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Setting Up a New Global Capability Center: Key Decisions

Writer's picture: Jigar JobanputraJigar Jobanputra

As more businesses from the US and UK establish Global Capability Centers (GCCs) in India, selecting the right partner becomes a critical success factor. Many companies undertake an extensive partner evaluation process, often involving one or more of the Big 4 firms, specialized GCC consulting firms and/or large existing outsourcing partners in Technology and Operations. This process typically includes responding to detailed Requests for Proposals (RFPs).


RFPs, often managed by in-house procurement teams—sometimes with support from specialist consultants—tend to focus on:

☑️Property Solutions (both interim and long-term facilities)

☑️Talent Acquisition Solutions (hiring strategies and execution)

☑️Transition Solutions (ensuring a smooth path to service stabilization)




However, some of the most critical decision points are frequently overlooked. These include:

☑️Structuring and Incorporation: Choosing the optimal legal entity type and operational framework for the GCC.

☑️Ownership Models: Deciding between a Do-It-Yourself, a Build-Operate-Transfer (BOT) model, or other hybrid structures.

☑️Transfer Solutions: Addressing the complexities of asset and personnel transfers in cases of BOT.


These often-overlooked decisions can have a significant impact on the costs, complexities and long-term scalability of the GCC during setup, steady-state operations, and eventual transfer.


Let’s explore these critical areas in more detail.




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Bangalore

Office No. 213, Ramanashree Arcade, 18, M.G. Road, Bangalore 560001

 

Chennai

The Executive Center, Greams Road, Chennai 600006

 

Hyderabad

The Executive Center, Inorbit Mall Road, Hi Tech City Jn, Hyderabad 500081 

 

Pune

The Executive Center, Panchshil Business Park, Pune 411045

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