Key Summary
- Global capability centers (GCCs) are expanding to support more advanced roles, not just basic back-office functions.
- Companies are using offshore teams to manage critical work while maintaining oversight.
- India remains a top location for capability centers due to its talent and infrastructure.
- Connext supports distributed teams and operational continuity in multi-location businesses.
Changing the Way Global Teams Operate
Global Capability Centers (GCCs)—also known as in-house offshore centers—have evolved far beyond their original purpose. Once built mainly for basic support functions, they now help companies run complex operations, test new services, and stay agile in uncertain times.
In today’s business environment, these centers play a key role in how companies scale, manage risk, and access talent in different parts of the world.
A Well-Established Location for Global Teams
India continues to be one of the world’s most active markets for global capability centers. the number of GCCs in India is projected to rise from around 1,580 in 2023 to over 1,900 by 2025, with the total market value estimated at US $60 billion. These centers are expected to employ around 2 million professionals by then.
Once seen primarily as back-office cost centers, today’s GCCs are transforming into innovation engines. Global capability centers in India are no longer just focused on back-office tasks. Many are now taking the lead in areas like AI governance, cybersecurity, and analytics—reflecting a broader shift toward innovation and strategic value.
In fact, multinational corporations, facing intense competition and high costs for AI talent in their home markets, are increasingly turning to India’s back‑office sector to meet their artificial intelligence (AI) needs through Global Capability Centres (GCCs).
While talent costs have increased in major cities like Bengaluru and Hyderabad, companies are exploring Tier 2 cities to keep expanding. India’s mix of skilled workers, established infrastructure, and policy support makes it a strong choice for companies building long-term offshore operations.
Modern Roles and Responsibilities
Today’s GCCs support more than just routine tasks. Many now handle advanced and specialized roles such as:
- Data engineering
- Risk and compliance support
- Financial control
- Software development
- AI research and automation
Some companies even use their offshore centers to pilot new tools or services before introducing them to other markets. This allows for controlled testing and faster iterations with reduced operational risk.
Supporting Distributed Operations
As more organizations move to hybrid or remote work models, offshore centers have become more integrated into the overall structure. Team leads in offshore centers often own global goals, manage performance, and take part in long-term planning.
This kind of setup supports distributed companies—those with teams spread across multiple locations. It allows for 24/7 coverage, built-in redundancy, and shared accountability across global operations.
At Connext, we support clients in setting up and managing offshore teams that work in similar ways—teams that can run core tasks while giving clients control over how the work gets done.
Benefits Beyond Cost
Although lowering costs is still a factor, that’s no longer the only goal. Companies now see global capability centers as a way to build internal skills, improve service delivery, and reduce risk.
In industries like finance, healthcare, and technology—where compliance and data privacy are essential—offshore centers offer a way to maintain standards without limiting growth.
These centers also make it easier to build teams with specialized skills that may be hard to find or retain in the home market.
Why India Remains a Popular Option
Even with growing interest in nearshore locations like Mexico, the Philippines, or Poland, India remains a go-to location for building capability centers. The reasons include:
- Large number of experienced professionals
- Strong educational background in technical fields
- English fluency and global work culture
- Well-developed tech and business infrastructure
India’s long history in offshore delivery also means companies can hire quickly and scale without starting from scratch.
At Connext, we help companies assess offshore talent pools, including those in India, and build support structures to ensure stability, security, and long-term success.
A Practical Option for Complex Needs
In a time when companies need to move fast and stay flexible, global capability centers offer a practical solution. They provide:
- Access to global talent
- Operational continuity
- Room to test new processes
- Control over how work is done
For organizations facing hiring freezes or resource gaps, building offshore teams through independent contractor models—or by creating in-house centers—can help keep things moving.
Learn more about why India continues to be a trusted destination for scalable offshore operations in this blog on India’s logistics and outsourcing strengths.
Explore India’s proven capabilities in supporting offshore teams—read our blog on why global companies turn to India for call center operations.
Final Thoughts
Global capability centers continue to play a steady role in supporting business continuity, distributed operations, and access to skilled professionals. With the right structure, a GCC can help streamline delivery, reinforce process consistency, and maintain visibility across teams.
Clear governance, flexible resourcing models, and defined performance measures contribute to the stability of these centers. Many organizations use capability centers to manage specialized tasks, improve turnaround times, and introduce new processes within a low-risk framework.
As global operations evolve, capability centers continue to offer a reliable path to efficient, scalable support—enabling teams to grow and adapt, even in constrained hiring environments.
Frequently Asked Questions (FAQs)
Connext does not run traditional GCCs. However, we support clients in building dedicated offshore teams—including in India—through flexible, contractor-based arrangements. This approach helps organizations access skilled talent while managing headcount and operational complexity.
Global Capability Centers are typically company-owned and locally registered, with full infrastructure and long-term commitments. In contrast, offshore team models—like those supported by Connext—provide a more adaptable structure. Clients maintain oversight and continuity while scaling efficiently, without needing to establish a legal entity abroad.
Yes. Many companies rely on offshore teams to support roles in areas like finance, data analytics, healthcare operations, and IT. With clear expectations and ongoing coordination, these teams can integrate smoothly and contribute to broader business goals.
Connext collaborates with clients to define roles clearly, streamline onboarding, and monitor results. This helps maintain performance consistency—especially valuable for businesses with distributed teams or limited internal hiring.
Offshore team models can be effective when companies need to expand capabilities, pilot new functions, or maintain momentum during hiring slowdowns. It’s a practical way to enhance support without taking on the administrative requirements of a fully owned center.
