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India to have more than 2,100 global capability centres by March 2028: Report

India to have more than 2,100 global capability centres by March 2028: Report

Time of India7 days ago
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India will surpass 2,100 global capability centres (GCC) by financial year 2028, growing at a compound annual growth rate (CAGR) of 8%, with an estimated 150 new centres added annually, according to the recent report by Vestian.The report also reveals that, the growth of GCCs in India is most prominent in tier-I cities, with Bengaluru leading the pack with 487 centres (29% of India's total). Hyderabad follows closely with 273 GCCs (16%), while the NCR region hosts 272 centres. Mumbai, Pune, and Chennai also contribute significantly, accounting for 12%, 11%, and 10% of the national total, respectively.This is a reflection of India's effort to establish itself as the world leader in housing Global Capability centres (GCCs), with currently having nearly 1,700 centres, over 53% of the total 3,200 globally.While these urban centres continue to dominate, there's a notable shift toward tier-II cities. This transition is being supported by the Union Budget 2025, which proposes a national framework to encourage the expansion of GCCs in emerging markets.Sector-wise, the IT-ITeS industry holds the biggest share of GCCs at 49%, followed by the banking, financial services, and insurance (BFSI) sector at 17%. Other contributors include healthcare, engineering, consulting, and telecom, collectively forming 19% of the market."India's leading office markets continue to offer a compelling value proposition to GCCs, characterised by competitive costs, a highly skilled workforce, robust infrastructure, progressive policy incentives, and a conducive business environment," said Shrinivas Rao, CEO, Vestian."However, selecting the right location remains critical to the long-term success of any GCC. Vestian's GCC Market Entry Index serves as a strategic tool to support companies in identifying optimal locations that align with their business objectives," he added.Global capability centres (GCCs) are offshore units established by multinational corporations to centralise and enhance various business functions, leveraging global talent and technology. These centres have evolved from cost-saving units to strategic hubs driving innovation, operational efficiency, and business growth. GCCs are strategically located in countries like India, offering access to diverse talent pools, robust ecosystems, and favourable business environments.
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Mid-sized GCCs out-hire larger peers with double-digit growth in first half
Mid-sized GCCs out-hire larger peers with double-digit growth in first half

Time of India

time2 hours ago

  • Time of India

Mid-sized GCCs out-hire larger peers with double-digit growth in first half

Academy Empower your mind, elevate your skills ETtech Mid-size global capability centres (GCCs) in India are outpacing the large ones in hiring, according to data sourced by by mid-size GCCs , or those with 500–2,000 employees, increased 10–12% in the six months through June, compared with 4–6% by large GCCs , showed data from staffing services provider Quess Corp Most of the hiring by mid-size GCCs is aimed at replacing outgoing employees or expanding existing teams, said Quess Corp IT Staffing CEO Kapil Joshi. 'These centres are focused on long-term stability, process maturity, and cost efficiency.'To be sure, large GCCs, with more than 2,000 employees, still make up the majority of the workforce and continue to grow, albeit at a slower pace than in the the GCC wave is growing in India, large multinationals that already employ thousands in Indian GCCs are opting for leaner teams and sharper focus to make the workforce more agile and adapt quickly to business needs in the wake of the disruption from artificial large GCCs bring scale and reliability, the mid-size ones are leading the way in capability-led hiring, said relatively smaller firms are entering India for the first time or expanding operations quickly, building entire capabilities from the ground up, said Joshi. 'To attract the right talent, they are offering competitive salaries, signing bonuses and quicker career growth, especially for skilled professionals in AI and data roles…They're not just hiring more people, they're hiring differently, with a clear goal to build new capabilities and gain a competitive edge in the talent market.'Over the last five years, the headcount at mid-size GCCs grew 46%—to more than 220,000 in 2024 from 150,000 in 2019—compared with a 34% expansion in the workforce at other GCCs, showed data from ANSR that helps MNCs set up non-mid-market GCCs, largely comprising big GCCs, employed 1.68 million people in 2024, up from 1.25 million in GCCs are aggressively expanding in India. More than 45 new centres set up operations in the past two years alone, as per an April report by industry body Nasscom and consulting firm Zinnov. They account for nearly 35% of India's total GCCs, and 30% of the GCC additions during the past two operate under greater cost constraints than their larger peers, are rapidly evolving into significant contributors to their parent organisations' market strategies and are becoming influential players in their respective industries, according to sector centres are characterised by high maturity as transformation hubs, and deep product capabilities with a significant share of global product management talent. They have a high concentration of niche deeptech skills, a central role in global engineering, research & development (ER&D), an agile operating model enabling faster leadership elevation, and function as process transformation engines for their parents, say than 120 new mid-market GCCs are expected to be established in India by the end of 2026, adding about 40,000 jobs, ET had recently to the Nasscom-Zinnov report, the mid-market segment has the potential to attract at least 23–27% of the 130,000–150,000 global mid-market companies leading to AI-led transformation.

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