Topics In Demand
Notification
New

No notification found.

The Rise of GCCs in India's Tier-2 Cities

October 10, 2024 1746 3 Global Capability Centers GCC

The Rise of GCCs in India's Tier-2 Cities

This report, prepared by Inductus GCC in September 2024, highlights the growing trend of multinational corporations (MNCs) establishing Global Capability Centers (GCCs) in India’s Tier-2 cities such as Pune, Coimbatore, and Jaipur. These centers are becoming crucial for MNCs looking to optimize costs, access untapped talent pools, and reduce operational pressures from Tier-1 cities like Bengaluru and Mumbai. Key drivers for this shift include lower operational costs, access to high-quality talent, and better retention rates in Tier-2 cities. The report also outlines the role of GCCs in supporting global operations by providing services such as IT, finance, research, and software development. It emphasizes the growing significance of GCCs in India's global outsourcing ecosystem and predicts a 30-40% rise in demand for GCCs in Tier-2 cities in the coming years. The document provides a comprehensive overview of the challenges and strategic opportunities for companies expanding into Tier-2 cities, noting cost optimization, talent acquisition, operational efficiency, and government incentives as critical factors for success.

1746

3

Download
  • Title: The Rise of Global Capability Centers in India’s Tier-2 Cities
  • Author: Inductus GCC
  • Date: September 2024
  • Scope: Analysis of the expansion of GCCs into Tier-2 cities, cost optimization, talent acquisition, operational challenges, and future prospects.
  • Key Points:
    • Industry Scale: Around 1,700 GCCs in India, employing 1.66 million professionals as of 2023.
    • Operational Efficiency: Tier-2 cities offer up to 30% lower operational costs.
    • Strategic Shift: Increasing expansion due to high attrition and operational costs in Tier-1 cities.
    • Government Support: Infrastructure development, tax breaks, and incentives are key to driving this trend.
    • Long-Term Vision: Increasing automation and R&D capabilities will drive further growth in Tier-2 GCCs.

That the contents of third-party research report/s published here on the website, and the interpretation of all information in the report/s such as data, maps, numbers etc. displayed in the content and views or the opinions expressed within the content are solely of the author's; and do not reflect the opinions and beliefs of NASSCOM or its affiliates in any manner. NASSCOM does not take any liability w.r.t. content in any manner and will not be liable in any manner whatsoever for any kind of liability arising out of any act, error or omission. The contents of third-party research report/s published, are provided solely as convenience; and the presence of these research report/s should not, under any circumstances, be considered as an endorsement of the contents by NASSCOM in any manner; and if you chose to access these research report/s, you do so at your own risk.




LATEST REPORTS

© Copyright nasscom. All Rights Reserved.