With the rising uncertainties in the market, expanding your business can be a hard nut to crack. Given the changing times, businesses need to focus on their core competencies and further innovate to meet the new demands. At this point of time, making huge investments in infrastructure and taking up more responsibilities of managing HR and IT can open a Pandora Box of complications. The real-estate cost, infrastructure management, plus overseeing hiring, training, retention needs can divert your attention and resources from innovating.

Is there a cost-effective way to build the strength for your business while maintaining your focus on key business needs and innovation?

The answer is yes. It is possible through offshoring. It is interesting to discover how Offshoring in 2020 has taken a new turn in the current scenario, and the BOLT Model certainly looks promising. Explore the BOLT Model with this blog and find out why it is the most effective offshoring model for your organization.

When Should You Consider the BOLT Model?

BOLT model is ideal for you, if you are considering business expansion, looking ways to reduce operational costs, planning a short-term project, or a project that requires specific IT capabilities. The model is effective for:

• Start-ups with limited access to highly trained IT resources
• High performance IT teams, requiring experts at a short notice
• Geographic regions with a shortage of skilled IT experts
• Companies looking to cut costs significantly in the long run

This is also a recommended offshoring model for coping with the uncertainties in the market.

What is the BOLT Model?

This offshoring model helps you handle the competitive pressures of the market by moving the development, maintenance, or other operations to offshore facilities with minimal efforts and upfront costs. With this flexible model, you can rely on an experienced partner to set up and manage a section of your operations while minimizing the risk of venturing into a new territory. An offshore partner provides you with the logistical planning that includes office space, IT infrastructure, hiring and training of resources, project management, and more. The offshore partner also possesses better local and cultural knowledge to establish a strong connection with the employees or clients residing locally.

Ultimately, once you are ready to own and operate the entity, the operations can be transferred to you. Thus, you get well-established infrastructure and processes with a trained, experienced team. BOLT stands for Built, Operate, Lease and Transfer which depicts the Four Phases of the BOLT Partnership:

Build

Setting up of the infrastructure and talent by the offshoring partner

Operate

Management of project/ operations

Lease

Lease the team for a set term

Transfer

The transfer of ownership from the outsourcing company

Build: In the first phase, the outsourcing company sets up the infrastructure, including the office space, equipment, devices, internet, and begins building the team as per the client’s requirements as well as handles all the administrative and legal matters.

Operate: In the second phase, the client begins operating their new team with the project/product development, management, maintenance, or support. The outsourcing company continues to provide support services, which include recruitment and training, finance and accounting, facility management, IT, and many more.

Lease: During this phase, you can lease the outsourcing company’s team for a short or long term. Throughout this period, you continue to receive support from the Legal, HR, Admin, and Finance teams of the outsourcing company.

Transfer: In this phase, the final transfer of project ownership and assets takes place. Typical options include the transfer of ownership of the team to the client’s facilities, transfer of the team to the client’s payroll and leaseback facilities, or continuation of services. This handover can occur whenever your organization decides to take over the entire operations. It could happen during the contract, at the end of the contractual period or even later. The outsourcing company assists in this transition.

How Can You Benefit from the BOLT Offshoring Model?

The advantages of the BOLT Model expand beyond cost-savings. This model can be adapted to suit your project requirements and enables you to employ highly trained consultant teams who can join a project at any stage. Listed below are some benefits you can realize through the BOLT partnership:

Focus on the Core Business

Cost Savings

Experienced Partner

Shorter Time-to-Market

Shared Risk

Scalable Team

1. Leverage the Expertise Your outsourcing partner is a specialist in the technology, country, or market you are planning to expand. You do not have to invest your efforts and time in finding the right office, hiring, training, and managing the workforce or administrative activities. The offshoring firm is already aware of the local intricacies, aiding in faster response, quicker ramp-up, and accelerated cost-saving.
2. Shorter Delivery Time With ready to avail team, there is no time lost in identifying or settling down the resources. Also, with the resources working in different time zones, the Follow the Sun model can ensure 24X7 functioning. This enables you a shorter time to market.
3. Cost Saving BOLT not only reduces upfront investments but also helps you save along the way by minimizing the operational costs. The saved capital can be utilized in enriching the company’s own resources.
4. Risk Minimization You share your risks with the outsourcing partner, who already understands the specific challenges associated with a technology or geography. The risks related to hiring, attrition, or investments are easily foreseen and taken care of by an experienced partner. Moreover, every country has its own challenges, which can be different from others, so investments can be diversified through this model.
5. Flexibility and Scalability BOLT provides you access to a larger pool of talent. The customized teams with varied skillsets can be scaled up or down to suit your project, product, or process requirements.

Thus, the BOLT model allows you to establish an offshore process and concentrate on building strategies for your business growth. You leverage the outsourcing vendor’s capabilities for other operations, and later assume full ownership of the setup.

Accelerate Business Growth, Delay the Investment with XTGlobal’s BOLT

Creating a support system for your business with a robust technical infrastructure, competent workforce, and minimal fee is possible through XTGlobal’s BOLT Strategic Partnership Model. XTGlobal’s BOLT offering can help you realize the potential of your company with full operational control. Our client-centric approach and highly secured facilities ensure minimal data security risk.