Setting Up a GCC in India: A Strategic Playbook for Enterprises
July 4, 2025

An important question for CXOs and strategy heads alike arises as businesses grow internationally: Are we scaling globally merely to increase capacity, or are we also building capability? Global Capability Centres (GCCs), formerly known as Global In-House Centres (GICs), fill that need by acting as strategic powerhouses that are more than just back-end support engines.

From being cost-cutting outposts, GCC countries have subtly changed into innovation hotspots, talent magnets, and essential forces behind corporate agility. You're not alone if you're considering India as your next GCC destination; the more important question is, are you taking the same approach as everyone else?

Most importantly, EY's recent report, "Future of GCCs in India - a Vision 2030," projects that the size of the domestic GCC market will reach US$110 billion by 2030, driven primarily by software exports, which continue to be a significant part of India's service exports. India is expected to have 2400 GCCs by 2030, and as the country becomes the global centre for technology and services, that number may rise to 2550. There could be 115 new GCC setups annually, up from the current 70.

Indian GCC market

After seeing these numbers, India, today, isn’t just a labor arbitrage play, it’s also now a capability marketplace. With a tech-savvy workforce, deep domain expertise, and a startup mindset embedded in even enterprise ecosystems, the Indian GCC story is now all about scale, speed, and strategic relevance.

But the twisty questions are:

Do you know what it really takes to set up a future-proof GCC in India?

Are you designing a center that delivers outcomes, or just outputs?

Are you treating your GCC like a vendor or like a value engine?

This article goes beyond the checklist. It walks you through the end-to-end journey of building a GCC in India, while also exploring the mindset shifts and strategic levers that separate a cost center from a competitive advantage.

Emergence of the Global Capability Centers as a catalyst for innovation

Businesses must radically rethink their operations if they are to succeed and realise the potential of generative AI. Additionally, in order to strategically apply technology, data, and artificial intelligence to transform their business, every company needs the right talent. It's a rare talent, though.

How can businesses find, develop, and unlock the talent they need on a large scale? With Global Capability Centres (GCCs) which have changed their focus to become real engines for business reinvention. GCCs give businesses access to a worldwide pool of elite talent that is outfitted with the newest tools and education required to stay ahead of market trends, continuously innovate, and generate steady growth. More than just lowering expenses, modern GCCs assist businesses in accelerating their digital transformation, unlocking enterprise value, and spurring expansion.

Why set up GCC in India?

Every few years, a business trend shifts from “promising” to “proven.”
India as the global home for Capability Centers? That shift has already happened. The real question is: Are you tapping into it like everyone else or thinking bigger?

Because if your only reason to explore India is low cost and high headcount, then you’re still seeing it through an outdated lens. What the most forward-looking companies have realized is that India is no longer a place where you “outsource work.” It’s where you embed intelligence into your global operations.

Let’s break it down as if we’re in a boardroom, asking real questions that actually drive decisions.

1. India offers thinking power at Scale

Yes, the statistics are impressive, over a million engineers graduate every year, many fluent in AI, cybersecurity, and deep tech. But raw numbers don’t explain the magic. What makes India different is this:

People here don’t just solve problems, they’re trained to navigate ambiguity.

You give them the “what,” they’ll find the “how.” You give them the “why,” they’ll challenge it and sometimes, even improve it. It's not just about coding and reporting anymore; it's about co-creating the future of your business. So, if you're looking to build a culture of agility and continuous learning, you're not hiring talent in India, you're planting a thinking engine.

2. Cost is the Bonus

The instinct is to compare hourly wages. But the true cost advantage in India comes from compounding value:

  • Faster iterations
  • Shorter feedback loops
  • Cross-functional teams sitting under one roof
  • Low attrition when culture is done right
  • The ability to scale without pause

Cost-efficiency in India isn’t about “cheap.” It’s about how far your money can travel in terms of innovation runway, R&D bandwidth, and market adaptability. Are you saving money or unlocking ROI you didn’t even know was possible?

3. India’s infrastructure is redefining What’s Possible

Forget the cliché of congested cities and patchy networks. India today is home to:

  • Tier-1 smart cities with global-grade business parks
  • 5G rollouts powering remote work like never before
  • AI innovation hubs supported by government and academia
  • World-class coworking and co-innovation spaces
  • A startup ecosystem that’s solving for both the next billion and the first world

This isn’t about “it’s good enough.” It’s about how they built this so fast? Have you updated your mental map of India lately? It might surprise you how quickly it's moved past just being “developing.”

