As soon as seen as rivals, Indian IT providers companies and GCCs are actually forming sturdy partnerships centered on innovation, velocity, and worth creation. These partnerships transcend conventional outsourcing, involving joint improvement of recent applied sciences, shared platforms, and business-focused outcomes. With over 70% of recent GCC initiatives now involving collaboration with IT service suppliers, this development is remodeling India’s $245 billion IT business and reinforcing its position as a world hub for superior know-how and digital innovation.
Throughout the firm’s forty fourth Annual Common Assembly, Infosys Chairman Nandan Nilekani emphasised that GCCs are now not seen as opponents, however have emerged as essential purchasers for the corporate.
Madhusudan Hegde, EVP and Enterprise Unit Head – Enterprise Course of Companies and GCCs at Coforge, shared that the corporate has been supporting international functionality facilities for a number of years. Its business focus throughout banking, monetary providers, insurance coverage, journey, healthcare, and the general public sector has performed a key position in shaping its GCC technique and choices.
“Firms should strategy GCCs from the standpoint of coexistence, collaboration, and co-creation. GCCs as a mandate have shifted from operational efficiencies to worth creation and innovation. What earlier was only a captive centre is now a functionality heart, now shifting in direction of an innovation heart,” he mentioned, including that service suppliers like Coforge, amongst others, are nonetheless related to GCC heads.
“We see if we will carry accelerators, frameworks, and differentiators to the GCC as Coforge. We consider their objectives and see whether or not it’s AI, cloud modernization, product engineering, or different rising applied sciences. Aspirations have modified for GCC heads from the headquarters standpoint. We’re seeing a cultural shift in shopper organizations the place they now not view GCCs as separate entities however as integral components of their core enterprise. Service suppliers are more and more seen as a part of this linked ecosystem,” he mentioned, including purchasers discover worth in having service companions work alongside their GCCs.
Whereas core capabilities like product design and engineering could sit throughout the GCC, they nonetheless depend on IT service suppliers for versatile capability, entry to rising tech, and the velocity required to execute particular initiatives.
Mohit Sood, Regional Managing Principal at ZS, a world administration consulting and know-how agency, defined {that a} widespread and efficient mannequin for this type of partnership is the Construct-Function-Switch (BOT) strategy. Since ranging from scratch shouldn’t be advisable for many GCCs — there isn’t a must reinvent the wheel when service suppliers have already navigated that path. A BOT mannequin creates a win-win situation — the service supplier helps construct and run the aptitude initially, then transitions it to the GCC to personal and scale.
Given the speedy development and increasing scope of GCCs, there’s a vital alternative. Service suppliers can trip a number of waves of this mannequin — establishing one functionality or service line, transferring it, after which shifting on to construct the following.
This collaboration is pushed by three principal components — entry to expertise at scale, particularly in digital and domain-specific abilities, the necessity to innovate quickly, and mutual worth creation. Rohan Lobo, Accomplice, Deloitte India, famous that over 60% of GCCs have established innovation hubs to co-create with IT companions, typically utilizing hybrid “pod” fashions that mix velocity with strategic management.
Then again, these partnerships allow IT providers companies to construct essential capabilities and work on superior challenges throughout sectors.
“There was at all times a notion that GCCs and IT providers corporations co-exist however the relationship is now essentially shifting towards partnership and co-creation. IT companies more and more see GCCs as strategic collaborators, particularly round joint IP improvement and digital innovation. Shared expertise swimming pools and platforms are creating mutual worth, reasonably than direct competitors. We’re seeing new joint go-to-market fashions, the place merchandise in-built GCCs turn out to be income mills for guardian corporations. The long run will probably function extra built-in groups and shared digital labs, marking a brand new period of collaboration,” Lobo mentioned.
The partnership between IT companies and GCCs is driving the shift towards extra innovation-led development. By working collectively on R&D and IP creation, India is rising as a world digital hub. These partnerships are additionally serving to Indian IT companies enter new industries. Extra international product mandates and Indian-origin tech leaders are probably if investments in expertise and digital infrastructure proceed, he shared.
Printed on June 29, 2025
