EY, a professional services organisation, released its ‘Future of GCCs in India – a vision 2030‘ report, highlighting GCC expansion in India. The report estimates India’s domestic GCC market may reach $110b by 2030 (from $45b), led by software exports. By 2030, the report predicts 2400 GCCs growing at the rate of 115 new GCCs yearly (currently 70), The growth of the workforce is predicted to be 4.5M from the current 1.9 million people.
GCCs in India are focusing on talent retention, niche resource partnerships, expansion to more centres in different cities and also tier-II city interest. With a thriving startup ecosystem, India offers GCC-startup collaboration for innovation.
Here is this year’s list of the thriving GCCs across sectors.
Sandoz
In January this year, Sandoz, a major player in generic medicines, announced to set up their centre in Hyderabad, which will support their global knowledge services. Initially, Sandoz, a part of Novartis, will employ 800 people, with plans to expand to 1,800 in coming years. The company holds a diverse portfolio of around 1,000 medicines covering major therapies, achieving $9.7 billion in sales in 2019, benefitting over 500 million patients worldwide.
Alvarez & Marsal
Earlier this month, renowned global professional services firm Alvarez & Marsal (A&M) announced that they have launched the inaugural GCC in India. This centre will cater to A&M’s diverse business operations across six continents. The move underscores A&M’s strategy to deploy skilled professionals worldwide for delivering value, enhancing growth, and fostering innovation.
Deutsche Bank
Deutsche India, home to Deutsche Bank‘s largest technology centre, is expanding in India, planning to hire thousands more. The bank has hired over 2,500 individuals since January 2023, with hiring expected to continue through 2023 and beyond. The centre employs about 16,000 professionals, primarily engineers. Deutsche Bank aims to build an internal engineering workforce, moving away from outsourcing, with a goal to achieve a 70:30 in-house to outsourcing work ratio.
NatWest Group
NatWest Group, a major UK bank, has introduced a pioneering pilot in India’s global capability centres to offer first-time job opportunities to women who have never been part of the workforce. This initiative, named ‘Wish,’ began this year with 15 women in Chennai and Gurugram, focusing on candidates with no experience regardless of age. The bank’s existing ‘Re-invest‘ program supports women returnees, while this ‘Wish’ pilot elevates its India women hiring plan. The GCC employs 16,000 in India, recruiting over 2,000 annually, and has initiated upskilling efforts, allowing employees to dedicate two extra days yearly for future-oriented skill enhancement.
JP Morgan Chase
JPMorgan views India as a vital Asian market, constantly boosting its capabilities. Amid global competition, the company has expanded its tech centres in Mumbai, Bengaluru, and Hyderabad in the past few years, totaling 3 out of 21 tech centres in India itself. These centres tap into India’s rich talent and expertise. The bank plans to use India not only as a tech hub but also for product development. This strategic move aligns with the growth of their global tech centres and India’s tech landscape.
Nissan
Nissan along with Renault announced an ambitious plan to increase the production and R&D activities, to introduce electric vehicles, and transitioning to carbon-neutral manufacturing. Based in Chennai, the collaboration targets six new production vehicles, including two electric models, establishing the Renault-Nissan centre as a global export hub. An initial investment of about $600 million is allocated to these initiatives, aiming to create up to 2,000 jobs.
Hewlett Packard Enterprise (HPE)
HPE announced in July this year that the company intends to begin producing high-volume servers in India. Plans include manufacturing approximately $1 billion worth of servers in India within the first five years. Partnering with VVDN Technologies, HPE’s production will be based in Manesar, Haryana. The move is aligned with the ‘Make in India’ initiative and reinforces HPE’s commitment to the country. HPE’s significant workforce in India, including over 4,000 scientists and engineers, is central to this endeavour across various sectors and initiatives.
Okta
Earlier this month, Okta opened an office in Bengaluru, India, for secure digital transformation in the APAC region. This hub will include a state-of-the-art R&D centre for global identity solution development. Amid India’s rising cybersecurity spending (predicted 18% growth by 2025), Okta aims to serve local customers, enhance security, and contribute to India’s technology landscape. The office will be the site of its first innovation centre in Asia Pacific and will facilitate engagement with local policy makers, educational institutions, and customised integrations for Indian enterprises. The company also partnered with OpenAI earlier this month.
Johnson Controls
Johnson Controls inaugurated its largest OpenBlue Innovation Centre in Bengaluru in July this year, showcasing net zero building tech with cloud, edge, and AI. The centre supports India’s G20 priorities, advancing sustainability and digitalization. It boasts AI-driven energy-efficient tech demos, a digital twin, access control, computer vision, fire safety solutions, and VR experiences for net zero goals. Johnson Controls, present in India for 30 years, will employ 300 engineers at this centre, expanding its role in smart building innovation in India’s IT hub.
Houghton Mifflin Harcourt (HMH)
In July this year, Learning technology company Houghton Mifflin Harcourt (HMH) launched its first Asia-Pacific Center of Excellence (COE) in Pune, India. COEs within Global Capability Centers (GCCs) are organisations or teams focused on developing and advancing analytics capabilities within a company.
This expansion aims to harness India’s tech talent for innovation in K-12 education solutions. The Pune Center will focus on product innovation, R&D, and development, catering to Indian schools implementing IB and IGCSE curriculum. HMH’s solutions integrate core instruction, practice, intervention, assessment, and professional learning.
The post The Major GCC Announcements for India in 2023 appeared first on Analytics India Magazine.
