Setting up a Global Capability Center (GCC) in India
Setting up a Global Capability Center (GCC) in India is a strategic move many global organisations choose to accelerate innovation, reduce operating costs, and access world-class talent. India offers a compelling mix of technical skills, cost efficiency, time‑zone advantages for global coverage, and a mature ecosystem of suppliers and service providers. Radee8 Advisory Private Limited brings practical, hands‑on expertise to guide organisations through the entire GCC lifecycle — from feasibility and incorporation to scaling and long‑term operations.
Why India — key benefits of a GCC
1. Deep and cost‑effective talent pool
India graduates millions of STEM professionals every year. GCCs can access experienced software engineers, data scientists, cloud architects, cybersecurity specialists, product managers, and domain experts at a cost point that improves business economics without compromising capability.
2. Time‑zone coverage and 24/7 operations
India’s time zone (UTC+5:30) makes it ideal for both follow‑the‑sun support models and close collaboration with European and Asian hubs. This enables continuous delivery, faster incident resolution, and extended customer support hours.
3. Scalability and flexible resourcing
India’s large urban centers provide a scalable labor market. Organisations can ramp teams quickly through a combination of direct hires, contractors, and partnerships with local staffing vendors.
4. Mature tech ecosystem and vendor base
India has a rich ecosystem of technology vendors, cloud partners, managed service providers, co‑working and office suppliers, and HR vendors — simplifying procurement and reducing time to value.
5. Favourable operating economics
Lower real estate and wage costs (relative to many Western locations) combined with productivity gains make India an attractive location to improve margins while investing in innovation.
6. Government incentives and policy support
Central and state governments frequently run incentive programs, rebates, and export‑oriented schemes that can materially reduce total cost of ownership for GCCs — especially those focused on IT/ITES exports, R&D, or strategic sectors.
7. English language capability & cultural fit for business
Widespread English proficiency and familiarity with global business processes reduce friction in communication, documentation, and cross‑border collaboration.
8. Strong engineering and R&D credentials
India is increasingly chosen for high‑value engineering, AI/ML research, product development, and cloud migrations — not just for routine delivery.
India graduates millions of STEM professionals every year. GCCs can access experienced software engineers, data scientists, cloud architects, cybersecurity specialists, product managers, and domain experts at a cost point that improves business economics without compromising capability.
2. Time‑zone coverage and 24/7 operations
India’s time zone (UTC+5:30) makes it ideal for both follow‑the‑sun support models and close collaboration with European and Asian hubs. This enables continuous delivery, faster incident resolution, and extended customer support hours.
3. Scalability and flexible resourcing
India’s large urban centers provide a scalable labor market. Organisations can ramp teams quickly through a combination of direct hires, contractors, and partnerships with local staffing vendors.
4. Mature tech ecosystem and vendor base
India has a rich ecosystem of technology vendors, cloud partners, managed service providers, co‑working and office suppliers, and HR vendors — simplifying procurement and reducing time to value.
5. Favourable operating economics
Lower real estate and wage costs (relative to many Western locations) combined with productivity gains make India an attractive location to improve margins while investing in innovation.
6. Government incentives and policy support
Central and state governments frequently run incentive programs, rebates, and export‑oriented schemes that can materially reduce total cost of ownership for GCCs — especially those focused on IT/ITES exports, R&D, or strategic sectors.
7. English language capability & cultural fit for business
Widespread English proficiency and familiarity with global business processes reduce friction in communication, documentation, and cross‑border collaboration.
8. Strong engineering and R&D credentials
India is increasingly chosen for high‑value engineering, AI/ML research, product development, and cloud migrations — not just for routine delivery.
Common challenges (and why expert guidance matters)
While India offers many advantages, establishing and operating a GCC can involve complexities: incorporation and regulatory compliance, payroll and statutory benefits, employee onboarding and retention, data privacy and localization rules, tax structuring, leasing and facilities, vendor management, and cultural integration with the parent organisation. Expert local guidance shortens the learning curve and avoids costly missteps.
How Radee8 Advisory Private Limited can help
Radee8 Advisory specialises in guiding global companies to successfully establish and scale GCCs in India. Their support typically covers the full lifecycle, in modular services that clients can choose from.
1. Feasibility & site selection
– Market and talent supply analysis by city (Bengaluru, Hyderabad, Pune, Chennai, NCR, Mumbai, etc.)
