1 Software Technology Parks of India, under MeitY, Government of India, Pune, Maharashtra, India
Global capability centres (GCCs) are playing a significant role in positioning India as a strategic hub in the global business landscape. This study explores the sustainability and growth of GCCs in India and their transformative impact on the Indian business ecosystem. Currently, around 1,800 GCCs operate across multiple domains and locations nationwide. Key drivers for GCCs’ establishment are the availability of skilled talent, technological advancements and policy and infrastructure support. It is important to know that GCCs are evolving from cost-arbitrage back-office hubs to centres of innovation, leadership development and strategic decision-making, and are further expected to emerge as AI-driven enterprises. In this article, quantitative analyses were performed to examine how factors such as technological advancements, workforce upskilling, and policy support contribute to fostering GCC sustainability. The study shows that significant opportunities exist to expand GCCs into Tier II and Tier III cities and diversify into emerging sectors such as telecom, real estate and healthcare. Based on the data available in terms of the state policy framework, talent pool and other conducive key factors for the establishment of GCC, some recommendations and suggestions are proposed to ensure long-term growth of the country. In conclusion, GCCs currently contribute 1.5%–2.0% to India’s GDP and employ approximately 1.9 million people and are expected to grow 3.5% GDP contribution with 2.8 million jobs by 2030, which showcases increasing economic significance. This indicates the significance of GCCs in the Indian business ecosystem.
Global capability centre (GCC), sustainable development, R&D, knowledge economy, GCC policy, leadership
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