Mid-tier GCCs Outrun Giants

India's mid-market GCCs benefit from quicker decision-making and focused roles, Nasscom report says

- Jas Bardia

Technology centers of mid-size global companies—with revenue up to $1 billion—tend to scale up faster than their larger peers because they are leaner, more agile and innovation-focused, according to the National Association of Software and Services Companies (Nasscom).

The global capability centers (GCCs) of mid-market companies can grow stronger on account of faster decision-making, smaller teams and higher focus on engineering and research, Nasscom and experts said.

GCCs of top foreign companies such as Amazon, JPMorgan Chase, Boeing and Walmart operate as strategic hubs in India. They drive innovation and provide crucial support to the global operations of these companies in the areas of information technology, sales, human resources, marketing and supply chain management.

According to Nasscom, India is home to more than 1,760 GCCs, of which 480 are mid-market GCCs. These include Arctic Wolf Networks Inc., BlackBerry Ltd, IDP and Modernizing Medicine Inc.

"While mid-market GCCs often start as outposts like their larger peers, they tend to progress 1.2x faster along the maturity curve, aided by focused charters and closer reporting alignment to the GCCs," according to a Nasscom-Zinnov report released on Tuesday. This is because of three key factors.