– Cost modelling (real estate, hiring, operating expenses) and incentive mapping
– Office location advice, hybrid/remote strategy, and vendor short‑listing
2. Legal incorporation & corporate structuring
– Entity formation (private limited, liaison office, branch office, or LLP) and registrations
– Assistance with MCA filings, GST registration, ESIC/EPFO registrations, and other statutory requirements
– Advice on tax‑efficient structures and transfer‑pricing considerations (in partnership with tax specialists)
3. People & HR operations
– Recruitment strategy, hiring support, and access to local recruitment networks
– Payroll setup, statutory compliance (PF, ESI, professional tax), and benefits administration
– Local HR policies, employee handbooks, and onboarding frameworks to align with parent‑company culture
4. Compensation, benefits & retention
– Market benchmarking and compensation design
– Incentive and retention programs (joining bonuses, ESOP advisory support, career path frameworks)
5. Office setup & vendor management
– Lease negotiation support, fit‑out oversight, and procurement assistance
– Vendor selection (IT infrastructure, connectivity, security, facilities management)
6. Compliance, data protection & security
– Help to navigate India’s evolving data protection rules and sector‑specific regulations
– Security posture reviews, third‑party security vendor short‑lists, and operational compliance checklists
7. Finance, tax & incentive claims
– Assistance preparing paperwork for state/central incentives, export incentives, and utility subsidies
– Coordination with Indian tax advisors for permanent establishment (PE) risks and withholding tax treatments
8. Managed services & ongoing operations
– Option for Radee8 to provide retained operational support: payroll, vendor management, HR operations, or a full managed GCC back‑office
– Continuous improvement programs, governance frameworks, and KPI dashboards to track performance
– Market and talent supply analysis by city (Bengaluru, Hyderabad, Pune, Chennai, NCR, Mumbai, etc.)
– Cost modelling (real estate, hiring, operating expenses) and incentive mapping
– Office location advice, hybrid/remote strategy, and vendor short‑listing
2. Legal incorporation & corporate structuring
– Entity formation (private limited, liaison office, branch office, or LLP) and registrations
– Assistance with MCA filings, GST registration, ESIC/EPFO registrations, and other statutory requirements
– Advice on tax‑efficient structures and transfer‑pricing considerations (in partnership with tax specialists)
3. People & HR operations
– Recruitment strategy, hiring support, and access to local recruitment networks
– Payroll setup, statutory compliance (PF, ESI, professional tax), and benefits administration
– Local HR policies, employee handbooks, and onboarding frameworks to align with parent‑company culture
4. Compensation, benefits & retention
– Market benchmarking and compensation design
– Incentive and retention programs (joining bonuses, ESOP advisory support, career path frameworks)
5. Office setup & vendor management
– Lease negotiation support, fit‑out oversight, and procurement assistance
– Vendor selection (IT infrastructure, connectivity, security, facilities management)
6. Compliance, data protection & security
– Help to navigate India’s evolving data protection rules and sector‑specific regulations
– Security posture reviews, third‑party security vendor short‑lists, and operational compliance checklists
7. Finance, tax & incentive claims
– Assistance preparing paperwork for state/central incentives, export incentives, and utility subsidies
– Coordination with Indian tax advisors for permanent establishment (PE) risks and withholding tax treatments
8. Managed services & ongoing operations
– Option for Radee8 to provide retained operational support: payroll, vendor management, HR operations, or a full managed GCC back‑office
– Continuous improvement programs, governance frameworks, and KPI dashboards to track performance
Typical phased approach (recommended)
1. Assess & plan (4–8 weeks):
Feasibility study, cost modelling, and high‑level operating model.
2. Setup & incorporation (4–10 weeks):
Legal formation, registrations, lease negotiations, early hires.
3. Ramp & stabilise (3–9 months):
Hiring, process set‑up, initial deliveries, governance.
4. Scale & optimise (ongoing):
Talent growth, R&D expansion, continuous optimisation, and local leadership development.
Radee8 can lead or co‑manage each phase depending on client preference.
Feasibility study, cost modelling, and high‑level operating model.
2. Setup & incorporation (4–10 weeks):
Legal formation, registrations, lease negotiations, early hires.
3. Ramp & stabilise (3–9 months):
Hiring, process set‑up, initial deliveries, governance.
4. Scale & optimise (ongoing):
Talent growth, R&D expansion, continuous optimisation, and local leadership development.
Radee8 can lead or co‑manage each phase depending on client preference.
Quick GCC readiness checklist
- Clear mandate & functions to be performed in India (R&D, product engineering, support, finance)
• Budget and target TCO improvement
• Preferred cities or tolerance for remote/hybrid models
• Initial headcount plan and hiring timeline
• Legal entity & tax planning preferences
• Data residency or compliance constraints
• Real estate appetite (leased office vs coworking)
Radee8 can convert this checklist into a customised project plan with milestones and deliverables.
Why choose Radee8 Advisory
- Practical, end‑to‑end experience: from company formation to managed operations.
• Local knowledge with global perspective: practical understanding of local regulations, vendors, and talent markets while aligning to global governance and security needs.
• Modular engagement model: advisory, implementation, or retained operations — pick what you need.
• Faster time‑to‑value: reduce delays and compliance risks by leveraging proven playbooks and vendor relationships.
Next steps & call to action
If you’re considering a GCC in India, a sensible next step is a short scoping engagement: a 2–4 week feasibility study that builds a city‑level cost model, a high‑level operating model, and a roadmap with estimated timelines and costs. Radee8 Advisory can deliver this package and present a clear recommendation for go/no‑go.
To discuss specifics, tailor the scope, or request a sample project plan, contact Radee8 Advisory Private Limited for a no‑obligation initial consultation.
To discuss specifics, tailor the scope, or request a sample project plan, contact Radee8 Advisory Private Limited for a no‑obligation initial consultation.