For GCCs, time to make merry

India's IT services firms are becoming a speck in the rearview mirror of hiring by GCCs. Dedicated high-value offshore units of MNCs are soaking up office space in tech hotspots like Bengaluru, Hyderabad and Chennai, hiring aggressively for roles from coding to training chatbots. GCC headcount is growing 18-27% y-o-y, far outpacing the 4-6% growth at IT services firms, according to TeamLease Digital. They also provide regular outsourced services like customer management and documentation, thereby squeezing the role of third-party IT services firms. TCS, Infosys and Wipro, which used to scoop up huge numbers from campuses, have made way for Microsoft and Amazon. GCCs are also leading the push into smaller towns.

The churn is for the good. GCCs offer Indian workers a much broader range of employment opportunities than bread-and-butter outsourcing could. These units are strategically aligned with their parent companies to deliver more value in core business functions. The Indian tech worker now has exposure to high-end functions like research and product development as well as best-in-class processes to ensure productivity. GCCs pay more than regular outsourcing and offer accelerated career growth. That they are now spreading beyond established technology clusters is a definite benefit for tech- and capital-scarce parts of the country that house a large talent pool.

Accommodative policies have made India a global draw for GCCs. States are tweaking their strategies to sweeten the welcome. GCCs offer MNCs wide latitude in negotiating immigration policies in advanced economies. India is host to GCCs from several European countries alongside the Silicon Valley bunch. The trend is catching. The argument of a dedicated pool of inexpensive talent carrying out business-critical functions offshore is persuasive in C-suites. The funnel can only widen, and India is sitting bang in the middle of it. Globalisation, GCC style, faces less political opposition in a protectionist world. Success stories from India can sway the fence-sitters.