If you’re hearing the buzz around GCCs and wondering “what is GCC?”, you’re in the right place. The term refers to Global Capability Centers, sometimes also called Global In-house Centres (GICs), where multinational companies centralize operations such as R&D, finance, IT, analytics, or customer service. A GCC center (or gcc center) operates as a strategic hub for the parent company, not just a cost centre. Understanding what is global capability center and how to execute a successful gcc setup in India can help your organization tap into innovation, scale, and efficiency.
Why India? The Numbers Behind GCC Growth
India is already a global leader when we talk about global capability centres in India. As of 2024, there are over 1,700 GCCs employing about 1.9 million people and contributing tens of billions in revenue annually.
What’s more, the number of global capability centres in India is projected to cross 2,100 by FY 2028, growing at around 8% Compound Annual Growth Rate (CAGR) as reported by Vestian and others.
So if you plan a gcc setup, you’re entering a growing, competitive landscape—but one with huge upside.
Key Steps in GCC Setup in India
Here are the main stages you’ll want to think through when doing a gcc setup:
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Define Purpose & Scope
Decide what functions your GCC center will support (e.g. R&D, AI analytics, BFSI operations). The clearer you are on “why” you need a global capability center, the better you can structure talent, tech, and budget.
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Choose Location Wisely
Cities like Bengaluru, Hyderabad, Mumbai, Pune, Chennai, and NCR are leading in global capability centres in India due to strong talent pools, infrastructure, and supportive policy. Tier-2 cities are emerging too.
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Legal, Policy & Incentives Setup
Understand local laws, tax incentives, work permits, and state policies relevant to what is gcc setup in India. Some states now offer rebates, electricity or land cost incentives specifically for GCCs.
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Infrastructure & Real Estate
Build or rent physical space, decide whether you want to build a fully custom site or use co-working / managed office formats initially. The gcc setup needs reliable power, connectivity, security, and spatial design aligned to your functions.
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Talent Strategy
Hire people with required skills; plan continuous learning. As global capability centres in India shift from back-office work to innovation and leadership roles, having the right human capital is critical.
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Technology & Operations
Select tech stack, security, compliance, cloud / on-premise needs. A gcc center today must support hybrid work, remote access, data privacy, and often global collaboration.
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Scale & Evolution
Once the global capability centre is live, evolve it: add more functions, deepen responsibilities, aim for end-to-end ownership. The best GCCs in India already hold product mandates, innovation work, not just support
Use Cases: What Areas GCCs Are Excelling In
The current global capability centres in india are no longer just about reducing costs. Some trends:
- 49% of all GCCs are in the IT-ITeS sector; BFSI follows.
- Many centres now also handle complex work: AI/ML, data science, product development, customer experience, analytics.
- Companies are using GCCs to anchor distributed R&D and innovation hubs.
Challenges to Plan for in GCC Setup
Knowing the obstacles in advance helps ensure smoother execution of your what is gcc or gcc setup plans:
- Infrastructure gaps in some cities (especially outside metros)
- Regulatory or compliance delays depending on industries
- Talent competition—GCCs compete for top tech, domain, and language skills
- Balancing cost vs control vs speed of launch
Awfis & GCC Centres: How We Can Help
At Awfis, we see GCC setup not as a one-size-fits-all, but as a journey. Whether you’re launching your first gcc center or expanding functions in existing ones, our flexible workspace offerings—managed offices, private cabins, meeting rooms, plug-and-play infrastructure—support the early phases while you build for scale. Because often the early days of a global capability center need agility more than permanence.
Final Thoughts
So, what is GCC? It’s a strategic hub, not merely a service centre. A global capability center is designed for high value work, innovation, and connection to global operations.
A GCC setup in India offers huge upside: strong cost arbitrage, vibrant talent, supportive policy environment—and the chance to build operations that grow with your ambitions.
If you’re considering establishing global capability centres in India, treating GCC design, infrastructure, and talent as core strategic choices will decide whether your centre becomes a cost node—or a value driver.
