FAQ's

Modern GCCs serve as centralized hubs for implementing technology-enabled talent strategies, offering scalable access to digital-first professionals across diverse functions—including IT, finance, customer service, and research & development. These centers not only streamline operations but also foster continuous innovation and enterprise-wide value creation.
Far beyond their original role as back-office support, today’s GCCs play a pivotal role in helping organizations digitalize faster, respond to market dynamics with agility, and unlock new sources of competitive advantage.

Driving Operational Excellence and Strategic Growth through GCCs
Global Capability Centers (GCCs) play a vital role in enabling both operational efficiency and strategic expansion for organizations. Their value proposition is anchored in several key areas:

Access to Global Talent: GCCs provide organizations with the ability to tap into diverse and highly skilled talent pools across geographies, helping to address skill gaps and strengthen core capabilities.

Improved Quality and Productivity: By standardizing processes and adopting industry best practices, GCCs enhance service delivery, reduce variability, and drive consistent performance across functions.

Innovation at Scale: Functioning as innovation hubs, GCCs develop and pilot new solutions and services that can be scaled across the enterprise, fostering a culture of continuous improvement and transformation.

While Global Capability Centers (GCCs) offer significant strategic advantages, they also face a range of challenges in today’s dynamic business landscape:

Workforce Agility and Resilience: One of the foremost challenges is cultivating a workforce that can rapidly adapt to evolving technologies, market shifts, and organizational priorities. GCCs must continuously invest in upskilling and reskilling to maintain relevance and responsiveness.

Internal Alignment and Support: Securing organizational buy-in for establishing or expanding GCCs can be complex. Gaining cross-functional support to align talent, technology, and innovation strategies is essential for long-term success.

Evolving Customer Expectations: As customer demands become more sophisticated and digitally driven, GCCs must recalibrate their strategies to deliver enhanced experiences and value-added services.

Digital Transformation Complexity: The shift toward digital enterprise models requires seamless integration of digital technologies across operations. This transformation introduces operational complexity and demands robust change management.

Financial Volatility: Unpredictable market conditions and economic fluctuations can impact the financial stability of GCCs, posing risks to operational efficiency and growth initiatives.

70 percent of leaders agree that competition for AI talent could constrain their organization’s success

71 percent Focusing on retaining and re-training high-potential talent

68% of organizations are making moderate to significant investments to develop capability centers in the next 12 months.

Reference: https://kpmg.com/xx/en/our-insights/value-creation/global-ceo-outlook-survey.html

Focus first on talent
Accessing the right skilled workers, continuously training them to meet the demands of changing work, and building a culture that retains the skills needed to transform the business is key."

Enable innovation
The largest growth area in global capability centers is in research and development. Other growing areas include engineering, technology innovation, product design and development, marketing, supply chain and transformation."

Identify the optimal location
In determining where to establish the global capability centers, think about where you will be able to access the necessary talent."

Strengthen your digital core
Carefully consider which technical capabilities must be developed to support each business objective and the reinvention journey overall. Commit to continuous investment in technology."

Increase cross-functional collaboration
Many companies are trapped in functional silos. Global capability centers often work cross-functionally, integrating data, technology and business processes. Their multi-disciplinary agility unlocks powerful business outcomes.

56% of highly skilled workers would prefer multinational companies as employers for the next three years. This is even more the case with younger generations.

75+% of the global capability centers opened since 2021 focus on research and development (R&D).

62% of the world’s highly skilled workers live in Asia Pacific, Africa and Latin America. This percentage is estimated to grow to 67% by 2030.

80% of organisations are planning to use a third-party provider or to collaborate with external partners in the next 12 months to establish their centers.