India The GCC Capital Of The World, Says Nasscom-Zinnov Report
India continues to be at the forefront of Global Capability Centers expansion strategy, with more than 400 new centres established in the last five years, according to the September edition of the India GCC report by Nasscom-Zinnov.
What Are GCCs?Â
Global Capability Centers are set up in India by international organisations to carry out backend functions, support tasks and other strategic functions. This drives cost efficiencies for such organisations.
GCCs handle the technology, engineering and operations functions, including Shared Service Centers of MNCs in India.
Key Growth Levers Of GCCs In India
There are six growth levers that the Nasscom report has pointed out:
India holds the largest share of GCCs with more than 2,975 units.
In terms of the maturity roadmap, 44% of GCCs have transitioned into portfolio hubs over the last decade.
32% GCCs in the transformational hub have high product management intensity.
12% of all GCC workload is still outsourced to services providers.
More than 6,500 roles are outsourced in Indian GCCs, which is expected to cross over 30,000 in the next six years.
More than 1,20,000 artificial intelligence professionals are present across GCCs in India.
What's Special About GCCs In India?
Indian GCCs are building digital-first charters by investing in AI, cloud, cybersecurity and blockchain. Banking and financial services GCCs are moving from back office support to leading in data analytics, algorithmic trading and quantitative financial engineering, the report said.
Legacy GCCs are leveraging India's cybersecurity talent for advanced threat prevention. While, the newer ones are focusing on global and emerging market solutions, it said.
Location Read Through For GCCs
Global 2000 companies have significantly expanded their GCC presence in India with 23% of them having a center in India. Tier-2 and tier-3 cities of India continue to attract GCCs due to significant cost advantages and access to growing talent pool.
Ahmedabad, Coimbatore and Vadodara remain the key hubs. Government initiatives like Gujarat Semiconductor Policy 2022-2027 and the Madhya Pradesh IT, ITeS and ESDM Investment Promotion Policy 2023, have strengthened GCCs' presence in tier 2 and 3 cities.
-
India Exports Capital. Why Not Export Trusteeship?
The big question, then, is whether India can build an institution that global borrowers, investors, banks, and lawyers can trust, even without an Indian connection.
-
France's Economy & Politics Are In Crisis | The Reason Why
Let's look at how the French economy and politics evolved under Nicolas Sarkozy, Franois Hollande and Emmanuel Macron.
-
You May Inherit The Business. You Must Earn Its Credibility.
Succession tests the founder's ability to share authority as much as it tests the next generation's readiness to assume it.
-
Signing Deals Is One Thing; Making Them Work Is Another | The Week In Whys
Sometimes, things don't turn out as planned. Indian companies have lost some bids to rivals, some projects won't produce until 2030.
-
FOMC Wall, PERM Suspension, Hospital Stocks | Talking Points This Week
A PERM suspension would directly affect green-card sponsorship rather than H-1B visas, so the near-term earnings impact could remain relatively limited. The key question is whether this marks a new phase in US scrutiny of Indian IT.
-
Everything, Everywhere, All At Once: Dalal Street's Week To Forget | Joining The Dots
Visa curbs, a Starlink spat and cancer drug caps: what connects this week's shocks for Indian markets
-
India Is Going Abroad For Critical Minerals. But It May Take Years To Pay Off | The Reason Why
Although India's steps are in the right direction, they remain modest compared with India's growing dependence.
-
When Everyone Has AI, What Gives You An Edge?
India's young workforce is entering an uncertain world of work where powerful AI tools are becoming widely accessible. The advantage will belong to those who combine deep expertise with digital fluency, and the distinctly human capabilities that technology cannot manufacture.
-
Wrong Labels, High Pesticide Residues Holding Back Agri Exports | The Reason Why
India needs stronger domestic food-safety and labelling standards, with best practices becoming part of everyday business for farmers, traders and food companies.
-
India Is Easy To Enter, Harder To Attract | The Week In Whys
The question is no longer just whether India can attract companies and capital. It is how much value they create here, how deeply they invest, and whether India remains relatively attractive when they have plenty of other options.