GCC setup impacts

4. Government is in the Game with You

Unlike most countries where regulations lag innovation, India is racing to stay ahead. There’s a genuine push from policymakers to bring in global business, not just for revenue, but to co-author the country’s growth narrative. From SEZ benefits to startup-linked incentives and even talent mobility reforms, the system isn’t just permitting innovation, it’s fueling it.

When was the last time the country you expanded into worked with you, not around you?

5. India is an Ecosystem

Let’s kill a myth: a GCC is not a satellite office anymore. In India, your GCC can sit next to a global consulting firm, a niche deep-tech startup, a university AI lab, and your own offshore marketing team, all within a 5-kilometer radius. That’s not convenient. That’s compounding capability.

And unlike isolated development hubs, Indian cities are inherently wired for cross-pollination. You’ll hire a backend engineer who’s building a fintech MVP on weekends. You’ll meet a product head who just judged a student hackathon. That energy? You can’t outsource it, you embed it into it.

Are you building a center in India or building within India’s center of gravity?

6. Leadership loves India when they show up

Companies that treat their GCCs like outsourced cost centers get average results. But the ones who embed leadership, invest in culture, and create autonomy in their Indian centers?

They don’t just scale faster. They innovate better. Why? Because Indian teams, when trusted, don’t wait for direction; they set direction.

So the question isn’t: “Can India deliver?” It’s: “Are you showing up with the intent to co-create or just control?”

India is not just a global talent pool. It’s a thinking economy, a risk-friendly zone, and a co-founder to global ambition. So, if you're building a GCC in India, you’re not making an operational move. You're making a strategic leap. And the companies that realize this early? They don’t just build centers. They build legacies. But before building a GCC in India, one should not forget about the legalities and other aspects included in it. Let’s take a look at that as well…

Guide to setting up a GCC in India

Setting up a Global Capability Center (GCC) in India today is a transformative move. But as with any major strategic expansion, success doesn’t lie in just getting the infrastructure up and running. It lies in how you plan, whom you partner with, and what mindset you bring.

Below is a deeper, more human, and strategy-first take on the step-by-step journey, framed for leaders who don’t just want a GCC in India but want to build one that matters.

1. Ask “Why India?” Then, Do a feasibility study that goes beyond metrics

Before you jump into legalities or leasing office space, pause and reflect:

  • What do you want this center to stand for?
  • Are you looking for scale, speed, innovation, or all three?
  • Is your goal operational support or global value creation?

Once you’ve reframed the “why,” begin your feasibility study with on-ground intelligence. Look beyond costs and into city culture, future talent pipelines, and ecosystem depth. Consider the maturity of cities like Hyderabad for pharma-tech, Bangalore for AI & product engineering, Chennai for manufacturing R&D, or Pune for fintech services.

This is where most companies go wrong: they look for numbers, but they forget to map readiness + relevance. The goal is not just to find a city that works for you.

2. Legal & Regulatory Setup

The legal process in India is smoother than ever before but only when you think of it as a partnership with the ecosystem, not a paper trail.

Here’s what this typically involves:

  • Choosing the Right Legal Structure: Is your GCC better positioned as a wholly-owned subsidiary? A branch office? Or a liaison model? Each has legal and tax implications.
  • Navigating FDI Guidelines: India allows 100% Foreign Direct Investment in most sectors, but smart companies consult early with regulatory experts to avoid unnecessary delays.
  • Labor Law Awareness: It’s not just about contracts. India’s evolving labor code is increasingly favoring flexible, employee-first organizations. Are your policies designed to align?

Work with policy-savvy advisors who understand the nuances of how regulations vary state by state, sector by sector. Your GCC’s long-term agility starts with how wisely you set its foundation today.

3. Infrastructure & Technology

Yes, you’ll need physical space but what you really need is scalability. That means:

  • Modular Workspaces: Start with co-working or managed offices, but plan ahead for growth in phases. India offers dynamic leasing models now, using them to stay agile.
  • Tech Architecture That Scales with You: Your GCC will only perform as well as its digital backbone. From cloud-native tools, cybersecurity frameworks, to zero-trust networks, your IT infrastructure should mirror the resilience and compliance of your headquarters.
  • The Right Local Partners: Don’t build everything from scratch. India’s vendor ecosystem, whether in payroll, tech support, or compliance, is mature. The key is choosing partners who understand global standards.
GCC Steps

4. Talent Strategy

India’s talent pool is vast but to win in this space, you need more than recruiters. You need talented architects.

