I would like to run commands on startup of TestComplete to download latest versions of custom cross project libraries and merge namemapping files from a common repository. Is there an "on load/startup" script function that I can extend or replace to use for this?
No, test source code change is not possible during test execution.
Same rule as with regular development applies here: you should get/merge sources first (using either command line or any other tools) and initiate test execution after that. Even if you change source code during test execution, TestComplete will not notice this.
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Similar to what TCYKPB has said. I have a PowerShell script that is scheduled to run at a particular time or I can run manually. The script performs a clean-up; fetches the latest TC source files from Team Foundation Server; runs the automation; once complete, automation results are emailed.