Enhancing global capability centers through the BOTT model

This strategic framework is a proven way to ensure the successful creation and transition of a GCC.

This content was originally featured in a Forbes article in April 2025.

Today, companies are constantly seeking innovative ways to enhance their digital presence and streamline operations. One strategy that has gained considerable momentum is the Build-Operate-Transform-Transfer (BOTT) model. This model provides a structured and systematic approach to establishing and managing a successful global capability center (GCC). With over two decades of experience assisting clients in achieving industry leadership, I have found that establishing and running GCCs through the BOTT model is key to maximizing both effectiveness and efficiency.

Understanding global capability centers

A GCC is an established entity within an organization designed to harness global talent and resources to deliver high-value services and capabilities. These centers are typically located in regions with a rich talent pool and cost advantages, enabling organizations to optimize operational efficiency, drive innovation and enhance service delivery across various functions such as IT, finance, human resources and research and development. By centralizing expertise and capabilities, GCCs play a crucial role in supporting an organization's global operations and strategic objectives.

The BOTT model

The BOTT model, a strategic framework for establishing GCCs, encompasses four phases: build, operate, transform and transfer. It is also popularly known as BOT (build, operate and transfer).

In many cases today, service providers work closely with industry players to assist with GCCs. As per the Everest Group, a couple of years ago, the number of GCCs set up using the BOT model accounted for less than 10% of all GCCs; it’s now nearly 40%. When combined with an assisted approach, that figure increases to over 90% of GCC setups today.

Each phase of the BOTT model involves specific steps and guidelines to ensure a smooth transition and successful execution:

Build phase

In the Build phase, several key activities must be meticulously executed to establish a robust foundation for the global capability center:

• Strategic planning and design. Craft a comprehensive blueprint that aligns with the organization's strategic objectives, detailing the GCC's structure, functions and operational workflows. I have seen that working with experienced service providers helps in this stage immensely.
  
  
• Site selection and infrastructure development: Identify an optimal location based on talent availability, cost efficiency and regulatory environment, and then develop the necessary physical and technological infrastructure.
  
  
• Talent acquisition and onboarding. Recruit a skilled workforce that meets the GCC's specific requirements, including sourcing talent, conducting interviews and onboarding new hires. Over the years, I have seen that relying only on just-in-time hiring may not help. Companies should work with service providers who can utilize their bench, too, for talent deployment.
  
  
• Technology implementation. Deploy state-of-the-art technology solutions to enable seamless operations, including IT systems, software applications and communication networks.
  
  
• Regulatory compliance and risk management. Ensure adherence to local laws and regulations and implement risk management strategies to mitigate potential challenges.
  
  
• Stakeholder engagement and communication. Establish clear communication channels with key stakeholders to ensure alignment and support throughout the Build phase.

Operate phase

In the Operate phase, the focus shifts to ensure the GCC functions optimally:

• Operational management. Oversee day-to-day operations, including HR, finance, legal, procurement, workflows and resource allocation, and adhere to service-level agreements.
  
  
• Facilities management. Manage building operations, maintain cleanliness and hygiene standards, conduct regular maintenance and repairs and implement robust security measures.
  
  
• Performance monitoring and reporting. Track KPIs to measure effectiveness and identify ways to improve operations. Based on my experience, a joint program governance team is key here.
  
  
• Quality assurance. Implement rigorous quality control measures, including regular audits, process reviews and corrective actions.
  
  
• Talent management. Foster a skilled and motivated workforce through ongoing training, development programs and performance evaluations.
  
  
• Technology maintenance and upgrades. Ensure the technology infrastructure remains robust and up to date through regular maintenance and the integration of new technologies.
  
  
• Security management. Implement comprehensive security protocols to protect against cyber threats, unauthorized access and data breaches.
  
  
• Stakeholder communication. Maintain open and transparent communication with key stakeholders, including clients, senior management and team members.

Transform phase

The Transform phase focuses on elevating the global capability center to a higher level of performance and innovation:

• Integration of advanced technologies. Implement cutting-edge technologies such as AI, machine learning and robotic process automation.
  
  
• Process reengineering. Redesign and optimize existing processes to improve productivity and reduce costs.
  
  
• Workforce upskilling. Provide comprehensive training and development programs to equip the workforce with new skills and competencies.
  
  
• Change management. Implement structured change management initiatives to ensure smooth adoption of new technologies and processes.
  
  
• Performance optimization. Continuously monitor and analyze performance metrics to identify areas for improvement.
  
  
• Innovation and continuous improvement. Foster a culture of innovation and continuous improvement by encouraging creative problem-solving and adopting new ideas.

Transfer phase

In the Transfer phase, the focus should be on ensuring a seamless handover of the GCC to the organization:

• Transition planning. Develop a comprehensive transition plan that outlines the steps and timelines for the handover process.
  
  
• Knowledge transfer. Conduct extensive knowledge transfer sessions to equip the organization's team with the necessary skills and expertise.
  
  
• Asset and responsibility transfer. Facilitate the transfer of all physical and intellectual assets, including technology infrastructure and operational processes.
  
  
• Operational handover. Ensure smooth operational handover by transitioning day-to-day management responsibilities to the organization's team.
  
  
• Post-transfer support. Offer ongoing support and assistance post-transfer to ensure the GCC continues operating efficiently.
  
  
• Performance monitoring and evaluation. Establish mechanisms for continuous performance monitoring and evaluation to beat the organization's expectations.
  

A proven approach

The BOTT model offers a comprehensive and structured approach to establishing and managing GCCs. By meticulously executing each phase, organizations can optimize operational efficiency, drive innovation and enhance service delivery.

Based on my decades of experience, I have seen that leveraging the expertise of service firms experienced in the BOTT model can further mitigate risks and ensure a smooth, value-driven establishment of global capability centers. Ultimately, the successful implementation of the BOTT model enables organizations to fully leverage the capabilities of their GCCs, supporting their global operations and strategic objectives.