  • Go Beyond Job Descriptions: Instead of hiring “an engineer,” hire “a problem-solver with product DNA.” Instead of hiring a “finance analyst,” look for someone who understands automation and cross-border workflows.
  • Build Culture From Day One: Onboarding should include global business context, cross-cultural nuances, and digital-first learning programs. Think of your GCC employees not as an extended team but as ambassadors of your brand ethos.
  • Retention Isn’t Perks. It’s Purpose: Offering upskilling paths, access to internal mobility, mentorship, and clear KPIs helps top talent stay. Indian professionals don’t just look for pay, they look for progression and ownership.

5. Operationalization

Once you’re legally compliant, digitally enabled, and talent-rich, now comes the real test: turning on the switch.

  • Standardize Without Stifling: Replicate global processes where needed but leave room for local improvisation. That’s where innovation begins.
  • Governance Structure That Connects, Not Controls: Create dual-reporting lines with clarity. Appoint on-ground leadership who are empowered, not just compliant.
  • Build Feedback Loops Early: Don’t wait for issues to surface. Institute quarterly retrospectives, cross-border leadership syncs, and KPIs that measure impact, not just activity.

A GCC in India is a growth engine in disguise. And how you build it will say more about your company’s future than any press release ever could. But, before starting to build your next GCC in India, you must look at the GCC business models too.

Business Models for GCC Setup

Global Capability Centres (GCCs) are strategic pillars in the extremely dynamic global environment of today. In addition to providing businesses with efficiency, they act as hubs where talent, technology, and transformation come together. This allows them to drive innovation, co-create solutions, and future-proof their operating models.

3 prominent models, Company Owned, Company Operated (COCO), Company Owned, Partner Operated (COPO), and the transitional Build-Operate-Transfer (BOT) model, are redefining how businesses balance control, scalability, risk, and speed when it comes to structuring these centres.

A company's purpose, risk tolerance, and growth goals are all reflected in each model.

GCC business models

1. COCO Model

A company's desire to create a capability centre from the ground up, fully internally, is reflected in the Company Owned, Company Operated (COCO) model. This method gives you total control over every aspect of the business, including talent, infrastructure, compliance, culture, and intellectual property.

Key Distinguishers

  • Complete Ownership: The parent company is in charge of hiring, workflows, and innovation protocols.
  • End-to-End Alignment: Without outside interference, teams smoothly reflect strategic priorities.
  • Long-Term Efficiency: As the centre develops into a highly customised extension of the headquarters, the initial capital expenditure (CapEx) is high, but it pays off in the long run.

Challenges You Can’t Ignore

  • Capital-Intensive Setup: Requires substantial investments in infrastructure, talent acquisition, and regulatory navigation.
  • Time-Heavy Execution: The setup-to-scale journey is typically slower.
  • Limited Market Responsiveness: The lack of external agility can be a roadblock in volatile markets.

Best Suited For

Enterprises with significant resources and internal maturity looking to create innovation hubs or IP-heavy functions in-house, and who value autonomy over agility.

2. COPO Model

The Company Owned, Partner Operated (COPO) model is where strategic vision meets execution excellence. The parent company retains ownership of assets, IP, and governance, but entrusts daily operations to a trusted local partner with deep market knowledge.

This model acts as a scaling accelerator for reducing friction, increasing agility, and cutting time-to-market dramatically.

Unique Advantages

  • Rapid Setup: With a partner managing infrastructure and operations, readiness can be achieved within 90 days.
  • Risk Buffering: Operational, regulatory, and logistical challenges are shouldered by the partner, reducing parent company exposure.
  • Lower Capital Strain: Moves from a CapEx-heavy to an OpEx-efficient model, ideal for high-growth or cost-sensitive companies.
  • Talent Embeddedness: Exclusive full-time teams work solely for the parent brand while being employed by the partner, offering alignment without direct liability.

Considerations

  • Reduced Direct Control: Success depends heavily on the strength and alignment of the partnership.
  • Reliance on Partner Maturity: The GCC's performance hinges on the partner’s capabilities, systems, and governance.

Best Suited For

Mid-sized companies and enterprise players looking to enter markets faster, scale efficiently, and focus on core strategy while leveraging operational muscle externally.

3. BOT Model

The Build-Operate-Transfer (BOT) model acts as a transitional gateway to full ownership, allowing companies to de-risk market entry while still keeping the door open to long-term control.

