How do Global Capability Centres in India Drive Digital Innovation?
DQ Channels|september 2024
GCCs in India are playing a much more inclusive and crucial role in facilitating and driving the digital transformation of their global organisations
TANAY KEDIYAL
How do Global Capability Centres in India Drive Digital Innovation?

Initially considered as offshore cost arbitrage centres for large corporations, Global Capability Centers (GCCs) have now been transformed into strategic partners to drive innovation and scale business in India. This transformation has been driven by technological advancements and the growing demand for digital skills. Global corporations increasingly entrust their Indian GCCs with end-to-end responsibility for critical functions, products and services. This shift is driven by high-level executive sponsors who ensure strategic coherence and cooperation between GCCs and their parent organisations. In the last few decades, India has established its credentials as the go-to destination for GCCs. India is home to more than 1600 GCCs, which is expected to reach 1,900 by 2025.

According to a recent report by NASSCOM, the Compound Annual Growth Rate (CAGR) for GCCs in India increased by 11.4% compared to 11% in the previous year. The report further highlights that 18 GCCs were established in the first 2 quarters of calendar year 2023. Additionally, around 20% of the top Forbes 2000 companies already have their GCCs in India. The figure is anticipated to increase to 55% by 2030.

Strategic Partners, Not Just Service Providers

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