of ownership between both parties. It will start with your provider in the steering wheel but you will end up leading the whole operation sooner or latter.

Expect to pay for everything, just not at once.

Your provider will make the initial investment, they will most likely pay for the infrastructure, the premises, the team, the taxes, the management of the team and every single asset that your operation will need to work except for those special features that your company will provide like special licenses and sort of things. For that reason your provider will want to assure that they receive a return for their investment, so you can expect a higher price than you will get for a regular Team Augmentation engagement. After all they will need to pay for everything and make this deal profitable in a short period of time. At the same time you will receive the operation when it is up and running and you have absorbed enough knowledge of it as to be able to manage it without any major problem.

Expect to learn.

Your final objective for entering in this kind of engagement is to get the know how of the operation, so expect to dedicate some of your time to pay attention to what is going on with your BOT’ed team, get to know them, participate in the meetings and get your hands on it. because sooner or later you will be the one responsible for that team.

Expect to empower people from the team

Once the operation goes to your hands you will need support from people with experience in the process, AKA your team. Let them be empowered, let them propose solutions, you will be amazed of the results and how the interaction will enrich the company. After all they will become your company’s employees if they are not already.

Expect quick access to the results without the full investment

You will have access to the whole good stuff out of the box with this kind of engagement. Because your provider already knows how to do it and have everything that is required to hit the ground running. So you are supposed to go from 0 to 100 mph in no time. The best part is that you will not have to put all the money in a down payment.

You must respect time.

Your provider will assume all the risk of the operation and will make a profit out of a monthly fee and probably a final payment when the ownership gets transferred to you. For this reason, this kind of engagement is hard to break, because the risk needs to be mitigated.

I hope that this information help you better evaluate your options if you were considering a BOT engagement. If you need more information or want to start a conversation about it, drop us some lines in the comments area or contact page.