Under BOT, a trusted local partner sets up the center, operates it for a defined time period, and then transfers the entire setup, people, processes, and systems back to the parent company.

What makes BOT Stand Out?

  • Phased Commitment: Build slowly, learn fast, and decide when (or whether) to take over.
  • Market Readiness: The partner navigates legal, cultural, and operational nuances, so you don’t have to.
  • Scalable by Design: Operations are crafted with long-term transition in mind, ensuring minimal disruption during handover.
  • Strategic Flexibility: Allows businesses to test functional maturity before making heavy investments.

Risks to Manage

  • Transition Hiccups: Cultural integration, knowledge transfer, and systems alignment can be challenging during the handover.
  • Trust-Heavy Model: Companies must rely heavily on their partners’ competence in the initial stages.
  • Hidden Costs: Transfer phases often come with overlooked investments in retooling and integration.

Best Suited For

Businesses expanding into new geographies or unfamiliar markets, who want to hit the ground running, without diving in head-first.

COCO vs COPO vs BOT

Feature COCO (Company Owned, Company Operated) COPO (Company Owned, Partner Operated) BOT (Build-Operate-Transfer)
Ownership Full ownership and operational control Ownership of IP and strategic oversight; operations handled by partner Partner builds and operates; ownership transferred after agreed period
Control Highest – Direct and complete control Moderate – Strategic control with operational outsourcing Phased – Initial control with partner, full control post transfer
CapEx Requirement High – Major upfront investments in infra and setup Minimal – Low initial CapEx Moderate – Partner absorbs CapEx, cost amortized over time
OpEx Model Reduces over time with scale Low and predictable from start Moderate – Grows as operations expand, then internalized
Time to Market 6–12 months (or more) ~90 days with right partner 3–6 months to build and operate; timeline depends on transfer plan
Compliance & Regulatory Burden High – Must manage all internally Low – Partner handles local compliance and legal requirements Low to Moderate – Partner-led initially, transitions to internal
Talent Acquisition Built in-house; time-consuming Handled by partner using local networks Partner sources, trains, and transitions talent
Scalability Moderate – Slower, needs internal capacity High– Fast scale using partner’s ecosystem High – Scalability is built-in during Operate phase
Risk Diversification Low – Parent bears all operational and financial risks High – Partner assumes significant operational responsibilities High – Partner mitigates early-stage risks
Long-Term Flexibility High, but limited adaptability to external shifts Very High – Quick pivots possible High – Strategic flexibility increases post-transfer
Cultural Integration Strong – Aligned from day one Depends on partner-team synergy Gradual – Starts as partner-led, then internalizes culture

In the new global economy, businesses don’t win by building everything themselves. They win by building what matters and partnering for the rest. Whether you’re looking to innovate faster, expand smarter, or scale leaner, the COPO and BOT models are no longer just alternatives to COCO. They’re the default playbooks for companies that want to stay fast, flexible, and future-ready.

How can Antino help you end-to-end in setting up your GCC in India?

For Global Capability Centres (GCCs), India has transformed from a back-office hub to a strategic powerhouse. India presents an attractive option for businesses seeking to create globally aligned innovation engines because it has one of the biggest and youngest talent pools in the world, especially in the STEM and digital fields, along with cost savings and a well-established tech ecosystem. The GCCs in India today serve as the digital catalysts that propel the adoption of AI, research and development, data science, product engineering, and strategic decision-making in international marketplaces.

And that's precisely what Antino is for. With years of experience assisting world leaders in the planning, development, and expansion of high-performing GCCs throughout India, Antino serves as a strategic enabler in addition to an implementation partner. We take care of the heavy lifting so you can concentrate on results, from guiding you through the appropriate setup model (COCO, COPO, and BOT) to creating the ideal tech stack, infrastructure, compliance frameworks, and talent strategy. 

Our on-the-ground experience and in-depth knowledge of India's tech and regulatory environment guarantee that you scale wisely, not just quickly, whether you're looking to launch your first GCC or turn an existing one into a Centre of Excellence. Speak with our professionals right now!

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AUTHOR
Vinay Krishna Gupta
(Co-Founder & CEO, Antino)
An alumnus of IIT Kharagpur, with experience in working across various industries like Information Technology, Automobile, Education, E-Commerce, Travel, etc. Well-versed in leading software development teams focused primarily on iOS & Backend development.