Top 10 Benefits of a Build-Manage-Transfer Model to Scale Up Your Workspace
By Mr. Jaishankar Seetharaman
The build-manage-transfer (BMT) model is a form of public-private partnership that allows businesses to outsource the development and operation of their workspaces to a third-party provider. The provider is responsible for designing, building, managing, and transferring the workspace back to the business after a specified period. This model has many advantages for businesses looking to scale up their operations, especially in tier 2 and 3 cities in India. Global Capability Centres (GCCs), which are large facilities that handle various functions such as operations, IT support, automation, innovation, and analytics for businesses, are increasingly adopting the BMT model to optimise their service delivery and performance.
Here are the top 10 benefits of using a BMT model to scale up your workspace:
- Reduced Capital Expenditure
One of the main benefits of the BMT model is that it reduces the upfront capital expenditure required to set up a new workspace. The provider bears the cost of construction, equipment, furniture, and other infrastructure, while the business pays a fixed monthly fee for the use of the workspace.
- Faster Time to Market
Another benefit of the BMT model is that it enables faster time to market for the business. The provider has the expertise and experience to deliver the workspace in a shorter time frame than the business could do on its own. The provider also handles all the regulatory, legal, and compliance issues related to the workspace, saving the business time and hassle.
- Customised Solutions
The BMT model also offers customised solutions for the business’s specific needs and preferences. The provider works closely with the business to understand its requirements, goals, and vision, and designs the workspace accordingly. The provider can also modify and upgrade the workspace as per the changing needs of the business over time.
- Scalable Options
The BMT model also provides scalable options for the business to expand or contract its workspace as per its growth or contraction. The provider can offer additional space, facilities, or services as per the demand of the business, or reduce them as per the supply.
- Enhanced Productivity
The BMT model also enhances the productivity of the business and its employees. The provider ensures that the workspace is equipped with state-of-the-art technology, systems, and tools that enable efficient and effective work processes. The provider also maintains and optimises the workspace regularly to ensure optimal performance and functionality.
- Reduced Operational Risks
The BMT model also reduces the operational risks associated with managing a workspace. The provider assumes full responsibility and liability for the security, safety, maintenance, and compliance of the workspace. The provider also provides backup and contingency plans in case of any unforeseen events that may disrupt or damage the workspace.
- Improved Quality
The BMT model also improves the quality of the workspace and its services. The provider adheres to high standards of quality control and assurance throughout the design, construction, management, and transfer phases of the workspace. The provider also follows best practices and benchmarks from industry leaders and experts to ensure quality excellence.
- Access to Talent
The BMT model also gives access to talent for the business. The provider can help recruit, train, and retain skilled and qualified employees for the business’s operations in tier 2 and 3 cities in India. The provider can also provide mentoring, coaching, and development opportunities for employees to enhance their skills and competencies. The provider can also create a culture of diversity, inclusion, and empowerment among employees.
- Social Impact
The BMT model also creates social impact for the business and its stakeholders. By setting up operations in tier 2 and 3 cities in India, the business contributes to economic development, job creation, income generation, skill enhancement, infrastructure improvement, and social welfare in these regions. The business also aligns with its environmental, social, and governance (ESG) goals by reducing its carbon footprint, promoting sustainability, and ensuring ethical practices.
- Smooth Transition
The BMT model also ensures a smooth transition of ownership of the workspace from the provider to the business at the end of the contract period. The provider transfers all assets, documents, records, licences, permits, contracts, agreements, warranties, guarantees, etc., related to the workspace to the business without any delay or dispute.
Conclusion
The BMT model is a win-win situation for both the business and the provider, as they share the risks and rewards of the project. However, the BMT model also requires careful planning and execution, as well as compliance with various regulations and standards in different regions. This is where companies like Mikro Grafeio, a social impact startup that offers integrated workspace and workforce solutions in tier 2 and 3 cities in India, has helped businesses; an example is the thriving Centre of Excellence for a global IT giant in an emerging city. Mikro Grafeio not only provides Build – Manage – Transfer solutions for businesses, but also assists them with regulatory, legal, and compliance issues related to setting up operations in these regions. Mikro Grafeio also offers workforce solutions to businesses, to help recruit, train, and retain skilled and qualified employees for their operations. Other coworking spaces are trying to offer similar value-added services. Businesses are now at an advantage wherein they can evaluate the companies offering these solutions based on scope, expertise and budget, to enjoy the benefits of the BMT model to scale up their workspace.
(The author is Mr. Jaishankar Seetharaman, Co-Founder & CEO, Mikro Grafeio (Beyond Workspaces), and the views expressed in this article are his own)
